Bill Text: HI HB1175 | 2013 | Regular Session | Introduced
Bill Title: Hawaii Employer-union Health Benefits Trust Fund; Retired Employees; State and County Contributions.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2013-01-28 - Referred to LAB, FIN, referral sheet 6 [HB1175 Detail]
Download: Hawaii-2013-HB1175-Introduced.html
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HOUSE OF REPRESENTATIVES |
H.B. NO. |
1175 |
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TWENTY-SEVENTH LEGISLATURE, 2013 |
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STATE OF HAWAII |
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A BILL FOR AN ACT
relating to the hawaii employer-union health benefits trust fund.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. Section 87A-33, Hawaii Revised Statutes, is amended to read as follows:
"§87A-33 State and county contributions; retired employees. (a) Notwithstanding any law to the contrary, this section shall apply to state and county contributions to the fund for:
(1) The dependent-beneficiary of an employee who is killed in the performance of duty;
(2) A dependent-beneficiary, upon the death of the employee-beneficiary, except as provided in section 87A-36;
(3) An employee-beneficiary who retired after June 30, 1984, due to a disability falling within sections 88‑79 and 88-285;
(4) An employee-beneficiary who retired before July 1, 1984;
(5) An employee-beneficiary who:
(A) Was hired before July 1, 1996;
(B) Retired after June 30, 1984; and
(C) Who has ten years or more of credited service, excluding sick leave;
(6) An employee-beneficiary who:
(A) Was hired after June 30, 1996; and
(B) Retired with twenty-five or more years of credited service, excluding sick leave, except as provided in section 87A-36; and
(7) Employees who retired prior to 1961 and their dependent-beneficiaries.
(b) [Effective July 1, 2003, there is
established a base monthly contribution for health benefit plans that the
State, through the department of budget and finance, and the counties, through
their respective departments of finance, shall pay to the fund, up to the
following:
(1) $218 for each employee-beneficiary
enrolled in supplemental medicare self plans;
(2) $671 for each employee-beneficiary
enrolled in supplemental medicare family plans;
(3) $342 for each employee-beneficiary
enrolled in non-medicare self plans; and
(4) $928 for each employee-beneficiary
enrolled in non-medicare family plans.]
The monthly contribution by the State or county shall not exceed the actual cost of the health benefits plan or plans. If both husband and wife are employee-beneficiaries, the total contribution by the State or county shall not exceed the monthly contribution for a supplemental medicare family or non-medicare family plan, as appropriate.
[(c) Effective July 1, 2004, there is
established a base monthly contribution for health benefit plans that the
State, through the department of budget and finance, and the counties, through
their respective departments of finance, shall pay to the fund, up to the
following:
(1) $254 for each employee-beneficiary
enrolled in supplemental medicare self plans;
(2) $787 for each employee-beneficiary
enrolled in supplemental medicare family plans;
(3) $412 for each employee-beneficiary
enrolled in non-medicare self plans; and
(4) $1,089 for each employee-beneficiary
enrolled in non-medicare family plans.
The monthly contribution by the State or
county shall not exceed the actual cost of the health benefit plan or plans and
shall not be required to cover increased benefits above those initially
contracted for by the fund for plan year 2004-2005. If both husband and wife
are employee-beneficiaries, the total contribution by the State or county shall
not exceed the monthly contribution for a supplemental medicare family or
non-medicare family plan, as appropriate.
(d) The base composite monthly contribution
shall be adjusted annually, beginning July 1, 2005. The adjusted base
composite monthly contribution for each new plan year (July 1 until June 30)
shall be calculated by increasing or decreasing the base composite monthly
contribution in effect through the end of the previous plan year by the
percentage increase or decrease in the medicare part B premium rate for those
years, which percentage shall be calculated by dividing the medicare part B
premium rate in effect at the beginning of the new plan year by the rate in
effect at the beginning of the previous plan year.
For the plan year beginning July 1, 2005,
the adjusted base monthly contribution shall be computed using the actual
contracted premium rate as of July 1, 2004, for medicare and non-medicare, self
and family health benefits plans with the highest actual contracted premium
rate as of July 1, 2004.
As used in this subsection, "medicare
part B premium rate" means the rate published in the Federal Register each
year on November 1 or on the business day closest to November 1 of each year
after the medicare part B premium rate has been established by the Secretary of
Health and Human Services and approved by the United States Congress.
(e) The base composite monthly contribution
shall be adjusted annually, beginning January 1, 2013. The adjusted base
composite monthly contribution for each new plan year
(January 1 until December 31) shall be calculated by increasing or decreasing
the base composite monthly contribution in effect through the end of the
previous plan year by the percentage increase or decrease in the medicare part
B premium rate for those years, which percentage shall be calculated by
dividing the medicare part B premium rate in effect at the beginning of the new
plan year by the rate in effect at the beginning of the previous plan year.
For the plan year beginning January 1, 2013,
the adjusted base monthly contribution shall be computed using the base
composite monthly contribution as of July 1, 2012.
As used in this subsection, "medicare
part B premium rate" means the rate published in the Federal Register each
year on November 1 or on the business day closest to November 1 of each year
after the medicare part B premium rate has been established by the United
States Secretary of Health and Human Services and approved by the United States
Congress.
(f)] (c) If the board adopts a rate
structure that provides for other than self and family rates for the health benefit
plans, the base monthly contribution for the rate structure adopted by the board
shall be adjusted to provide the equivalent underwriting cost as the base monthly
contribution that is provided for in this section."
SECTION 2. Section 87A-34, Hawaii Revised Statutes, is amended by amending subsection (b) to read as follows:
"(b) The State, through the department of
budget and finance, and the counties, through their respective departments of
finance, shall pay to the fund a monthly contribution equal to one-half of the
base monthly contribution [set forth under section 87A-33(b)] for
retired employees enrolled in medicare or non-medicare health benefits plans.
If both husband and wife are employee-beneficiaries, the total contribution by
the State or county shall not exceed the monthly contribution for supplemental
medicare family or non-medicare family plan, as appropriate."
SECTION 3. Section 87A-35, Hawaii Revised Statutes, is amended by amending subsection (c) to read as follows:
"(c) The State, through the department of budget and finance, and the counties, through their respective departments of finance, shall pay to the fund:
(1) For retired employees enrolled
in medicare or non-medicare health benefit plans with ten or more years but
fewer than fifteen years of service, a monthly contribution equal to one-half
of the base monthly contribution [set forth under
section 87A-33(b)]; and
(2) For retired employees enrolled
in medicare or non-medicare health benefit plans with at least fifteen but
fewer than twenty-five years of service, a monthly contribution of seventy-five
per cent of the base monthly contribution [set
forth under section 87A‑33(b)].
If both husband and wife are employee-beneficiaries, the total contribution by the State or county shall not exceed the monthly contribution for a supplemental medicare family or non-medicare family plan, as appropriate."
SECTION 4. Section 87A-36, Hawaii Revised Statutes, is amended by amending subsection (c) to read as follows:
"(c) The State, through the department of budget and finance, and the counties, through their respective departments of finance, shall pay to the fund:
(1) For retired employees based on
the self plan with ten or more years but fewer than fifteen years of service, a
monthly contribution equal to one-half of the base medicare or non-medicare
monthly contribution [set forth under section
87A-33(b)];
(2) For retired employees based on
the self plan with at least fifteen but fewer than twenty-five years of
service, a monthly contribution equal to seventy-five per cent of the base
medicare or non-medicare monthly contribution [set forth under section
87A-33(b)];
(3) For retired employees based on
the self plan with twenty-five or more years of service, a monthly contribution
equal to one-hundred per cent of the base medicare or non-medicare monthly
contribution [set forth under section 87A-33(b)]; and
(4) One-half of the monthly contributions for the employee-beneficiary or employee-beneficiary with dependent-beneficiaries upon the death of the employee, as defined in paragraph (1)(E) of the definition of "employee" in section 87A-1.
If both husband and wife are employee-beneficiaries, the total contribution by the State or county shall not exceed the monthly contribution for two supplemental medicare self or non-medicare self plans, as appropriate."
SECTION 5. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
SECTION 6. This Act shall take effect upon its approval.
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INTRODUCED BY: |
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Report Title:
Hawaii Employer-union Health Benefits Trust Fund; Retired Employees; State and County Contributions.
Description:
Repeals provisions relating to the base monthly contributions for health benefit plans paid by the State and counties for retired employees. Repeals the requirement that the base composite monthly contribution shall be adjusted annually and the method of calculation.
The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.
