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Posted on: May 2, 2019

Texas House passes legislation addressing the Galveston Police Pension Plan

GALVESTON, TX – May 2, 2019 – The Texas House of Representatives on Thursday unanimously passed a bill to resolve issues with the Galveston Police Pension Plan. 

The legislation is the result of two years of negotiations between City management and the Galveston Police Pension Board. Throughout, the City has remained committed to reaching an agreement to benefit those police officers who have already retired, those who are working for Galveston Police Department and those who are yet to be hired. We are proud of this solution to address the issues facing the plan.

“Since my acceptance of my job as City Manager I have maintained my commitment to getting this plan fixed once and for all,” City Manager Brian Maxwell said. “I am happy to know it is done and our officers no longer have to worry about their pension.”

House Bill 2763, sponsored by Rep. Dan Flynn and co-sponsor Rep. Mayes Middleton, addresses reforms to the Galveston police pension plan, including the makeup of the Galveston Police Pension Board and the financial contributions to the plan. With final approval of the legislation, the City will increase its contribution to 18 percent of total payroll. This is a 50 percent increase over original funding levels outlined in the collective bargaining agreement. Police officers will continue contributions at the current level of 12 percent. 

“This is an opportunity to resolve long-running issues with the police pension plan and I’m encouraged that this legislation has the support of the Texas House,” Mayor Jim Yarbrough said.

The bill now goes to the Texas Senate where upon receipt it will be referred to the Senate Committee on State Affairs. Senator Larry Taylor is sponsoring the bill in the Senate. The City is proud to support this bill and we look forward to its passage in the Texas Senate and receiving approval from Governor Abbott.

"After many months of working together with the City of Galveston and the Police Pension Plan I am happy to announce that the plan was passed on the floor of the House of Representatives today and now heads to the Senate," Rep. Dan Flynn said. "The plan ensures a Pension will exist for current retirees, those on the job and those to be hired. This was a large piece of Legislation and as the author, I want to commend all those who were involved."

A copy of the legislation is available at www.capitol.texas.gov.

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