2022 -- H 7630

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LC005106

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2022

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A N   A C T

RELATING TO PUBLIC OFFICERS AND EMPLOYEES -- INSURANCE BENEFITS

     Introduced By: Representatives Hull, Speakman, J Lombardi, Morales, Slater, Fellela,
Williams, Ranglin-Vassell, McLaughlin, and Serpa

     Date Introduced: March 02, 2022

     Referred To: House Finance

     It is enacted by the General Assembly as follows:

     SECTION 1. Sections 36-12-1 and 36-12-2 of the General Laws in Chapter 36-12 entitled

"Insurance Benefits" are hereby amended to read as follows:

     36-12-1. Definitions.

     The following words, as used in §§ 36-12-1 -- 36-12-14, shall have the following meanings:

     (1) "Employer," means the state of Rhode Island.

     (2) "Employee," means all persons who are classified employees as the term "classified

employee" is defined under § 36-3-3, and all persons in the unclassified and non-classified service

of the state, including adjunct facility members at any state community college, state college or

state university who teach at least fifty percent (50%) of the faculty load worked by regular full-

time faculty in an academic semester; provided, however, that the following shall not be included

as "employees" under §§ 36-12-1 -- 36-12-14:

     (i) Part-time personnel whose work week is less than twenty (20) hours a week and limited

period and seasonal personnel;

     (ii) Members of the general assembly, its clerks, doorkeepers, and pages.

     (3) "Dependents" means an employee's spouse, domestic partner and unmarried children

under nineteen (19) years of age. Domestic partners shall certify by affidavit to the benefits director

of the division of personnel that the (i) partners are at least eighteen (18) years of age and are

mentally competent to contract, (ii) partners are not married to anyone, (iii) partners are not related

by blood to a degree which would prohibit marriage in the state of Rhode Island, (iv) partners reside

together and have resided together for at least one year, (v) partners are financially interdependent

as evidenced by at least two (2) of the following: (A) domestic partnership agreement or

relationship contract; (B) joint mortgage or joint ownership of primary residence, (C) two (2) of:

(I) joint ownership of motor vehicle; (II) joint checking account; (III) joint credit account; (IV)

joint lease; and/or (D) the domestic partner has been designated as a beneficiary for the employee's

will, retirement contract or life insurance. Misrepresentation of information in the affidavit will

result in an obligation to repay the benefits received, and a civil fine not to exceed one thousand

dollars ($1,000) enforceable by the attorney general and payable to the general fund. The employee

will notify the benefits director of the division of personnel by completion of a form prescribed by

the benefits director when the domestic partnership ends.

     (4) "Retired employee," means all persons retired from the active service of the state, who,

immediately prior to retirement, were employees of the state as determined by the retirement board

under § 36-8-1, and also all retired teachers who have elected to come under the employees'

retirement system of the state of Rhode Island.

     (5) "State retiree," means all persons retired from the active service of the state who,

immediately prior to retirement, were employees of the state as determined by the retirement board

under § 36-8-1.

     (6) "Teacher retiree," means all retired teachers who have elected to come under the

employees' retirement system of the state of Rhode Island.

     (7) "Long-term healthcare insurance," means any insurance policy or rider advertised,

marketed, offered, or designed to provide coverage for not less than twelve (12) consecutive months

for each covered person on an expense incurred, indemnity, prepaid, or other basis for one or more

necessary or medically necessary diagnostic, preventive, therapeutic, rehabilitative, maintenance,

or personal care services, provided in a setting other than an acute care unit of a hospital. The term

includes: group and individual policies or riders whether issued by insurers, fraternal benefit

societies, nonprofit health, hospital, and medical service corporations; prepaid health plans, health

maintenance organizations; or any similar organization. Long-term healthcare insurance shall not

include: any insurance policy which is offered primarily to provide basic medicare supplement

coverage; basic hospital expense coverage; basic medical-surgical expense coverage; hospital

confinement indemnity coverage; major medical expense coverage; disability income protection

coverage; accident only coverage; specified disease or specified accident coverage; or limited

benefit health coverage. This list of excluded coverages is illustrative and is not intended to be all

inclusive.

     (8) "Non-Medicare-eligible retiree healthcare insurance," means the health benefit

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employees who retire from active service of the state (subsequent to July 1, 1989), who immediately

prior to retirement were employees of the state as determined by the retirement board pursuant to

§ 36-8-1, shall be entitled to receive until attaining Medicare eligibility. This healthcare insurance

shall be equal to semi-private hospital care, surgical/medical care and major medical with a one

hundred seventy-five dollar ($175) calendar year deductible. The aforementioned program will be

provided on a shared basis in accordance with § 36-12-4.

     (9) "Medicare-eligible retiree healthcare insurance," means the health benefit employees

who retire from active service of the state (subsequent to July 1, 1989), who immediately prior to

retirement were employees of the state as determined by the retirement board pursuant to § 36-8-

1, shall have access to when eligible for Medicare. This healthcare insurance shall include plans

providing hospital care, surgical/medical services, rights and benefits which, when taken together

with their federal Medicare program benefits, 42 U.S.C. § 1305 et seq., shall be comparable to

those provided for retirees prior to the attainment of Medicare eligibility.

     (10) "Health reimbursement arrangement," or "HRA" means an account that:

     (i) Is paid for and funded solely by state contributions;

     (ii) Reimburses a Medicare-eligible state retiree for medical care expenses as defined in §

213(d) of the Internal Revenue Code of 1986, as amended, which includes reimbursements for

healthcare insurance premiums;

     (iii) Provides reimbursements up to a maximum dollar amount for a coverage period; and

     (iv) Provides that any unused portion of the maximum dollar amount at the end of a

coverage period is carried forward to increase the maximum reimbursement amount in subsequent

coverage periods.

     36-12-2. Hospital care and surgical-medical service benefits.

     (a) Employees of the state of Rhode Island shall receive, in addition to wages, salaries, and

any other remuneration or benefits, hospital care and surgical-medical services, rights, and benefits

purchased by the director of administration pursuant to § 36-12-6, with the specific condition that

the benefits and services provided by the carrier(s) will be substantially equivalent to those set forth

in any collective bargaining agreement(s) executed between the state of Rhode Island and

authorized representatives of the unions representing state employees or the health care coverage

presently being provided. Adjunct faculty members at any state community college, state college

or state university, who teach at least fifty percent (50%) of the faculty load hours worked by regular

full-time faculty in any academic semester, shall be eligible for benefits as provided for in this

section.

     (b) The state will work diligently with leadership of organized labor in order to ensure

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competitive, cost effective health care services for all employees of the state who may be eligible

for those benefits.

     (c) Any new plan must accept pre-existing conditions for those individuals who will be

covered by the new policy.

     (d) Part-time employees whose work week is less than twenty (20) hours a week may

purchase the benefits set forth above. The employees shall pay the same rate for the benefits as the

group rate paid by the state for the benefits. Payments for the benefits may be deducted in

accordance with the provisions of § 36-12-3.

     SECTION 2. This act shall take effect upon passage.

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO PUBLIC OFFICERS AND EMPLOYEES -- INSURANCE BENEFITS

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     This act would provide that adjunct faculty members at any state college or university who

teach at least fifty percent (50%) of the hours regularly worked by full-time faculty in an academic

semester would be eligible for the same state hospital care and surgical-medical service benefit as

other state employees.

     This act would take effect upon passage.

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