TITLE 34.PUBLIC FINANCE

Part 6. TEXAS MUNICIPAL RETIREMENT SYSTEM

Chapter 121. PRACTICE AND PROCEDURE REGARDING CLAIMS

34 TAC §121.6

The Texas Municipal Retirement System proposes amendments to §121.6, concerning the time for filing of retirement applications.

This rule is being amended to allow applicants for service or disability retirements to waive the requirement to file their application at least 30 days before the effective date of their retirement.

Gary Anderson, Executive Director, has determined that for the first five-year period the rule is in effect there will be no fiscal implications for state or local government as a result of enforcing or administering the rule.

Mr. Anderson has also determined that for the first five years the rule is in effect the public benefit will be the added flexibility a member will have in determining an effective date of retirement. There will be no impact on small business. There are no known anticipated economic costs to the persons required to comply with the rule as proposed.

Comments on the proposal may be submitted to Gary Anderson, Executive Director, TMRS, P.O. Box 149153, Austin, Texas, 78714-9153.

The amendments to §121.6 are proposed pursuant to Texas Government Code, §855.102, which provides the Board of Trustees of the Texas Municipal Retirement System with the authority to adopt rules necessary or desirable for the efficient administration of the system.

Texas Government Code, §854.101 is affected by this proposal.

§121.6.Time for Filing of Retirement Applications

All applications for retirement, whether for service or for disability, must be filed not less than 30 nor more than 90 days prior to the date specified by the member as the effective date of his or her retirement; the date specified as the effective date for retirement must be the last day of a calendar month and may not be a date preceding the termination of the member's employment with the participating municipality. A member who files an application for retirement with the system on or before the effective date of retirement shall be deemed to have waived the requirement to file the application at least 30 days before the effective date of retirement. An application is filed when it is actually received at the office of the director of the system in Austin.

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 December 27, 2001.

TRD-200108284

Gary W. Anderson

Executive Director

Texas Municipal Retirement System

Earliest possible date of adoption: February 10, 2002

For further information, please call: (512) 225-3714


Chapter 123. ACTUARIAL TABLES AND BENEFIT REQUIREMENTS

34 TAC §123.5

The Texas Municipal Retirement System proposes amendments to §123.5, concerning the requirement of spousal consent.

Section 804.051 of the Texas Government Code authorizes the Texas Municipal Retirement System to adopt rules requiring spousal consent in connection with the selection of a retirement annuity or death benefit plan by a member that does not pay benefits to the member's spouse in the form of an annuity. The Texas Municipal Retirement System has previously adopted a rule that requires spousal consent in connection with the election by the member of a retirement annuity. The amendments to this rule will require spousal consent in connection with the designation by the member of a beneficiary of the vested death benefit authorized by §16 of Senate Bill 522, 77th Legislative Session. The rule change will maintain consistency with respect to the application of the spousal consent rule.

Gary Anderson, Executive Director, has determined that for the first five-year period the rule is in effect there will be no fiscal implications for state or local government as a result of enforcing or administering the rule.

Mr. Anderson has also determined that for the first five years the rule is in effect the public benefit will be the consistent application of the spousal consent rule to vested benefits under the Texas Municipal Retirement System Act. There will be no effect on small business. There are no known anticipated economic costs to the persons who are required to comply with the rule as proposed.

Comments on the proposal may be submitted to Gary Anderson, Executive Director, TMRS, P.O. Box 149153, Austin, Texas, 78714-9153.

The amendments to §123.5 are proposed pursuant to Texas Government Code, §804.051 which gives the Board of Trustees of the Texas Municipal Retirement System the authority to adopt rules to require spousal consent. In addition the amendments to §123.5 are proposed pursuant to Texas Government Code, §855.102, which provides the Board of Trustees of the Texas Municipal Retirement System with the authority to adopt rules necessary or desirable for the efficient administration of the system.

No other statute or article is affected by this proposal.

§123.5.Requirement of Spousal Consent

(a) A vested member who is currently married may not designate a primary beneficiary other than the member's spouse or select a form of payment [ The selection by any member of the system on any form filed with the system ] of a retirement or survivor annuity [ in the form of an annuity ] other than a joint-and-survivor annuity that pays benefits to the member's spouse on the death of the member , [ is not effective ] unless the member's spouse consents to the designation or selection.

(b) - (c) (No change.)

(d) For the purposes of this section, the term "joint-and-survivor annuity that pays benefits to the member's spouse on the death of the member" means a retirement annuity for the life of the member with a survivor annuity for the life of the spouse which is not less than 50% of the amount of the annuity which is payable during the joint lives of the member and the spouse , or, if the member dies before retirement, a survivor annuity for the life of the spouse which is not less than the actuarial equivalent of an annuity described by §854.104(c)(1) of the Act when the member has died before retirement .

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 December 27, 2001.

TRD-200108285

Gary W. Anderson

Executive Director

Texas Municipal Retirement System

Earliest possible date of adoption: February 10, 2002

For further information, please call: (512) 225-3714


Chapter 129. DOMESTIC RELATIONS ORDERS

34 TAC §129.12

The Texas Municipal Retirement System proposes amendments to §129.12, concerning payments to alternate payees.

This rule is being amended to increase the cash out provision for alternate payees from $5,000 to $10,000 to conform to changes made by §9 of Senate Bill 522, 77th Legislative Session.

Gary Anderson, Executive Director, has determined that for the first five-year period the rule is in effect there will be no fiscal implications for state or local government as a result of enforcing or administering the rule.

Mr. Anderson has also determined that for the first five years the rule is in effect the public benefit will be updated information in connection with payments to alternate payees. There will be no effect on small business. There are no known anticipated economic costs to the persons who are required to comply with the rule as proposed.

Comments on the proposal may be submitted to Gary Anderson, Executive Director, TMRS, P.O. Box 149153, Austin, Texas, 78714-9153.

The amendments to §129.12 are proposed pursuant to Texas Government Code, §804.004, which provides the Board of Trustees of the Texas Municipal Retirement System with the authority to adopt rules for the payment of lump sum benefits to alternate payees. In addition the amendments to §129.12 are adopted pursuant to Texas Government Code, §855.102, which provides the Board of Trustees of the Texas Municipal Retirement System with the authority to adopt rules necessary or desirable for the efficient administration of the system.

No other statute or article is affected by this proposal.

§129.12.Payments to Alternate Payees

(a) - (c) (No change)

(d) In the event that the total reserves upon which an annuity (otherwise payable to an alternate payee under a qualified domestic relations order) would be calculated are $10,000 [ $5,000 ] or less, then the system is authorized to make a single lump-sum payment to the alternate payee in the amount of those reserves instead of paying an annuity to the alternate payee. No such payment shall be made by the system until such point in time as the system begins paying an annuity to the participant or the participant's designated beneficiary, surviving spouse, or estate.

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 December 27, 2001.

TRD-200108286

Gary W. Anderson

Executive Director

Texas Municipal Retirement System

Earliest possible date of adoption: February 10, 2002

For further information, please call: (512) 225-3714