Bill Summary – FastDemocracy

S-4558.2
                                 SENATE BILL 6315
     State of Washington         68th Legislature       2024 Regular Session
     By Senators Robinson, Conway, Hasegawa,        Hunt,   Kuderer,   MacEwen,
     Muzzall, Pedersen, Randall, and Valdez
     Read first time 02/02/24.   Referred to Committee on Ways & Means.
     AN ACT Relating to benefits available to retirees of the state's
 retirement   systems;  amending   RCW   41.32.4992,  41.40.1987, and
 41.05.085; and adding a new section to chapter 41.05 RCW.
 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:
     Sec. 1.   RCW 41.32.4992 and 2023 c 397 s 3 are each amended to
 read as follows:
     (1) Beneficiaries who are receiving a monthly benefit from the
 teachers' retirement system plan 1 on July 1, 2017, shall receive,
 effective July 1, 2018, an increase to their monthly benefit of one
 and one-half percent multiplied by the beneficiaries' monthly
 benefit, not to exceed $62.50.
     (2) Beneficiaries who are receiving a monthly benefit from the
 teachers' retirement system plan 1 on July 1, 2019, shall receive,
 effective July 1, 2020, an increase to their monthly benefit of three
 percent multiplied by the beneficiaries' monthly benefit, not to
 exceed $62.50.
     (3) Beneficiaries who are receiving a monthly benefit from the
 teachers' retirement system plan 1 on July 1, 2021, shall receive,
 effective July 1, 2022, an increase to their monthly benefit of three
 percent multiplied by the beneficiaries' monthly benefit, not to
 exceed $110.00.
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     (4) Beneficiaries who are receiving a monthly benefit from the
 teachers' retirement system plan 1 on July 1, 2022, shall receive,
 effective July 1, 2023, an increase to their monthly benefit of three
 percent multiplied by the beneficiaries' monthly benefit, not to
 exceed $110.00.
     (5) Beneficiaries who are receiving a monthly benefit from the
 teachers' retirement system plan 1 on July 1, 2023, shall receive,
 effective July 1, 2024, an increase to their monthly benefit of three
 percent multiplied by the beneficiaries' monthly benefit, not to
 exceed $125.00.
     (6) This section does not apply to those receiving benefits
 pursuant to RCW 41.32.489 or 41.32.540.
     Sec. 2.   RCW 41.40.1987 and 2023 c 397 s 4 are each amended to
 read as follows:
     (1) Beneficiaries who are receiving a monthly benefit from the
 public employees' retirement system plan 1 on July 1, 2017, shall
 receive, effective July 1, 2018, an increase to their monthly benefit
 of one and one-half percent multiplied by the beneficiaries' monthly
 benefit, not to exceed $62.50.
     (2) Beneficiaries who are receiving a monthly benefit from the
 public employees' retirement system plan 1 on July 1, 2019, shall
 receive, effective July 1, 2020, an increase to their monthly benefit
 of three percent multiplied by the beneficiaries' monthly benefit,
 not to exceed $62.50.
     (3) Beneficiaries who are receiving a monthly benefit from the
 public employees' retirement system plan 1 on July 1, 2021, shall
 receive, effective July 1, 2022, an increase to their monthly benefit
 of three percent multiplied by the beneficiaries' monthly benefit,
 not to exceed $110.00.
     (4) Beneficiaries who are receiving a monthly benefit from the
 public employees' retirement system plan 1 on July 1, 2022, shall
 receive, effective July 1, 2023, an increase to their monthly benefit
 of three percent multiplied by the beneficiaries' monthly benefit,
 not to exceed $110.00.
     (5) Beneficiaries who are receiving a monthly benefit from the
 public employees' retirement system plan 1 on July 1, 2023, shall
 receive, effective July 1, 2024, an increase to their monthly benefit
 of three percent multiplied by the beneficiaries' monthly benefit,
 not to exceed $125.00.
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     (6) This section does     not   apply   to   those   receiving   benefits
 pursuant to RCW 41.40.1984.
     NEW SECTION.   Sec. 3.   A new section is added to chapter 41.05
 RCW to read as follows:
     Any self-insured medical plan offered as of January 1, 2025, by
 the public employees' benefits board to the persons described in RCW
 41.05.080(1) shall apply any savings incurred when the plan is the
 secondary payer, after coordination of coverage with medicare, to
 reduce the plan's overall medical claims costs and will not record
 savings as a benefit reserve for the covered person to pay any
 allowable expenses not otherwise paid by the plan.
     Sec. 4.   RCW 41.05.085 and 2018 c 260 s 16 are each amended to
 read as follows:
     (1) ((Beginning with the appropriations act for the 2005-2007
 biennium, the)) The legislature shall establish as part of both the
 state employees' and the school and educational service district
 employees' insurance benefit allocation the portion of the allocation
 to be used to provide a ((prescription drug)) subsidy to reduce the
 ((health care)) medical and prescription drug insurance premium((s))
 charged to retired or disabled school district and educational
 service district employees, or retired state employees, who are
 eligible for parts A and B of medicare. ((The legislature may also
 establish a separate health care subsidy to reduce insurance premiums
 charged to individuals who select a medicare supplemental insurance
 policy option established in RCW 41.05.195.))
     (2) The amount of any premium reduction shall be established by
 the public employees' benefits board. The amount established shall
 not result in a premium reduction of more than fifty percent, except
 as provided in subsection (3) of this section. The public employees'
 benefits board may also determine the amount of any subsidy to be
 available to spouses and dependents.
     (3) The amount of the premium reduction in subsection (2) of this
 section may exceed fifty percent, if the director, in consultation
 with the office of financial management, determines that it is
 necessary in order to meet eligibility requirements to participate in
 the federal employer incentive program as provided in RCW 41.05.068.
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Statutes affected: 
Original Bill: 41.32.4992, 41.32.489, 41.05.085