89R15299 RDR-F     By: Metcalf H.B. No. 4534       A BILL TO BE ENTITLED   AN ACT   relating to death benefits provided under certain police officer   retirement systems.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  The heading of Section 6.05, Chapter 452 (S.B.   738), Acts of the 72nd Legislature, Regular Session, 1991 (Article   6243n-1, Vernon's Texas Civil Statutes), is amended to read as   follows:          Sec. 6.05.  DEATH OF A MEMBER; TREATMENT OF ACCUMULATED   DEPOSITS; LUMP SUM DEATH BENEFITS.          SECTION 2.  Section 6.05, Chapter 452 (S.B. 738), Acts of the   72nd Legislature, Regular Session, 1991 (Article 6243n-1, Vernon's   Texas Civil Statutes), is amended by amending Subsection (c) and   adding Subsection (d) to read as follows:          (c)  In the event of death of a retired member [receiving a   retirement benefit], the sum of $10,000 shall be payable in a lump   sum to the retired member's beneficiary or, if no beneficiary, to   the retired member's estate, unless the retired member shall have   directed otherwise in writing, duly acknowledged and filed with the   board. The payment under this subsection shall be made from the   [retiree] death benefit [benefits] fund described in Section 6.08   of this Act.          (d)  In the event of the death of a member who dies as the   direct and proximate result of a personal injury associated with a   single event and sustained in the performance of a member's   employment duties with the police department of the city, the sum of   $1,000,000 shall be payable in a lump sum to the member's surviving   spouse, or if the member has no surviving spouse, to the member's   surviving children. If the member has no surviving spouse or   surviving children at the time of the member's death, the benefit   provided under this subsection shall be payable to the member's   estate. If a member has more than one surviving child that is   entitled to the benefit provided under this subsection, the benefit   shall be split equally between each of the member's surviving   children. The payment under this subsection shall be made from the   death benefit fund described in Section 6.08 of this Act.          SECTION 3.  Section 6.08, Chapter 452 (S.B. 738), Acts of the   72nd Legislature, Regular Session, 1991 (Article 6243n-1, Vernon's   Texas Civil Statutes), is amended to read as follows:          Sec. 6.08.  [RETIREE] DEATH BENEFIT FUND. (a) The police   retirement board shall establish a [retiree] death benefit fund and   shall deposit in such fund contributions paid by the city to provide   [retiree] death benefits in accordance with this section. The   board may, but is not required to, credit interest to the [retiree]   death benefit fund annually at such rate as the board may determine.          (b)  The police retirement system shall pay death benefits   under Sections [Section] 6.05(c) and (d) of this Act only from money   in the [retiree] death benefit fund, and the benefits are not an   obligation of other funds of the retirement system.          (c)  Based upon the recommendation of the system's actuary,   the board shall adopt such rates and tables as are considered   necessary to determine the [retiree] death benefit fund   contribution rate of the city. At the same time as the actuary   makes a valuation of the assets and liabilities of the system   pursuant to Section 3.09 of this Act, the actuary shall also make an   actuarial valuation of the assets and liabilities of the [retiree]   death benefit fund, and upon recommendation by the actuary, the   board shall adjust the rates and tables for the [retiree] death   benefit fund.          (d)  If at any time the amount of payments due from the   [retiree] death benefit fund exceeds the balance of such fund, the   board may direct that funds be transferred from the general   retirement fund to the [retiree] death benefit fund in such amounts   as are necessary to cover the deficiency. Any sums transferred to   the [retiree] death benefit fund under this subsection shall be   repaid to the general retirement fund of the retirement system from   the death benefit fund with [at such time as] subsequent   contributions by the city on a schedule and in a manner determined   by the system [have resulted in the accumulation of a sufficient   amount in the retiree death benefit fund for such a repayment] to be   [appear] prudent. The actuary of the system shall adjust the rates   and tables described in Subsection (c) to reflect this repayment.           (e)  Contributions by the city to the [retiree] death benefit   fund shall be made at the same time as the city makes its   contribution to the retirement system under Section 8.01 of this   Act, and the amount of the city's contribution under Section 8.01 of   this Act each pay period shall be reduced by the amount of the   city's contribution to the [retiree] death benefit fund for that   same pay period.          SECTION 4.  This Act takes effect immediately if it receives   a vote of two-thirds of all the members elected to each house, as   provided by Section 39, Article III, Texas Constitution.  If this   Act does not receive the vote necessary for immediate effect, this   Act takes effect September 1, 2025.