72nd OREGON LEGISLATIVE ASSEMBLY--2003 Regular Session
 
 
                            Enrolled
 
                         House Bill 3648
 
Sponsored by Representative BACKLUND
 
 
                     CHAPTER ................
 
 
                             AN ACT
 
 
Relating to health insurance for retirees of local government;
  creating new provisions; amending ORS 243.303; and declaring an
  emergency.
 
Be It Enacted by the People of the State of Oregon:
 
  SECTION 1. ORS 243.303, as amended by section 1, chapter 62,
Oregon Laws 2003 (Enrolled House Bill 2130), 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) - }   { + (3) + } A local government and a health
care insurer may not create a group solely for the purpose of
rating or of establishing a premium for health care insurance
 
 
Enrolled House Bill 3648 (HB 3648-A)                       Page 1
 
 
 
coverage of retired employees and their dependents that is
separate from the group for health care insurance coverage of
officers and employees of the local government and their
dependents.  { + Nothing in this subsection prevents a local
government from allocating rates or premiums differently among
retired employees and their dependents and officers and employees
of the local government and their dependents once the rating or
premium is established. + }
    { - (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 and their dependents. - }
  SECTION 2.  { + The amendments to ORS 243.303 by section 1 of
this 2003 Act apply to health care insurance coverage made
available to retirees on or after the effective date of this 2003
Act. + }
  SECTION 3.  { + This 2003 Act being necessary for the immediate
preservation of the public peace, health and safety, an emergency
is declared to exist, and this 2003 Act takes effect on its
passage. + }
                         ----------
 
 
Passed by House July 28, 2003
 
 
      ...........................................................
                                             Chief Clerk of House
 
      ...........................................................
                                                 Speaker of House
 
Passed by Senate August 11, 2003
 
 
      ...........................................................
                                              President of Senate
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Enrolled House Bill 3648 (HB 3648-A)                       Page 2
 
 
 
 
 
Received by Governor:
 
......M.,............., 2003
 
Approved:
 
......M.,............., 2003
 
 
      ...........................................................
                                                         Governor
 
Filed in Office of Secretary of State:
 
......M.,............., 2003
 
 
      ...........................................................
                                               Secretary of State
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Enrolled House Bill 3648 (HB 3648-A)                       Page 3