89R16035 JCG-F By: Bell of Montgomery H.B. No. 5167 A BILL TO BE ENTITLED AN ACT relating to membership in the Employees Retirement System of Texas by certain service members of the Texas National Guard. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 437.212(d), Government Code, is amended to read as follows: (d) A service member who is not a state employee when called by proper authority into a state active duty status or state training and other duty status becomes a temporary state employee when in this status and is limited to the benefits specified in this chapter and in Subtitle B, Title 8. A temporary state employee status does not apply to a service member who is a federal civil servant or on active guard reserve status, including a member serving on orders issued under Title 10 or 32, United States Code. SECTION 2. Section 812.003(a), Government Code, is amended to read as follows: (a) Except as provided by Subsection (b), membership in the employee class of the retirement system includes all employees and appointed officers of every department, commission, board, agency, or institution of the state and the temporary state employees described by Section 812.0035, except: (1) independent contractors and their employees performing work for the state; and (2) persons disqualified from membership under Section 812.201. SECTION 3. Subchapter A, Chapter 812, Government Code, is amended by adding Section 812.0035 to read as follows: Sec. 812.0035. MEMBERSHIP IN EMPLOYEE CLASS FOR CERTAIN TEXAS NATIONAL GUARD SERVICE MEMBERS. (a) In this section, "service member," "state active duty," and "Texas National Guard" have the meanings assigned by Section 437.001. (b) A service member of the Texas National Guard who is called by proper authority into state active duty and becomes a temporary state employee under Section 437.212(d) for a period of 60 consecutive days or more is eligible for membership in the employee class of the retirement system during the period the service member is a temporary state employee and receives compensation from the state for that employment. (c) The retirement system shall adopt rules to implement this section, including rules for: (1) establishing membership and service credit; (2) collecting contributions in the appropriate amounts and determining collection periods; and (3) computing benefits under this subtitle based on monthly compensation for a person described by Subsection (b). SECTION 4. (a) In this section, "retirement system" means the Employees Retirement System of Texas. (b) Only service occurring on or after the effective date of this Act is creditable in the retirement system for a person described by Section 812.0035(b), Government Code, as added by this Act. (c) If, on the effective date of this Act, a person described by Section 812.0035(b), Government Code, as added by this Act, has continuously served in a position included in the employee class of membership of the retirement system under that section for 60 days or more and holds the position on the effective date of this Act, the person is not required to comply with the 60-day waiting period to be eligible under that section for membership in the retirement system. (d) For purposes of Section 820.002, Government Code, the hire date of a person described by Section 812.0035(b), Government Code, as added by this Act, who is not member of the retirement system on the effective date of this Act is considered to be September 1, 2025. SECTION 5. This Act takes effect September 1, 2025.