88R9097 BDP-D
By: AnchÃa H.B. No. 3248
A BILL TO BE ENTITLED
AN ACT
relating to contributions to, benefits under, and administration of
Texas local fire fighters' retirement systems.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 29(b), Texas Local Fire Fighters
Retirement Act (Article 6243e, Vernon's Texas Civil Statutes), is
amended to read as follows:
(b) A municipality or other political subdivision that has
employees who are participating members of a retirement system
shall make contributions to the system each payroll period. Except
as provided by Subsection (d) of this section, contributions
required under this subsection are computed on the total
compensation paid to the employees who are participating members of
the system. A municipality or other political subdivision is
required to make contributions under this subsection at the same
rate paid by employees or 12 percent, whichever is the smaller rate.
The governing body of a municipality or other political subdivision
by ordinance or, in accordance with Section 29A of this Act, by
contract may adopt a rate of employer contributions that is greater
than the rate required by this subsection.
SECTION 2. Texas Local Fire Fighters Retirement Act
(Article 6243e, Vernon's Texas Civil Statutes), is amended by
adding Section 29A to read as follows:
Sec. 29A. CONTRACT TO INCREASE EMPLOYER CONTRIBUTIONS AND
MAKE CERTAIN RELATED SYSTEM MODIFICATIONS. (a) A municipality or
other political subdivision may contract with the board of trustees
of a retirement system to adopt a rate of employer contributions
that is greater than the rate required by Section 29(b) of this Act.
(b) Notwithstanding any other law, a contract entered into
under this section may include provisions modifying the following
with respect to a retirement system:
(1) employee contributions;
(2) actuarial assumptions, provided the actuarial
assumptions are approved by an actuary who meets the qualifications
prescribed by Section 7(c) of this Act; and
(3) benefits.
SECTION 3. (a) Except as provided by Subsection (b) of this
section, a contract described by Section 29A, Texas Local Fire
Fighters Retirement Act (Article 6243e, Vernon's Texas Civil
Statutes), as added by this Act, that was entered into by a
municipality or other political subdivision and the board of
trustees of a retirement system before the effective date of this
Act is validated as of the date the contract was made or attempted
to be made.
(b) This section does not validate:
(1) an act that, under the law of this state at the
time the act occurred, was a misdemeanor or felony; or
(2) a matter that on the effective date of this Act:
(A) is involved in litigation if the litigation
ultimately results in the matter being held invalid by a final
judgment of a court; or
(B) has been held invalid by a final judgment of a
court.
SECTION 4. This Act takes effect September 1, 2023.