(a) A system adhering to a legacy funding soundness
restoration plan shall continue providing progress updates every two
years rather than submitting progress updates in accordance with this
section.
(b) The first draft of a plan submitted as a part of
a progress update under Texas Government Code §§802.2015(f)
or 802.2016(f) must, at minimum, include a projected timeline for
enactment of the plan, and identify the action that various entities
must take to approve or enact the plan, such as votes that may be
necessary in accordance with the system's governing statute. Each
subsequent progress update should include a draft plan that contains
updated information and that demonstrates movement toward a complete
and finalized plan.
(c) A description of changes submitted as part of a
progress update to fulfill the requirements of Texas Government Code
§§802.2015(f) or 802.2016(f) must include the projected
actuarial impact of each change under consideration on the retirement
system's funding period and funded ratio.
(d) A system must submit updates consistent with subsections
(b) and (c) of this section to the board starting September 1, 2023,
and every six months thereafter until the system submits a funding
soundness restoration plan to the board and the board determines it
is compliant if the system:
(1) received an actuarial valuation dated prior to
September 1, 2021, that triggered a funding soundness restoration
plan requirement; and
(2) does not have a board-approved legacy funding soundness
restoration plan.
(e) A system or associated governmental entity that
receives an actuarial valuation dated after September 1, 2021, that
triggers a funding soundness restoration plan, including a revised
funding soundness restoration plan, must submit updates to the board
beginning not later than the first anniversary of the valuation date
of the actuarial valuation that required formulation of the plan and
every subsequent six-month period until the plan is submitted as described
in Texas Government Code §§802.2015(f) or 802.2016(f).
(f) A system or associated governmental entity preparing
a voluntary funding soundness restoration plan is not required to
submit progress updates to the board.
|