Bill Summary for H 1213 (2013-2014)

Summary date: 

May 27 2014

Bill Information:

View NCGA Bill Details2013-2014 Session
House Bill 1213 (Public) Filed Tuesday, May 27, 2014
AN ACT TO ALLOW LOCAL GOVERNMENT UNITS TO ENROLL THEIR EMPLOYEES, RETIREES, AND DEPENDENTS IN THE STATE HEALTH PLAN FOR TEACHERS AND STATE EMPLOYEES, SUBJECT TO CERTAIN CONDITIONS.
Intro. by Ramsey.

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Bill summary

Amends GS 135-48.1(11) to expand the definition foremploying unitas the term is used in GS Chapter 135, Article 3B, State Health Plan for Teachers and State Employees (Plan) to include a local government unit that participates in the Plan under GS 153-48.47 or any other law.

Amends GS 135-48.8 to declare that the state deems it to be in the public interest for local government units to be allowed to join the Plan and to participate in the Plan until January 1, 2018.

Enacts new GS 135-48.47 to provide that local government employees, retirees, and dependents of local government employees and retirees are eligible to participate in the Plan as provided in Part 4 of Article 3B of GS Chapter 135. However, does not guarantee participation in the Plan for employees, retirees, and dependents participating under this section. Provides that participation is contingent on their respective local government units (1) choosing to participate in the Plan and (2) complying with the provisions of this section and this Article, as well as any policies adopted by the Plan. Lists the eight participation requirements that govern a local government unit's participation in the Plan. Provides that eligibility under this section sunsets January 1, 2018, except that local government retirees who retired prior to that date and were covered under this section, and their dependents, will continue to be eligible for coverage under this section.

Makes conforming changes to GS 135-48.55 to provide that its provisions regarding interest charged late premiums due the Plan from employing units apply to local government units.

Permits any local government unit participating in the Plan as of the effective date of this act to elect to be subject to the new requirements in GS 135-48.47, as enacted by this act, regardless of any prior session law, action by the Board of Trustees for the Plan or the predecessor plan to the current Plan, or other law. Directs local government units electing to participate in the Plan under GS 135-48.47 to stop making monthly contributions to the Retirement System for Teachers and State Employees (Retirement System) in the month in which coverage begins under GS 135-48.47. Provides that local government units are not entitled to a refund of any prior contributions of the Retirement System. Declares that nothing in this section nor electing to participate in the Plan under GS 135-48.47 is to have an impact on any existing debt owed by any local government unit to the Retirement System.

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