Bill Text: MI HB4109 | 2013-2014 | 97th Legislature | Introduced


Bill Title: Retirement; legislative; 5% of compensation to fund retiree health care costs; require current legislators to contribute. Amends sec. 22c of 1957 PA 261 (MCL 38.1022c).

Spectrum: Partisan Bill (Republican 15-0)

Status: (Introduced - Dead) 2013-01-30 - Printed Bill Filed 01/30/2013 [HB4109 Detail]

Download: Michigan-2013-HB4109-Introduced.html

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

HOUSE BILL No. 4109

 

January 29, 2013, Introduced by Reps. LaFontaine, Johnson, Price, Walsh, Leonard, Lund, Heise, Lauwers, Pagel, Rendon, Graves, O'Brien, Goike, Farrington and Forlini and referred to the Committee on Government Operations.

 

     A bill to amend 1957 PA 261, entitled

 

"Michigan legislative retirement system act,"

 

by amending section 22c (MCL 38.1022c), as amended by 2002 PA 97.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 22c. (1) The health insurance fund is created in the

 

retirement system. The retirement system shall deposit into the

 

health insurance fund the member contributions for health benefits

 

required by this section, subscriber co-payments, payments under

 

section 79, regular interest from the income fund, and state

 

appropriations. The retirement system shall disburse from the

 

health insurance fund the premiums or portion of the premiums for

 

dental, hospital, and medical coverage insurance as required by

 

sections 50b and 79.


 

     (2) Except as otherwise provided in this subsection, a member

 

shall make contributions to the health insurance fund of 1% of each

 

payment of salary received that is attributable to service

 

performed on and after January 1, 1995. Beginning on the effective

 

date of section 36a January 5, 1999, a member who first became a

 

member of Tier 1 on or before January 1, 1995 shall make

 

contributions to the health insurance fund of 9% of each payment of

 

salary received by the member for service as a member. Beginning on

 

the effective date of section 36a January 5, 1999, a member who

 

first became a member of Tier 1 after January 1, 1995 shall make

 

contributions to the health insurance fund of 7% of each payment of

 

salary received by the member for service as a member. The

 

increased contributions required under this subsection by the

 

amendatory act that added section 36a will 1998 PA 501 shall

 

continue unless suspended by the board under section 36a. The

 

contributions shall be made by payroll deductions and each member

 

is considered to consent to the deductions as a condition of

 

membership in the retirement system.

 

     (3) Except as otherwise provided in this subsection, beginning

 

with the first pay date after the effective date of the amendatory

 

act that added this sentence, each member and each qualified

 

participant who is potentially eligible for health insurance

 

benefits under section 50b or 79 shall contribute an amount equal

 

to 5% of the member's or qualified participant's salary to the

 

health insurance fund. This subsection does not apply to a member

 

who is making contributions to the health insurance fund under

 

subsection (2). The contributions shall be made by payroll


 

deductions, and each member and qualified participant is considered

 

to consent to the deductions as a condition of membership in the

 

retirement system or participation in Tier 2.

 

     (4) (3) Except as otherwise provided by this act, membership

 

contributions by members and qualified participants to the health

 

insurance fund are not refundable.

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