2245-S AMH WILL PRIN 147

SHB 2245 - H AMD 236

By Representative Williams

WITHDRAWN 3/11/2009

    On page 5, after line 34, insert the following:

    "(23) "Retired plan 2 law enforcement officer or firefighter" means:
    (a) A person who separated from employment with a county, municipality, special district, or other political subdivision of the state and is receiving a plan 2 retirement allowance under chapter 41.26 RCW before July 1, 2009; or
    (b) A person who separated from employment with a county, municipality, special district, or other political subdivision of the state on or after July 1, 2009, and immediately upon separation receives a plan 2 retirement allowance under chapter 41.26 RCW."

    On page 9, after line 31, insert the following:

    "Sec. 5.  RCW 41.05.022 and 1995 1st sp.s. c 6 s 3 are each amended to read as follows:

    (1) The health care authority is hereby designated as the single state agent for purchasing health services.

    (2) On and after January 1, 1995, at least the following state-purchased health services programs shall be merged into a single, community-rated risk pool:  Health benefits for groups of employees of school districts and educational service districts that voluntarily purchase health benefits as provided in RCW 41.05.011; health benefits for state employees; health benefits for eligible retired or disabled school employees not eligible for parts A and B of medicare; health benefits for eligible retired plan 2 law enforcement officers or firefighters not eligible for parts A and B of medicare; and health benefits for eligible state retirees not eligible for parts A and B of medicare. 

    (3) At a minimum, and regardless of other legislative enactments, the state health services purchasing agent shall:

    (a) Require that a public agency that provides subsidies for a substantial portion of services now covered under the basic health plan use uniform eligibility processes, insofar as may be possible, and ensure that multiple eligibility determinations are not required;

    (b) Require that a health care provider or a health care facility that receives funds from a public program provide care to state residents receiving a state subsidy who may wish to receive care from them, and that an insuring entity that receives funds from a public program accept enrollment from state residents receiving a state subsidy who may wish to enroll with them;

    (c) Strive to integrate purchasing for all publicly sponsored health services in order to maximize the cost control potential and promote the most efficient methods of financing and coordinating services;

    (d) Consult regularly with the governor, the legislature, and state agency directors whose operations are affected by the implementation of this section; and

    (e) Ensure the control of benefit costs under managed competition by adopting rules to prevent employers from entering into an agreement with employees or employee organizations when the agreement would result in increased utilization in public employees' benefits board plans or reduce the expected savings of managed competition."

    Renumber the remaining sections consecutively and correct the title.

    On page 19, after line 38, insert the following:

    "Sec. 8.  RCW 41.05.080 and 2007 c 114 s 6 are each amended to read as follows:

    (1) Under the qualifications, terms, conditions, and benefits set by the board:

    (a) Retired or disabled state employees, retired or disabled school employees, retired or disabled employees of county, municipal, or other political subdivisions, or retired or disabled employees of tribal governments covered by this chapter may continue their participation in insurance plans and contracts after retirement or disablement;

    (b) Separated employees may continue their participation in insurance plans and contracts if participation is selected immediately upon separation from employment;

    (c) Surviving spouses and dependent children of emergency service personnel killed in the line of duty may participate in insurance plans and contracts;
    (d) Retired plan 2 law enforcement officers or firefighters may participate in insurance plans and contracts.

    (2) Rates charged surviving spouses of emergency service personnel killed in the line of duty, retired plan 2 law enforcement officers or firefighters, retired or disabled employees, separated employees, spouses, or dependent children who are not eligible for parts A and B of medicare shall be based on the experience of the community rated risk pool established under RCW 41.05.022.

    (3) Rates charged to surviving spouses of emergency service personnel killed in the line of duty, retired plan 2 law enforcement officers or firefighters, retired or disabled employees, separated employees, spouses, or children who are eligible for parts A and B of medicare shall be calculated from a separate experience risk pool comprised only of individuals eligible for parts A and B of medicare; however, the premiums charged to medicare-eligible retirees and disabled employees shall be reduced by the amount of the subsidy provided under RCW 41.05.085.

    (4) Surviving spouses and dependent children of emergency service personnel killed in the line of duty, retired plan 2 law enforcement officers or firefighters, and retired or disabled and separated employees shall be responsible for payment of premium rates developed by the authority which shall include the cost to the authority of providing insurance coverage including any amounts necessary for reserves and administration in accordance with this chapter.  These self pay rates will be established based on a separate rate for the employee, the spouse, and the children.

    (5) The term "retired state employees" for the purpose of this section shall include but not be limited to members of the legislature whether voluntarily or involuntarily leaving state office."

    Renumber the remaining sections consecutively and correct the title.

EFFECT:   Makes retired members of the Law Enforcement Officers' and Firefighters' Retirement System Plan 2 eligible for participation in the Public Employees' Benefits Board (PEBB) health insurance plans administered by the Health Care Authority.  Retirees and dependents not eligible for Medicare are authorized to participate in the community rated risk pool with active state employees and pre-Medicare state and K-12 employees.  Retirees and dependents eligible for Medicare will receive the same premium subsidy for the PEBB plans as Medicare-eligible state and K-12 employees.

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