PRIOR PRINTER'S NO. 3058 PRINTER'S NO. 3831
No. 2390 Session of 1992
INTRODUCED BY WAMBACH, CAPPABIANCA, COWELL, NOYE, PETRARCA,
PESCI, STURLA, FARGO, NAILOR, BATTISTO, JOHNSON, CARLSON,
KING, STABACK, SCHEETZ, PICCOLA, PHILLIPS, NAHILL, ITKIN,
E. Z. TAYLOR, KRUSZEWSKI, JOSEPHS, BELARDI, VROON, PISTELLA,
RICHARDSON, STUBAN, McCALL, COLE, COY AND JAMES,
FEBRUARY 4, 1992
AS RE-REPORTED FROM COMMITTEE ON APPROPRIATIONS, HOUSE OF
REPRESENTATIVES, AS AMENDED, JUNE 22, 1992
AN ACT
1 Amending the act of April 9, 1929 (P.L.177, No.175), entitled
2 "An act providing for and reorganizing the conduct of the
3 executive and administrative work of the Commonwealth by the
4 Executive Department thereof and the administrative
5 departments, boards, commissions, and officers thereof,
6 including the boards of trustees of State Normal Schools, or
7 Teachers Colleges; abolishing, creating, reorganizing or
8 authorizing the reorganization of certain administrative
9 departments, boards, and commissions; defining the powers and
10 duties of the Governor and other executive and administrative
11 officers, and of the several administrative departments,
12 boards, commissions, and officers; fixing the salaries of the
13 Governor, Lieutenant Governor, and certain other executive
14 and administrative officers; providing for the appointment of
15 certain administrative officers, and of all deputies and
16 other assistants and employes in certain departments, boards,
17 and commissions; and prescribing the manner in which the
18 number and compensation of the deputies and all other
19 assistants and employes of certain departments, boards and
20 commissions shall be determined," further providing for
21 medical insurance coverage for survivor-spouses of
22 annuitants; and making a repeal.
23 The General Assembly of the Commonwealth of Pennsylvania
24 hereby enacts as follows:
25 Section 1. Section 529(a) of the act of April 9, 1929 <--
1 (P.L.177, No.175), known as The Administrative Code of 1929,
2 added August 14, 1991 (P.L.331, No.35), is amended to read:
3 Section 529. Medical Insurance Coverage For Survivor-Spouses
4 of Annuitants.--(a) A survivor-spouse of an annuitant under the
5 State Employees' Retirement System who had elected to convert
6 medical, major medical and hospitalization insurance coverage
7 shall have the option to continue such insurance coverage. THE <--
8 STATE EMPLOYEES' RETIREMENT SYSTEM SHALL NOTIFY PROSPECTIVELY
9 THE APPROPRIATE STATE AGENCY ADMINISTERING THAT ANNUITANT'S
10 GROUP HEALTH INSURANCE PROGRAM. A PREVIOUSLY COVERED SURVIVOR-
11 SPOUSE OF AN ANNUITANT WHO DIED BEFORE OCTOBER 14, 1991, MUST
12 NOTIFY THE STATE EMPLOYEES' RETIREMENT SYSTEM OF POTENTIAL
13 ELIGIBILITY. THE SURVIVOR-SPOUSE MUST SUBMIT SATISFACTORY
14 DOCUMENTATION SUPPORTING THE CLAIM OF ELIGIBILITY TO THE
15 APPROPRIATE STATE AGENCY ADMINISTERING THAT ANNUITANT'S GROUP
16 HEALTH INSURANCE PROGRAM. The State Employees' Retirement
17 [Board] SYSTEM, upon receipt of the election by the survivor- <--
18 spouse of the annuitant to continue such insurance coverage,
19 shall notify the insurance carrier of the election and deduct
20 the appropriate [annual] charges in equal monthly installments. <--
21 Such deductions shall be transmitted to the designated fiscal
22 officer of the Commonwealth having jurisdiction over the payment
23 of such group charges on behalf of the annuitant or the
24 survivor-spouse. This section shall apply to all survivor-
25 spouses of annuitants regardless of when they attain such
26 status. AN ELIGIBLE SURVIVOR-SPOUSE WHO DOES NOT RETURN THE <--
27 ELECTION FORM TO THE STATE EMPLOYEES' RETIREMENT SYSTEM OR THE
28 APPROPRIATE STATE AGENCY ADMINISTERING THE ANNUITANT'S GROUP
29 HEALTH INSURANCE PROGRAM WITHIN THIRTY (30) DAYS SHALL HAVE A
30 COVERAGE EFFECTIVE DATE OF THE FIRST DAY OF THE MONTH SUBSEQUENT
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1 TO THE RECEIPT OF THE ELECTION FORM.
2 (B) IN THE EVENT THAT THE MONTHLY ANNUITY OF THE SURVIVOR-
3 SPOUSE OF THE ANNUITANT IS LESS THAN THE AMOUNT NEEDED OR SUCH
4 PERSON RECEIVES NO SURVIVOR ANNUITY TO COVER THE APPLICABLE
5 MONTHLY INSTALLMENT PAYMENTS, THE COMMONWEALTH'S FISCAL OFFICER
6 SHALL IDENTIFY THE TOTAL [ANNUAL] DIFFERENCE BETWEEN THESE
7 AMOUNTS AND SHALL NOTIFY THE SURVIVOR-SPOUSE OF THE ANNUITANT OF
8 THE DEFICIENCY. WITHIN THIRTY (30) DAYS OF THIS NOTIFICATION,
9 THE SURVIVOR-SPOUSE OF THE ANNUITANT SHALL MAKE A PAYMENT TO THE
10 COMMONWEALTH'S FISCAL OFFICER IN AN AMOUNT SUFFICIENT TO COVER
11 THE [FULL YEAR'S] DEFICIENCY FOR THE PERIOD MANDATED BY THE
12 STATE AGENCY ADMINISTERING THE ANNUITANT'S GROUP HEALTH
13 INSURANCE PROGRAM, WHICH (PERIOD) SHALL NOT EXCEED ONE (1) YEAR.
14 IF PAYMENT IS NOT RECEIVED BY THE COMMONWEALTH'S FISCAL OFFICER
15 WITHIN THE SPECIFIED TIME PERIOD, THE ELIGIBILITY FOR STATE
16 INSURANCE COVERAGE FOR THE SURVIVOR-SPOUSE OF THE ANNUITANT
17 SHALL BE FORFEITED. UPON FORFEITURE, THE COMMONWEALTH'S FISCAL
18 OFFICER SHALL NOTIFY BOTH THE INSURANCE CARRIER AND THE STATE
19 EMPLOYEES' RETIREMENT BOARD.
20 (C) IF THE SURVIVOR-SPOUSE OF THE ANNUITANT ELECTS TO
21 CONTINUE INSURANCE COVERAGE AND MAKES THE [ANNUAL] INSTALLMENT
22 PAYMENT OR DEFICIENCY PAYMENT, OR BOTH, INSURANCE COVERAGE WILL
23 CONTINUE [FOR TWELVE (12) MONTHS, DURING WHICH] IN FORCE WITH
24 THE COMMONWEALTH'S FISCAL OFFICER [WILL REDETERMINE THE]
25 REDETERMINING NEW RATES ANNUALLY AND ANY REQUIRED [ANNUAL]
26 DEFICIENCY AMOUNT [AND]. THE COMMONWEALTH'S FISCAL OFFICER SHALL
27 NOTIFY THE SURVIVOR-SPOUSE OF THE ANNUITANT OF THE AMOUNT
28 REQUIRED TO ASSURE CONTINUED COVERAGE. THIS NOTIFICATION SHALL
29 TAKE PLACE AT LEAST THIRTY (30) DAYS PRIOR TO THE [ANNIVERSARY]
30 DATE OF THE [ELECTION BY THE SURVIVOR-SPOUSE OF THE ANNUITANT TO
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1 PAY FOR INSURANCE COVERAGE.] PROPOSED RATE CHANGE.
2 * * * <--
3 Section 2. Section 16 of the act of August 14, 1991
4 (P.L.331, No.35), entitled "An act amending the act of April 9,
5 1929 (P.L.177, No.175), entitled 'An act providing for and
6 reorganizing the conduct of the executive and administrative
7 work of the Commonwealth by the Executive Department thereof and
8 the administrative departments, boards, commissions, and
9 officers thereof, including the boards of trustees of State
10 Normal Schools, or Teachers Colleges; abolishing, creating,
11 reorganizing or authorizing the reorganization of certain
12 administrative departments, boards, and commissions; defining
13 the powers and duties of the Governor and other executive and
14 administrative officers, and of the several administrative
15 departments, boards, commissions, and officers; fixing the
16 salaries of the Governor, Lieutenant Governor, and certain other
17 executive and administrative officers; providing for the
18 appointment of certain administrative officers, and of all
19 deputies and other assistants and employes in certain
20 departments, boards, and commissions; and prescribing the manner
21 in which the number and compensation of the deputies and all
22 other assistants and employes of certain departments, boards and
23 commissions shall be determined,' further providing for
24 membership of the board of The Pennsylvania Industrial
25 Development Authority, for crime victims' compensation and
26 assistance and for the rights of crime victims; providing for
27 the continuation of medical insurance coverage for survivor-
28 spouse annuitants; providing for costs for offender supervision
29 programs and for the deposit of certain surplus; further
30 providing for the submission of agency budget requests to the
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1 General Assembly and for control of the budgeting processes by
2 the General Assembly; providing for electronic access to certain
3 information provided by the Governor; authorizing the Department
4 of Environmental Resources to indemnify and hold harmless
5 PermaGrain Products, Inc. from and against certain damages
6 related to personal injury and property damage at Quehanna,
7 Pennsylvania; permitting the drilling of water wells on State
8 lands under certain conditions; further providing for municipal
9 notices relating to certain permits issued by the Department of
10 Environmental Resources; and providing for the expiration of the
11 health-care facilities' certificate of need process," is
12 repealed.
13 Section 3. This act shall take effect immediately.
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