1. (a) In this section:

   1. (1) The term "Act" means the Texas Government Code, Title 8, Subtitle F as amended. Unless otherwise indicated, all section numbers refer to sections of the Act.
   2. (2) The term "credited service" means membership service for determining retirement eligibility only. Member contributions and monetary credits are not required or permitted with respect to credited service for qualified military service established after December 31, 1999.
   3. (3) The term "eligible member" means a member of an eligible subdivision who has performed, as an employee, at least 10 years of service credited in the retirement system; who does not receive and is not eligible to receive federal retirement payments based on 20 years or more of active federal military duty or its equivalent; who has performed qualified military service; and who has been released from military duty under honorable conditions.
   4. (4) The term "eligible subdivision" means a subdivision whose governing board has adopted the optional authorization for the establishment of credited service in the retirement system for qualified military service under Section 843.601(c).
   5. (5) The term "qualified military service" means service in the uniformed services as defined in 38 U.S.C. Section 4303(13). It excludes that service which was performed in a month for which the member has received credited service in this retirement system under any other provision of the Act, and that service which is credited by another retirement system or program established or governed by state law. A member may not receive more than one month of credited service for any month.
2. (b) An eligible member may receive one month of credited service in the retirement system for each month of qualified military service performed while on active duty. A member may receive one month of credited service in the retirement system for each 12 months or fraction of months of qualified military service performed while on inactive duty. An eligible member may not accumulate more than a combined total of 60 months of credited service in the retirement system for qualified military service under Section 843.601 and for membership credited service under Section 842.109(b).
3. (c) The governing body of an eligible subdivision that has adopted the Optional Benefit Eligibility Plan Two described by Section 844.210 may authorize a reduction in the minimum credited service requirement for eligibility to establish credit under Section 843.601(c) from 10 to 8 years. The reduction may not take effect until January 1 of the year following the year in which the authorization was adopted except that a reduction authorized by an eligible subdivision that begins participation after December 31, 1999 may take effect on the date the subdivision begins participation.

Source Note:The provisions of this §105.3 adopted to be effective April 9, 2000, 25 TexReg 3057.