HBA-CMT S.B. 1569 77(R) BILL ANALYSIS Office of House Bill AnalysisS.B. 1569 By: West, Royce Pensions & Investments 5/16/2001 Engrossed BACKGROUND AND PURPOSE Some judges have voiced concern over inequities between benefits and options offered by the Judicial Retirement System of Texas (JRS) Plan One and Plan Two. Senate Bill 1569 authorizes JRS members who are not retired to buy service credit in either plan, as applicable, using the same formula and rate of contribution. 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 Senate Bill 1569 amends the Government Code to authorize a member of the Judicial Retirement System (JRS) who has not retired to establish service credit in the JRS Plan One or Plan Two, as applicable, for any calendar year during which the member held an office included in the membership of JRS or was eligible to take the oath for an office included in the membership of JRS. The member is authorized to establish credit by depositing with JRS a contribution computed for each month of credit claimed at the rate of six percent of the member's current monthly salary plus, if the member does not establish credit before the first anniversary of the first eligibility, interest computed on the basis of the state fiscal year at an annual rate of 10 percent from the date of first eligibility to the date of deposit. The bill requires JRS Plan One and Plan Two to increase by 10 percent of the amount of the applicable state salary or the annuity of a member who on the effective date of retirement has served as a visiting judge in this state and the first anniversary of the last day of that service has not occurred. The bill provides that a member who accrues 20 years of service credit in JRS Plan One ceases making contributions. EFFECTIVE DATE September 1, 2001.