Bill Text For HB2006 - Introduced

 1|                          STATE OF OKLAHOMA                            |
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 2|             1st Session of the 59th Legislature (2023)                |
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 3|HOUSE BILL 2006                      By: Davis                         |
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 6|                            AS INTRODUCED                              |
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 7|       An Act relating to schools; amending 70 O.S. 2021,              |
  |       Section 5-117.5, which relates to provision for                 |
 8|       health insurance for school district employees;                 |
  |       providing for health stipend option; providing an               |
 9|       effective date; and declaring an emergency .                    |
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11|BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:                  |
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12|    SECTION 1.     AMENDATORY     70 O.S. 2021, Section 5-117.5, is    |
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13|amended to read as follows:                                            |
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14|    Section 5-117.5  A.  The board of education of each school         |
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15|district in this state shall provide a health insurance plan for the   |
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16|employees of the school district.  School districts may obtain         |
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17|health and dental insurance coverage as provided for in the State      |
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18|and Education Employees Group Insurance Act or may obtain other        |
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19|health insurance coverage.  Any school district that does not          |
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20|participate in the health and dental insurance plans offered through   |
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21|the State and Education Employees Group Insurance Act shall obtain     |
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22|health insurance coverage for the employees which provides open        |
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23|enrollment, and provide for the continuation of health insurance       |
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24|coverage, including supplemental Medicare insurance coverage, for      |
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   Req. No. 5118                                                   Page 1
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 1|those district employees who retire from said district after           |
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 2|September 30, 1991, with a vested benefit in the Teachers'             |
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 3|Retirement System of Oklahoma.  A retired person who begins            |
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 4|receiving benefits from the Teachers' Retirement System of Oklahoma    |
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 5|after September 30, 1991, who retires from a school district that      |
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 6|provides other health insurance coverage, and who elects to continue   |
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 7|said health insurance coverage shall pay to the school district the    |
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 8|premium rate for the health insurance minus an amount equal to the     |
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 9|premium rate of the Medicare supplement or the amount determined       |
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10|pursuant to subsection (4) of Section 1316.3 of Title 74 of the        |
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11|Oklahoma Statutes, whichever is less, which shall be paid by the       |
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12|Teachers' Retirement System of Oklahoma to the school district.  The   |
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13|school district shall remit to the health insurance coverage           |
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14|provider the total premium due less any uncollected amounts payable    |
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15|from retired school district employees or their qualified survivors.   |
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16|    B.  A school district that participates in health insurance        |
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17|coverage other than the health insurance plan offered by the State     |
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18|and Education Employees Group Insurance Act shall not be required to   |
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19|pay any portion of the premiums for the employees or the dependents    |
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20|of the employees of said school district, except as may otherwise be   |
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21|provided by law.  Unless a school district negotiates an agreement     |
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22|with its employees regarding health insurance pursuant to Sections     |
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23|509.1 through 509.9 of this title, and to the extent that the          |
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24|agreement provides for the members of the recognized bargaining        |
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   Req. No. 5118                                                   Page 2
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 1|unit, a school district that participates in health insurance          |
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 2|coverage other than the health insurance plan offered by the State     |
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 3|and Education Employees Group Insurance Act is prohibited from         |
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 4|acquiring additional or supplemental health or dental insurance for    |
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 5|any board member, school superintendent or any other employee which    |
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 6|is not available to all employees of said district, and said school    |
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 7|district shall not pay a greater portion of the employee or            |
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 8|dependent premium for any health or dental insurance plan or plans     |
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 9|provided by said school district on behalf of any board member,        |
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10|school superintendent or employee than that portion paid on behalf     |
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11|of all participating employees of said district.                       |
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12|    C.  If a school district obtains health insurance coverage from    |
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13|a source other than through the State and Education Employees Group    |
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14|Insurance Act, the employees of the school district who would be       |
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15|eligible to participate in the health and dental plans may require     |
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16|the board of education of the school district to call an election to   |
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17|allow said employees to vote as to whether the school district shall   |
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18|participate in the health and dental insurance plans offered through   |
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19|the State and Education Employees Group Insurance Act.  Upon the       |
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20|filing with the board of education of a petition calling for such an   |
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21|election which is signed by no less than thirty percent (30%) of the   |
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22|eligible employees of the school district, the board of education      |
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23|shall call an election for the purpose of determining whether the      |
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24|school district shall participate in the health and dental insurance   |
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   Req. No. 5118                                                   Page 3
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 1|plans offered through the State and Education Employees Group          |
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 2|Insurance Act.  The election shall be held within thirty (30) days     |
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 3|of the filing of the petition.  If a majority of those eligible        |
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 4|employees voting at the election vote to participate in the health     |
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 5|and dental insurance plans offered through the State and Education     |
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 6|Employees Group Insurance Act, the board of education of the school    |
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 7|district shall apply for such participation within thirty (30) days    |
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 8|of the election.                                                       |
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 9|    D.  If a school district does not have any health insurance        |
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10|coverage of the type required by this section, that school district    |
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11|shall immediately be enrolled in the health and dental insurance       |
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12|plans offered through the State and Education Employees Group          |
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13|Insurance Act.                                                         |
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14|    E.  A carrier providing health insurance coverage for employees    |
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15|of a school district health insurance group which replaces a           |
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16|previous carrier for such school district employees shall provide      |
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17|coverage for each retired employee who is receiving a benefit or       |
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18|terminates employment with a vested benefit from the Teachers'         |
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19|Retirement System of Oklahoma and who is enrolled in the health        |
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20|insurance group by the previous carrier at the time the previous       |
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21|carrier providing health insurance coverage is replaced.               |
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22|Notwithstanding any provision in this section to the contrary, any     |
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23|person who retires pursuant to the provisions of the Teachers'         |
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24|Retirement System of Oklahoma prior to May 1, 1993, or terminates      |
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   Req. No. 5118                                                   Page 4
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 1|service with a vested benefit, pursuant to the provisions of the       |
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 2|Teachers' Retirement System of Oklahoma prior to May 1, 1993, may      |
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 3|continue to participate in the health and dental plans authorized by   |
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 4|the provisions of the State and Education Employees Group Insurance    |
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 5|Act.                                                                   |
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 6|    F.  In the event a school district ceases to exist, the assets     |
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 7|and duties of said school district are transferred to one or more      |
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 8|other school districts, said other school district or districts do     |
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 9|not agree to employ all of the former employees of the school          |
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10|district that is ceasing to exist, and said former employees who are   |
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11|not being reemployed have rights under federal or state law to         |
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12|continue group insurance coverage, the school district receiving all   |
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13|or a portion of the assets and duties of the annexing school           |
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14|district having the largest general fund revenue for the most recent   |
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15|preceding fiscal year for which data is available shall provide        |
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16|group insurance coverage to said former employees not being retained   |
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17|during the period as required by law.                                  |
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18|    G.  Any member of a district board of education who terminates     |
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19|service on or after July 1, 2002, who has served ten (10) or more      |
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20|years as a district board of education member in this state, and who   |
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21|is participating at the time of termination in a health and/or         |
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22|dental insurance plan offered by the school district, may elect upon   |
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23|termination of such service to continue participation in the health    |
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24|and/or dental insurance plan that the member was participating in at   |
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   Req. No. 5118                                                   Page 5
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 1|the time of termination.  The election provided in this subsection     |
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 2|shall be made within thirty (30) days from the date of the school      |
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 3|board member's termination of service.  The school board member        |
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 4|shall pay the full cost of the insurance premium for such              |
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 5|after-termination coverage at the rate and pursuant to the terms and   |
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 6|conditions of such health and/or dental plan.                          |
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 7|    H.  The board of education of each school district in this state   |
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 8|shall, during the open enrollment period, offer employees the option   |
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 9|to opt-out of provided health insurance plans and instead receive a    |
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10|health insurance stipend of One Hundred and Fifty Dollars ($150.00)    |
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11|that shall be reflected in their salary.                               |
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12|    SECTION 2.  This act shall become effective July 1, 2023.          |
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13|    SECTION 3.  It being immediately necessary for the preservation    |
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14|of the public peace, health or safety, an emergency is hereby          |
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15|declared to exist, by reason whereof this act shall take effect and    |
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16|be in full force from and after its passage and approval.              |
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18|    59-1-5118      MJ     01/11/23                                     |
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   Req. No. 5118                                                   Page 6
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