The bill amends section 12a of the 1851 PA 156, enhancing the powers and duties of county boards of commissioners in Michigan regarding employee benefits. It allows these boards to provide various insurance coverages, including group life, health, accident, hospitalization, and disability for county employees and their dependents. Notably, counties with 100 or more employees are permitted to self-insure for health and disability coverage. The bill also sets forth guidelines for retirement benefits, mandating that at least 60% of these benefits be based on a uniform percentage of the employee's average final compensation, and it establishes eligibility criteria for employees. Additionally, it ensures that dependents of employees who become disabled or die while employed receive appropriate benefits.

Furthermore, the bill introduces provisions for the administration and investment of pension and retirement benefits, allowing county boards to establish a board of trustees for managing these plans. It includes provisions for military service credit, enabling eligible members to purchase credited service for up to five years of active duty. The bill modifies the payment of pension benefits for retirants who return to county employment, stipulating that payments resume without changes upon reemployment. It also addresses recalculation of pension benefits in the event of increased compensation percentages and outlines the handling of retirement allowances in divorce cases. Lastly, it mandates the creation of a written policy for uniform application of these provisions and clarifies that pension benefits are subject to the Protecting Local Government Retirement and Benefits Act.

Statutes affected:
House Introduced Bill: 46.12