HBA-DMD H.B. 1214 76(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 1214
By: Yarbrough
Pensions & Investments
2/25/1999
Introduced



BACKGROUND AND PURPOSE 

Under current law, members of the Fire Fighters Pension System contribute
and receive retirement benefits based on the salary level of the second
highest classified position in the fire department personnel classification
schedule.  Some believe that members who skip classification levels by
virtue of appointment to a higher position, rather than advancing solely
through competitive examination, may receive a windfall from the system.
H.B. 1214 bases the amount of retirement benefits that a member receives on
the highest rank that the member has attained by civil service examination
within the salary schedule of the fire department. 

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. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Chapter 1268, Acts of the 75th Legislature, Regular
Session, 1997 (Article 6243e.2(1), V.T.C.S.), by adding Section 4A, as
follows: 

Section 4A.  CONTRIBUTIONS OF AND BENEFITS FOR CERTAIN MEMBERS. (a)
Requires a member who is appointed fire chief to make contributions to the
retirement fund (fund), after September 1, 1999, in an amount equal to 7.7
percent of the highest salary received by the member while serving in a
position obtained as a result of a competitive examination, notwithstanding
Section 13 (Membership and Contributions) of this Act. 

(b) Requires the fund, for months of participation after September 1, 1999,
relating to service in the position of fire chief, to compute a member's
average monthly salary as equaling one thirty-sixth of the member's salary
as a fire fighter for the member's highest 78 biweekly pay periods during
the member's service in fire fighter positions obtained as a result of
competitive examination, notwithstanding Section 4 (Service Pension
Benefits) of this Act.  

SECTION 2.Effective date: June 1, 1999.

SECTION 3.Emergency clause.