| 1 | 1 | | 88R22249 KFF-D |
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| 2 | 2 | | By: Anchía, Rose, Frazier, H.B. No. 4653 |
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| 3 | 3 | | González of Dallas, Meyer, et al. |
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| 4 | 4 | | |
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| 5 | 5 | | |
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| 6 | 6 | | A BILL TO BE ENTITLED |
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| 7 | 7 | | AN ACT |
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| 8 | 8 | | relating to participation in a deferred retirement option plan by |
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| 9 | 9 | | members of the retirement systems for police and fire fighters in |
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| 10 | 10 | | certain municipalities. |
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| 11 | 11 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 12 | 12 | | SECTION 1. Section 6.14(c), Article 6243a-1, Revised |
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| 13 | 13 | | Statutes, is amended to read as follows: |
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| 14 | 14 | | (c) Each month after a member has made an election to |
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| 15 | 15 | | participate in the DROP and indicated a desire to receive a |
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| 16 | 16 | | retirement pension under Sections 6.01(b) and (c), Section 6.01(e), |
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| 17 | 17 | | or Section 6.02(b), (c), (d), or (e) of this article, whichever is |
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| 18 | 18 | | applicable, and through the month before the month in which the |
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| 19 | 19 | | member leaves active service, an amount equal to the retirement |
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| 20 | 20 | | pension the member would have received under the applicable |
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| 21 | 21 | | subsection for that month if the member had left active service and |
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| 22 | 22 | | been granted a retirement pension by the board on the effective date |
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| 23 | 23 | | of DROP participation shall be credited to a separate DROP account |
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| 24 | 24 | | maintained within the fund for the benefit of the member. Amounts |
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| 25 | 25 | | held in the DROP account of a member shall be credited at the end of |
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| 26 | 26 | | each calendar month. Notwithstanding this section, effective |
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| 27 | 27 | | January 1, 2018, a member on active service who has 20 [10] years or |
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| 28 | 28 | | more of participation in DROP shall no longer have the amount of the |
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| 29 | 29 | | member's retirement pension credited to the member's DROP account |
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| 30 | 30 | | while the member is on active service. |
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| 31 | 31 | | SECTION 2. (a) Subsection to Subsection (b) of this |
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| 32 | 32 | | section, Section 6.14(c), Article 6243a-1, Revised Statutes, as |
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| 33 | 33 | | amended by this Act, applies to a member who participates in the |
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| 34 | 34 | | deferred retirement option plan established under that section |
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| 35 | 35 | | regardless of whether the member began participation in the plan |
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| 36 | 36 | | before, on, or after the effective date of this Act. |
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| 37 | 37 | | (b) A member described by Subsection (a) of this section |
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| 38 | 38 | | whose retirement pension ceased being credited to the member's |
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| 39 | 39 | | deferred retirement option plan account on or after January 1, |
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| 40 | 40 | | 2018, under Section 6.14(c), Article 6243a-1, Revised Statutes, as |
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| 41 | 41 | | that section existed immediately before the effective date of this |
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| 42 | 42 | | Act, is not entitled to have amounts credited to the member's |
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| 43 | 43 | | account for the period beginning on the date the member's |
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| 44 | 44 | | retirement pension ceased being credited and ending on August 31, |
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| 45 | 45 | | 2023. |
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| 46 | 46 | | SECTION 3. This Act takes effect September 1, 2023. |
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