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Texas Labor Code

§ 203.028 — SOLVENCY OF COMPENSATION FUND; RESERVE

LA § 203.028Title 4. EMPLOYMENT SERVICES AND UNEMPLOYMENT · Part A. TEXAS UNEMPLOYMENT COMPENSATION ACT · Ch. 203. FINANCING AND FUNDS · Art. B. UNEMPLOYMENT COMPENSATION FUND

Statute text

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(a)If the commission believes that a change in contribution or benefit rates will become necessary to protect the solvency of the compensation fund, it shall inform the governor and legislature of its belief and when the change will become necessary and shall make recommendations for the necessary change.
(b)The commission, if possible, shall maintain in the compensation fund a reserve against the liability to pay benefits in future years in excess of current contributions. The commission shall create the reserve according to accepted actuarial principles using statistics of employment, business activity, and other relevant factors for the longest possible period.

Legislative history

Acts 1993, 73rd Leg., ch. 269, Sec. 1, eff. Sept. 1, 1993.