🟡Relating to the Judicial Retirement System of Texas Plan Two, including resuming service in the retirement system and contributions to the retirement system.

🟡 SB 1738: Judicial pension reentry and recalculation rules

What it says it does:
Lets retired judges return to full time service, pay back into the retirement system, and either keep their old pension or qualify for a recalculated benefit if they serve long enough.

What it actually changes:
Sets a six month waiting period before a retiree can rejoin. Creates a 60 day deadline to elect reentry. Requires 9.5 percent contributions while back in service. If they serve less than 24 months their old pension resumes and contributions are refunded. If they serve 24 months or more their pension is recalculated using the highest salary they actually earned and the extra service credit. Removes an older rule tied to actuarial soundness and replaces it with fixed contribution rules.

Who is pushing for it:
Author is Sen. Joan Huffman. Employees Retirement System of Texas staff registered in support.

Who benefits:
Judges in the Judicial Retirement System Plan Two who want to return to service. ERS benefits from clearer administration and fewer ambiguities.

Who gets left out or exposed:
Other state employees and the public see no direct benefit. Judges who miss the 60 day notice window may unintentionally lose the chance to rejoin.

Why this matters long term:
The bill replaces flexible actuarial checks with fixed statutory thresholds. That creates stability but also locks the system into current assumptions. Over time, contribution rates may not move with costs unless the Legislature revisits them.

What to watch next:
How ERS implements the notice process. Whether judges miss the 60 day election window. Whether the 9.5 percent contribution stays adequate as salaries and actuarial conditions change.

Bottom line:
SB 1738 sets clearer, stricter rules for judges who retire and return to work. It makes pensions more predictable for the judiciary and easier to administer for ERS, but it removes a safeguard tied to the health of the system and puts more weight on fixed rules.

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