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OFFICE OF THE ATTORNEY GENERAL OF TEXAS
AUSTIN
BRO”v.RSLLLIIS
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i
&xorable George H. Sheppard i Overrr:~e;r,~?..c?..?~~9_
CosJtroller of Pub110 nooounts
Audtifl,Texas
seventh b&latura, is the
State required’%w m&e total
ooabdbution to the Teachers’
Jtetlresgeat system durlag any
,,-* f5,ssgl year exaotly Bpual to
/ Phe ccntributlons of the
%. teachers, or may the alloca-
-...
‘.,,, tions, bm based oa a five-year
.,aotunrlal estimate and ad-
--. ‘Justed at the end of saoh
.~ __ ., hvs-year period? And a
related question.
. ’ .*I
%.,a.& ..in receipt; oi your opinion request, read-
ing as follows: .. ’ 1,
‘I I..
-.. X&‘- +,
., ._
*I should lske to submit for your oonsldera-
tion the .qusstions l%dted t 1elow:
‘. 4.
... , ;.
“1. Under Eouse Bill S of the 47th Leglala-
ture, or any subsequent Amendments thereto, is the
State required to make total contribution to the
Teachers* Retirement System during any rlsoal year
exactly equal to the contributions of the teachers,
or may the allocations be based on a five-year ao-
tuarinl estimate and adjusted at the end of each
five-year period?
“2. If the contribution of the &?te is to be
adjusted annua-ly to the contributions made by the
teacher+ shall the 5tate’s contribution be equal to
the total contributions of the teachers, or shall
the state’s contribution be equal to the contrlbu-
tions of the teachers less refunds to teachers who
oease to be :nesbers other than by death or retlreaoent?W
Me quote the following pertinent language from
ZctJlje ilill 0 of the 47th Legislature, as found in the General
LWIYof the 47th Legislature on page 338:
“( 3) Beginning with the flsoal year
starting oa September 1, 1941, ilnd annually there-
dter, tiere is hereby allocated and appropriated
to the Teaclet Retirement System of Texan in aooord-
ante with: the provisions of Senate Bill No. 47, Aots
of the Regular session, Forty-tlfth Legislature, 1937,
snd any amendments thereto , nisum eaoh year equivalent
to the oontrlbutlons ot the member8 of the Teaoher Re-
tirement 3ystem during said year. Said amount8 are
hereby allocated and approprlstrd.and shall be paid
to the Teaoher Retirement System in equal monthly
installments beginning September 1, 1941, and monthly
thereafter based upon the annual eetlnrate by the State
Joard of Trustees OS the Teacher Retirement System of
the contributfons to be received from the members oi
aaid Gystem during said year; provided further, in
the event said estimatr of the contributions of the
m,abers of the ‘Yysten shall vary fro& the actual
ar;lount of the teaohers ( contributions during the year,
t:ien such adjustments shall be made at the close of
each fiscal year as may be required.”
“There is likewise hereby allocated Andyep-
propriated to the Teacher Retirement System OS Texas ba-
ginning on the first day of the first moath after the
effective date of this Aot, and monthly thereefter, the
sum of Fifty Thousand Dollars(#50,000), which shall be
paid by the State Treasurer to the Teacher Retirement
System until such time as the total additional amounts
so deposited by the State of Texas shall be equivalent
to the total amount contributed by the members of the
Aetirexent System from September 1, 1937, to September 1,
1941, as certified by the State Board of Trustees of the
Teac.ler ;ietire;;lent System.”
It is obvlous from the foregoing that the state is
required to sake total contributions to the Teachers’ Hetirenent
3y;~itemduring each fiscal year exactly equal to the contributions
of tile teachers. The law is very plain wherein it appropriates
450
Honorable George R. Sheppard, page 3
and allocates to the Teaohers Retirement System “a sum each
e3.r equivalent to the contributions OS the members oi F
F-eacher Retirr:nent Systen during said year.* This taot is
emphasized by the further hII@Miga: “provided further, in the
event said estimate of the oontributlons of the mmbbere oi tb
System shall vary from the actual amount of the teaohers’ oon-
tribution8 during the year, then suoh adjustments shall be made
at the olose of la o htisoal yeti as may be requlred.w
This is in addition to the $50,000 monthly ap-
propriation made equivalent to the amount8 paid by the teaoherr
from September 1, 1937 to September 1, 1941. Your rest qu8s-
tion is answered in the atiirmative.
As we understand the law, those teachers who
cease to be member8 of the System other than by death or retlre-
ment are refunded an amount equal to the oontributions paid into
the system by suohteaohers and hence their contributions having
been so withdrawn do not oonetitute a contribution to the System,
and should not be oonsidered la determining the amount of the
State’s contribution.
Yourr very truly
ATMRNEYGIZNERAL
OF TEXAS
C. F. Gibson
Astalstaat
.