Text: SF00369 Text: SF00371 Text: SF00300 - SF00399 Text: SF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN
1 1 Section 1. PARTICIPATION IN HEALTH OR MEDICAL INSURANCE
1 2 PROGRAMS BY RETIREES AGE FIFTY-FIVE OR OLDER.
1 3 1. As used in this section, unless the context otherwise
1 4 requires:
1 5 a. "Health or medical insurance program" means a health or
1 6 medical group insurance plan for employees of the state.
1 7 b. "Member" means an employee of the executive branch of
1 8 the state or the judicial branch of the state who is a member
1 9 of the Iowa public employees' retirement system or the Iowa
1 10 department of public safety peace officers' retirement,
1 11 accident, and disability system, who at the date of
1 12 termination of employment is receiving full health or medical
1 13 insurance benefits pursuant to a health or medical insurance
1 14 program in which the state makes contributions, and is not
1 15 receiving disability payments under the state employees'
1 16 disability insurance program, and who is not a member of the
1 17 general assembly. "Member" does not mean an employee of the
1 18 state board of regents.
1 19 2. A member with at least twenty years of membership
1 20 service who retires on or after July 9, 1999, and before
1 21 February 1, 2000, who applies to receive retirement benefits
1 22 under this Act prior to February 1, 2000, who has attained at
1 23 least the age of fifty-five at the time of retirement, and who
1 24 was a participant in a health or medical insurance program in
1 25 which the state makes contributions at the time of retirement,
1 26 may continue to participate in the health or medical insurance
1 27 program in which the member is enrolled on April 1, 1999, as
1 28 authorized by law. However, a member may choose to
1 29 participate in a health or medical insurance program after
1 30 April 1, 1999, which incurs less cost to the state.
1 31 Notwithstanding any other provision of law to the contrary,
1 32 the member shall remain eligible to participate in a health or
1 33 medical insurance program as provided by this section and the
1 34 state shall continue to pay the employer's portion of the
1 35 premium at the cost existing at the time of retirement under
2 1 the program for the retiree until the retiree attains the age
2 2 of sixty-five. Any additional premium costs for coverage
2 3 incurred after the time of retirement shall be paid by the
2 4 retiree. However, in order to have the state continue to pay
2 5 the employer's portion of the premium, the member must send
2 6 written notification to the department of personnel at any
2 7 time after the effective date of this section and prior to
2 8 November 1, 1999, of the intent to retire and the anticipated
2 9 date of retirement.
2 10 3. If a member continues participation in a health or
2 11 medical insurance program and the state pays premiums as
2 12 authorized in subsection 2, the member is not eligible to
2 13 accept further employment in which the state or a political
2 14 subdivision of the state is the employer. However, this
2 15 subsection shall not apply to a member who is elected to a
2 16 public office as defined in chapter 56.
2 17 4. A state department shall not be required to delete more
2 18 than its proportionate share of all general fund full-time
2 19 equivalent positions vacated due to the incentive for
2 20 retirement established in subsection 2. All positions vacated
2 21 by a member exercising the rights established in subsection 2
2 22 shall be deleted, and the savings, as determined by the
2 23 department of management, shall revert to the originating fund
2 24 in a manner specified by the department of management, except
2 25 that the portion of the savings which represents the cost of
2 26 the employer's portion of a member's premium payable under
2 27 this section shall not revert but shall be transferred to the
2 28 department of revenue and finance to defray the costs of
2 29 implementing this section. A state department may use a
2 30 portion of the savings related to a deleted position to
2 31 purchase technology or other equipment if the department of
2 32 management determines that this purchase is necessary to
2 33 maintain necessary levels of service for the state department.
2 34 However, if an affected department determines that the vacancy
2 35 may be detrimental to critical services provided to the
3 1 public, the affected department may, with the approval of the
3 2 department of management, exchange the vacancy with a position
3 3 or positions determined by the department of management to be
3 4 of an equal value, and delete that position or positions. If
3 5 a position is not available for exchange, the department may,
3 6 with the approval of the director of the department of
3 7 management, retain and fill the vacancy. It is the intent of
3 8 the general assembly that retirement taken pursuant to this
3 9 section be used to eliminate the greatest number of employment
3 10 positions as is feasible. The department of management shall
3 11 report to the fiscal committee of the legislative council and
3 12 legislative fiscal bureau the number of vacancies retained and
3 13 filled pursuant to this subsection.
3 14 It is the intent of the general assembly that the cost of
3 15 premiums incurred by a state department be included within
3 16 that department's annual budget and be paid from originating
3 17 funds.
3 18 Sec. 2. EFFECTIVE DATE. This Act, being deemed of
3 19 immediate importance, takes effect upon enactment.
3 20 EXPLANATION
3 21 The bill allows employees of the executive branch or the
3 22 judicial branch of the state who are members of the Iowa
3 23 public employees' retirement system or the Iowa department of
3 24 public safety peace officers' retirement, accident, and
3 25 disability system, who at the date of retirement are receiving
3 26 full health or medical insurance benefits pursuant to a
3 27 program in which the state contributes, and who are not
3 28 receiving disability payments under the state employees'
3 29 disability insurance program, and who have at least 20 years
3 30 of membership service, to continue to participate in the
3 31 health or medical insurance program in which the employees are
3 32 enrolled on April 1, 1999, until age 65. This provision
3 33 applies to employees who retire on or after July 9, 1999, and
3 34 before February 1, 2000, who notify the department of
3 35 personnel by November 1, 1999, of their intent to retire and
4 1 who apply to receive benefits under this bill prior to
4 2 February 1, 2000, and who are at least 55 years of age at the
4 3 time of retirement.
4 4 Under the bill, the state will continue to pay the
4 5 employer's portion of the premium at the cost existing at the
4 6 time of retirement under the program for a retiree until the
4 7 retiree reaches the age of 65. Any additional premium costs
4 8 for coverage incurred after the time of retirement will be
4 9 paid by the retiree. A retiree who participates in the
4 10 program cannot accept further employment with the state or a
4 11 political subdivision of the state, other than election to
4 12 public office. This portion of the bill does not apply to
4 13 members of the general assembly or employees of the state
4 14 board of regents.
4 15 The bill further provides that positions in government
4 16 vacated by persons exercising the right to receive the
4 17 retirement incentives of this bill will not be replaced unless
4 18 the affected department establishes, to the satisfaction of
4 19 the department of management, that the position is critical
4 20 and should not be eliminated.
4 21 This bill takes effect upon enactment.
4 22 LSB 1653XS 78
4 23 ec/cf/24.1
Text: SF00369 Text: SF00371 Text: SF00300 - SF00399 Text: SF Index Bills and Amendments: General Index Bill History: General Index
© 1999 Cornell College and League of Women Voters of Iowa
Comments about this site or page?
webmaster@legis.iowa.gov.
Please remember that the person listed above does not vote on bills. Direct all comments concerning legislation to State Legislators.
Last update: Wed Jan 12 05:55:00 CST 2000
URL: /DOCS/GA/78GA/Legislation/SF/00300/SF00370/990310.html
jhf