(a) The board may provide for and administer retirement, disability, and death compensation funds for the employees of the district.
(b) The board may:
(1) establish a public retirement system as provided by Chapter 810, Government Code; or
(2) provide for a deferred compensation plan as described by Section 457, Internal Revenue Code of 1986.

(c) The board may:
(1) include hospitalization and medical benefits for district employees as part of the compensation paid to the employees; and
(2) adopt or amend a plan or rule as necessary to provide the benefits described by Subdivision (1).
(d) The board may establish a sick leave pool for district employees in the manner provided for state employees by Subchapter A, Chapter 661, Government Code.