Senate Bill No. 226–Committee on Government Affairs

 

(On Behalf of Washoe County)

 

February 21, 2001

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Referred to Committee on Government Affairs

 

SUMMARY—Removes limitation on amount of cost of premiums for health insurance that certain governmental entities may pay for retired employees. (BDR 23‑320)

 

FISCAL NOTE:            Effect on Local Government: No.

                                    Effect on the State: No.

 

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EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

AN ACT relating to public employees; removing the limitation on the amount of the cost of premiums for health insurance that certain governmental entities may pay for retired employees; and providing other matters properly relating thereto.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

1-1    Section 1. NRS 287.023 is hereby amended to read as follows:

1-2    287.023  1.  Whenever an officer or employee of the governing body

1-3  of any county, school district, municipal corporation, political subdivision,

1-4  public corporation or other public agency of the State of Nevada retires

1-5  under the conditions set forth in NRS 286.510 or 286.620 and, at the time

1-6  of his retirement, was covered or had his dependents covered by any group

1-7  insurance or medical and hospital service established pursuant to NRS

1-8  287.010 and 287.020, the officer or employee has the option upon

1-9  retirement to cancel or continue any such group insurance or medical and

1-10  hospital service coverage or join the public employees’ benefits program to

1-11  the extent that such coverage is not provided to him or a dependent by the

1-12  Health Insurance for the Aged Act, 42 U.S.C. §§ 1395 et seq.

1-13    2.  A retired person who continues coverage under the public

1-14  employees’ benefits program shall assume the portion of the premium or

1-15  membership costs for the coverage continued which the governing body

1-16  does not pay on behalf of retired officers or employees. A person who joins

1-17  the public employees’ benefits program for the first time upon retirement

1-18  shall assume all costs for the coverage. A dependent of such a retired

1-19  person has the option, which may be exercised to the same extent and in

1-20  the same manner as the retired person, to cancel or continue coverage in

2-1  effect on the date the retired person dies. The dependent is not required to

2-2  continue to receive retirement payments from the public employees’

2-3  retirement system to continue coverage.

2-4    3.  Except as otherwise provided in NRS 287.0235, notice of the

2-5  selection of the option must be given in writing to the last public employer

2-6  of the officer or employee within 30 days after the date of retirement or

2-7  death, as the case may be. If no notice is given by that date, the retired

2-8  employee and his dependents shall be deemed to have selected the option

2-9  to cancel the coverage or not to join the public employees’ benefits

2-10  program, as the case may be.

2-11    4.  The governing body of any county, school district, municipal

2-12  corporation, political subdivision, public corporation or other public

2-13  agency of this state may pay the cost, or any part of the cost, of group

2-14  insurance and medical and hospital service coverage for persons eligible

2-15  for that coverage pursuant to subsection 1 . [, but it must not pay a greater

2-16  portion than it does for its current officers and employees.]

2-17    Sec. 2.  This act becomes effective on July 1, 2001.

 

2-18  H