2008 -- H 7881

=======

LC02176

=======

STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2008

____________

A N A C T

RELATING TO PUBLIC OFFICERS AND EMPLOYEES -- INSURANCE BENEFITS

     Introduced By: Representative Peter F. Kilmartin

     Date Introduced: February 26, 2008

     Referred To: House Finance

It is enacted by the General Assembly as follows:

1-1

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

1-2

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

1-3

     36-12-1. Definitions. -- The following words, as used in sections 36-12-1 -- 36-12-14,

1-4

shall have the following meanings:

1-5

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

1-6

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

1-7

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

1-8

service of the state; provided, however, that the following shall not be included as "employees"

1-9

under sections 36-12-1 -- 36-12-14:

1-10

      (i) Part-time personnel whose work week is less than twenty (20) thirty-five (35) hours a

1-11

week and limited period and seasonal personnel;

1-12

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

1-13

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

1-14

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

1-15

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

1-16

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

1-17

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

1-18

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

1-19

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

2-1

agreement or relationship contract; (B) joint mortgage or joint ownership of primary residence,

2-2

(C) two (2) of: (I) joint ownership of motor vehicle; (II) joint checking account; (III) joint credit

2-3

account; (IV) joint lease; and/or (D) the domestic partner has been designated as a beneficiary for

2-4

the employee's will, retirement contract or life insurance. Misrepresentation of information in the

2-5

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

2-6

one thousand dollars ($1000) enforceable by the attorney general and payable to the general fund.

2-7

The employee will notify the benefits director of the division of personnel by completion of a

2-8

form prescribed by the benefits director when the domestic partnership ends.

2-9

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

2-10

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

2-11

retirement board under section 36-8-1, and also all retired teachers who have elected to come

2-12

under the employees' retirement system of the state of Rhode Island.

2-13

      (5) "Long-term health care insurance", means any insurance policy or rider advertised,

2-14

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

2-15

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

2-16

one or more necessary or medically necessary diagnostic, preventive, therapeutic, rehabilitative,

2-17

maintenance, or personal care services, provided in a setting other than an acute care unit of a

2-18

hospital. The term includes: group and individual policies or riders whether issued by insurers,

2-19

fraternal benefit societies, nonprofit health, hospital, and medical service corporations; prepaid

2-20

health plans, health maintenance organizations; or any similar organization. Long-term health

2-21

care insurance shall not include: any insurance policy which is offered primarily to provide basic

2-22

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

2-23

coverage; hospital confinement indemnity coverage; major medical expense coverage; disability

2-24

income protection coverage; accident only coverage; specified disease or specified accident

2-25

coverage; or limited benefit health coverage. This list of excluded coverages is illustrative and is

2-26

not intended to be all inclusive.

2-27

      (6) "Retiree health care insurance", means the health benefit employees who retire from

2-28

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

2-29

employees of the state as determined by the retirement board pursuant to section 36-8-1, shall be

2-30

entitled to receive, which shall be equal to semi-private hospital care, surgical/medical care and

2-31

major medical with a one hundred seventy-five dollar ($175) calendar year deductible.

2-32

Employees who retire prior to age sixty-five (65) shall, upon the attainment of medicare

2-33

eligibility, receive hospital care, surgical/medical services, rights and benefits which, when taken

2-34

together with their federal medicare program benefits (public law 89-97), 42 U.S.C. section 1305

3-1

et seq., shall be comparable to those provided for retirees prior to that age. The aforementioned

3-2

program will be provided on a shared basis in accordance with section 36-12-4.

3-3

     36-12-2. Hospital care and surgical-medical service benefits. -- (a) Employees of the

3-4

state of Rhode Island shall receive, in addition to wages, salaries, and any other remuneration or

3-5

benefits, hospital care and surgical-medical services, rights, and benefits purchased by the

3-6

director of administration pursuant to section 36-12-6, with the specific condition that the benefits

3-7

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

3-8

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

3-9

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

3-10

being provided.

3-11

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

3-12

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

3-13

for those benefits.

3-14

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

3-15

covered by the new policy.

3-16

      (d) Part-time employees whose work week is less than twenty (20) thirty-five (35) hours

3-17

a week may purchase the benefits set forth above. The employees shall pay the same rate for the

3-18

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

3-19

deducted in accordance with the provisions of section 36-12-3.

3-20

     SECTION 2. This act shall take effect upon passage.

=======

LC02176

=======

EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N A C T

RELATING TO PUBLIC OFFICERS AND EMPLOYEES -- INSURANCE BENEFITS

***

4-1

     This act would change the definition of part-time state employee regarding eligibility for

4-2

medical insurance benefits. It would increase the minimum weekly hours worked from twenty

4-3

(20) to thirty-five (35) hours.

4-4

     This act would take effect upon passage.

=======

LC02176

=======