Sec. 203.028. SOLVENCY OF COMPENSATION FUND; RESERVE. (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.
Acts 1993, 73rd Leg., ch. 269, Sec. 1, eff. Sept. 1, 1993.
Structure Texas Statutes
Title 4 - Employment Services and Unemployment
Subtitle A - Texas Unemployment Compensation Act
Chapter 203 - Financing and Funds
Subchapter B. Unemployment Compensation Fund
Section 203.021. Unemployment Compensation Fund; Separate Accounts
Section 203.022. Composition and Use of Clearing Account
Section 203.023. Requisitions From Federal Trust Fund; Benefit Account
Section 203.025. Use of Requisitioned Money
Section 203.026. Accounts From Which Benefits and Refunds Are Paid
Section 203.027. Unexpended Balance of Benefit Account
Section 203.028. Solvency of Compensation Fund; Reserve
Section 203.029. Refund of Contributions to Federal Instrumentality
Section 203.030. Reimbursement From or to Compensation Fund Under Reciprocal Arrangement
Section 203.031. Nonliability of State
Section 203.032. Management of Compensation Fund on Discontinuance of Federal Trust Fund