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AN ACT
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relating to the resumption of employment by certain retirees within |
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the Texas Municipal Retirement System. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 852.108, Government Code, is amended by |
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amending Subsections (c), (e), and (f) and adding Subsection (j) to |
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read as follows: |
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(c) The retirement system shall discontinue and suspend |
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payments of each service retirement annuity that is allowed because |
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of the person's previous service with the reemploying municipality |
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beginning with the month the retirement system determines that the |
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person has again become an employee of the reemploying |
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municipality. After the suspension and except as provided by |
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Subsection (j), the retirement system may not make payments of the |
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annuity for any month during which the person remains an employee of |
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the reemploying municipality. The suspension of a benefit under |
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this section does not suspend payment of a benefit to an alternate |
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payee under a qualified domestic relations order. |
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(e) After termination of employment with the reemploying |
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municipality and after filing of an application for resumption of |
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retirement with the board of trustees, a person described by |
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Subsection (b) is entitled to receive future payments of the |
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suspended annuity, as provided by Subsection (f), and to the |
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additional benefits as provided by Subsections (g), (h), [and] (i), |
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and (j). |
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(f) Monthly payments of a suspended annuity shall be resumed |
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in the month following the month in which employment is terminated |
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with the reemploying municipality, without change in the amount |
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except for any increase allowed under Section 854.203 or the |
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duration of or another condition pertaining to the suspended |
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benefit. Except as provided by Subsection (j), payment [Payment] |
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of the resumed benefit may not be made for any month during which |
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the payment was suspended under this section. |
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(j) A person to whom this section applies shall receive a |
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lump-sum payment in an amount equal to the sum of the service |
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retirement annuity payments the person would have received had the |
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person's annuity payments not been discontinued and suspended under |
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this section if the person: |
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(1) initially retired based on a bona fide termination |
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of employment; and |
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(2) resumed employment with the person's reemploying |
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municipality at least eight years after the effective date of the |
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person's retirement. |
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SECTION 2. The change in law made by this Act applies only |
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to a member of the Texas Municipal Retirement System who terminates |
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employment with the person's reemploying municipality and files an |
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application for resumption of retirement with the board of trustees |
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of the Texas Municipal Retirement System under Subsection (e), |
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Section 852.108, Government Code, as amended by this Act, on or |
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after the effective date of this Act. A member who terminates |
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employment with the person's reemploying municipality and files an |
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application for resumption of retirement with the board under |
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Subsection (e), Section 852.108, Government Code, before the |
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effective date of this Act is governed by the law as it existed |
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immediately before that date, and the former law is continued in |
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effect for that purpose. |
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SECTION 3. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2011. |
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______________________________ |
______________________________ |
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President of the Senate |
Speaker of the House |
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I hereby certify that S.B. No. 812 passed the Senate on |
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May 5, 2011, by the following vote: Yeas 31, Nays 0; and that the |
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Senate concurred in House amendment on May 25, 2011, by the |
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following vote: Yeas 30, Nays 1. |
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______________________________ |
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Secretary of the Senate |
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I hereby certify that S.B. No. 812 passed the House, with |
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amendment, on May 23, 2011, by the following vote: Yeas 142, |
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Nays 0, one present not voting. |
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______________________________ |
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Chief Clerk of the House |
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Approved: |
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______________________________ |
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Date |
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______________________________ |
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Governor |