Bill Text: MI HB5537 | 2011-2012 | 96th Legislature | Introduced


Bill Title: Retirement; legislative; retirement health care benefits for legislators; eliminate. Amends secs. 50b & 75 of 1957 PA 261 (MCL 38.1050b & 38.1075).

Spectrum: Partisan Bill (Democrat 4-0)

Status: (Introduced - Dead) 2012-04-18 - Printed Bill Filed 04/18/2012 [HB5537 Detail]

Download: Michigan-2011-HB5537-Introduced.html

 

 

 

 

 

 

 

 

 

 

 

 

 

 

HOUSE BILL No. 5537

 

April 17, 2012, Introduced by Reps. Slavens, Brown, Lipton and Switalski and referred to the Committee on Government Operations.

 

     A bill to amend 1957 PA 261, entitled

 

"Michigan legislative retirement system act,"

 

by amending sections 50b and 75 (MCL 38.1050b and 38.1075), section

 

50b as amended by 1998 PA 501 and section 75 as amended by 2011 PA

 

200.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 50b. (1) For a retirant or a survivor or beneficiary of a

 

deceased retirant, or for a deferred vested member if that deferred

 

vested member first became a member on or before January 1, 1995,

 

the retirement system shall purchase and pay the premium for

 

hospitalization and medical insurance coverage and dental and

 

vision coverage for the retirant, deferred vested member, and the

 

spouses, eligible children, and survivors of those retirants and

 

deferred vested members. Except as otherwise provided in this

 

section, the retirement system shall provide hospitalization and


 

medical insurance coverage and dental and vision insurance coverage

 

under this section at a level that is equal to or greater than the

 

level of insurance coverage under this section in effect on

 

December 1, 1992. The retirement board may increase the amounts

 

each person who is enrolled in insurance coverage under this

 

section is required to pay for co-pays or deductibles under that

 

insurance coverage.

 

     (2) On and after March 31, 1997, the retirement system shall

 

also pay health insurance premiums described in this section in the

 

manner prescribed in section 79.

 

     (3) This section does not apply to a retirant, survivor or

 

beneficiary of a deceased retirant, or a deferred vested member who

 

was serving as a member of the legislature on or after January 30,

 

2009.

 

     Sec. 75. (1) A qualified participant is immediately 100%

 

vested in his or her contributions made to Tier 2. A qualified

 

participant shall vest in the employer contributions made on his or

 

her behalf to Tier 2 according to the following schedule:

 

     (a) Upon completion of 2 years of service, 50%.

 

     (b) Upon completion of 3 years of service, 75%.

 

     (c) Upon completion of 4 years of service, 100%.

 

     (2) A qualified participant is vested in the health insurance

 

coverage provided in section 79 if the qualified participant meets

 

1 of the following requirements:

 

     (a) The qualified participant has completed 6 years of service

 

as a qualified participant, before January 1, 2013 and was not a

 

member, deferred vested member, or former nonvested member of Tier


 

1, and was not serving as a member of the legislature on or after

 

January 30, 2009.

 

     (b) The qualified participant was a member, deferred vested

 

member, or former nonvested member of Tier 1 who made an election

 

to participate in Tier 2 pursuant to section 61, and who has met

 

the service requirements he or she would have been required to meet

 

in order to vest in health benefits under section 50b.

 

     (c) The qualified participant meets all of the following

 

requirements:

 

     (i) Was not a member, deferred vested member, or former

 

nonvested member of Tier 1.

 

     (ii) Was first elected to fill a vacancy in the house of

 

representatives for a period less than the full term but more than

 

1/2 of the term of office.

 

     (iii) Has completed 5 years of service as a qualified

 

participant. before January 1, 2013.

 

     (iv) Was not serving as a member of the legislature on or after

 

January 30, 2009.

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