SECTION 23.4. Public Participation in Adoption of Rules

(a) "Interested person" means any member of the Teacher Retirement System of Texas (TRS); any beneficiary of a member; any retiree of TRS; any guardian, administrator, or executor of a member, retiree, or beneficiary; or any public school.

(b) Any interested person may informally request adoption of a rule by correspondence or conference with TRS staff members. If satisfactory results cannot be achieved in this manner, any interested person may petition TRS to adopt, amend, or repeal a rule by filing a clear, written request to initiate rulemaking procedures with the executive director. The petition shall set forth the exact text of the proposed rule and the petitioner's name and address, and the name, business address, and telephone number of petitioner's counsel, if any. The petition may also include written documents in support of the petition.

(c) The executive director shall grant or deny the petition within 60 days of its receipt. The executive director may consult informally with staff members and the petitioner in reaching a decision. The petition may be amended with consent of the petitioner at any time before a final decision is rendered.

(1) Upon granting the petition in writing, the executive director shall initiate rulemaking proceedings pursuant to the Administrative Procedure Act and the rules and regulations of TRS.

(2) Denial of the petition by the executive director, and reasons therefore, shall be in writing. The petitioner may appeal this decision to the board of trustees provided that a written notice of appeal is filed with the executive director within 10 days after the decision of the executive director is issued. If no such notice of appeal is timely filed, or if the next regularly scheduled meeting of the board of trustees will occur more than 60 days after receipt of the petition by the executive director, and the petitioner is unwilling to waive the deadline for a final decision until that meeting, the decision of the executive director shall be a final decision of TRS. The final decision of the board shall be based on the written petition and written decision of the executive director unless the board orders a hearing on the petition. If the board approves the petition, the executive director shall initiate rulemaking proceedings pursuant to the Administrative Procedure Act and the rules and regulations of TRS.

(d) All interested persons shall be given a reasonable opportunity to submit oral or written data, views, or arguments on a proposed rule to TRS after publication of notice of the proposed rule in the Texas Register.

(e) A written request for a public hearing on a proposed substantive rule may be submitted to the executive director within 10 days after publication of notice of the proposed substantive rule in the Texas Register, provided that the request is made by 25 persons, a governmental subdivision or agency, or an association having at least 25 members. The request shall contain the name and address of each person requesting the hearing and shall clearly specify the proposed rule for which a hearing is requested.

(f) The executive director shall schedule the proposed rule for hearing within a reasonable time but in no event shall the hearing be scheduled earlier than seven days after notice of the hearing date is published. The executive director or the board of trustees may reschedule the hearing in the interest of justice or administrative necessity or for good cause; however, the proposed rule shall not be adopted prior to the requested hearing.

(g) The executive director shall designate himself, a TRS employee, or a specially appointed person as hearing officer to take the testimony of any interested person in support of or in opposition to the rule. The hearing officer shall designate the order of taking testimony and may establish reasonable time limits on oral testimony, provided that reasonable opportunity is given to amplify oral testimony in writing. All hearings will be held in the offices of TRS in Austin, Texas, unless for good cause TRS shall designate another place of hearing.

Source Note: The provisions of this §23.4 adopted to be effective September 11, 1977, 2 TexReg 3277; amended to be effective June 6, 1999, 24 TexReg 4246; amended to be effective March 12, 2003, 28 TexReg 2091; amended to be effective March 8, 2007, 32 TexReg 1078