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GOVERNMENT CODE

TITLE 8. PUBLIC RETIREMENT SYSTEMS

SUBTITLE G. TEXAS MUNICIPAL RETIREMENT SYSTEM

CHAPTER 852. MEMBERSHIP

SUBCHAPTER A. MUNICIPAL PARTICIPATION

Sec. 852.001. ELECTION TO PARTICIPATE. (a) By vote of its

governing body in the manner required for other official actions,

a municipality may elect to have one or more of its departments

participate in the retirement system and be subject to the

provisions of this subtitle.

(b) The governing body of a municipality shall notify the board

of trustees of an election under this section and shall identify

the participating departments before the 11th day after the date

of election.

(c) A department begins participation in the retirement system

on the first day of the second month after the month the board of

trustees receives notice of an election to participate.

Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff. Sept. 1,

1981. Renumbered from Vernon's Ann.Civ.St. Title 110B, Sec.

62.001 by Acts 1989, 71st Leg., ch. 179, Sec. 1, eff. Sept. 1,

1989.

Sec. 852.002. REFERENDUM ON PARTICIPATION. (a) If qualified

voters representing at least 10 percent of the total votes cast

at the most recent regular municipal election petition the

governing body of a municipality for an election on the issue of

participation in the retirement system by the municipality or

specified departments of the municipality, the governing body

shall make arrangements for an election to be held before the

61st day after the day the petition is filed.

(b) If a majority of the votes cast in an election under this

section favor municipal or departmental participation in the

retirement system, the governing body of the municipality

immediately shall elect to participate.

Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff. Sept. 1,

1981. Renumbered from Vernon's Ann.Civ.St. Title 110B, Sec.

62.002 by Acts 1989, 71st Leg., ch. 179, Sec. 1, eff. Sept. 1,

1989.

Sec. 852.003. SUPPLEMENTAL DISABILITY BENEFITS FUND. (a) A

municipality may not elect to participate in the supplemental

disability benefits fund after August 31, 1987.

(b) Each municipality that elected to participate in the

supplemental disability benefits fund before September 1, 1987

ceases participation in that fund at midnight on December 31,

1987, and its employees shall cease to be covered for

supplemental disability benefits as to any injuries subsequently

sustained. Each municipality participating in the supplemental

disability fund on December 31, 1987, is entitled to participate

in any distributions and transfers authorized by the board of

trustees pursuant to Section 855.313.

Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff. Sept. 1,

1981. Amended by Acts 1987, 70th Leg., ch. 183, Sec. 2, eff. Aug.

31, 1987. Renumbered from Vernon's Ann.Civ.St. Title 110B, Sec.

62.003 and amended by Acts 1989, 71st Leg., ch. 179, Sec. 1, eff.

Sept. 1, 1989.

Sec. 852.004. SUPPLEMENTAL DEATH BENEFITS FUND. (a) If a

municipality has one or more departments participating in the

retirement system on a full-salary basis, the municipality may

elect to participate in the supplemental death benefits fund.

(b) A municipality that elects to participate in the fund may

elect coverage providing postretirement death benefits in

addition to coverage providing in-service death benefits.

(c) Repealed by Acts 1997, 75th Leg., ch. 76, Sec. 15, eff.

Sept. 1, 1997.

(d) A municipality that elects to participate in the fund after

the operative date of the fund may begin participation on the

first day of any month after the month in which the municipality

gives notice of its election to the board of trustees.

(e) If a municipality has previously discontinued participation

in the fund, the board of trustees in its discretion may restrict

the right of the municipality to participate again.

Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff. Sept. 1,

1981. Amended by Acts 1981, 67th Leg., 1st C.S., p. 219, ch. 18,

Sec. 67, eff. Jan. 1, 1982. Renumbered from Vernon's Ann.Civ.St.

Title 110B, Sec. 62.004 by Acts 1989, 71st Leg., ch. 179, Sec. 1,

eff. Sept. 1, 1989. Amended by Acts 1995, 74th Leg., ch. 514,

Sec. 2, eff. Sept. 1, 1995.

Sec. 852.005. STATUS AS A MUNICIPALITY. (a) For the purposes

of this subtitle, the Texas Municipal Retirement System and, as

limited by Subsection (b), the Texas Municipal League, have the

standing of municipalities.

(b) The Texas Municipal League has the standing conferred by

this section except as to a person who is employed by the league

for the first time and who is engaged in lobbying activities.

(c) For the purposes of this subtitle, a fire or police

department has the standing of a municipality if:

(1) the department:

(A) was created and is operating under an interlocal cooperation

agreement that has existed at least 15 years and was executed by

two or more municipalities located in a county with a population

of at least 3.3 million;

(B) is supervised by an administrative agency appointed by the

contracting municipalities; and

(C) provides common fire protection or law enforcement services

to the contracting municipalities; and

(2) the governing body of each municipality that is a party to

the agreement has voted by ordinance or resolution to accept

responsibility, in a manner to be determined by the participating

municipalities, for all payments required of and obligations

incurred by the department under this subtitle in the event that

the interlocal cooperation agreement is dissolved or expires; and

(3) all ordinances adopted by the participating municipalities

with regard to the participation are approved by the board of

trustees.

(d) The governing board of the supervising administrative agency

by order may take an action for a department described by

Subsection (c) that is required or authorized by this subtitle to

be made by municipal ordinance.

Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff. Sept. 1,

1981. Amended by Acts 1981, 67th Leg., 1st C.S., p. 219, ch. 18,

Sec. 68, eff. Jan. 1, 1982. Renumbered from Vernon's Ann.Civ.St.

Title 110B, Sec. 62.005 and amended by Acts 1989, 71st Leg., ch.

179, Sec. 1, eff. Sept. 1, 1989. Amended by Acts 1995, 74th Leg.,

ch. 514, Sec. 3, eff. Sept. 1, 1995; Acts 1995, 74th Leg., ch.

1006, Sec. 1, eff. June 17, 1995; Acts 2001, 77th Leg., ch. 669,

Sec. 22, eff. Sept. 1, 2001.

Sec. 852.006. TERMINATION OF PARTICIPATION. (a) Except as

provided by this section, a municipality may not terminate

participation in the retirement system if the municipality has

employees who are members of the system, but the municipality may

elect to discontinue the participation in the system of persons

employed or reemployed after the date of an election to

discontinue.

(b) If before November 1 of any year a municipality gives

written notice of its intention to the retirement system, the

municipality may terminate coverage under, and discontinue

participation in, the supplemental death benefits fund. A

termination under this subsection is effective on January 1 of

the year following the year in which notice is given.

(c) If a municipality participating in the retirement system has

no employees who are members of the system and has no present or

potential liabilities as a result of the participation of former

employees, the municipality, on receiving a refund under Section

855.319, ceases participation in the system.

Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff. Sept. 1,

1981. Renumbered from Vernon's Ann.Civ.St. Title 110B, Sec.

62.006 and amended by Acts 1989, 71st Leg., ch. 179, Sec. 1, eff.

Sept. 1, 1989. Amended by Acts 1993, 73rd Leg., ch. 57, Sec. 2,

eff. Jan. 1, 1994.

Sec. 852.007. MUNICIPALITY NOT AGENT OF SYSTEM. Neither a

municipality that participates in the retirement system nor any

employee or officer of a participating municipality has authority

to act as an agent of the retirement system. An action of or

inaction on the part of a participating municipality or its

employee or officer is not binding on the retirement system.

Added by Acts 1993, 73rd Leg., ch. 57, Sec. 3, eff. Jan. 1, 1994.

SUBCHAPTER B. MEMBERSHIP

Sec. 852.101. GENERAL MEMBERSHIP REQUIREMENT. (a) Except as

otherwise provided by this subchapter, a person who is not a

member becomes a member of the retirement system if:

(1) on the date a municipal department's participation in the

retirement system becomes effective, the person is an employee of

the department;

(2) after August 31, 1987, the person becomes an employee of a

participating department; or

(3) the person on August 31, 1987, is an employee of a

participating department but is not a member because at the time

of employment the person's age exceeded the maximum age for

becoming a member.

(b) Any person to whom Subsection (a)(1) applies becomes a

member of the retirement system on the date the department's

participation becomes effective, and any person to whom

Subsection (a)(2) applies becomes a member of the retirement

system on the date the person is employed. A person to whom

Subsection (a)(3) applies becomes a member of the retirement

system on September 1, 1987.

Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff. Sept. 1,

1981. Amended by Acts 1987, 70th Leg., ch. 183, Sec. 3, eff. Aug.

31, 1987. Renumbered from Vernon's Ann.Civ.St. Title 110B, Sec.

62.101 and amended by Acts 1989, 71st Leg., ch. 179, Sec. 1, eff.

Sept. 1, 1989.

Sec. 852.102. EXCEPTION TO GENERAL MEMBERSHIP REQUIREMENT. (a)

If on the effective date of participation of the employing

department, a person had with a municipality an employment

contract that is violated by the membership requirement of

Section 852.101(a)(1), the person is not required, but may elect,

to become a member of the retirement system.

(b) If a person who is qualified to make an election under this

section has been notified that the municipality has elected to

participate in the retirement system, or if the person makes

contributions to the retirement system, the person is considered

to have elected membership in the retirement system unless before

the date the municipality's participation becomes effective the

person files with the board of trustees written notice of an

election not to become a member.

(c) A person who elects under this section not to become a

member may never become a member of the retirement system.

Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff. Sept. 1,

1981. Renumbered from Vernon's Ann.Civ.St. Title 110B, Sec.

62.102 and amended by Acts 1989, 71st Leg., ch. 179, Sec. 1, eff.

Sept. 1, 1989.

Sec. 852.103. WITHDRAWAL OF CONTRIBUTIONS; ROLLOVER

DISTRIBUTIONS. (a) A living person who is not an employee of a

participating department and who has not retired may, after

application, withdraw all of the accumulated contributions

credited to the person's individual account in the employees

saving fund, and the retirement system shall close the account.

(b) The retirement system shall, in accordance with Section

401(a)(31) of the Internal Revenue Code of 1986 and its

subsequent amendments and related regulations, permit the

distributee of an eligible rollover distribution to elect to have

the distribution paid directly to an eligible retirement plan

specified by the distributee in the form of a direct

trustee-to-trustee transfer. The board of trustees may adopt

rules to implement this subsection.

Added by Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff.

Sept. 1, 1981. Renumbered from Vernon's Ann.Civ.St. Title 110B,

Sec. 62.103 by Acts 1989, 71st Leg., ch. 179, Sec. 1, eff. Sept.

1, 1989. Amended by Acts 1993, 73rd Leg., ch. 57, Sec. 4, eff.

Jan. 1, 1994; Acts 2003, 78th Leg., ch. 599, Sec. 3, 4, eff. Jan.

1, 2004.

Sec. 852.104. TERMINATION OF MEMBERSHIP. (a) Except as

otherwise provided by this section, a person terminates

membership in the retirement system by:

(1) death;

(2) retirement;

(3) withdrawal of all of the person's contributions while the

person is absent from service; or

(4) absence from service for more than 60 consecutive months.

(b) A member of the retirement system is not absent from service

during periods of military or war-related service for which the

member is allowed credited service under Section 853.501.

(c) If a member of the retirement system is an employee of a

participating department of a municipality that, as provided by

this subtitle, allows a person to terminate employment and remain

eligible for retirement after accumulating a specified amount of

credited service, and if the person meets the requirement, the

person may terminate employment and is not subject to loss of

membership because of absence from service.

(d) Termination of membership in the retirement system

terminates membership in the supplemental disability benefits

fund.

(e) A member of the retirement system is not absent from service

during any leave of absence granted by the employing municipality

under the Family and Medical Leave Act of 1993 (29 U.S.C. Section

2601 et seq.), and its subsequent amendments, to the extent that

the leave does not exceed 12 weeks in duration.

Added by Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff.

Sept. 1, 1981. Amended by Acts 1989, 71st Leg., ch. 462, Sec. 3,

eff. Sept. 1, 1989. Renumbered from Vernon's Ann.Civ.St. Title

110B, Sec. 62.104 by Acts 1989, 71st Leg., ch. 179, Sec. 1, eff.

Sept. 1, 1989. Amended by Acts 1991, 72nd Leg., ch. 16, Sec.

11.01(c), eff. Aug. 26, 1991; Acts 2003, 78th Leg., ch. 599, Sec.

5, eff. Jan. 1, 2004.

Sec. 852.105. OPTIONAL PRIOR SERVICE CREDITS. (a) The

governing body of a municipality that has an effective date of

participation in the retirement system before September 1, 1987,

and that allows service retirement of a member at age 60 or older

with at least 10 years of credited service may by ordinance allow

prior service credit for service performed for the municipality

before September 1, 1987, by any person who at the time of

performing the service was not a member because at the time of

employment the person's age exceeded the maximum age for becoming

a member.

(b) A governing body may not adopt an ordinance under this

section unless the actuary first determines, on the basis of

mortality and other tables adopted by the board of trustees, that

all obligations of the municipality to the municipality

accumulation fund, including obligations proposed under the

ordinance, can be funded by the municipality within its maximum

contribution rate and within its amortization period.

Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff. Sept. 1,

1981. Amended by Acts 1981, 67th Leg., 1st C.S., p. 219, ch. 18,

Sec. 69, eff. Jan. 1, 1982; Acts 1987, 70th Leg., ch. 183, Sec.

4, eff. Aug. 31, 1987. Renumbered from Vernon's Ann.Civ.St. Title

110B, Sec. 62.105 by Acts 1989, 71st Leg., ch. 179, Sec. 1, eff.

Sept. 1, 1989.

Sec. 852.106. INELIGIBILITY FOR MEMBERSHIP; MULTIPLE RETIREMENT

SYSTEM MEMBERSHIP. (a) Except as provided by this section, a

person who is elected to public office is not an employee

eligible for membership in the retirement system.

(b) A person may simultaneously receive credit or benefits for

service performed during the same period in the retirement system

and the federal program providing old age and survivors

insurance.

(c) If a volunteer firefighter or an elected officer is employed

by a participating municipality in another capacity that

satisfies the definition of "employee" under this subtitle, the

person may be a member of, and receive service credit in, the

retirement system for service performed in the other capacity.

(d) If a person is elected to an office of a municipality that

began participating in the retirement system after December 31,

1981, the person is required to become a member of the retirement

system as of the date the person takes office or the effective

date of participation, whichever is later. If a person is elected

to an office of a municipality that has adopted an ordinance

under Section 852.107, the person is required to become a member

of the retirement system as of the date the person takes office

or the effective date of the ordinance, whichever is later.

(e) A person may simultaneously be a member of this retirement

system and another state or local retirement system authorized or

established under Section 67, Article XVI, Texas Constitution.

However, a person may receive a benefit from this system only to

the extent that the amount of the benefit is computed solely with

respect to the member's compensation and accumulated

contributions as those terms are defined in this subtitle.

Service credited with or allowed by another retirement system may

not be counted for purposes of retirement eligibility in this

retirement system except in accordance with the provisions of the

proportionate retirement program described by Chapter 803.

Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff. Sept. 1,

1981. Amended by Acts 1981, 67th Leg., 1st C.S., p. 219, ch. 18,

Sec. 70, eff. Jan. 1, 1982. Renumbered from Vernon's Ann.Civ.St.

Title 110B, Sec. 62.106 and amended by Acts 1989, 71st Leg., ch.

179, Sec. 1, eff. Sept. 1, 1989. Amended by Acts 2001, 77th Leg.,

ch. 121, Sec. 2, eff. Jan. 1, 2002.

Sec. 852.107. OPTIONAL MEMBERSHIP REQUIREMENT FOR ELECTED

OFFICERS. (a) The governing body of a municipality that began

participation in the retirement system before January 1, 1982, by

ordinance may provide that persons who hold and are regularly

engaged in the performance of duties of an elective office that

normally requires actual performance of services in a

participating department of the municipality for not less than

1,000 hours a year are employees required to become members of

the retirement system.

(b) An ordinance under this section takes effect on the first

day of any calendar month after adoption that is designated by

the governing body adopting the ordinance.

(c) A person required to become a member under an ordinance

adopted under this section becomes a member on the effective date

of the ordinance or the date the person takes office, whichever

is later, unless the date the person takes office is after the

effective date of the ordinance and the person is then ineligible

for membership under applicable age restrictions of this

subtitle.

(d) A person who becomes a member as provided by this section is

entitled to prior service credit as provided by Section 853.302.

Added by Acts 1981, 67th Leg., 1st C.S., p. 220, ch. 18, Sec. 71,

eff. Jan. 1, 1982. Renumbered from Vernon's Ann.Civ.St. Title

110B, Sec. 62.107 and amended by Acts 1989, 71st Leg., ch. 179,

Sec. 1, eff. Sept. 1, 1989.

Sec. 852.108. RESUMPTION OF SERVICE WITH SAME EMPLOYER BY

RETIREE. (a) In this section and Sections 852.1085 and 852.109,

a person's reemploying municipality is the municipality for which

the person was performing creditable service at the time of the

person's retirement under this subtitle.

(b) Except as provided by Section 852.1085, a person who has

retired with a service retirement benefit under this subtitle and

later becomes an employee of the person's reemploying

municipality also becomes a member of the system on the date of

employment, but credits and benefits allowable to the person

under this subtitle are limited as provided by this section.

(c) The retirement system shall discontinue and suspend payments

of each service retirement annuity that is allowed because of the

person's previous service with the reemploying municipality

beginning with the month the retirement system determines that

the person has again become an employee of the reemploying

municipality. After the suspension, the retirement system may not

make payments of the annuity for any month during which the

person remains an employee of the reemploying municipality. The

suspension of a benefit under this section does not suspend

payment of a benefit to an alternate payee under a qualified

domestic relations order.

(d) Member contributions under Section 855.402 shall be made on

all compensation paid to the employee by the reemploying

municipality at the same rate as is required of other employees

of the department. The retirement system shall deposit the

contributions on receipt in an individual account for the member

in the employees saving fund and shall credit the account with

interest annually at the same rate and manner as the accounts of

other members are credited. The compensation paid to the employee

by the reemploying municipality shall be included in computing

the monthly contributions the municipality makes to the

municipality accumulation fund.

(e) After termination of employment with the reemploying

municipality and after filing of an application for resumption of

retirement with the board of trustees, a person described by

Subsection (b) is entitled to receive future payments of the

suspended annuity, as provided by Subsection (f), and to the

additional benefits as provided by Subsections (g), (h), and (i).

(f) Monthly payments of a suspended annuity shall be resumed in

the month following the month in which employment is terminated

with the reemploying municipality, without change in the amount

except for any increase allowed under Section 854.203 or the

duration of or another condition pertaining to the suspended

benefit. Payment of the resumed benefit may not be made for any

month during which the payment was suspended under this section.

(g) If a person with credited service under this section dies

before a payment under Subsection (i) is made, the person's

beneficiary, or if there is no beneficiary surviving, the

executor or administrator of the person's estate, may elect

payment as provided by Section 854.105.

(h) The additional service retirement benefit allowable to a

person to whom this section applies is, at the option of that

person, either:

(1) a refund of accumulated contributions made since

reemployment plus any accrued interest on the accumulated

contributions allowed by the retirement system; or

(2) a benefit consisting of:

(A) a basic annuity actuarially determined from the sum of the

member's deposits made and accumulated since the date the person

last became a member, together with interest accumulated on that

amount since the person last became a member; or

(B) a greater amount authorized by the municipality under

Section 855.501.

(i) The additional benefit described by Subsection (h) is

payable as a standard service retirement benefit or, at the

election of the member, any optional benefit authorized under

this subtitle that is the actuarial equivalent of the standard

retirement benefit. The first benefit payment date under this

subsection is the later of the end of the month following the

last month of employment or the end of the month following the

month in which the person files an application for payment. The

first payment may not be made if the person has resumed

employment with the reemploying municipality in a position that

would make the person an employee.

Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff. Sept. 1,

1981. Formerly Sec. 62.107. Renumbered by Acts 1981, 67th Leg.,

1st C.S., p. 220, ch. 18, Sec. 71, eff. Jan. 1, 1982. Amended by

Acts 1987, 70th Leg., ch. 183, Sec. 5, eff. Aug. 31, 1987.

Renumbered from Vernon's Ann.Civ.St. Title 110B, Sec. 62.108 by

Acts 1989, 71st Leg., ch. 179, Sec. 1, eff. Sept. 1, 1989.

Amended by Acts 1995, 74th Leg., ch. 514, Sec. 4, eff. Sept. 1,

1995; Acts 2001, 77th Leg., ch. 121, Sec. 3, eff. Jan. 1, 2002.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

1099, Sec. 1, eff. June 15, 2007.

Sec. 852.1085. RESUMPTION OF SERVICE WITH SAME EMPLOYER BY

CERTAIN RETIREES. Notwithstanding Section 852.108, a person who

retired because the department in the municipality in which the

person worked was privatized and who later resumes employment in

the same department or a successor department in the person's

reemploying municipality again becomes a member of the retirement

system and the person's retirement annuity is not suspended in

the same manner provided by Section 852.109 for a person who

resumes employment with a different municipality.

Added by Acts 2007, 80th Leg., R.S., Ch.

1099, Sec. 2, eff. June 15, 2007.

Sec. 852.109. RESUMPTION OF SERVICE WITH DIFFERENT EMPLOYER BY

RETIREE. (a) If a person becomes an employee of a municipality

after beginning to receive a retirement benefit, and the

municipality is not the person's reemploying municipality, the

person again becomes a member of the retirement system, and the

person's retirement annuity is not suspended.

(b) Member contributions under Section 855.402 shall be made on

all compensation paid to the employee by the municipality at the

same rate as is required of other employees of the department.

The retirement system shall deposit the contributions on receipt

in an individual account for the member in the employees saving

fund and shall credit the account with interest at the same rate

and in the same manner as the accounts of other members are

credited. The compensation paid to the employee by the

municipality shall be included in computing the monthly

contributions the municipality makes to the municipality

accumulation fund.

(c) If a person with credited service under this section dies

before a payment under Subsection (e) is made, the person's

beneficiary, or if there is no beneficiary surviving, the

executor or administrator of the person's estate, may elect

payment as provided by Section 854.105.

(d) The additional service retirement benefit allowable to a

person to whom this section applies is, at the option of that

person, either:

(1) a refund of accumulated contributions made since

reemployment plus any accrued interest on the accumulated

contributions allowed by the retirement system; or

(2) a benefit consisting of:

(A) a basic annuity actuarially determined from the sum of the

member's deposits made and accumulated since the date the person

last became a member together with interest accumulated on that

amount since the person last became a member and an amount from

the municipality accumulation fund equal to the amount of the

deposits credited to the member's individual account since the

person last became a member together with interest accumulated on

that amount since the person last became a member; or

(B) a greater amount authorized by the municipality under

Section 855.501.

(e) The additional benefit described by Subsection (d) is

payable as a standard service retirement benefit or, at the

election of the member, any optional benefit authorized under

this subtitle that is the actuarial equivalent of the standard

retirement benefit. The first benefit payment date under this

subsection is the later of the end of the month following the

last month of employment or the end of the month following the

month in which the person files an application for payment. The

first payment may not be made if the person has resumed

employment that would result in suspension of a benefit.

(f) If a person became an employee of a municipality other than

the person's reemploying municipality after beginning to receive

a retirement benefit, and the person's service retirement annuity

was suspended under Section 852.108 as it existed at the time of

reemployment, the person may, on written application to the

retirement system, resume receiving the suspended annuity.

Added by Acts 1995, 74th Leg., ch. 514, Sec. 5, eff. Sept. 1,

1995. Amended by Acts 2001, 77th Leg., ch. 121, Sec. 4, eff. Jan.

1, 2002.

Sec. 852.110. CORRECTION OF ERRORS. (a) The retirement system,

under rules adopted by the board of trustees, shall correct an

error in current service performed, or current service credit

that should have been received, not more than four years before

the date an application for the correction, on a form approved by

the board of trustees, is received by the retirement system.

(b) The retirement system shall correct an error in prior

service credit if the retirement system receives the person's

written application for the correction not later than the fourth

anniversary of the later of the date the municipality began

participation in, or the person first became a member of, the

retirement system.

Added by Acts 1999, 76th Leg., ch. 83, Sec. 2, eff. Dec. 31,

1999. Amended by Acts 2003, 78th Leg., ch. 599, Sec. 6, eff. Jan.

1, 2004.

State Codes and Statutes

Statutes > Texas > Government-code > Title-8-public-retirement-systems > Chapter-852-membership

GOVERNMENT CODE

TITLE 8. PUBLIC RETIREMENT SYSTEMS

SUBTITLE G. TEXAS MUNICIPAL RETIREMENT SYSTEM

CHAPTER 852. MEMBERSHIP

SUBCHAPTER A. MUNICIPAL PARTICIPATION

Sec. 852.001. ELECTION TO PARTICIPATE. (a) By vote of its

governing body in the manner required for other official actions,

a municipality may elect to have one or more of its departments

participate in the retirement system and be subject to the

provisions of this subtitle.

(b) The governing body of a municipality shall notify the board

of trustees of an election under this section and shall identify

the participating departments before the 11th day after the date

of election.

(c) A department begins participation in the retirement system

on the first day of the second month after the month the board of

trustees receives notice of an election to participate.

Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff. Sept. 1,

1981. Renumbered from Vernon's Ann.Civ.St. Title 110B, Sec.

62.001 by Acts 1989, 71st Leg., ch. 179, Sec. 1, eff. Sept. 1,

1989.

Sec. 852.002. REFERENDUM ON PARTICIPATION. (a) If qualified

voters representing at least 10 percent of the total votes cast

at the most recent regular municipal election petition the

governing body of a municipality for an election on the issue of

participation in the retirement system by the municipality or

specified departments of the municipality, the governing body

shall make arrangements for an election to be held before the

61st day after the day the petition is filed.

(b) If a majority of the votes cast in an election under this

section favor municipal or departmental participation in the

retirement system, the governing body of the municipality

immediately shall elect to participate.

Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff. Sept. 1,

1981. Renumbered from Vernon's Ann.Civ.St. Title 110B, Sec.

62.002 by Acts 1989, 71st Leg., ch. 179, Sec. 1, eff. Sept. 1,

1989.

Sec. 852.003. SUPPLEMENTAL DISABILITY BENEFITS FUND. (a) A

municipality may not elect to participate in the supplemental

disability benefits fund after August 31, 1987.

(b) Each municipality that elected to participate in the

supplemental disability benefits fund before September 1, 1987

ceases participation in that fund at midnight on December 31,

1987, and its employees shall cease to be covered for

supplemental disability benefits as to any injuries subsequently

sustained. Each municipality participating in the supplemental

disability fund on December 31, 1987, is entitled to participate

in any distributions and transfers authorized by the board of

trustees pursuant to Section 855.313.

Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff. Sept. 1,

1981. Amended by Acts 1987, 70th Leg., ch. 183, Sec. 2, eff. Aug.

31, 1987. Renumbered from Vernon's Ann.Civ.St. Title 110B, Sec.

62.003 and amended by Acts 1989, 71st Leg., ch. 179, Sec. 1, eff.

Sept. 1, 1989.

Sec. 852.004. SUPPLEMENTAL DEATH BENEFITS FUND. (a) If a

municipality has one or more departments participating in the

retirement system on a full-salary basis, the municipality may

elect to participate in the supplemental death benefits fund.

(b) A municipality that elects to participate in the fund may

elect coverage providing postretirement death benefits in

addition to coverage providing in-service death benefits.

(c) Repealed by Acts 1997, 75th Leg., ch. 76, Sec. 15, eff.

Sept. 1, 1997.

(d) A municipality that elects to participate in the fund after

the operative date of the fund may begin participation on the

first day of any month after the month in which the municipality

gives notice of its election to the board of trustees.

(e) If a municipality has previously discontinued participation

in the fund, the board of trustees in its discretion may restrict

the right of the municipality to participate again.

Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff. Sept. 1,

1981. Amended by Acts 1981, 67th Leg., 1st C.S., p. 219, ch. 18,

Sec. 67, eff. Jan. 1, 1982. Renumbered from Vernon's Ann.Civ.St.

Title 110B, Sec. 62.004 by Acts 1989, 71st Leg., ch. 179, Sec. 1,

eff. Sept. 1, 1989. Amended by Acts 1995, 74th Leg., ch. 514,

Sec. 2, eff. Sept. 1, 1995.

Sec. 852.005. STATUS AS A MUNICIPALITY. (a) For the purposes

of this subtitle, the Texas Municipal Retirement System and, as

limited by Subsection (b), the Texas Municipal League, have the

standing of municipalities.

(b) The Texas Municipal League has the standing conferred by

this section except as to a person who is employed by the league

for the first time and who is engaged in lobbying activities.

(c) For the purposes of this subtitle, a fire or police

department has the standing of a municipality if:

(1) the department:

(A) was created and is operating under an interlocal cooperation

agreement that has existed at least 15 years and was executed by

two or more municipalities located in a county with a population

of at least 3.3 million;

(B) is supervised by an administrative agency appointed by the

contracting municipalities; and

(C) provides common fire protection or law enforcement services

to the contracting municipalities; and

(2) the governing body of each municipality that is a party to

the agreement has voted by ordinance or resolution to accept

responsibility, in a manner to be determined by the participating

municipalities, for all payments required of and obligations

incurred by the department under this subtitle in the event that

the interlocal cooperation agreement is dissolved or expires; and

(3) all ordinances adopted by the participating municipalities

with regard to the participation are approved by the board of

trustees.

(d) The governing board of the supervising administrative agency

by order may take an action for a department described by

Subsection (c) that is required or authorized by this subtitle to

be made by municipal ordinance.

Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff. Sept. 1,

1981. Amended by Acts 1981, 67th Leg., 1st C.S., p. 219, ch. 18,

Sec. 68, eff. Jan. 1, 1982. Renumbered from Vernon's Ann.Civ.St.

Title 110B, Sec. 62.005 and amended by Acts 1989, 71st Leg., ch.

179, Sec. 1, eff. Sept. 1, 1989. Amended by Acts 1995, 74th Leg.,

ch. 514, Sec. 3, eff. Sept. 1, 1995; Acts 1995, 74th Leg., ch.

1006, Sec. 1, eff. June 17, 1995; Acts 2001, 77th Leg., ch. 669,

Sec. 22, eff. Sept. 1, 2001.

Sec. 852.006. TERMINATION OF PARTICIPATION. (a) Except as

provided by this section, a municipality may not terminate

participation in the retirement system if the municipality has

employees who are members of the system, but the municipality may

elect to discontinue the participation in the system of persons

employed or reemployed after the date of an election to

discontinue.

(b) If before November 1 of any year a municipality gives

written notice of its intention to the retirement system, the

municipality may terminate coverage under, and discontinue

participation in, the supplemental death benefits fund. A

termination under this subsection is effective on January 1 of

the year following the year in which notice is given.

(c) If a municipality participating in the retirement system has

no employees who are members of the system and has no present or

potential liabilities as a result of the participation of former

employees, the municipality, on receiving a refund under Section

855.319, ceases participation in the system.

Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff. Sept. 1,

1981. Renumbered from Vernon's Ann.Civ.St. Title 110B, Sec.

62.006 and amended by Acts 1989, 71st Leg., ch. 179, Sec. 1, eff.

Sept. 1, 1989. Amended by Acts 1993, 73rd Leg., ch. 57, Sec. 2,

eff. Jan. 1, 1994.

Sec. 852.007. MUNICIPALITY NOT AGENT OF SYSTEM. Neither a

municipality that participates in the retirement system nor any

employee or officer of a participating municipality has authority

to act as an agent of the retirement system. An action of or

inaction on the part of a participating municipality or its

employee or officer is not binding on the retirement system.

Added by Acts 1993, 73rd Leg., ch. 57, Sec. 3, eff. Jan. 1, 1994.

SUBCHAPTER B. MEMBERSHIP

Sec. 852.101. GENERAL MEMBERSHIP REQUIREMENT. (a) Except as

otherwise provided by this subchapter, a person who is not a

member becomes a member of the retirement system if:

(1) on the date a municipal department's participation in the

retirement system becomes effective, the person is an employee of

the department;

(2) after August 31, 1987, the person becomes an employee of a

participating department; or

(3) the person on August 31, 1987, is an employee of a

participating department but is not a member because at the time

of employment the person's age exceeded the maximum age for

becoming a member.

(b) Any person to whom Subsection (a)(1) applies becomes a

member of the retirement system on the date the department's

participation becomes effective, and any person to whom

Subsection (a)(2) applies becomes a member of the retirement

system on the date the person is employed. A person to whom

Subsection (a)(3) applies becomes a member of the retirement

system on September 1, 1987.

Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff. Sept. 1,

1981. Amended by Acts 1987, 70th Leg., ch. 183, Sec. 3, eff. Aug.

31, 1987. Renumbered from Vernon's Ann.Civ.St. Title 110B, Sec.

62.101 and amended by Acts 1989, 71st Leg., ch. 179, Sec. 1, eff.

Sept. 1, 1989.

Sec. 852.102. EXCEPTION TO GENERAL MEMBERSHIP REQUIREMENT. (a)

If on the effective date of participation of the employing

department, a person had with a municipality an employment

contract that is violated by the membership requirement of

Section 852.101(a)(1), the person is not required, but may elect,

to become a member of the retirement system.

(b) If a person who is qualified to make an election under this

section has been notified that the municipality has elected to

participate in the retirement system, or if the person makes

contributions to the retirement system, the person is considered

to have elected membership in the retirement system unless before

the date the municipality's participation becomes effective the

person files with the board of trustees written notice of an

election not to become a member.

(c) A person who elects under this section not to become a

member may never become a member of the retirement system.

Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff. Sept. 1,

1981. Renumbered from Vernon's Ann.Civ.St. Title 110B, Sec.

62.102 and amended by Acts 1989, 71st Leg., ch. 179, Sec. 1, eff.

Sept. 1, 1989.

Sec. 852.103. WITHDRAWAL OF CONTRIBUTIONS; ROLLOVER

DISTRIBUTIONS. (a) A living person who is not an employee of a

participating department and who has not retired may, after

application, withdraw all of the accumulated contributions

credited to the person's individual account in the employees

saving fund, and the retirement system shall close the account.

(b) The retirement system shall, in accordance with Section

401(a)(31) of the Internal Revenue Code of 1986 and its

subsequent amendments and related regulations, permit the

distributee of an eligible rollover distribution to elect to have

the distribution paid directly to an eligible retirement plan

specified by the distributee in the form of a direct

trustee-to-trustee transfer. The board of trustees may adopt

rules to implement this subsection.

Added by Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff.

Sept. 1, 1981. Renumbered from Vernon's Ann.Civ.St. Title 110B,

Sec. 62.103 by Acts 1989, 71st Leg., ch. 179, Sec. 1, eff. Sept.

1, 1989. Amended by Acts 1993, 73rd Leg., ch. 57, Sec. 4, eff.

Jan. 1, 1994; Acts 2003, 78th Leg., ch. 599, Sec. 3, 4, eff. Jan.

1, 2004.

Sec. 852.104. TERMINATION OF MEMBERSHIP. (a) Except as

otherwise provided by this section, a person terminates

membership in the retirement system by:

(1) death;

(2) retirement;

(3) withdrawal of all of the person's contributions while the

person is absent from service; or

(4) absence from service for more than 60 consecutive months.

(b) A member of the retirement system is not absent from service

during periods of military or war-related service for which the

member is allowed credited service under Section 853.501.

(c) If a member of the retirement system is an employee of a

participating department of a municipality that, as provided by

this subtitle, allows a person to terminate employment and remain

eligible for retirement after accumulating a specified amount of

credited service, and if the person meets the requirement, the

person may terminate employment and is not subject to loss of

membership because of absence from service.

(d) Termination of membership in the retirement system

terminates membership in the supplemental disability benefits

fund.

(e) A member of the retirement system is not absent from service

during any leave of absence granted by the employing municipality

under the Family and Medical Leave Act of 1993 (29 U.S.C. Section

2601 et seq.), and its subsequent amendments, to the extent that

the leave does not exceed 12 weeks in duration.

Added by Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff.

Sept. 1, 1981. Amended by Acts 1989, 71st Leg., ch. 462, Sec. 3,

eff. Sept. 1, 1989. Renumbered from Vernon's Ann.Civ.St. Title

110B, Sec. 62.104 by Acts 1989, 71st Leg., ch. 179, Sec. 1, eff.

Sept. 1, 1989. Amended by Acts 1991, 72nd Leg., ch. 16, Sec.

11.01(c), eff. Aug. 26, 1991; Acts 2003, 78th Leg., ch. 599, Sec.

5, eff. Jan. 1, 2004.

Sec. 852.105. OPTIONAL PRIOR SERVICE CREDITS. (a) The

governing body of a municipality that has an effective date of

participation in the retirement system before September 1, 1987,

and that allows service retirement of a member at age 60 or older

with at least 10 years of credited service may by ordinance allow

prior service credit for service performed for the municipality

before September 1, 1987, by any person who at the time of

performing the service was not a member because at the time of

employment the person's age exceeded the maximum age for becoming

a member.

(b) A governing body may not adopt an ordinance under this

section unless the actuary first determines, on the basis of

mortality and other tables adopted by the board of trustees, that

all obligations of the municipality to the municipality

accumulation fund, including obligations proposed under the

ordinance, can be funded by the municipality within its maximum

contribution rate and within its amortization period.

Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff. Sept. 1,

1981. Amended by Acts 1981, 67th Leg., 1st C.S., p. 219, ch. 18,

Sec. 69, eff. Jan. 1, 1982; Acts 1987, 70th Leg., ch. 183, Sec.

4, eff. Aug. 31, 1987. Renumbered from Vernon's Ann.Civ.St. Title

110B, Sec. 62.105 by Acts 1989, 71st Leg., ch. 179, Sec. 1, eff.

Sept. 1, 1989.

Sec. 852.106. INELIGIBILITY FOR MEMBERSHIP; MULTIPLE RETIREMENT

SYSTEM MEMBERSHIP. (a) Except as provided by this section, a

person who is elected to public office is not an employee

eligible for membership in the retirement system.

(b) A person may simultaneously receive credit or benefits for

service performed during the same period in the retirement system

and the federal program providing old age and survivors

insurance.

(c) If a volunteer firefighter or an elected officer is employed

by a participating municipality in another capacity that

satisfies the definition of "employee" under this subtitle, the

person may be a member of, and receive service credit in, the

retirement system for service performed in the other capacity.

(d) If a person is elected to an office of a municipality that

began participating in the retirement system after December 31,

1981, the person is required to become a member of the retirement

system as of the date the person takes office or the effective

date of participation, whichever is later. If a person is elected

to an office of a municipality that has adopted an ordinance

under Section 852.107, the person is required to become a member

of the retirement system as of the date the person takes office

or the effective date of the ordinance, whichever is later.

(e) A person may simultaneously be a member of this retirement

system and another state or local retirement system authorized or

established under Section 67, Article XVI, Texas Constitution.

However, a person may receive a benefit from this system only to

the extent that the amount of the benefit is computed solely with

respect to the member's compensation and accumulated

contributions as those terms are defined in this subtitle.

Service credited with or allowed by another retirement system may

not be counted for purposes of retirement eligibility in this

retirement system except in accordance with the provisions of the

proportionate retirement program described by Chapter 803.

Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff. Sept. 1,

1981. Amended by Acts 1981, 67th Leg., 1st C.S., p. 219, ch. 18,

Sec. 70, eff. Jan. 1, 1982. Renumbered from Vernon's Ann.Civ.St.

Title 110B, Sec. 62.106 and amended by Acts 1989, 71st Leg., ch.

179, Sec. 1, eff. Sept. 1, 1989. Amended by Acts 2001, 77th Leg.,

ch. 121, Sec. 2, eff. Jan. 1, 2002.

Sec. 852.107. OPTIONAL MEMBERSHIP REQUIREMENT FOR ELECTED

OFFICERS. (a) The governing body of a municipality that began

participation in the retirement system before January 1, 1982, by

ordinance may provide that persons who hold and are regularly

engaged in the performance of duties of an elective office that

normally requires actual performance of services in a

participating department of the municipality for not less than

1,000 hours a year are employees required to become members of

the retirement system.

(b) An ordinance under this section takes effect on the first

day of any calendar month after adoption that is designated by

the governing body adopting the ordinance.

(c) A person required to become a member under an ordinance

adopted under this section becomes a member on the effective date

of the ordinance or the date the person takes office, whichever

is later, unless the date the person takes office is after the

effective date of the ordinance and the person is then ineligible

for membership under applicable age restrictions of this

subtitle.

(d) A person who becomes a member as provided by this section is

entitled to prior service credit as provided by Section 853.302.

Added by Acts 1981, 67th Leg., 1st C.S., p. 220, ch. 18, Sec. 71,

eff. Jan. 1, 1982. Renumbered from Vernon's Ann.Civ.St. Title

110B, Sec. 62.107 and amended by Acts 1989, 71st Leg., ch. 179,

Sec. 1, eff. Sept. 1, 1989.

Sec. 852.108. RESUMPTION OF SERVICE WITH SAME EMPLOYER BY

RETIREE. (a) In this section and Sections 852.1085 and 852.109,

a person's reemploying municipality is the municipality for which

the person was performing creditable service at the time of the

person's retirement under this subtitle.

(b) Except as provided by Section 852.1085, a person who has

retired with a service retirement benefit under this subtitle and

later becomes an employee of the person's reemploying

municipality also becomes a member of the system on the date of

employment, but credits and benefits allowable to the person

under this subtitle are limited as provided by this section.

(c) The retirement system shall discontinue and suspend payments

of each service retirement annuity that is allowed because of the

person's previous service with the reemploying municipality

beginning with the month the retirement system determines that

the person has again become an employee of the reemploying

municipality. After the suspension, the retirement system may not

make payments of the annuity for any month during which the

person remains an employee of the reemploying municipality. The

suspension of a benefit under this section does not suspend

payment of a benefit to an alternate payee under a qualified

domestic relations order.

(d) Member contributions under Section 855.402 shall be made on

all compensation paid to the employee by the reemploying

municipality at the same rate as is required of other employees

of the department. The retirement system shall deposit the

contributions on receipt in an individual account for the member

in the employees saving fund and shall credit the account with

interest annually at the same rate and manner as the accounts of

other members are credited. The compensation paid to the employee

by the reemploying municipality shall be included in computing

the monthly contributions the municipality makes to the

municipality accumulation fund.

(e) After termination of employment with the reemploying

municipality and after filing of an application for resumption of

retirement with the board of trustees, a person described by

Subsection (b) is entitled to receive future payments of the

suspended annuity, as provided by Subsection (f), and to the

additional benefits as provided by Subsections (g), (h), and (i).

(f) Monthly payments of a suspended annuity shall be resumed in

the month following the month in which employment is terminated

with the reemploying municipality, without change in the amount

except for any increase allowed under Section 854.203 or the

duration of or another condition pertaining to the suspended

benefit. Payment of the resumed benefit may not be made for any

month during which the payment was suspended under this section.

(g) If a person with credited service under this section dies

before a payment under Subsection (i) is made, the person's

beneficiary, or if there is no beneficiary surviving, the

executor or administrator of the person's estate, may elect

payment as provided by Section 854.105.

(h) The additional service retirement benefit allowable to a

person to whom this section applies is, at the option of that

person, either:

(1) a refund of accumulated contributions made since

reemployment plus any accrued interest on the accumulated

contributions allowed by the retirement system; or

(2) a benefit consisting of:

(A) a basic annuity actuarially determined from the sum of the

member's deposits made and accumulated since the date the person

last became a member, together with interest accumulated on that

amount since the person last became a member; or

(B) a greater amount authorized by the municipality under

Section 855.501.

(i) The additional benefit described by Subsection (h) is

payable as a standard service retirement benefit or, at the

election of the member, any optional benefit authorized under

this subtitle that is the actuarial equivalent of the standard

retirement benefit. The first benefit payment date under this

subsection is the later of the end of the month following the

last month of employment or the end of the month following the

month in which the person files an application for payment. The

first payment may not be made if the person has resumed

employment with the reemploying municipality in a position that

would make the person an employee.

Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff. Sept. 1,

1981. Formerly Sec. 62.107. Renumbered by Acts 1981, 67th Leg.,

1st C.S., p. 220, ch. 18, Sec. 71, eff. Jan. 1, 1982. Amended by

Acts 1987, 70th Leg., ch. 183, Sec. 5, eff. Aug. 31, 1987.

Renumbered from Vernon's Ann.Civ.St. Title 110B, Sec. 62.108 by

Acts 1989, 71st Leg., ch. 179, Sec. 1, eff. Sept. 1, 1989.

Amended by Acts 1995, 74th Leg., ch. 514, Sec. 4, eff. Sept. 1,

1995; Acts 2001, 77th Leg., ch. 121, Sec. 3, eff. Jan. 1, 2002.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

1099, Sec. 1, eff. June 15, 2007.

Sec. 852.1085. RESUMPTION OF SERVICE WITH SAME EMPLOYER BY

CERTAIN RETIREES. Notwithstanding Section 852.108, a person who

retired because the department in the municipality in which the

person worked was privatized and who later resumes employment in

the same department or a successor department in the person's

reemploying municipality again becomes a member of the retirement

system and the person's retirement annuity is not suspended in

the same manner provided by Section 852.109 for a person who

resumes employment with a different municipality.

Added by Acts 2007, 80th Leg., R.S., Ch.

1099, Sec. 2, eff. June 15, 2007.

Sec. 852.109. RESUMPTION OF SERVICE WITH DIFFERENT EMPLOYER BY

RETIREE. (a) If a person becomes an employee of a municipality

after beginning to receive a retirement benefit, and the

municipality is not the person's reemploying municipality, the

person again becomes a member of the retirement system, and the

person's retirement annuity is not suspended.

(b) Member contributions under Section 855.402 shall be made on

all compensation paid to the employee by the municipality at the

same rate as is required of other employees of the department.

The retirement system shall deposit the contributions on receipt

in an individual account for the member in the employees saving

fund and shall credit the account with interest at the same rate

and in the same manner as the accounts of other members are

credited. The compensation paid to the employee by the

municipality shall be included in computing the monthly

contributions the municipality makes to the municipality

accumulation fund.

(c) If a person with credited service under this section dies

before a payment under Subsection (e) is made, the person's

beneficiary, or if there is no beneficiary surviving, the

executor or administrator of the person's estate, may elect

payment as provided by Section 854.105.

(d) The additional service retirement benefit allowable to a

person to whom this section applies is, at the option of that

person, either:

(1) a refund of accumulated contributions made since

reemployment plus any accrued interest on the accumulated

contributions allowed by the retirement system; or

(2) a benefit consisting of:

(A) a basic annuity actuarially determined from the sum of the

member's deposits made and accumulated since the date the person

last became a member together with interest accumulated on that

amount since the person last became a member and an amount from

the municipality accumulation fund equal to the amount of the

deposits credited to the member's individual account since the

person last became a member together with interest accumulated on

that amount since the person last became a member; or

(B) a greater amount authorized by the municipality under

Section 855.501.

(e) The additional benefit described by Subsection (d) is

payable as a standard service retirement benefit or, at the

election of the member, any optional benefit authorized under

this subtitle that is the actuarial equivalent of the standard

retirement benefit. The first benefit payment date under this

subsection is the later of the end of the month following the

last month of employment or the end of the month following the

month in which the person files an application for payment. The

first payment may not be made if the person has resumed

employment that would result in suspension of a benefit.

(f) If a person became an employee of a municipality other than

the person's reemploying municipality after beginning to receive

a retirement benefit, and the person's service retirement annuity

was suspended under Section 852.108 as it existed at the time of

reemployment, the person may, on written application to the

retirement system, resume receiving the suspended annuity.

Added by Acts 1995, 74th Leg., ch. 514, Sec. 5, eff. Sept. 1,

1995. Amended by Acts 2001, 77th Leg., ch. 121, Sec. 4, eff. Jan.

1, 2002.

Sec. 852.110. CORRECTION OF ERRORS. (a) The retirement system,

under rules adopted by the board of trustees, shall correct an

error in current service performed, or current service credit

that should have been received, not more than four years before

the date an application for the correction, on a form approved by

the board of trustees, is received by the retirement system.

(b) The retirement system shall correct an error in prior

service credit if the retirement system receives the person's

written application for the correction not later than the fourth

anniversary of the later of the date the municipality began

participation in, or the person first became a member of, the

retirement system.

Added by Acts 1999, 76th Leg., ch. 83, Sec. 2, eff. Dec. 31,

1999. Amended by Acts 2003, 78th Leg., ch. 599, Sec. 6, eff. Jan.

1, 2004.


State Codes and Statutes

State Codes and Statutes

Statutes > Texas > Government-code > Title-8-public-retirement-systems > Chapter-852-membership

GOVERNMENT CODE

TITLE 8. PUBLIC RETIREMENT SYSTEMS

SUBTITLE G. TEXAS MUNICIPAL RETIREMENT SYSTEM

CHAPTER 852. MEMBERSHIP

SUBCHAPTER A. MUNICIPAL PARTICIPATION

Sec. 852.001. ELECTION TO PARTICIPATE. (a) By vote of its

governing body in the manner required for other official actions,

a municipality may elect to have one or more of its departments

participate in the retirement system and be subject to the

provisions of this subtitle.

(b) The governing body of a municipality shall notify the board

of trustees of an election under this section and shall identify

the participating departments before the 11th day after the date

of election.

(c) A department begins participation in the retirement system

on the first day of the second month after the month the board of

trustees receives notice of an election to participate.

Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff. Sept. 1,

1981. Renumbered from Vernon's Ann.Civ.St. Title 110B, Sec.

62.001 by Acts 1989, 71st Leg., ch. 179, Sec. 1, eff. Sept. 1,

1989.

Sec. 852.002. REFERENDUM ON PARTICIPATION. (a) If qualified

voters representing at least 10 percent of the total votes cast

at the most recent regular municipal election petition the

governing body of a municipality for an election on the issue of

participation in the retirement system by the municipality or

specified departments of the municipality, the governing body

shall make arrangements for an election to be held before the

61st day after the day the petition is filed.

(b) If a majority of the votes cast in an election under this

section favor municipal or departmental participation in the

retirement system, the governing body of the municipality

immediately shall elect to participate.

Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff. Sept. 1,

1981. Renumbered from Vernon's Ann.Civ.St. Title 110B, Sec.

62.002 by Acts 1989, 71st Leg., ch. 179, Sec. 1, eff. Sept. 1,

1989.

Sec. 852.003. SUPPLEMENTAL DISABILITY BENEFITS FUND. (a) A

municipality may not elect to participate in the supplemental

disability benefits fund after August 31, 1987.

(b) Each municipality that elected to participate in the

supplemental disability benefits fund before September 1, 1987

ceases participation in that fund at midnight on December 31,

1987, and its employees shall cease to be covered for

supplemental disability benefits as to any injuries subsequently

sustained. Each municipality participating in the supplemental

disability fund on December 31, 1987, is entitled to participate

in any distributions and transfers authorized by the board of

trustees pursuant to Section 855.313.

Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff. Sept. 1,

1981. Amended by Acts 1987, 70th Leg., ch. 183, Sec. 2, eff. Aug.

31, 1987. Renumbered from Vernon's Ann.Civ.St. Title 110B, Sec.

62.003 and amended by Acts 1989, 71st Leg., ch. 179, Sec. 1, eff.

Sept. 1, 1989.

Sec. 852.004. SUPPLEMENTAL DEATH BENEFITS FUND. (a) If a

municipality has one or more departments participating in the

retirement system on a full-salary basis, the municipality may

elect to participate in the supplemental death benefits fund.

(b) A municipality that elects to participate in the fund may

elect coverage providing postretirement death benefits in

addition to coverage providing in-service death benefits.

(c) Repealed by Acts 1997, 75th Leg., ch. 76, Sec. 15, eff.

Sept. 1, 1997.

(d) A municipality that elects to participate in the fund after

the operative date of the fund may begin participation on the

first day of any month after the month in which the municipality

gives notice of its election to the board of trustees.

(e) If a municipality has previously discontinued participation

in the fund, the board of trustees in its discretion may restrict

the right of the municipality to participate again.

Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff. Sept. 1,

1981. Amended by Acts 1981, 67th Leg., 1st C.S., p. 219, ch. 18,

Sec. 67, eff. Jan. 1, 1982. Renumbered from Vernon's Ann.Civ.St.

Title 110B, Sec. 62.004 by Acts 1989, 71st Leg., ch. 179, Sec. 1,

eff. Sept. 1, 1989. Amended by Acts 1995, 74th Leg., ch. 514,

Sec. 2, eff. Sept. 1, 1995.

Sec. 852.005. STATUS AS A MUNICIPALITY. (a) For the purposes

of this subtitle, the Texas Municipal Retirement System and, as

limited by Subsection (b), the Texas Municipal League, have the

standing of municipalities.

(b) The Texas Municipal League has the standing conferred by

this section except as to a person who is employed by the league

for the first time and who is engaged in lobbying activities.

(c) For the purposes of this subtitle, a fire or police

department has the standing of a municipality if:

(1) the department:

(A) was created and is operating under an interlocal cooperation

agreement that has existed at least 15 years and was executed by

two or more municipalities located in a county with a population

of at least 3.3 million;

(B) is supervised by an administrative agency appointed by the

contracting municipalities; and

(C) provides common fire protection or law enforcement services

to the contracting municipalities; and

(2) the governing body of each municipality that is a party to

the agreement has voted by ordinance or resolution to accept

responsibility, in a manner to be determined by the participating

municipalities, for all payments required of and obligations

incurred by the department under this subtitle in the event that

the interlocal cooperation agreement is dissolved or expires; and

(3) all ordinances adopted by the participating municipalities

with regard to the participation are approved by the board of

trustees.

(d) The governing board of the supervising administrative agency

by order may take an action for a department described by

Subsection (c) that is required or authorized by this subtitle to

be made by municipal ordinance.

Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff. Sept. 1,

1981. Amended by Acts 1981, 67th Leg., 1st C.S., p. 219, ch. 18,

Sec. 68, eff. Jan. 1, 1982. Renumbered from Vernon's Ann.Civ.St.

Title 110B, Sec. 62.005 and amended by Acts 1989, 71st Leg., ch.

179, Sec. 1, eff. Sept. 1, 1989. Amended by Acts 1995, 74th Leg.,

ch. 514, Sec. 3, eff. Sept. 1, 1995; Acts 1995, 74th Leg., ch.

1006, Sec. 1, eff. June 17, 1995; Acts 2001, 77th Leg., ch. 669,

Sec. 22, eff. Sept. 1, 2001.

Sec. 852.006. TERMINATION OF PARTICIPATION. (a) Except as

provided by this section, a municipality may not terminate

participation in the retirement system if the municipality has

employees who are members of the system, but the municipality may

elect to discontinue the participation in the system of persons

employed or reemployed after the date of an election to

discontinue.

(b) If before November 1 of any year a municipality gives

written notice of its intention to the retirement system, the

municipality may terminate coverage under, and discontinue

participation in, the supplemental death benefits fund. A

termination under this subsection is effective on January 1 of

the year following the year in which notice is given.

(c) If a municipality participating in the retirement system has

no employees who are members of the system and has no present or

potential liabilities as a result of the participation of former

employees, the municipality, on receiving a refund under Section

855.319, ceases participation in the system.

Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff. Sept. 1,

1981. Renumbered from Vernon's Ann.Civ.St. Title 110B, Sec.

62.006 and amended by Acts 1989, 71st Leg., ch. 179, Sec. 1, eff.

Sept. 1, 1989. Amended by Acts 1993, 73rd Leg., ch. 57, Sec. 2,

eff. Jan. 1, 1994.

Sec. 852.007. MUNICIPALITY NOT AGENT OF SYSTEM. Neither a

municipality that participates in the retirement system nor any

employee or officer of a participating municipality has authority

to act as an agent of the retirement system. An action of or

inaction on the part of a participating municipality or its

employee or officer is not binding on the retirement system.

Added by Acts 1993, 73rd Leg., ch. 57, Sec. 3, eff. Jan. 1, 1994.

SUBCHAPTER B. MEMBERSHIP

Sec. 852.101. GENERAL MEMBERSHIP REQUIREMENT. (a) Except as

otherwise provided by this subchapter, a person who is not a

member becomes a member of the retirement system if:

(1) on the date a municipal department's participation in the

retirement system becomes effective, the person is an employee of

the department;

(2) after August 31, 1987, the person becomes an employee of a

participating department; or

(3) the person on August 31, 1987, is an employee of a

participating department but is not a member because at the time

of employment the person's age exceeded the maximum age for

becoming a member.

(b) Any person to whom Subsection (a)(1) applies becomes a

member of the retirement system on the date the department's

participation becomes effective, and any person to whom

Subsection (a)(2) applies becomes a member of the retirement

system on the date the person is employed. A person to whom

Subsection (a)(3) applies becomes a member of the retirement

system on September 1, 1987.

Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff. Sept. 1,

1981. Amended by Acts 1987, 70th Leg., ch. 183, Sec. 3, eff. Aug.

31, 1987. Renumbered from Vernon's Ann.Civ.St. Title 110B, Sec.

62.101 and amended by Acts 1989, 71st Leg., ch. 179, Sec. 1, eff.

Sept. 1, 1989.

Sec. 852.102. EXCEPTION TO GENERAL MEMBERSHIP REQUIREMENT. (a)

If on the effective date of participation of the employing

department, a person had with a municipality an employment

contract that is violated by the membership requirement of

Section 852.101(a)(1), the person is not required, but may elect,

to become a member of the retirement system.

(b) If a person who is qualified to make an election under this

section has been notified that the municipality has elected to

participate in the retirement system, or if the person makes

contributions to the retirement system, the person is considered

to have elected membership in the retirement system unless before

the date the municipality's participation becomes effective the

person files with the board of trustees written notice of an

election not to become a member.

(c) A person who elects under this section not to become a

member may never become a member of the retirement system.

Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff. Sept. 1,

1981. Renumbered from Vernon's Ann.Civ.St. Title 110B, Sec.

62.102 and amended by Acts 1989, 71st Leg., ch. 179, Sec. 1, eff.

Sept. 1, 1989.

Sec. 852.103. WITHDRAWAL OF CONTRIBUTIONS; ROLLOVER

DISTRIBUTIONS. (a) A living person who is not an employee of a

participating department and who has not retired may, after

application, withdraw all of the accumulated contributions

credited to the person's individual account in the employees

saving fund, and the retirement system shall close the account.

(b) The retirement system shall, in accordance with Section

401(a)(31) of the Internal Revenue Code of 1986 and its

subsequent amendments and related regulations, permit the

distributee of an eligible rollover distribution to elect to have

the distribution paid directly to an eligible retirement plan

specified by the distributee in the form of a direct

trustee-to-trustee transfer. The board of trustees may adopt

rules to implement this subsection.

Added by Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff.

Sept. 1, 1981. Renumbered from Vernon's Ann.Civ.St. Title 110B,

Sec. 62.103 by Acts 1989, 71st Leg., ch. 179, Sec. 1, eff. Sept.

1, 1989. Amended by Acts 1993, 73rd Leg., ch. 57, Sec. 4, eff.

Jan. 1, 1994; Acts 2003, 78th Leg., ch. 599, Sec. 3, 4, eff. Jan.

1, 2004.

Sec. 852.104. TERMINATION OF MEMBERSHIP. (a) Except as

otherwise provided by this section, a person terminates

membership in the retirement system by:

(1) death;

(2) retirement;

(3) withdrawal of all of the person's contributions while the

person is absent from service; or

(4) absence from service for more than 60 consecutive months.

(b) A member of the retirement system is not absent from service

during periods of military or war-related service for which the

member is allowed credited service under Section 853.501.

(c) If a member of the retirement system is an employee of a

participating department of a municipality that, as provided by

this subtitle, allows a person to terminate employment and remain

eligible for retirement after accumulating a specified amount of

credited service, and if the person meets the requirement, the

person may terminate employment and is not subject to loss of

membership because of absence from service.

(d) Termination of membership in the retirement system

terminates membership in the supplemental disability benefits

fund.

(e) A member of the retirement system is not absent from service

during any leave of absence granted by the employing municipality

under the Family and Medical Leave Act of 1993 (29 U.S.C. Section

2601 et seq.), and its subsequent amendments, to the extent that

the leave does not exceed 12 weeks in duration.

Added by Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff.

Sept. 1, 1981. Amended by Acts 1989, 71st Leg., ch. 462, Sec. 3,

eff. Sept. 1, 1989. Renumbered from Vernon's Ann.Civ.St. Title

110B, Sec. 62.104 by Acts 1989, 71st Leg., ch. 179, Sec. 1, eff.

Sept. 1, 1989. Amended by Acts 1991, 72nd Leg., ch. 16, Sec.

11.01(c), eff. Aug. 26, 1991; Acts 2003, 78th Leg., ch. 599, Sec.

5, eff. Jan. 1, 2004.

Sec. 852.105. OPTIONAL PRIOR SERVICE CREDITS. (a) The

governing body of a municipality that has an effective date of

participation in the retirement system before September 1, 1987,

and that allows service retirement of a member at age 60 or older

with at least 10 years of credited service may by ordinance allow

prior service credit for service performed for the municipality

before September 1, 1987, by any person who at the time of

performing the service was not a member because at the time of

employment the person's age exceeded the maximum age for becoming

a member.

(b) A governing body may not adopt an ordinance under this

section unless the actuary first determines, on the basis of

mortality and other tables adopted by the board of trustees, that

all obligations of the municipality to the municipality

accumulation fund, including obligations proposed under the

ordinance, can be funded by the municipality within its maximum

contribution rate and within its amortization period.

Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff. Sept. 1,

1981. Amended by Acts 1981, 67th Leg., 1st C.S., p. 219, ch. 18,

Sec. 69, eff. Jan. 1, 1982; Acts 1987, 70th Leg., ch. 183, Sec.

4, eff. Aug. 31, 1987. Renumbered from Vernon's Ann.Civ.St. Title

110B, Sec. 62.105 by Acts 1989, 71st Leg., ch. 179, Sec. 1, eff.

Sept. 1, 1989.

Sec. 852.106. INELIGIBILITY FOR MEMBERSHIP; MULTIPLE RETIREMENT

SYSTEM MEMBERSHIP. (a) Except as provided by this section, a

person who is elected to public office is not an employee

eligible for membership in the retirement system.

(b) A person may simultaneously receive credit or benefits for

service performed during the same period in the retirement system

and the federal program providing old age and survivors

insurance.

(c) If a volunteer firefighter or an elected officer is employed

by a participating municipality in another capacity that

satisfies the definition of "employee" under this subtitle, the

person may be a member of, and receive service credit in, the

retirement system for service performed in the other capacity.

(d) If a person is elected to an office of a municipality that

began participating in the retirement system after December 31,

1981, the person is required to become a member of the retirement

system as of the date the person takes office or the effective

date of participation, whichever is later. If a person is elected

to an office of a municipality that has adopted an ordinance

under Section 852.107, the person is required to become a member

of the retirement system as of the date the person takes office

or the effective date of the ordinance, whichever is later.

(e) A person may simultaneously be a member of this retirement

system and another state or local retirement system authorized or

established under Section 67, Article XVI, Texas Constitution.

However, a person may receive a benefit from this system only to

the extent that the amount of the benefit is computed solely with

respect to the member's compensation and accumulated

contributions as those terms are defined in this subtitle.

Service credited with or allowed by another retirement system may

not be counted for purposes of retirement eligibility in this

retirement system except in accordance with the provisions of the

proportionate retirement program described by Chapter 803.

Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff. Sept. 1,

1981. Amended by Acts 1981, 67th Leg., 1st C.S., p. 219, ch. 18,

Sec. 70, eff. Jan. 1, 1982. Renumbered from Vernon's Ann.Civ.St.

Title 110B, Sec. 62.106 and amended by Acts 1989, 71st Leg., ch.

179, Sec. 1, eff. Sept. 1, 1989. Amended by Acts 2001, 77th Leg.,

ch. 121, Sec. 2, eff. Jan. 1, 2002.

Sec. 852.107. OPTIONAL MEMBERSHIP REQUIREMENT FOR ELECTED

OFFICERS. (a) The governing body of a municipality that began

participation in the retirement system before January 1, 1982, by

ordinance may provide that persons who hold and are regularly

engaged in the performance of duties of an elective office that

normally requires actual performance of services in a

participating department of the municipality for not less than

1,000 hours a year are employees required to become members of

the retirement system.

(b) An ordinance under this section takes effect on the first

day of any calendar month after adoption that is designated by

the governing body adopting the ordinance.

(c) A person required to become a member under an ordinance

adopted under this section becomes a member on the effective date

of the ordinance or the date the person takes office, whichever

is later, unless the date the person takes office is after the

effective date of the ordinance and the person is then ineligible

for membership under applicable age restrictions of this

subtitle.

(d) A person who becomes a member as provided by this section is

entitled to prior service credit as provided by Section 853.302.

Added by Acts 1981, 67th Leg., 1st C.S., p. 220, ch. 18, Sec. 71,

eff. Jan. 1, 1982. Renumbered from Vernon's Ann.Civ.St. Title

110B, Sec. 62.107 and amended by Acts 1989, 71st Leg., ch. 179,

Sec. 1, eff. Sept. 1, 1989.

Sec. 852.108. RESUMPTION OF SERVICE WITH SAME EMPLOYER BY

RETIREE. (a) In this section and Sections 852.1085 and 852.109,

a person's reemploying municipality is the municipality for which

the person was performing creditable service at the time of the

person's retirement under this subtitle.

(b) Except as provided by Section 852.1085, a person who has

retired with a service retirement benefit under this subtitle and

later becomes an employee of the person's reemploying

municipality also becomes a member of the system on the date of

employment, but credits and benefits allowable to the person

under this subtitle are limited as provided by this section.

(c) The retirement system shall discontinue and suspend payments

of each service retirement annuity that is allowed because of the

person's previous service with the reemploying municipality

beginning with the month the retirement system determines that

the person has again become an employee of the reemploying

municipality. After the suspension, the retirement system may not

make payments of the annuity for any month during which the

person remains an employee of the reemploying municipality. The

suspension of a benefit under this section does not suspend

payment of a benefit to an alternate payee under a qualified

domestic relations order.

(d) Member contributions under Section 855.402 shall be made on

all compensation paid to the employee by the reemploying

municipality at the same rate as is required of other employees

of the department. The retirement system shall deposit the

contributions on receipt in an individual account for the member

in the employees saving fund and shall credit the account with

interest annually at the same rate and manner as the accounts of

other members are credited. The compensation paid to the employee

by the reemploying municipality shall be included in computing

the monthly contributions the municipality makes to the

municipality accumulation fund.

(e) After termination of employment with the reemploying

municipality and after filing of an application for resumption of

retirement with the board of trustees, a person described by

Subsection (b) is entitled to receive future payments of the

suspended annuity, as provided by Subsection (f), and to the

additional benefits as provided by Subsections (g), (h), and (i).

(f) Monthly payments of a suspended annuity shall be resumed in

the month following the month in which employment is terminated

with the reemploying municipality, without change in the amount

except for any increase allowed under Section 854.203 or the

duration of or another condition pertaining to the suspended

benefit. Payment of the resumed benefit may not be made for any

month during which the payment was suspended under this section.

(g) If a person with credited service under this section dies

before a payment under Subsection (i) is made, the person's

beneficiary, or if there is no beneficiary surviving, the

executor or administrator of the person's estate, may elect

payment as provided by Section 854.105.

(h) The additional service retirement benefit allowable to a

person to whom this section applies is, at the option of that

person, either:

(1) a refund of accumulated contributions made since

reemployment plus any accrued interest on the accumulated

contributions allowed by the retirement system; or

(2) a benefit consisting of:

(A) a basic annuity actuarially determined from the sum of the

member's deposits made and accumulated since the date the person

last became a member, together with interest accumulated on that

amount since the person last became a member; or

(B) a greater amount authorized by the municipality under

Section 855.501.

(i) The additional benefit described by Subsection (h) is

payable as a standard service retirement benefit or, at the

election of the member, any optional benefit authorized under

this subtitle that is the actuarial equivalent of the standard

retirement benefit. The first benefit payment date under this

subsection is the later of the end of the month following the

last month of employment or the end of the month following the

month in which the person files an application for payment. The

first payment may not be made if the person has resumed

employment with the reemploying municipality in a position that

would make the person an employee.

Acts 1981, 67th Leg., p. 1876, ch. 453, Sec. 1, eff. Sept. 1,

1981. Formerly Sec. 62.107. Renumbered by Acts 1981, 67th Leg.,

1st C.S., p. 220, ch. 18, Sec. 71, eff. Jan. 1, 1982. Amended by

Acts 1987, 70th Leg., ch. 183, Sec. 5, eff. Aug. 31, 1987.

Renumbered from Vernon's Ann.Civ.St. Title 110B, Sec. 62.108 by

Acts 1989, 71st Leg., ch. 179, Sec. 1, eff. Sept. 1, 1989.

Amended by Acts 1995, 74th Leg., ch. 514, Sec. 4, eff. Sept. 1,

1995; Acts 2001, 77th Leg., ch. 121, Sec. 3, eff. Jan. 1, 2002.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

1099, Sec. 1, eff. June 15, 2007.

Sec. 852.1085. RESUMPTION OF SERVICE WITH SAME EMPLOYER BY

CERTAIN RETIREES. Notwithstanding Section 852.108, a person who

retired because the department in the municipality in which the

person worked was privatized and who later resumes employment in

the same department or a successor department in the person's

reemploying municipality again becomes a member of the retirement

system and the person's retirement annuity is not suspended in

the same manner provided by Section 852.109 for a person who

resumes employment with a different municipality.

Added by Acts 2007, 80th Leg., R.S., Ch.

1099, Sec. 2, eff. June 15, 2007.

Sec. 852.109. RESUMPTION OF SERVICE WITH DIFFERENT EMPLOYER BY

RETIREE. (a) If a person becomes an employee of a municipality

after beginning to receive a retirement benefit, and the

municipality is not the person's reemploying municipality, the

person again becomes a member of the retirement system, and the

person's retirement annuity is not suspended.

(b) Member contributions under Section 855.402 shall be made on

all compensation paid to the employee by the municipality at the

same rate as is required of other employees of the department.

The retirement system shall deposit the contributions on receipt

in an individual account for the member in the employees saving

fund and shall credit the account with interest at the same rate

and in the same manner as the accounts of other members are

credited. The compensation paid to the employee by the

municipality shall be included in computing the monthly

contributions the municipality makes to the municipality

accumulation fund.

(c) If a person with credited service under this section dies

before a payment under Subsection (e) is made, the person's

beneficiary, or if there is no beneficiary surviving, the

executor or administrator of the person's estate, may elect

payment as provided by Section 854.105.

(d) The additional service retirement benefit allowable to a

person to whom this section applies is, at the option of that

person, either:

(1) a refund of accumulated contributions made since

reemployment plus any accrued interest on the accumulated

contributions allowed by the retirement system; or

(2) a benefit consisting of:

(A) a basic annuity actuarially determined from the sum of the

member's deposits made and accumulated since the date the person

last became a member together with interest accumulated on that

amount since the person last became a member and an amount from

the municipality accumulation fund equal to the amount of the

deposits credited to the member's individual account since the

person last became a member together with interest accumulated on

that amount since the person last became a member; or

(B) a greater amount authorized by the municipality under

Section 855.501.

(e) The additional benefit described by Subsection (d) is

payable as a standard service retirement benefit or, at the

election of the member, any optional benefit authorized under

this subtitle that is the actuarial equivalent of the standard

retirement benefit. The first benefit payment date under this

subsection is the later of the end of the month following the

last month of employment or the end of the month following the

month in which the person files an application for payment. The

first payment may not be made if the person has resumed

employment that would result in suspension of a benefit.

(f) If a person became an employee of a municipality other than

the person's reemploying municipality after beginning to receive

a retirement benefit, and the person's service retirement annuity

was suspended under Section 852.108 as it existed at the time of

reemployment, the person may, on written application to the

retirement system, resume receiving the suspended annuity.

Added by Acts 1995, 74th Leg., ch. 514, Sec. 5, eff. Sept. 1,

1995. Amended by Acts 2001, 77th Leg., ch. 121, Sec. 4, eff. Jan.

1, 2002.

Sec. 852.110. CORRECTION OF ERRORS. (a) The retirement system,

under rules adopted by the board of trustees, shall correct an

error in current service performed, or current service credit

that should have been received, not more than four years before

the date an application for the correction, on a form approved by

the board of trustees, is received by the retirement system.

(b) The retirement system shall correct an error in prior

service credit if the retirement system receives the person's

written application for the correction not later than the fourth

anniversary of the later of the date the municipality began

participation in, or the person first became a member of, the

retirement system.

Added by Acts 1999, 76th Leg., ch. 83, Sec. 2, eff. Dec. 31,

1999. Amended by Acts 2003, 78th Leg., ch. 599, Sec. 6, eff. Jan.

1, 2004.