This bill amends Section 39 of P.L.2007, c.103, which outlines the obligations of employers regarding health benefits for school employees and their dependents. It establishes that employers must pay premiums for health benefits coverage, which can be determined through binding collective negotiations agreements. Additionally, it mandates that employees contribute 1.5 percent of their base salary towards health benefits coverage, effective upon the expiration of any existing agreements. The bill also creates a dedicated subaccount within the School Employee Health Benefits Program fund to manage claims and health services fees, ensuring that funds are used solely for providing benefits and administrative costs.

Furthermore, the bill allows the Director of the Division of Pensions and Benefits to temporarily transfer funds from another health benefits fund if the available funds in the primary health benefits fund fall below a certain threshold. This transfer is limited to covering anticipated payments for a maximum of 30 days and must be reimbursed within 120 days, with a possible extension of up to 365 days if necessary. The Director is also required to provide monthly accounting of any transfers and the current balance of the health benefits fund. The act is set to take effect immediately upon approval.

Statutes affected:
Introduced: 52:14-17.46.9
Advance Law: 52:14-17.46.9
Pamphlet Law: 52:14-17.46.9