Relating to the issuance of obligations by certain counties to pay the unfunded liabilities of the county to a public retirement system.

SB 2904 allows certain Texas counties (with 800,000+ residents adjacent to counties with 4 million+ residents) to issue bonds to pay pension debts owed to public retirement systems. Counties must obtain voter approval and sign a written agreement with the retirement system detailing the debt amount and repayment terms. Proceeds from these bonds go directly into the pension system’s assets, and counties cannot use property tax revenue to repay the bonds. This bill creates a new process for counties to address unfunded pension liabilities while requiring public approval.