SB404

Senate Bill No. 404–Senators James, Townsend, O’Connell, Rawson,

Carlton, Amodei, Care, Coffin, Jacobsen, Mathews, McGinness, Neal,

Porter, Raggio, Rhoads, Schneider, Shaffer, Titus, Washington

and Wiener

CHAPTER........

AN ACT relating to programs for public employees; providing for coverage under certain

programs of group insurance or other medical or hospital service without charge for

the surviving spouse and any surviving child of certain police officers and firemen;

and providing other matters properly relating thereto.

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. Chapter 287 of NRS is hereby amended by adding thereto

the provisions set forth as sections 2 and 3 of this act.

Sec. 2. 1. Except as otherwise provided in subsection 3, the

surviving spouse and any surviving child of a police officer or fireman

who was:

(a) Employed by a public agency that had established group insurance

or medical and hospital service pursuant to NRS 287.010, 287.020 or

287.025; and

(b) Killed in the line of duty,

may elect to accept or continue coverage under that group insurance or

medical and hospital service if the police officer or fireman was a

participant or would have been eligible to participate in the group

insurance or medical and hospital service on the date of the death of the

police officer or fireman. If the surviving spouse or child elects to accept

coverage under the group insurance or medical and hospital service in

which the police officer or fireman would have been eligible to

participate or to discontinue coverage under the group insurance or

medical and hospital service in which the police officer or fireman was a

participant, the spouse, child or legal guardian of the child must notify in

writing the public agency that employed the police officer or fireman

within 60 days after the date of death of the police officer or fireman.

2. The public agency that employed the police officer or fireman

shall pay the entire cost of the premiums or contributions for the group

insurance or medical and hospital service for the surviving spouse or

child who meets the requirements set forth in subsection 1.

3. A surviving spouse is eligible to receive coverage pursuant to this

section for the duration of the life of the surviving spouse. A surviving

child is eligible to receive coverage pursuant to this section until the child

reaches:

(a) The age of 18 years; or

(b) The age of 23 years, if the child is enrolled as a full-time student

in an accredited university, college or trade school.

4. As used in this section "police officer" has the meaning ascribed

to it in NRS 617.135.

Sec. 3. 1. Except as otherwise provided in subsection 4, the

surviving spouse and any surviving child of a police officer or fireman

who was employed by a participating public agency and who was killed

in the line of duty may join or continue coverage under the state’s

program of group insurance if the police officer or fireman was a

participant or would have been eligible to participate on the date of the

death of the police officer or fireman. If the surviving spouse or child

elects to join or discontinue coverage under the state’s program of group

insurance pursuant to this subsection, the spouse, child or legal guardian

of the child must notify in writing the participating public agency that

employed the police officer or fireman within 60 days after the date of

death of the police officer or fireman.

2. Except as otherwise provided in subsection 4, the surviving spouse

and any surviving child of a volunteer fireman who was killed in the line

of duty and who was officially a member of a volunteer fire department

in this state is eligible to join the state’s program of group insurance. If

such a spouse or child elects to join the state’s program of group

insurance, the spouse, child or legal guardian of the child must notify in

writing the committee on benefits within 60 days after the date of death

of the volunteer fireman.

3. The participating public agency that employed the police officer or

fireman shall pay the entire cost of the premiums or contributions for the

state’s program of group insurance for the surviving spouse or child who

meets the requirements set forth in subsection 1. The State of Nevada

shall pay the entire cost of the premiums or contributions for the state’s

program of group insurance for the surviving spouse or child who elects

to join the state’s program of group insurance pursuant to subsection 2.

4. A surviving spouse is eligible to receive coverage pursuant to this

section for the duration of the life of the surviving spouse. A surviving

child is eligible to receive coverage pursuant to this section until the child

reaches:

(a) The age of 18 years; or

(b) The age of 23 years, if the child is enrolled as a full-time student

in an accredited university, college or trade school.

5. As used in this section "police officer" has the meaning ascribed

to it in NRS 617.135.

Sec. 4. NRS 287.040 is hereby amended to read as follows:

287.040 The provisions of NRS 287.010 to 287.040, inclusive, and

section 2 of this act, do not make it compulsory upon any governing body

of any county, school district, municipal corporation, political subdivision,

public corporation or other public agency of the State of Nevada to , except

as otherwise provided in section 2 of this act, make any contributions for

the payment of any premiums or other costs for group insurance or medical

or hospital services, or upon any officer or employee of any county, school

district, municipal corporation, political subdivision, public corporation or

other public agency of this state to accept or join any plan of group

insurance or to assign his wages or salary or to authorize deductions from

his wages or salary in payment of premiums therefor.

Sec. 5. NRS 287.043 is hereby amended to read as follows:

287.043 The committee on benefits shall:

1. Act as an advisory body on matters relating to group life, accident or

health insurance, or any combination of these, a program to reduce taxable

compensation or other forms of compensation other than deferred

compensation, for the benefit of all state officers and employees and other

persons who participate in the state’s program of group insurance.

2. Except as otherwise provided in this subsection, negotiate and

contract with the governing body of any public agency enumerated in NRS

287.010 which is desirous of obtaining group insurance for its officers,

employees and retired employees by participation in the state’s program of

group insurance. The committee shall establish separate rates and coverage

for those officers, employees and retired employees based on actuarial

reports.

3. Give public notice in writing of proposed changes in rates or

coverage to each participating public employer who may be affected by the

changes. Notice must be provided at least 30 days before the effective date

of the changes.

4. Purchase policies of life, accident or health insurance, or any

combination of these, or a program to reduce the amount of taxable

compensation pursuant to 26 U.S.C. § 125, from any company qualified to

do business in this state or provide similar coverage through a plan of self-

insurance for the benefit of all eligible public officers, employees and

retired employees who participate in the state’s program.

5. Consult the state risk manager and obtain his advice in the

performance of the duties set forth in this section.

6. Except as otherwise provided in this Title, develop and establish

other employee benefits as necessary.

7. Adopt such regulations and perform such other duties as are

necessary to carry out the provisions of NRS 287.041 to 287.049, inclusive,

and sections 2 and 3 of this act, including the establishment of:

(a) Fees for applications for participation in the state’s program and for

the late payment of premiums;

(b) Conditions for entry and reentry into the state’s program by public

agencies enumerated in NRS 287.010; and

employees of participating public agencies.

8. Appoint an independent certified public accountant. The accountant

shall provide an annual audit of the plan and report to the committee and

the legislative commission.

For the purposes of this section, "employee benefits" includes any form of

compensation provided to a state employee pursuant to this Title except

federal benefits, wages earned, legal holidays, deferred compensation and

benefits available pursuant to chapter 286 of NRS.

Sec. 6. NRS 287.044 is hereby amended to read as follows:

287.044 1. A part of the cost of the premiums or contributions for

that group insurance, not to exceed the amount specified by law, applied to

both group life and group accident or health coverage, for each public

officer, except a senator or assemblyman, or employee electing to

participate in the group insurance program, may be paid by the department,

agency, commission or public agency which employs the officer or

employee in whose behalf that part is paid from money appropriated to or

authorized for that department, agency, commission or public agency for

that purpose. Participation by the state in the cost of premiums or

contributions must not exceed the amounts specified by law. If an officer or

employee chooses to cover his dependents, whenever this option is made

available by the committee on benefits, except as otherwise provided in

sections 2 and 3 of this act, he must pay the difference between the amount

of the premium or contribution for the coverage for himself and his

dependents and the amount paid by the state.

2. A department, agency, commission or public agency shall not pay

any part of those premiums if the group life insurance or group accident or

health insurance is not approved by the committee on benefits.

Sec. 7. This act becomes effective upon passage and approval.