CALIFORNIA LEGISLATURE— 2021–2022 REGULAR SESSION

Assembly Bill
No. 2782

Introduced by Assembly Member Mayes
(Coauthors: Assembly Members Berman, Daly, and Grayson)
(Coauthors: Senators Caballero and Glazer)

February 18, 2022

An act to add Section 22845 to the Government Code, relating to public employment.


LEGISLATIVE COUNSEL'S DIGEST


AB 2782, as introduced, Mayes. Public employment: health benefits and reimbursement: Medicare.
The Public Employees’ Medical and Hospital Care Act (PEMHCA), which is administered by the Board of Administration of the Public Employees’ Retirement System, governs the funding and provision of postemployment health care benefits for eligible retired public employees and their families. PEMHCA prohibits employees, annuitants, and family members who become eligible to enroll on or after January 1, 1985, in Part A and Part B of Medicare from being enrolled in a basic health benefit plan. Existing provides that if the employee, annuitant, or family member is enrolled in Part A and Part B of Medicare, they may enroll in a Medicare health benefit plan.
This bill would prohibit a person who enters into service with the state or any agency, department, authority, or instrumentality of the state or a contracting agency subject to PEMHCA, on or after January 1, 2023, from being reimbursed for, or receiving, any subsidy for health care expenses or coverage after retirement from service, if that the person is eligible to enroll in Part A and Part B of Medicare.
Vote: MAJORITY   Appropriation: NO   Fiscal Committee: YES   Local Program: NO  

The people of the State of California do enact as follows:


SECTION 1.

 Section 22845 is added to the Government Code, to read:

22845.
 (a) Notwithstanding any other law, a person who enters into service with the state or any agency, department, authority, or instrumentality of the state or a contracting agency that is subject to this part shall not be reimbursed for or receive any subsidy for any health care expenses or coverage under this part after retirement from service, if that the person is eligible to enroll in Part A and Part B of Medicare.
(b) This section only applies to a person who first enters into service, pursuant to subdivision (a), on or after January 1, 2023.