34 TAC §41.42
The Teacher Retirement System of Texas (TRS) adopts on an
emergency basis amendments to §41.42, concerning payment of supplemental
compensation. The amendments update the section in light of the discontinuation
of TRS's health reimbursement account (HRA) program and primarily address
the definitions of terms used in the section. Effective beginning with fiscal
year 2005, the amendments change the term "professional employee" to "professional
staff" but continue to apply the same definition to the renamed term. The
amendments also specify which entities are affected by the rule and fully
define full-time and part-time employees rather than referring to definitions
in prior statutes. The emergency amendments are simultaneously being proposed
for permanent adoption in this issue of the
Texas
Register
.
The HRA program was to go into effect on September 1, 2004, and the definitions
of the appropriate terms were contained in those rules. However, the HRA program
was discontinued effective September 1, 2004, requiring that the definitions
be made applicable to the supplemental compensation program for fiscal year
2005 and that certain terms be fully defined so that the supplemental compensation
can be paid to eligible employees during fiscal year 2005.
The amendments are adopted on an emergency basis pursuant to §2001.034
of the Government Code, which allows TRS to adopt an emergency rule if a requirement
of state or federal law requires adoption of the rule on less than 30 days
notice. In addition, the amendments are adopted on an emergency basis under
the Chapter 825, §825.102, Government Code, which authorizes the TRS
Board of Trustees to adopt rules for, among other things, the transaction
of business of the board. The amendments are also adopted under House Bill
1, 78th Legislature, Regular Session, which defines the supplemental compensation
program effective September 1, 2004.
There are no other codes affected.
§41.42.Payment of Supplemental Compensation.
(a)
For each designated report month,
a school district,
other educational district whose employees are members of TRS, participating
charter school, or regional education service center
[
entities
eligible to receive and to hold in trust supplemental compensation under Insurance
Code Article 3.50-8 or Insurance Code Chapter 1580
] ("entity" or "entities")
shall report to the Texas Education Agency (TEA), in the manner prescribed
by TRS, the number of full-time and part-time employees, as defined herein,
eligible to receive supplemental compensation and the total number of professional
staff
[
employees
], as defined herein, as determined by the
entity in accordance with requirements established by TRS. TEA must receive
each monthly report by 5:00 p.m. Central Time on the 10th calendar day of
each month, or, if that date is not a business day, by 5:00 p.m. Central Time
on the first business day after the 10th calendar day of the month. TEA or
TRS may dispute, seek verification of, or conduct an investigation regarding
the reported number of
employees and staff
[
participating
members
] at any time after receiving the report.
(b)
For purposes of this section, an individual is employed
as a full-time employee if the individual
:
(1)
is a participating member of
TRS;
(2)
is employed by a school district,
other educational district whose employees are members of TRS, participating
charter school, or regional education service center;
(3)
is not a retiree covered under
the Texas Public School Retired Employees Group Benefits Program established
under Chapter 1575, Texas Insurance Code;
(4)
[
meets the definition of "employee under
Article 3.50-8 or Chapter 1580, Insurance Code, the individual
] is not
[
a
] professional
staff;
[
employee,
] and [
the individual
]
(5)
works for an entity or any combination of entities
for 30 or more hours each week.
(c)
For purposes of this section, an individual is employed
as a part-time employee if the individual
:
(1)
is a participating member of
TRS;
(2)
is employed by a school district,
other educational district whose employees are members of TRS, participating
charter school, or regional education service center;
(3)
is not a retiree covered under
the Texas Public School Retired Employees Group Benefits Program established
under Chapter 1575, Texas Insurance Code;
(4)
[
meets the definition of "employee" under
Article 3.50-8 or Chapter 1580, Insurance Code, the individual
] is not
[
a
] professional
staff;
[
employee,
] and
(5)
[
the individual
] works for an entity
or any combination of entities for less than 30 hours each week.
(d)
For purposes of this section
, beginning in
[
during
] state fiscal year
2005
[
2004
], an individual
is [
a
] professional
staff
[
employee
] if:
(1)
50% or more of the individual's time is reported under
any combination of the following role identifications in the Public Education
Information Management System (PEIMS), or under any subsequently created role
identifications that describe roles that are substantially similar to the
ones identified in this paragraph:
Figure: 34 TAC §41.42(d)(1) (No change.)
(2)
or the individual is employed by a regional education service
center and 50% or more of the individual's time is reported under any combination
of the following role identifications in PEIMS, or under any subsequently
created role identifications that describe roles that are substantially similar
to the ones identified in this paragraph:
Figure: 34 TAC §41.42(d)(2) (No change.)
(3)
or
,
regardless of how the individual's time
is reported in PEIMS, 50% or more of the individual's time is reported in
a role that is substantially similar to a role set out in paragraph (1) or
(2) of this subsection, as determined by the reporting entity or combination
of entities.
(e)
If TEA receives the report on or before the deadline and
neither TRS nor TEA seeks verification of, investigates, or otherwise disputes
information in the report upon initial review, subject to later adjustment
if TRS determines that there are errors in the report, TRS will remit to the
entity, subject to the availability of funds appropriated for this purpose:
(1)
an amount equal to the number of full-time employees, reported
by the entity for the reporting month divided by 12 and multiplied by $500;
(2)
an amount equal to the number of part-time employees reported
by the entity for the reporting month divided by 12 and multiplied by $250.
(f)
If a report is submitted after the deadline under this
section, remittance to the reporting entity will be delayed by at least one
month even if neither TEA nor TRS disputes or seeks verification of the numbers
reported. In the first month an individual becomes eligible for the supplement,
all entities must begin to distribute the appropriate monthly supplement to
each eligible individual employed by the entity, regardless of whether reports
are submitted in accordance with the deadlines and other requirements of this
section. Entities must continue to make the appropriate monthly distribution
to eligible individuals for so long as such individuals are employed, as determined
by the entity, for at least one day of the applicable month, provided that
the individual did not receive a monthly distribution from another entity
for employment that occurred earlier in the same month. Entities must submit
proposed adjustments to previously reported numbers through September 30 of
the fiscal year following the reporting month. TRS or TEA may make adjustments
to previously reported numbers and may make a corresponding increase or decrease
in funds that would otherwise be remitted to an entity, at any time after
receipt of a report.
This agency hereby certifies that the emergency adoption
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 22, 2004.
TRD-200407473
Ronnie Jung
Executive Director
Teacher Retirement System of Texas
Effective Date: December 22, 2004
Expiration Date: April 19, 2005
For further information, please call: (512) 542-6115