This bill amends the State Employees' and Officials' Group Insurance Act to codify and continue the retiree health insurance benefits account, establishing specific contribution rates for eligible retirees participating in the group insurance plan. It introduces a new definition for the "Retiree health insurance benefits account," which will be continuously appropriated for retiree health insurance contributions. The bill specifies that monthly contributions for eligible retirees will be set at $18.40 for each year of service credit (up to 30 years) for non-Medicare eligible retirees, and $9.20 for Medicare eligible retirees. Additionally, it mandates that these rates will be adjusted biennially based on the medical care component of the consumer price index starting July 1, 2028.

Furthermore, the bill outlines the funding mechanisms for these contributions, including provisions for retirees whose effective date of retirement was before July 1, 2008, and those retiring on or after that date. It appropriates $610,000 from the general fund to support contributions for earlier retirees if necessary. The act will take effect on July 1, 2027, and ensures that contributions do not exceed the specified amounts while maintaining the integrity of the retiree health insurance benefits account.

Statutes affected:
27LSO-0165 v0.3: 9-3-203, 9-3-210, 9-3-211