TITLE 34. PUBLIC FINANCE

Part 5. TEXAS COUNTY AND DISTRICT RETIREMENT SYSTEM

Chapter 105. CREDITABLE SERVICE

34 TAC §105.3

The Texas County and District Retirement System proposes an amendment to §105.3, concerning the granting of credited service in the system for qualified military service of the member for other than qualified military service under the Uniformed Services Employment and Reemployment Rights Act (the USERRA) (38 U.S.C. §§4301 et seq.) granted under §105.4. The proposed amendment deletes the limitation on the accumulation of credited service under this section on a combined basis with qualified military service credited under the USERRA. The proposed rule clarifies that the categories of qualified military eligible for crediting are separate and that each category is subject to a 60 month maximum independent of the other.

Tom Harrison, Deputy Director and General Counsel of the Texas County and District Retirement System, 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 except as required under federal law.

Mr. Harrison has also determined that for each year of the first five years the rule is in effect the public benefit anticipated as a result of administering the rule will be the proper crediting of military service under the qualified military service option adopted by subdivisions and under the USERRA as required by federal law. There will be no costs to small businesses. There are no anticipated economic costs to persons who are required to comply with the rule as proposed.

Comments on the proposed amendment may be submitted to Tom Harrison, Deputy Director and General Counsel, Texas County and District Retirement System, P.O. Box 2034, Austin, TX 78768-2034.

The rule is proposed under the Government Code, §843.502(b), which authorizes the board of trustees of the Texas County and District Retirement System to adopt rules that modify the terms of Government Code, §843.502, for the purpose of compliance with the USERRA.

The Government Code, §843.502 is affected by this proposed rule.

§105.3.Optional Credited Service for Active Duty Qualified Military Service.

(a) In this section:

(1) The term "credited service" means membership service for determining retirement eligibility only. Member contributions and monetary credits are not required or permitted with respect to credited service for qualified military service established after December 31, 1999.

(2) The term "eligible member" means a member of an eligible subdivision who has established [ : ] credited service in the retirement system for at least the minimum period required to receive a service retirement annuity from the subdivision at age 60, who has performed active duty qualified military service , [ ; ] and who has been released from military duty under honorable conditions.

(3) The term "eligible subdivision" means a subdivision whose governing board has adopted the optional authorization for the establishment of credited service in the retirement system for qualified military service.

(4) The term "qualified military service" means active duty service in the uniformed services as defined in 38 U.S.C. §4303(13). It excludes that service which was performed in a month for which the member has received credited service in this retirement system under any other provision of the TCDRS Act or the Uniformed Services Employment and Reemployment Rights Act of 1994 , and that service , [ which is ] credited by another retirement system , that is recognized by this system under the proportionate retirement program [ established or governed by state law ]. A member may not be credited with [ receive ] more than one month of [ credited ] service for any calendar month.

(b) Subject to the limitations in subsection (a) of this section, an [ An ] eligible member may receive one month of credited service in the retirement system for each month of qualified military service performed while on active duty. An [ Except as required under the USERRA, an ] eligible member may not establish [ accumulate ] more than [ a combined total of ] 60 months of credited service in the retirement system for qualified military service under this section [ and §105.4 ].

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 January 17, 2008.

TRD-200800207

Tom Harrison

Deputy Director and General Counsel

Texas County and District Retirement System

Proposed date of adoption: March 6, 2008

For further information, please call: (512) 328-8889