Text: SF00433 Text: SF00435 Text: SF00400 - SF00499 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-EIGHT 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, the legislative branch of the state, or the
1 9 judicial branch of the state who is a member of the Iowa
1 10 public employees' retirement system or the Iowa department of
1 11 public safety peace officers' retirement, accident, and
1 12 disability system, who at the date of termination of
1 13 employment is receiving full health or medical insurance
1 14 benefits pursuant to a health or medical insurance program in
1 15 which the state makes contributions, and is not receiving
1 16 disability payments under the state employees' disability
1 17 insurance program, and who is not a member of the general
1 18 assembly. "Member" does not mean an employee of the state
1 19 board of regents.
1 20 2. A member with at least twenty years of membership
1 21 service who retires on or after July 9, 1999, and before
1 22 February 1, 2000, who applies to receive retirement benefits
1 23 under this Act prior to February 1, 2000, who has attained at
1 24 least the age of fifty-eight at the time of retirement, and
1 25 who was a participant in a health or medical insurance program
1 26 in which the state makes contributions at the time of
1 27 retirement, may continue to participate in the health or
1 28 medical insurance program in which the member is enrolled on
1 29 April 1, 1999, as authorized by law. However, a member may
1 30 choose to participate in a health or medical insurance program
1 31 after April 1, 1999, which incurs less cost to the state.
1 32 Notwithstanding any other provision of law to the contrary,
1 33 the member shall remain eligible to participate in a health or
1 34 medical insurance program as provided by this section and the
1 35 state shall continue to pay the employer's portion of the
2 1 premium at the cost existing at the time of retirement under
2 2 the program for the retiree until the retiree attains the age
2 3 of sixty-five. Any additional premium costs for coverage
2 4 incurred after the time of retirement shall be paid by the
2 5 retiree. However, in order to have the state continue to pay
2 6 the employer's portion of the premium, the member must send
2 7 written notification to the department of personnel at any
2 8 time after the effective date of this section and prior to
2 9 November 1, 1999, of the intent to retire and the anticipated
2 10 date of retirement.
2 11 3. If a member continues participation in a health or
2 12 medical insurance program and the state pays premiums as
2 13 authorized in subsection 2, the member is not eligible to
2 14 accept further employment in which the state or a political
2 15 subdivision of the state is the employer. However, this
2 16 subsection shall not apply to a member who is elected to a
2 17 public office as defined in chapter 56.
2 18 4. A state department shall not be required to delete more
2 19 than its proportionate share of all general fund full-time
2 20 equivalent positions vacated due to the incentive for
2 21 retirement established in subsection 2. All positions vacated
2 22 by a member exercising the rights established in subsection 2
2 23 shall be deleted, and the savings, as determined by the
2 24 department of management, shall revert to the originating fund
2 25 in a manner specified by the department of management, except
2 26 that the portion of the savings which represents the cost of
2 27 the employer's portion of a member's premium payable under
2 28 this section shall not revert but shall be transferred to the
2 29 department of revenue and finance to defray the costs of
2 30 implementing this section. A state department may use a
2 31 portion of the savings related to a deleted position to
2 32 purchase technology or other equipment if the department of
2 33 management determines that this purchase is necessary to
2 34 maintain necessary levels of service for the state department.
2 35 However, if an affected department determines that the vacancy
3 1 may be detrimental to critical services provided to the
3 2 public, the affected department may, with the approval of the
3 3 department of management, exchange the vacancy with a position
3 4 or positions determined by the department of management to be
3 5 of an equal value, and delete that position or positions. If
3 6 a position is not available for exchange, the department may,
3 7 with the approval of the director of the department of
3 8 management, retain and fill the vacancy. It is the intent of
3 9 the general assembly that retirement taken pursuant to this
3 10 section be used to eliminate the greatest number of employment
3 11 positions as is feasible. The department of management shall
3 12 report to the fiscal committee of the legislative council and
3 13 legislative fiscal bureau the number of vacancies retained and
3 14 filled pursuant to this subsection.
3 15 It is the intent of the general assembly that the cost of
3 16 premiums incurred by a state department be included within
3 17 that department's annual budget and be paid from originating
3 18 funds.
3 19 Sec. 2. EFFECTIVE DATE. This Act, being deemed of
3 20 immediate importance, takes effect upon enactment.
3 21 EXPLANATION
3 22 The bill allows employees of the executive branch,
3 23 legislative branch, or the judicial branch of the state who
3 24 are members of the Iowa public employees' retirement system or
3 25 the Iowa department of public safety peace officers'
3 26 retirement, accident, and disability system, who at the date
3 27 of retirement are receiving full health or medical insurance
3 28 benefits pursuant to a program to which the state contributes,
3 29 and who are not receiving disability payments under the state
3 30 employees' disability insurance program, and who have at least
3 31 20 years of membership service, to continue to participate in
3 32 the health or medical insurance program in which the employees
3 33 are enrolled on April 1, 1999, until age 65. This provision
3 34 applies to employees who retire on or after July 9, 1999, and
3 35 before February 1, 2000, who notify the department of
4 1 personnel by November 1, 1999, of their intent to retire and
4 2 who apply to receive benefits under this bill prior to
4 3 February 1, 2000, and who are at least 58 years of age at the
4 4 time of retirement.
4 5 Under the bill, the state will continue to pay the
4 6 employer's portion of the premium at the cost existing at the
4 7 time of retirement under the program for a retiree until the
4 8 retiree reaches the age of 65. Any additional premium costs
4 9 for coverage incurred after the time of retirement will be
4 10 paid by the retiree. A retiree who participates in the
4 11 program cannot accept further employment with the state or a
4 12 political subdivision of the state, other than election to
4 13 public office. This portion of the bill does not apply to
4 14 members of the general assembly or employees of the state
4 15 board of regents.
4 16 The bill further provides that positions in government
4 17 vacated by persons exercising the right to receive the
4 18 retirement incentives of this bill will not be replaced unless
4 19 the affected department establishes, to the satisfaction of
4 20 the department of management, that the position is critical
4 21 and should not be eliminated.
4 22 This bill takes effect upon enactment.
4 23 LSB 1653SV 78
4 24 ec/cf/24
Text: SF00433 Text: SF00435 Text: SF00400 - SF00499 Text: SF Index Bills and Amendments: General Index Bill History: General Index
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