Bill > HB2130

This bill modifies regulations related to the Teacher Retirement System of Texas (TRS), specifically addressing employer contributions and late payment penalties. The bill removes some previous exceptions for late employer deposits and documentation, maintaining a requirement that employers who fail to remit member and employer deposits by the seventh day after a month's end must pay interest and late fees. These late fees can be up to $1,000 per business day, with a cumulative cap of $25,000 per reporting period, and the interest rate will be the TRS-established rate plus two percent. The bill also eliminates certain previous provisions about employer contributions for retirees who returned to work, simplifying the rules around payment responsibilities. Specifically, reporting employers are still responsible for required contributions and cannot pass these costs onto retirees through payroll deductions or other means. The changes will take effect with the 2025-2026 school year, and the bill becomes law either immediately if it receives a two-thirds vote in the Texas legislature or on September 1, 2025, if it does not receive the immediate effect vote.

Labor and Employment

https://capitol.texas.gov/BillLookup/History.aspx?LegSess=89R&Bill=HB2130