HBA-MPM H.B. 2396 77(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 2396
By: Chavez
Pensions & Investments
3/11/2001
Introduced



BACKGROUND AND PURPOSE 

Currently, county law enforcement and county personnel may only collect
retirement benefits if the combination of their age and years of service
equal 70 to 75.  However, employees in the private sector are often allowed
to retire and collect benefits when they reach the 20-year eligibility
mark.  Providing county employees with similar benefits to employees in the
private sector may enable counties to recruit and retain skilled employees.
House Bill 2396 authorizes the governing body of a subdivision
participating in the Texas County and District Retirement System to give
personnel the option to retire and collect benefits after 20 years of
service. 

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

ANALYSIS

House Bill 2396 amends the Government Code to authorize the governing body
of a participating subdivision to adopt the optional benefit eligibility
plan (plan), which provides that a member of the Texas County and District
Retirement System is eligible to apply for and receive a service retirement
annuity if the member has at least 20 years of credited service in the
retirement system.  The bill prohibits the governing body of a
participating subdivision from adopting the plan except on the terms
specified by provisions governing the annually determined contribution rate
plan. 

EFFECTIVE DATE

September 1, 2001.