Insider's Report Vol. 10 No. 15
This week I was proud to join Rep. Dan Flynn in joint authoring House Bill 9, which sets forth a plan to restore solvency to the Employees Retirement System of Texas. Many constituents have reached out to my office regarding this issue and it is because of your voice and your involvement that this legislation has been proposed.
HB 9 will fund the state employee pension system by increasing the state's contribution to the plan without reducing benefits for current and future retirees, in conjunction with an increase in contributions by active state employees. In order to mitigate the effects of the employee contribution increase, House leaders are proposing a 2.5 percent, across-the-board pay increase for state employees to take effect in 2016. Through this legislation, we keep our commitment to hardworking state employees in their retirement years.
HB 9 also signals to Wall Street that Texas has a plan to achieve actuarial soundness in its pension systems, which is vitally important to our state's economic vitality. Most importantly, it ensures that this important issue is on the road to being addressed so that our deserving state employees receive the pension and salaries they deserve and count on.