1| STATE OF OKLAHOMA |
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2| 1st Session of the 59th Legislature (2023) |
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3|SENATE BILL 24 By: Pemberton |
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4| |
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5| |
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6| AS INTRODUCED |
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7| An Act relating to Oklahoma Employees Insurance and |
| Benefits Act; amending 74 O.S. 2021, Section 1316.3, |
8| which relates to continuance of health and dental |
| insurance benefits; allowing for certain members of |
9| Teachers' Retirement System to reinstate previously |
| declined health and dental coverage during certain |
10| election period; updating statutory language; and |
| reinstating payable benefit. |
11| |
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12| |
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13|BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA: |
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14| SECTION 1. AMENDATORY 74 O.S. 2021, Section 1316.3, is |
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15|amended to read as follows: |
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16| Section 1316.3. A. Any person who retires pursuant to the |
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17|provisions of the Teachers' Retirement System of Oklahoma with at |
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18|least ten (10) years of creditable service or who has a vested |
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19|benefit with at least ten (10) years of creditable service, pursuant |
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20|to the provisions of the Teachers' Retirement System of Oklahoma may |
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21|continue in force the health and dental insurance benefits |
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22|authorized by the provisions of the Oklahoma Employees Insurance and |
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23|Benefits Act if such election to continue in force or begin is made |
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24|within thirty (30) days from the date of termination of service. |
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Req. No. 136 Page 1
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1|Except as provided in subsection E of Sections 5-117.5 and 14-108.1 |
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2|of Title 70 of the Oklahoma Statutes and Section 840-2.27I of this |
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3|title and subsection K of this section, health and dental insurance |
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4|coverage may not be reinstated at a later time if the election to |
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5|continue in force or begin coverage is declined. Provided, a |
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6|retired member of the System who declines to continue in force the |
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7|health and dental benefits authorized by the provisions of the |
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8|Oklahoma Employees Insurance and Benefits Act may have such coverage |
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9|reinstated during the election period of any given year as |
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10|prescribed by the Office of Management and Enterprise Services. |
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11|Upon reinstatement of health and dental benefits, the retired member |
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12|shall receive the maximum benefit payable pursuant to subsection E |
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13|of this section. Vested persons who have terminated service and are |
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14|not receiving benefits and effective July 1, 1996, nonvested persons |
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15|who have terminated service with more than ten (10) years of |
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16|participating service with a qualifying employer, who within thirty |
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17|(30) days from the date of termination of service, elect to continue |
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18|such coverage, shall pay the full cost of said the insurance premium |
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19|at the rate and pursuant to the terms and conditions established by |
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20|the Office of Management and Enterprise Services. |
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21| B. 1. Health insurance benefit plans offered pursuant to this |
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22|section shall include: |
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23| a. indemnity plans offered through the Office, |
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Req. No. 136 Page 2
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1| b. managed care plans offered as alternatives to the |
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2| indemnity plans, |
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3| c. Medicare supplements offered through the Office, |
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4| d. Medicare risk-sharing contracts offered as |
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5| alternatives to the Medicare supplements offered |
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6| through the Office, and |
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7| e. any other employer-provided health insurance benefit |
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8| plans if the employer does not participate in the |
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9| plans offered pursuant to the Oklahoma Employees |
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10| Insurance and Benefits Act. |
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11| 2. Health insurance benefit plans offered pursuant to this |
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12|section shall provide prescription drug benefits, except for plans |
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13|designed pursuant to the Medicare Prescription Drug, Improvement, |
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14|and Modernization Act of 2003, which may or may not contain |
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15|prescription drug benefits, for which provision of prescription drug |
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16|benefits is optional, and except for plans offered pursuant to |
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17|subparagraph e of paragraph 1 of this subsection. |
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18| C. A retired person who: |
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19| 1. Is receiving benefits from the Teachers' Retirement System |
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20|of Oklahoma after September 30, 1988, is under sixty-five (65) years |
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21|of age and is not otherwise eligible for Medicare and pursuant to |
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22|subsection A of this section elects to begin or to continue the |
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23|health insurance plan; |
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24| |
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1| 2. Is receiving benefits from the Teachers' Retirement System |
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2|of Oklahoma after June 30, 1993, is under sixty-five (65) years of |
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3|age and is not otherwise eligible for Medicare and participates in a |
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4|health insurance plan provided by a participating education employer |
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5|of the Teachers' Retirement System of Oklahoma other than a health |
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6|insurance plan offered pursuant to the Oklahoma Employees Insurance |
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7|and Benefits Act or an alternative health plan offered pursuant to |
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8|the Oklahoma State Employees Benefits Act; |
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9| 3. Is receiving benefits from the Teachers' Retirement System |
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10|of Oklahoma after September 30, 1988, made contributions to the |
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11|system and is sixty-five (65) years of age or older, or who is under |
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12|sixty-five (65) years of age and is eligible for Medicare and is a |
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13|participant in the Oklahoma Employees Insurance and Benefits Act and |
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14|elects coverage under the Medicare supplement offered by the Office; |
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15|or |
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16| 4. Is receiving benefits from the Teachers' Retirement System |
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17|of Oklahoma after June 30, 1993, made contributions to the system |
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18|and is sixty-five (65) years of age or older, or who is under |
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19|sixty-five (65) years of age and is eligible for Medicare and |
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20|participates in a health insurance plan provided by a participating |
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21|education employer of the Teachers' Retirement System of Oklahoma |
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22|other than a health insurance plan offered pursuant to the Oklahoma |
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23|Employees Insurance and Benefits Act or an alternative health plan |
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24|offered pursuant to the Oklahoma State Employees Benefits Act and |
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1|elects coverage under the Medicare supplement offered by the Office, |
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2|shall have the amount determined pursuant to subsection E of this |
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3|section, or the premium rate of the health insurance benefit plan, |
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4|whichever is less, paid by the Teachers' Retirement System of |
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5|Oklahoma. If the amount paid by the Teachers' Retirement System of |
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6|Oklahoma does not cover the full cost of the health insurance |
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7|premium, the retired person shall pay the remaining amount if the |
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8|retired person wants to continue the coverage. |
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9| D. The Teachers' Retirement System shall pay the amount due |
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10|pursuant to the provisions of subsection C of this section as |
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11|follows: |
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12| 1. For those individuals participating in plans provided |
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13|through the Oklahoma Employees Insurance and Benefits Act, payment |
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14|shall be made to the Office pursuant to the provisions of subsection |
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15|I of this section; or |
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16| 2. For those individuals participating in plans provided |
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17|through a participating education employer of the Teachers' |
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18|Retirement System of Oklahoma other than a health insurance plan |
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19|offered pursuant to the Oklahoma Employees Insurance and Benefits |
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20|Act, payment shall be made to the education employer. |
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21| E. Beginning July 1, 2000, the maximum benefit payable by the |
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22|Teachers' Retirement System of Oklahoma on behalf of a retired |
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23|person toward said such person's monthly premium for health |
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1|insurance shall be determined in accordance with the following |
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2|schedule: |
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3| LESS THAN |
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4| 25 YEARS BUT |
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5|GREATER |
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6| LESS THAN GREATER THAN THAN |
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7|24.99 |
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8| AVERAGE SALARY 15 YEARS OF 14.99 YEARS OFYEARS |
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9|OF |
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10| USED FOR DETERMINING CREDITABLE CREDITABLE |
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11|CREDITABLE |
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12| RETIREMENT ALLOWANCE SERVICE SERVICE |
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13|SERVICE |
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14|Less than $20,000.00 $103.00 $104.00$105.00 |
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15|Less than $30,000.00 but |
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16| greater than $19,999.99 $102.00$103.00 $104.00 |
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17|Less than $40,000.00 but |
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18| greater than $29,999.99 $101.00$102.00 $103.00 |
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19|$40,000.00 or greater $100.00 $101.00$102.00 |
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20| For plans offered by the Office, the amount paid pursuant to |
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21|this subsection shall first be applied to the prescription drug |
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22|coverage premium, if any. Any remaining amounts shall be applied |
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23|towards the medical coverage premium. |
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1| F. If a person retires and begins to receive benefits from the |
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2|Teachers' Retirement System of Oklahoma or terminates service and |
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3|has a vested benefit with the Teachers' Retirement System of |
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4|Oklahoma, the person may elect, in the manner provided in subsection |
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5|A of this section, to participate in the dental insurance plan |
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6|offered through the Oklahoma Employees Insurance and Benefits Act. |
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7|The person shall pay the full cost of the dental insurance. |
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8| G. Those persons who are receiving benefits from the Teachers' |
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9|Retirement System of Oklahoma and have health insurance coverage |
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10|which on the operative date of this section is being paid by the |
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11|education entity from which the person retired shall make the |
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12|election required in subsection A of this section within thirty (30) |
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13|days of the termination of said such health insurance coverage. The |
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14|person making the election shall give the Office certified |
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15|documentation satisfactory to the Office of the termination date of |
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16|the other health insurance coverage. |
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17| H. Dependents of a deceased education employee who was on |
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18|active work status or on a disability leave at the time of death or |
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19|of a participating retirant or of any person who has elected to |
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20|receive a vested benefit under the Teachers' Retirement System of |
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21|Oklahoma may continue the health and dental insurance benefits in |
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22|force provided said the dependents pay the full cost of such |
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23|insurance and they were covered as eligible dependents at the time |
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24|of such death and such election is made within thirty (30) days of |
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Req. No. 136 Page 7
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1|date of death. The eligibility for said such benefits shall |
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2|terminate for the surviving children when said the children cease to |
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3|qualify as dependents. |
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4| I. The amounts required to be paid by the Teachers' Retirement |
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5|System of Oklahoma pursuant to this section shall be forwarded no |
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6|later than the tenth day of each month following the month for which |
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7|payment is due by the Board of Trustees of the Teachers' Retirement |
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8|System of Oklahoma to the Office for deposit in the Education |
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9|Employees Group Insurance Reserve Fund. |
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10| J. The Teachers' Retirement System of Oklahoma shall provide |
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11|the Office information concerning the employers of retired and |
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12|vested members necessary to allow the Office to track eligibility |
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13|for continued coverage. |
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14| K. Upon retirement from employment with the Board of Regents of |
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15|the University of Oklahoma, any person who is or was employed at the |
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16|George Nigh Rehabilitation Institute and who transferred employment |
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17|pursuant to Section 3427 of Title 70 of the Oklahoma Statutes, any |
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18|person who was employed at the Medical Technology and Research |
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19|Authority and who transferred employment pursuant to Section 7068 of |
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20|this title, and any person who is a member of the Oklahoma Law |
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21|Enforcement Retirement System pursuant to the authority of Section |
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22|2-314 of Title 47 of the Oklahoma Statutes may participate in the |
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23|benefits authorized by the provisions of the Oklahoma Employees |
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24|Insurance and Benefits Act for retired participants, including |
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Req. No. 136 Page 8
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1|health, dental and life insurance benefits, if such election to |
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2|participate is made within thirty (30) days from the date of |
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3|termination of employment. Life insurance benefits for any such |
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4|person who transferred employment shall not exceed the coverage the |
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5|person had at the time of such transfer. Retirees who are persons |
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6|who transferred employment and who participate pursuant to this |
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7|paragraph shall pay the premium for elected benefits less any |
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8|amounts paid by the retirement system pursuant to this section. |
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10| 59-1-136 RD 12/12/2022 4:46:53 PM |
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Req. No. 136 Page 9
