ASSEMBLY, No. 847

 

STATE OF NEW JERSEY

 

Introduced Pending Technical Review by Legislative Counsel

 

PRE-FILED FOR INTRODUCTION IN THE 1996 SESSION

 

 

By Assemblymen COTTRELL and MALONE

 

 

An Act concerning paid health benefits under the State Health Benefits Program for certain veteran retirees of the Teachers' Pension and Annuity Fund and amending P.L.1987, c.384.

 

    Be It Enacted by the Senate and General Assembly of the State of New Jersey:

 

    1. Section 3 of P.L.1987, c.384 (C.52:14-17.32f) is amended to read as follows:

    3. A qualified retiree from the Teachers' Pension and Annuity Fund (N.J.S.18A:66-1 et seq.) and dependents of a qualified retiree, but not including survivors, are eligible to participate in the program, regardless of whether the retiree's employer participated in the program.

    A qualified retiree is a retiree who:  

    a. Retired on a benefit based on 25 or more years of service credit;

    b. Retired on a disability pension based on fewer years of service credit; [or]

    c. Elected deferred retirement based on 25 or more years of service credit and who receives a retirement allowance; or

    d. Retired on a benefit based on 20 or more years of service credit under the provisions of veterans retirement (N.J.S.18A:66-71).

    The program shall reimburse a qualified retiree who participates in the program for the premium charges under Part B of the federal medicare program for the retiree and the retiree's spouse. [A qualified retiree who retired under subsections a. and b. of this section prior to the effective date of this 1987 amendatory and supplementary act is eligible for the coverage if the retiree applies to the program for it within one year after the effective date, and a qualified retiree as defined under subsection c. of this section whose retirement allowance commenced prior to the effective date of this 1992 amendatory act is eligible for the coverage if the retiree applies to the program for it within one year after the effective date.]

    The premium or periodic charges for benefits provided to a qualified retiree and the dependents of the retiree, and the cost for reimbursement of medicare premiums shall be paid by the Teachers' Pension and Annuity Fund. The State Health Benefits Commission shall annually certify to the fund the cost for providing health benefits coverage to qualified retirees and their dependents under this section. The fund shall annually remit to the commission the amount certified at a time specified by the State Treasurer.

(cf: P.L.1992, c.126, s.1)

 

    2. (New Section) A qualified retiree who retired under subsection d. of section 3 of P.L.1987, c.384 (C.52:14-17.32f) as amended by P.L.199 , c. (C. ) (now pending before the Legislature as this bill) prior to the effective date of the amendatory act is eligible for the coverage if the retiree applies to the program for it within one year after the effective date.

 

    3. This act shall take effect immediately.

 

 

STATEMENT

 

    This bill permits certain veteran retirees who are members of the Teachers' Pension and Annuity Fund (TPAF) to receive paid health benefits under the State Health Benefits Program (SHBP).

    Under current law, a qualified retiree from TPAF and the retiree's dependents are eligible for paid health benefits in SHBP regardless of whether the retiree's employer participated in the program. A qualified retiree is defined as a retiree who retired on a benefit based on 25 or more years of service credit or on a disability pension based on fewer years of service credit, or who elected deferred retirement based on 25 or more years of service credit and who receives a retirement allowance.

    The bill includes as a qualified retiree a member of TPAF who retired under the provisions of veterans retirement provided for in N.J.S.18A:66-71, which permits a member to retire if that member has attained the age of 60 and has 20 or more years of service credit.

 

 

 

Permits certain TPAF veteran retirees to receive paid health benefits under State Health Benefits Program.