STATE OF NEW YORK
________________________________________________________________________
8118
IN SENATE
March 29, 2018
___________
Introduced by Sen. TEDISCO -- read twice and ordered printed, and when
printed to be committed to the Committee on Local Government
AN ACT to amend the general municipal law, in relation to providing
notice of health insurance contracts for retired officers, employees,
and their families
The People of the State of New York, represented in Senate and Assem-
bly, do enact as follows:
1 Section 1. Subdivision 2 of section 92-a of the general municipal law,
2 as amended by chapter 805 of the laws of 1984 and as further amended by
3 section 104 of part A of chapter 62 of the laws of 2011, is amended and
4 a new subdivision 2-a is added to read as follows:
5 2. [A] Consistent with the provisions of subdivision two-a of this
6 section, a public corporation may contract with a non-profit membership
7 corporation, organized under article forty-three of the insurance law
8 and approved by the superintendent of financial services and the state
9 board of social welfare, or with any insurance company authorized to do
10 business in this state for the purpose of furnishing medical and surgi-
11 cal services and hospital service as defined in such article forty-
12 three, or medical and surgical and hospital insurance to persons who
13 contract with such non-profit membership corporation or insurance compa-
14 ny, or who subscribe to a plan or plans, as hereinafter provided. Any
15 such contract entered into by a public corporation shall permit any
16 officer or employee or group of officers or employees of an agency or
17 department of the public corporation voluntarily to subscribe to a plan
18 or plans providing for medical and surgical and hospital insurance for,
19 or medical and surgical services and hospital service to, such officers
20 or employees and their families. Any such contract entered into by a
21 public corporation may, if authorized by the governing board or body and
22 subject to such conditions, limitations and eligibility requirements as
23 may be fixed by such board or body, permit any retired officers and
24 employees or group of retired officers and employees of an agency or
25 department of the public corporation voluntarily to subscribe to such a
26 plan or plans to provide such insurance for or service to themselves and
27 their families. The comptroller or other disbursing officer of the
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD05751-04-8
S. 8118 2
1 public corporation, or of any fund out of which officers or employees of
2 such public corporation are paid, is authorized to deduct from the wages
3 or salary of such contracting or subscribing officer or employee, with
4 his prior consent, in writing, the sums required to be paid by such
5 officer or employee to such non-profit membership corporation or insur-
6 ance company. Such public corporation, if such contract or plan provides
7 that the employer shall contribute a share of the cost of such medical
8 and surgical services and hospital service, or medical and surgical and
9 hospital insurance, for its officers and employees or retired officers
10 and employees, is authorized to appropriate a sum required to be paid
11 under such contract by the public corporation as employer. The sum to be
12 paid by it under such contract, in the discretion of such public corpo-
13 ration, may be any percentage of the total cost including the whole
14 thereof. Where the compensation of any officer or employee whose posi-
15 tion is covered by medical and surgical services and hospital service or
16 medical and surgical and hospital insurance pursuant to this section is
17 paid from a special or administrative fund provided for by law, the
18 contributions required to be paid by the public corporation for such
19 coverage shall be paid from such special or administrative fund. The
20 public corporation shall be authorized to pay directly to such non-pro-
21 fit membership corporation or to such insurance company, the total of
22 such appropriation and of such officer and employee deductions.
23 2-a. Thirty days prior to the governing board of a public corporation
24 authorizing or approving a change in premium or a substantive change in
25 coverage in a contract or plan of health insurance, or an amendment
26 thereto, for retired officers, retired employees, or their families
27 pursuant to subdivision two of this section, the public corporation
28 shall give written notice of such proposed contract, plan or amendment,
29 to the retired officers, retired employees, or their families who are
30 covered under such contract or plan. Where the contract, plan or amend-
31 ment is contracted for as part of negotiations between a public corpo-
32 ration and a recognized and certified employee organization pursuant to
33 article fourteen of the civil service law, such written notice shall be
34 given at the time such health insurance contract is binding on the
35 covered retired officers, retired employees, or their families. Such
36 written notice shall contain either: (a) the full text of such proposed
37 contract, plan or amendment and any relevant financial information
38 including, but not limited to the cost of the proposed contract, plan or
39 amendment to the public corporation and the cost to the covered retired
40 officers, retired employees, or their families; or (b) the general terms
41 of the proposed contract, plan or amendment along with the physical
42 location and web address to a secure website where the covered retired
43 officers, retired employees or their family members can obtain the full
44 text of such proposed contract, plan or amendment and any relevant
45 financial information including, but not limited to the cost of the
46 proposed contract, plan or amendment to the public corporation and the
47 cost to the covered retired officers, retired employees, or their fami-
48 lies.
49 § 2. This act shall take effect immediately and shall apply to any
50 health insurance contract or plan entered into, renewed, modified, or
51 amended on or after such effective date.