Chapter 604 Oregon Laws 2001
AN ACT
HB 2084
Relating to health insurance
for retired employees of local government; creating new provisions; and
amending ORS 243.303.
Be It Enacted by the People of the State of Oregon:
SECTION 1.
ORS 243.303 is amended to read:
243.303. (1) As used in this section:
(a) “Health care” means medical, surgical, hospital or any
other remedial care recognized by state law and related services and supplies
and includes comparable benefits for persons who rely on spiritual means of
healing.
(b) “Local government” means any city, county, school
district or other special district in this state.
(c) “Retired employee” means a former officer or employee
of a local government who is retired for service or disability, and who received
or is receiving retirement benefits, under the Public Employees Retirement
System or any other retirement system or plan applicable to officers and
employees of the local government.
(2) The governing body of any local government that
contracts for or otherwise makes available health care insurance coverage for
officers and employees of the local government shall, insofar as and to the
extent possible, make that coverage available for any retired employee of the
local government who elects within 60 days after the effective date of
retirement to participate in that coverage and, at the option of the retired
employee, for the spouse of the retired employee and any unmarried children
under 18 years of age. The health care insurance coverage shall be made
available for a retired employee until the retired employee becomes eligible
for federal Medicare coverage, for the spouse of a retired employee until the
spouse becomes eligible for federal Medicare coverage and for a child until the
child arrives at majority, and may, but need not, be made available thereafter.
The governing body may prescribe reasonable terms and conditions of eligibility
and coverage, not inconsistent with this section, for making the health care
insurance coverage available. The local government may pay none of the cost of
making that coverage available or may agree, by collective bargaining agreement
or otherwise, to pay part or all of that cost.
(3)(a) A local
government and a health care insurer may not create a group for health care
insurance coverage of retired employees and their dependents that is separate
from a group for health care insurance coverage of officers and employees of
the local government.
(b) A health care
insurer may not establish a higher premium for retired employees and their
dependents than the premium established for officers and employees of the local
government. The retired employees shall be charged a premium according to an
appropriate category, including individual alone, individual and spouse, individual
and dependents or other similar category.
SECTION 2.
The amendments to ORS 243.303 by section
1 of this 2001 Act apply to health care coverage made available to retirees on
or after the effective date of this 2001 Act.
Approved by the Governor
June 26, 2001
Filed in the office of
Secretary of State June 26, 2001
Effective date January 1,
2002
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