Bill Text: NC H402 | 2013-2014 | Regular Session | Introduced
Bill Title: TRICARE Supplement for Flex Accounts
Spectrum: Moderate Partisan Bill (Republican 10-3)
Status: (Passed) 2013-07-18 - Ch. SL 2013-292 [H402 Detail]
Download: North_Carolina-2013-H402-Introduced.html
GENERAL ASSEMBLY OF NORTH CAROLINA
SESSION 2013
H D
HOUSE DRH70164-ME-63B* (03/14)
Short Title: TRICARE Supplement for Flex Accounts. |
(Public) |
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Sponsors: |
Representatives Szoka, Dockham, Ramsey, and Floyd (Primary Sponsors). |
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Referred to: |
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A BILL TO BE ENTITLED
AN ACT to allow a TRICARE supplement for flexible compensation plans offered by the state.
The General Assembly of North Carolina enacts:
SECTION 1. G.S. 115C‑341.1 reads as rewritten:
"§ 115C‑341.1. Flexible Compensation Plan.
Notwithstanding any other provisions of law relating to the
salaries of employees of local boards of education, the State Board of
Education is authorized to provide a plan of flexible compensation to eligible
employees of local school administrative units for benefits available under
Section 125 and related sections of the Internal Revenue Code of 1986 as
amended. This plan shall not include those benefits provided to employees under
Articles 1, 3, 3B, and 6 of Chapter 135 of the General Statutes
nor any vacation leave, sick leave, or any other leave that may be carried
forward from year to year by employees as a form of deferred compensation. The
plan may, however, offer a TRICARE supplement. In providing a plan of
flexible compensation, the State Board may authorize local school
administrative units to enter into agreements with their employees for
reductions in the salaries of employees electing to participate in the plan of
flexible compensation provided by this section. Should the State Board decide
to contract with a third party to administer the terms and conditions of a plan
of flexible compensation as provided by this section, it may select such a
contractor only upon a thorough and completely advertised competitive
procurement process."
SECTION 2. G.S. 115D‑25.2 reads as rewritten:
"§ 115D‑25.2. Flexible Compensation Plan.
Notwithstanding any other provisions of law relating to the
salaries of employees of community college boards of trustees, the State Board
of Community Colleges is authorized to provide a plan of flexible compensation
to eligible employees of constituent institutions for benefits available under
Section 125 and related sections of the Internal Revenue Code of 1986 as
amended. This plan shall not include those benefits provided to employees under
Articles 1, 3, 3B, and 6 of Chapter 135 of the General Statutes
nor any vacation leave, sick leave, or any other leave that may be carried
forward from year to year by employees as a form of deferred compensation. The
plan may, however, offer a TRICARE supplement. In providing a plan of
flexible compensation, the State Board may authorize constituent institutions
to enter into agreements with their employees for reductions in the salaries of
employees electing to participate in the plan of flexible compensation provided
by this section. With the approval of the Director of the Budget, savings in
the employer's share of contributions under the Federal Insurance Contributions
Act on account of the reduction in salary may be used to pay some or all of the
administrative expenses of the program. Should the State Board decide to
contract with a third party to administer the terms and conditions of a plan of
flexible compensation as provided by this section, it may select such a
contractor only upon a thorough and completely advertised competitive
procurement process."
SECTION 3. G.S. 116‑17.2 reads as rewritten:
"§ 116‑17.2. Flexible Compensation Plan.
Notwithstanding any other provisions of law relating to the
salaries of employees of The University of North Carolina, the Board of
Governors of The University of North Carolina is authorized to provide a plan
of flexible compensation to eligible employees of constituent institutions for
benefits available under Section 125 and related sections of the Internal
Revenue Code of 1986 as amended. This plan shall not include those benefits
provided to employees under Articles 1, 3, 3B, and 6 of Chapter
135 of the General Statutes nor any vacation leave, sick leave, or any other
leave that may be carried forward from year to year by employees as a form of
deferred compensation. The plan may, however, offer a TRICARE supplement.
In providing a plan of flexible compensation, the Board of Governors may
authorize constituent institutions to enter into agreements with their
employees for reductions in the salaries of employees electing to participate
in the plan of flexible compensation provided by this section. With the
approval of the Director of the Budget, savings in the employer's share of
contributions under the Federal Insurance Contributions Act on account of the
reduction in salary may be used to pay some or all of the administrative
expenses of the program. Should the Board of Governors decide to contract with
a third party to administer the terms and conditions of a plan of flexible
compensation as provided by this section, it may select such a contractor only
upon a thorough and completely advertised competitive procurement process."
SECTION 4. G.S. 126‑95(b) reads as rewritten:
"(b) Notwithstanding any other provisions of law
relating to the salaries of officers and employees of departments,
institutions, and agencies of State government, the Director of the Budget may
provide a plan of flexible compensation to eligible officers and employees of
State departments, institutions, and agencies not covered by the provisions of G.S. 116‑17.2
for benefits available under section 125 and related sections of the Internal
Revenue Code of 1986, as amended. This plan shall not replace, substitute for,
or duplicate any benefits provided to employees and officers under Article 1A
of Chapter 120 of the General Statutes and Articles 1, 3, 3B, 4,
and 6 of Chapter 135 of the General Statutes. The plan may, however, include
offerings for products and benefits that are supplemental or additional to
these statutory benefits. The plan may also offer a TRICARE supplement.
In providing a plan of flexible compensation, the Director of the Budget may
authorize State departments, institutions, and agencies to enter into
agreements with their employees for reductions in the salaries of employees
electing to participate in the plan of flexible compensation provided by this
section. With the approval of the Director of the Budget, savings in the
employer's share of contributions under the Federal Insurance Contributions Act
on account of the reduction in salary may be used to pay some or all of the
administrative expenses of the program. Should the Director of the Budget
decide to contract with a third party to administer the terms and conditions of
a plan of flexible compensation as provided by this section, it may select such
a contractor only upon a thorough and completely advertised competitive
procurement process."
SECTION 5. Any State entity that decides to offer a TRICARE supplement option shall use a competitive bid process to award contracts to any third‑party provider. The NC Flex plan administered by the Office of State Personnel shall offer a TRICARE supplement no later than January 1, 2015.
SECTION 6. This act is effective when it becomes law.