The Texas Pension Review Board is developing rules to facilitate the state legislature's 2021 changes to the Funding Soundness Restoration Plan statute and is seeking stakeholder comments on the initial rule concepts.

The state agency's initial FSRP rule concepts are accessible here: Funding Soundness Restoration Plans: Staff Recommendations for Rulemaking.

According to the agency's website, it plans to adopt these rules in October 2022. As a first step, the board's Actuarial Committee discussed the initial rule concepts at its January 28 meeting. 

The PRB is mandated to oversee public state and local retirement systems regarding their actuarial soundness and compliance with state law. 

"Additionally, we appreciate suggestions for rulemaking topics related to the FSRP requirements that may not be included in this concept document," according to a statement on the PRB website. "These initial concepts are a starting point for the rulemaking process and subject to change as we receive feedback from stakeholders as well as our board members. This document also does not yet reflect discussion from the Actuarial Committee meeting."

Those who would like to submit comments may do so by email to [email protected]. PRB staff is also available to discuss the topic by phone or videoconference. Agency staff will provide an overview of any comments received at a PRB meeting scheduled on Thursday, Feb. 24.

Additional opportunities for feedback:

PRB staff is accepting comments and feedback throughout the FSRP rulemaking process, and there are some milestones for stakeholder participation:

• Staff will be drafting the rules and seeking informal feedback in March and April 2022.
• The initial draft rules will be presented for discussion at the Actuarial Committee meeting in May 2022 and distributed for informal comment afterward.
• Staff will then present the draft rules to the full board at the July 2022 meeting for approval to post in the Texas Register for the 30-day formal public comment period.

Reference Materials:

• To see the Jan. 28 committee discussion, a video is available here: https://tlchouse.granicus.com/MediaPlayer.php?view_id=13&clip_id=23116.
• Committee meetings and other FSRP reference materials can be found here: https://www.prb.texas.gov/txpen/wp-content/uploads/2022/01/PRB-January-Actuarial-Cmte-Packet.pdf.