Background Information

On September 6, 2023, Austin Firefighters Retirement Fund received a Funding Soundness Restoration Plan (FSRP) “At Risk” notification from the Texas Pension Review Board (PRB). In response to the FSRP notification, the AFRF Board decided to proactively pursue the development of a Voluntary FSRP in advance of triggering the mandatory requirement, which would have incurred additional challenges for the Fund. The Board created the Pension Funding Working Group comprised of two trustees, Vice Chair John Bass and Chief Doug Fowler. The Board directed the Working Group to collaborate with the Fund staff and actuary to assess the financial health of the plan and to project any future funding concerns, and then to collaborate with the City of Austin to develop the Voluntary FSRP. The Fund kept the membership apprised of the situation and solicited their feedback for consideration.

Current Status

As of June 20, 2025, AFRF and the City of Austin’s joint legislative bill was carried forward by Representative Bucy as HB 2802 and was sponsored by Senator Schwertner in the Senate. The bill was voted on and passed the House and the Senate after receiving a unanimous vote of approval in both the House Pensions Committee and the Senate Finance Committee. The bill has now been signed by Governor Abbott and will become law as of September 1, 2025, with most provisions specified to take effect January 1, 2026. Please refer to the documents and board meeting minutes below for more information:

Compromise Bill Summary Memorandum of Understanding Summary of Plan Provisions