BILL ANALYSIS Senate Research Center S.B. 1509 By: Huffman Finance 5/29/2023 Enrolled AUTHOR'S / SPONSOR'S STATEMENT OF INTENT S.B. 321 from the 87th Legislature provided important provisions to reform the Employees Retirement System (ERS) pension fund. Late in the 87th session, an amendment to S.B. 321 was added that established a policy for state employees and the elected class who have greater than 43.5 years of service, are over the age of 60, and have reached 100 percent of their annuity. This policy provided an additional avenue to access earned retirement benefits for those who met these requirements. Although this policy would currently impact fewer than 50 people, and has no actuarial impact to the pension fund, there has been a desire from interested parties to remove this provision from law. Accordingly, S.B. 1509 removes this policy by repealing Section 814.109 of the Texas Government Code. The change in law made by this bill would apply only to an individual who retires on or after the effective date. S.B. 1509 amends current law relating to the service retirement eligibility and benefits of certain members of the Employees Retirement System of Texas. RULEMAKING AUTHORITY This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency. SECTION BY SECTION ANALYSIS SECTION 1. Repealer: Section 814.109 (Eligibility of Certain Members for Service Retirement), Government Code. SECTION 2. Makes application of this Act prospective. SECTION 3. Effective date: upon passage or September 1, 2023.
BILL ANALYSIS
Senate Research Center S.B. 1509
By: Huffman
Finance
5/29/2023
Enrolled
Senate Research Center
S.B. 1509
By: Huffman
Finance
5/29/2023
Enrolled
AUTHOR'S / SPONSOR'S STATEMENT OF INTENT
S.B. 321 from the 87th Legislature provided important provisions to reform the Employees Retirement System (ERS) pension fund. Late in the 87th session, an amendment to S.B. 321 was added that established a policy for state employees and the elected class who have greater than 43.5 years of service, are over the age of 60, and have reached 100 percent of their annuity. This policy provided an additional avenue to access earned retirement benefits for those who met these requirements. Although this policy would currently impact fewer than 50 people, and has no actuarial impact to the pension fund, there has been a desire from interested parties to remove this provision from law.
Accordingly, S.B. 1509 removes this policy by repealing Section 814.109 of the Texas Government Code. The change in law made by this bill would apply only to an individual who retires on or after the effective date.
S.B. 1509 amends current law relating to the service retirement eligibility and benefits of certain members of the Employees Retirement System of Texas.
RULEMAKING AUTHORITY
This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.
SECTION BY SECTION ANALYSIS
SECTION 1. Repealer: Section 814.109 (Eligibility of Certain Members for Service Retirement), Government Code.
SECTION 2. Makes application of this Act prospective.
SECTION 3. Effective date: upon passage or September 1, 2023.