PRINTER'S NO. 663
No. 614 Session of 1987
INTRODUCED BY VAN HORNE, TRELLO, IRVIS, MOWERY, FOSTER, NOYE,
KUKOVICH, VEON, GODSHALL, HECKLER, PRESTON, BURD, HALUSKA,
OLASZ, FARGO, SEVENTY, COLAFELLA AND WOZNIAK, MARCH 3, 1987
REFERRED TO COMMITTEE ON FINANCE, MARCH 3, 1987
AN ACT
1 Amending the act of May 2, 1945 (P.L.382, No.164), entitled "An
2 act providing for the incorporation as bodies corporate and
3 politic of 'Authorities' for municipalities, counties and
4 townships; prescribing the rights, powers and duties of such
5 Authorities heretofore or hereafter incorporated; authorizing
6 such Authorities to acquire, construct, improve, maintain and
7 operate projects, and to borrow money and issue bonds
8 therefor; providing for the payment of such bonds, and
9 prescribing the rights of the holders thereof; conferring the
10 right of eminent domain on such Authorities; authorizing such
11 Authorities to enter into contracts with and to accept grants
12 from the Federal Government or any agency thereof; and
13 conferring exclusive jurisdiction on certain courts over
14 rates," further providing for the power of an authority to
15 make contracts of insurance.
16 The General Assembly of the Commonwealth of Pennsylvania
17 hereby enacts as follows:
18 Section 1. Clause (q) of subsection B of section 4 of the
19 act of May 2, 1945 (P.L.382, No.164), known as the Municipality
20 Authorities Act of 1945, amended August 1, 1975 (P.L.164, No.85)
21 and repealed in part November 26, 1978 (P.L.1399, No.330), is
22 amended to read:
23 Section 4. Purposes and Powers; General.--* * *
24 B. Every Authority is hereby granted, and shall have and may
1 exercise all powers necessary or convenient for the carrying out
2 of the aforesaid purposes, including but without limiting the
3 generality of the foregoing, the following rights and powers:
4 * * *
5 (q) To make contracts of insurance with any insurance
6 company, association or exchange authorized to transact business
7 in the Commonwealth of Pennsylvania, insuring its employes and
8 appointed officers and officials under an individual policy or
9 policies of insurance covering life, accidental death and
10 dismemberment, and disability income or under a policy or
11 policies of group insurance covering life, accidental death and
12 dismemberment, and disability income provided that statutory
13 requirements for such group insurance, including but not limited
14 to requisite number of eligible employes and/or appointed
15 officers and officials, are met as provided for in section 621.2
16 of the act of May 17, 1921 (P.L.682, No.284), known as "The
17 Insurance Company Law of 1921," and sections 1, 2, 6, 7 and 9 of
18 the act of May 11, 1949 (P.L.1210, No.367).
19 To make contracts with any insurance company, association or
20 exchange or any hospital plan corporation or professional health
21 service corporation authorized to transact business in the
22 Commonwealth of Pennsylvania, insuring or covering its employes
23 and/or their dependents (but not its appointed officers and
24 officials nor their dependents) for hospital and/or medical
25 benefits; and to contract for its employes (but not its
26 appointed officers and officials) with any insurance company,
27 association or exchange authorized to transact business in the
28 Commonwealth of Pennsylvania granting annuities or to establish,
29 maintain, operate and administer its own pension plan covering
30 its employes (but not its appointed officers and officials). Any
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1 pension plan established by a municipal authority or any annuity
2 contract program undertaken by a municipal authority shall meet
3 the applicable requirements of the act of December 18, 1984
4 (P.L.1005, No.205), known as the "Municipal Pension Plan Funding
5 Standard and Recovery Act."
6 For such purposes, to agree to pay part or all of the cost
7 thereof including the premiums or charges for carrying such
8 contracts, and to appropriate out of its treasury any money
9 necessary to pay such costs, premiums or charges, or portions
10 thereof. [The] If otherwise in conformance with section 607(c)
11 of the "Municipal Pension Plan Funding Standard and Recovery
12 Act," if applicable, the proper officers of the authority having
13 authority to enter into such contracts are hereby authorized,
14 enabled and permitted to deduct from the officers' or employes'
15 pay, salary or compensation such part of the premium or cost as
16 is payable by the officer or employe and as may be so authorized
17 by the officer or employe in writing.
18 * * *
19 Section 2. This act shall take effect immediately.
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