34 TAC §§23.1, 23.4-23.8
The Teacher Retirement System of Texas (TRS) proposes amendments
to §23.1 concerning grievances and complaints, §23.4 concerning
public participation in adoption of rules, §23.5 concerning nomination
for appointment to the Board of Trustees, §23.6 concerning trustee to
trustee transfers; §23.7 concerning the code of ethics for consultants
and agents, and §23.8 concerning expenditure reporting by consultants,
advisors, and brokers.
These proposals are a part of the review process by TRS of all the Rules
in compliance with the Appropriations Act of 1997, House Bill 1, Article IX,
§167. The review process will include, as a minimum, an assessment by
TRS as to whether the reason for adopting or readopting the rule continues
to exist. This Chapter and others have been previously reviewed in an open
meeting by the TRS Policy Committee. This Chapter and others are being posted
for comments regarding whether the reason for adopting the rules continue
to exist.
The proposed amendments to §23.1 make it clear that grievances and
complaints are covered by this rule and the term "executive secretary" is
updated in §§23.1 and 23.4 to the current title of "executive director"
as the title was changed by law in 1993. The proposed amendments to §23.5
substitute the term "member" for the word "teacher" to more accurately reflect
that retirees are not required to be teachers. In addition, future terms to
be served by trustees are more accurately reflected with changed years. The
proposed amendment to §23.6 deletes an effective date which no longer
has meaning for the distributions that can be paid to an eligible retirement
plan by a direct trustee to trustee transfer. §§23.7 and 23.8 are
amended by deleting two specific dates and giving a more general reference
of "as amended from time to time." In addition, the most recent effective
date of the documents referenced is updated.
Ronnie Jung, Chief Financial Officer, has determined that for each year
of the first five years the section as amended will be in effect, there will
be no fiscal implications to state or local governments as a result of enforcing
or administering the section.
Ronnie Jung, Chief Financial Officer, has determined that the public benefit
will be a more accurate reference within the rule. He has also determined
that there will be no anticipated economic cost to the public, small businesses,
or to the persons who are required to comply with the sections as proposed
for each year of the first five years the proposals will be in effect.
Comments may be submitted to Charles L. Dunlap, Executive Director, 1000
Red River, Austin, Texas 78701, (512) 397-6400.
The amendments are proposed under the Government Code, Chapter
825, §825.102, which authorizes the Board of Trustees of the Teacher
Retirement System to adopt rules for the administration of the funds of the
retirement system and for the transaction of the business of the Board.
§23.4 -- Government Code, Chapter 2001, Subchapter B, §2001.021
§23.5 -- Government Code, Chapter 825, Subchapter A
§23.7 -- Government Code, Chapter 825, Subchapter C, §825.212
§23.8 -- Government Code, Chapter 825, Subchapter C, §825.212
No other laws are affected by these proposals.
§23.1.Grievances and Complaints.
(a)
Grievances and complaints are usually settled by correspondence
or informal conference between the member or beneficiary and the staff of
the Teacher Retirement System of Texas. Any person with a grievance
or complaint
which cannot be settled
by correspondence or informal
conference
[
in this manner
] may appeal the decision of the
staff to the executive
director
[
secretary
] of the Teacher
Retirement System of Texas. Request for hearing before the executive
director
[
secretary
] must be in writing and include a clear
statement of the grievance or complaint and be presented at least 10 days
prior to the hearing. The hearing will be limited to the questions stated
in the written request. The person complaining may be represented by counsel.
Notice will be given of the time and place of the hearing.
(b)
The decision of the executive
director
[
secretary
] may be appealed to the Board of Trustees of the Teacher Retirement
System of Texas, subject to the same rules and conditions as a hearing before
the executive
director
[
secretary
]. The executive
director
[
secretary
] may, if he deems it advisable, set the
original hearing before the board of trustees.
§23.4.Public Participation in Adoption of Rules.
(a)
(No change.)
(b)
Any interested person may informally request adoption of
a rule by correspondence or conference with TRS staff members. If satisfactory
results cannot be achieved in this manner, any interested person may petition
the Teacher Retirement System of Texas to adopt, amend, or repeal a rule by
filing a clear, written request to initiate rulemaking procedures with the
executive
director
[
secretary
]. The petition shall set
forth the exact text of the proposed rule and the petitioner's name and address,
and the name, business address, and telephone number of petitioner's counsel,
if any. The petition may also include written documents in support of the
petition.
(c)
The executive
director
[
secretary
]
shall grant or deny the petition within 60 days of its receipt. The executive
director
[
secretary
] may consult informally with staff members
and the petitioner in reaching a decision. The petition may be amended with
consent of the petitioner at any time before a final decision is rendered.
(1)
Upon granting the petition in writing, the executive
director
[
secretary
] shall initiate rulemaking proceedings
pursuant to the Administrative Procedure and Texas Register Act and the rules
and regulations of the Teacher Retirement System of Texas.
(2)
Denial of the petition by the executive
director
[
secretary
], and reasons therefor, shall be in writing.
The petitioner may appeal this decision to the board of trustees provided
that a written notice of appeal is filed with the executive
director
[
secretary
] within 10 days after the decision of the executive
director
[
secretary
] is issued. If no such notice of appeal
is timely filed, or if the next regularly scheduled meeting of the board of
trustees will occur more than 60 days after receipt of the petition by the
executive
director
[
secretary
], and the petitioner is
unwilling to waive the deadline for a final decision until that meeting, the
decision of the executive
director
[
secretary
] shall
be a final decision of TRS. The final decision of the board shall be based
on the written petition and written decision of the executive
director
[
secretary
] unless the board orders a hearing on the petition.
If the board approves the petition, the executive
director
[
secretary
] shall initiate rulemaking proceedings pursuant to the Administrative
Procedure and Texas Register Act and the rules and regulations of the Teacher
Retirement System.
(d)
Oral and written data, views, and arguments on a proposed
rule may be submitted informally to the executive
director
[
secretary
] by informal conference or correspondence within 20 days after
publication of notice of the proposed rule in the Texas Register.
(e)
A written request for a public hearing on a proposed substantive
rule may be submitted to the executive
director
[
secretary
] within 10 days after publication of notice of the proposed substantive
rule in the Texas Register, provided that the request is made by 25 persons,
a governmental subdivision or agency, or an association having at least 25
members. The request shall contain the name and address of each person requesting
the hearing and shall clearly specify the proposed rule for which a hearing
is requested.
(f)
The executive
director
[
secretary
]
shall schedule the proposed rule for hearing on a date no earlier than seven
days after notice of the hearing date is published and no later than 20 days
after receipt of the written request. The executive
director
[
secretary
] or the board of trustees may reschedule the hearing in the
interest of justice or administrative necessity or for good cause; however,
the proposed rule shall not be adopted prior to the requested hearing.
(g)
The executive
director
[
secretary
]
shall designate himself, a TRS employee, or a specially appointed person as
hearing officer to take the testimony of any interested person in support
of or in opposition to the rule. The hearing officer shall designate the order
of taking testimony and may establish reasonable time limits on oral testimony,
provided that reasonable opportunity is given to amplify oral testimony in
writing. All hearings will be held in the offices of TRS in Austin, Texas,
unless for good cause TRS shall designate another place of hearing.
§23.5.Nomination for Appointment to the Board of Trustees.
(a)
(No change.)
(b)
Public school district members of the system who are currently
employed by a public school district may have their names listed on the official
ballot as candidates for nomination to a public school district position by
filing an official petition bearing the signature, printed or typed name,
and social security number of 500 members of the retirement system whose most
recent credited service is or was performed for a public school district.
Institution of higher education members of the system who are currently employed
by an institution of higher education may have their names listed on the official
ballot as candidates for nomination to the institution of higher education
position by filing an official petition bearing the signature, printed or
typed name, and social security number of 500 members whose most recent credited
service is or was performed for an institution of higher education. Retired
members
[
teachers
] may have their names listed on the official
ballot as candidates for nomination to the retired
member
[
teacher
] position by filing an official petition bearing the signature,
printed or typed name, and social security number of at least 100 retirees
of the system. Official petition forms shall be available from the Teacher
Retirement System of Texas, 1000 Red River, Austin, Texas 78701-2698. Official
petitions must be filed by January 15 of the calendar year in which the election
is to be held. A qualified public school district member, institution of higher
education member, or retiree may sign more than one candidate's petition as
long as they are eligible to vote in the election of the candidate or candidates
for whom they are signing.
(c)-(e)
(No change.)
(f)
Terms of Board Members run for six years and shall expire
August 31. Terms expire on the following dates and every six years thereafter:
(1)
Public school district appointment, Place One, August 31,
2001
[
1995
].
(2)
Gubernatorial appointment, Place One, August 31,
2001
[
1995
].
(3)
State Board of Education appointment, Place One, August
31,
2001
[
1995
].
(4)
Public School district appointment, Place Two, August
31,
2003
[
1997
].
(5)
Gubernatorial appointment, Place Two, August 31,
2003
[
1997
].
(6)
State Board of Education appointment, Place Two, August
31, <2003>[
1997
].
(7)-(9)
(No change.)
(g)
(No change.)
§23.6.Trustee to Trustee Transfers.
(a)
A distributee of an eligible rollover distribution
from TRS may elect to have the distribution paid directly to an eligible retirement
plan by a direct trustee to trustee transfer.
[
Effective for distributions
made after December 31, 1992, the Teacher Retirement System of Texas shall
permit the distributee of an eligible rollover distribution from the system
to elect to have such distribution paid directly to an eligible retirement
plan specified by the distributee in the form of a direct trustee to trustee
transfer.
]
(b)
(No change.)
§23.7.Code of Ethics for Consultants and Agents.
Any consultant or agent for the retirement system must comply with
the system's Code of Ethics for Consultants and Agents
as amended from
time to time
[
as adopted on September 9, 1994
]. The Teacher
Retirement System adopts by reference the Code of Ethics for Consultants and
Agents
most recently amended on November 21, 1997
[
as adopted
on September 9, 1994
]. Copies of the Code of Ethics are available from
the Teacher Retirement System at 1000 Red River, Austin, Texas 78701-2698,
(512) 397-6400.
§23.8.Expenditures Reporting by Consultants, Advisors, and Brokers.
Consultants, advisors, and brokers used by the retirement system must
report expenditures made on behalf of any one trustee or employee of the system.
The reports must be filed on January 31 of each year with the Executive Director
and must comply with the Expenditure Reporting Memorandum
as amended
from time to time
[
as adopted on September 9, 1994
]. The
Teacher Retirement System adopts by reference the Expenditure Reporting Memorandum
and the Expenditure Reporting Form for Contractors as
most recently amended
on May 23, 1997
[
adopted on September 9, 1994
]. Copies of
the memorandum and the form are available from the Teacher Retirement System,
1000 Red River, Austin, Texas 78701-2698, (512) 397-6400.
This agency hereby certifies that the proposal has been reviewed
by legal counsel and found to be within the agency's legal authority to adopt.
Filed with the Office of the Secretary of State on February
25, 1999.
TRD-9901177
Charles Dunlap
Executive Director
Teacher Retirement System of Texas
Proposed date of adoption: April 23, 1999
For further information, please call: (512) 391-2115