HB-4248, As Passed House, March 5, 2009
February 11, 2009, Introduced by Reps. Smith, Lahti, Warren, Bauer, Robert Jones, Gregory, Miller and Dean and referred to the Committee on Judiciary.
A bill to amend 1943 PA 240, entitled
"State employees' retirement act,"
by amending section 68c (MCL 38.68c), as added by 2007 PA 95.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec.
68c. (1) Except as otherwise provided in this subsection
section, a retirant who is receiving a retirement allowance under
this
act and is employed by this state beginning on or after the
effective
date of this section October
1, 2007 agrees to forfeit
his or her right to receive that retirement allowance during this
period of state employment. The retirement system shall cease
payment of the retirement allowance to a retirant described in this
subsection during this period of state employment and shall
reinstate payment of the retirement allowance without recalculation
when the period of state employment ceases. This subsection does
not
apply to a retirant who is employed by this state on the day
before
the effective date of this section September 30, 2007 so
long as he or she remains in the position held by the retirant on
the
day before the effective date of this section September 30,
2007. As used in this subsection, "employed by this state" means
employed directly by this state as an employee or indirectly by
this state through a contractual arrangement with other parties.
(2) A hospital, medical-surgical, and sick care benefits plan,
dental plan, vision plan, and hearing plan that covers retirants,
retirant allowance beneficiaries, former qualified participants,
and health benefit dependents under this act shall contain a
coordination of benefits provision that provides all of the
following:
(a) If the person covered under any of the plans is also
eligible for medicare, then the benefits under medicare shall be
determined before the health insurance benefits under this act.
(b) If a person covered under any of the plans provided by
this act is also covered under another plan that contains a
coordination of benefits provision, the benefits shall be
coordinated as provided in the coordination of benefits act, 1984
PA 64, MCL 550.251 to 550.255.
(c) If the person covered under any of the plans provided by
this act is also covered under another plan that does not contain a
coordination of benefits provision, the benefits under the other
plan shall be determined before the benefits provided pursuant to
this act.
(3) Subsection (1) does not apply to a retirant if all of the
following apply:
(a) The retirant is hired to provide health care services to
individuals under the jurisdiction of the department of
corrections.
(b) The retirant is hired in a position that is limited in
term, no benefits are paid, and pay is on a per diem basis.
(c) The department of corrections provides written notice to
the state budget office and the department of management and budget
that attempts have been made to fill the position through postings
and recruitment and that the position vacancy still exists.
(d) The department of corrections reports the employment of a
retirant under this subsection within 30 days of employment of the
retirant. The report shall include the name of the retirant, the
capacity in which the retirant is employed, and the total
compensation paid to the retirant.