HBA-SEB S.B. 1664 76(R)    BILL ANALYSIS


Office of House Bill AnalysisS.B. 1664
By: Shapleigh
Pensions and Investments
4/30/1999
Engrossed



BACKGROUND AND PURPOSE 

Currently, in cities with populations of 500,000 to 600,000, an individual
who is transferred involuntarily from a position that does not participate
in a retirement program for firefighters and police officers to a position
that does participate in such a program may not elect to remain with the
individual's original pension fund.  As a result, some employees may lose
time or credit within a retirement program fund.  S.B. 1664 authorizes a
firefighter or police officer in a city of that size to make a one-time
election to continue membership in a proportionate retirement program if
the person is involuntarily transferred.  

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 Section 803.0021, Government Code, to provide that
Sections 803.101(g) and 803.102(b) apply only to a retirement system
existing under Article 6243b, V.T.C.S (Firemen and Policemen Pension Fund
in Cities of 500,000 to 600,000). 

SECTION 2.  Amends Section 803.101, Government Code, by adding Subsection
(g), to provide that the approval of the participants in a retirement
system is not required if making an election to participate in a
proportionate retirement program. 

SECTION 3.  Amends Section 803.102, Government Code, to add a new
Subsection (b) to authorize a person to make a one-time election to
continue membership in a retirement system under this chapter if the change
in employment status making the person eligible for membership in another
retirement system is an involuntary transfer.  Provides that an election
must be made at the time of the involuntary transfer.  Authorizes an
election to continue membership to be made notwithstanding any provision to
the contrary under Article 6243b, V.T.C.S., or under a city charter or
ordinance or otherwise.  Redesignates Subsection (c) to (d).   

SECTION 4. Effective date: September 1, 1999.

SECTION 5. Emergency clause.