Texas Vernon’s Civil Statutes
Sec. § 4.03
Member Contributions


(a)

Subject to Subsection (a-1) of this section and except as provided by Section 4.025 of this article, each Group A member of the combined pension plan shall have 13.5 percent of base pay deducted from the members wages on a biweekly basis, and the contributions shall be promptly remitted to the fund by the city.

(a-1)

If a Group A member is assigned, for any period, to a job-sharing program or any similar work schedule that is considered by the members department to be less than a full-time work schedule, the members contributions are determined by multiplying the applicable contribution rate by a fraction, the numerator of which is the number of hours the member actually worked during the period and the denominator of which is the number of hours the member would have worked during the period if the member had been working a full-time work schedule.

(b)

Each member shall contribute to the fund under the applicable terms of this article until the member leaves active service with either department. If a member leaves active service with a department, the member shall cease making contributions.

(c)

Each Group B member shall authorize the city to deduct from the members salary a percentage of the members computation pay. The authorization shall be in writing and filed with the executive director.

(d)

Subject to Subsection (d-1) of this section and except as provided by Section 4.025 of this article, for pay periods starting on or after September 1, 2017, each Group B member shall have 13.5 percent of the members computation pay deducted from the members wages on a biweekly basis and the contributions shall be promptly remitted to the fund by the city.

(d-1)

If a Group B member is assigned, for any period, to a job-sharing program or any similar work schedule that is considered by the members department to be less than a full-time work schedule, the members contributions are determined by multiplying the applicable contribution rate by a fraction, the numerator of which is the number of hours the member actually worked during the period and the denominator of which is the number of hours the member would have worked during the period if the member had been working a full-time work schedule.

(d-2)

For purposes of Subsection (d) of this section, "computation pay" includes computation pay paid to a Group B member during any period the member is receiving workers compensation.

(e)

The city shall determine the frequency of deductions for member contributions, as long as there is at least one deduction each month.

(f)

Each Group B member shall contribute to the fund beginning on the effective date of the members Group B membership.

(g)

The percentage of base pay contributed by Group A members or computation pay contributed by Group B members may not be altered except by an adjustment under Section 4.025 of this article.

(h)

The only purposes for which member contributions to the fund and the investment income derived from member contributions may be applied are:

(1)

to the payment of benefits prescribed by this article;

(2)

to the payment of such administrative and professional service costs of the pension system as are provided for under Section 4.01 of this article or as may be within the discretion of the board to incur; and

(3)

to invest any surplus in accordance with Section 4.07 of this article.

(i)

Member contributions under this article or any payments a member is entitled to make under this article to receive additional pension service may be picked up by the city under the terms of an appropriate resolution of the city council.

(1)

the length of the absence is less than five years; and

(2)

the member leaves the members contributions in the fund during the absence.

(b)

At least 90 days before the date the governing body is scheduled to vote on an amendment to the administrative rules that would reduce a benefit provided by the public retirement system, the governing body must give notice to the board of trustees of the governing bodys intention to consider and vote on the amendment.

(1)

be required to make the monthly payments into the fund provided by this Act as long as the member is engaged in active service with the uniformed service; or

(2)

lose any seniority rights or retirement benefits provided by this Act by virtue of that service.

(b)

Not later than the 90th day after the date of the members reinstatement to an active status in the fire or police department, the member must file with the secretary of the board a written statement of intent to pay into the fund an amount equal to what the member would have paid if the member had remained on active status in the department during the period of the members absence in the uniformed service.

(c)

The member must make the payment described by Subsection (b) of this section in full within an amount of time after the members return that is equal to three times the amount of time the member was absent, except that the maximum period for payment may not exceed five years.

(d)

Except as provided by Subsection (f) of this section, if the member does not comply with Subsections (b) and (c) of this section, the member shall lose all credit toward the members retirement annuity for the length of time the member was engaged in active service in any uniformed service.

(e)

The amount of credit purchased under this section may not exceed the length of the active service in a uniformed service required to be credited by law.

(f)

If a person who became a member before October 1, 1997, does not make the payment required under Subsection (c) of this section within the required amount of time and the member would otherwise be eligible for credit under federal law, the member may receive credit for the uniformed service if the member also pays interest, compounded annually, on the then current rate of a members contribution from the date the payment was required to the date the payment was made. The board shall set the rate of interest.

(g)

Repealed by Acts 2003, 78th Leg., ch. 513, Sec. 10.

(h)

A municipality to which this Act applies shall double-match payments made to the fund under this section.

(b)

This fund is intended to be a voluntary employees beneficiary association as described by Section 501(c), Internal Revenue Code of 1986 (26 U.S.C. Section 501(c)), and the board has the discretion to take any action necessary to ensure that the fund is classified as such.
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Last accessed
Oct. 14, 2019