Full Text of SB1125 103rd General Assembly
SB1125sam001 103RD GENERAL ASSEMBLY | Sen. Chapin Rose Filed: 3/14/2023
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| 1 | | AMENDMENT TO SENATE BILL 1125
| 2 | | AMENDMENT NO. ______. Amend Senate Bill 1125 by replacing | 3 | | everything after the enacting clause with the following:
| 4 | | "Section 5. The State Employees Group Insurance Act of | 5 | | 1971 is amended by changing Section 6.9 as follows:
| 6 | | (5 ILCS 375/6.9)
| 7 | | Sec. 6.9. Health benefits for community college benefit | 8 | | recipients and
community college dependent beneficiaries. | 9 | | (a) Purpose. It is the purpose of this amendatory Act of | 10 | | 1997 to establish
a uniform program of health benefits for | 11 | | community college benefit recipients
and their dependent | 12 | | beneficiaries under the administration of the Department of
| 13 | | Central Management Services.
| 14 | | (b) Creation of program. Beginning July 1, 1999, the | 15 | | Department of
Central Management Services shall be responsible | 16 | | for administering a program of
health benefits for community |
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| 1 | | college benefit recipients and community college
dependent | 2 | | beneficiaries under this Section. The State Universities | 3 | | Retirement
System and the boards of trustees of the various | 4 | | community college districts
shall cooperate with the | 5 | | Department in this endeavor.
| 6 | | (c) Eligibility. All community college benefit recipients | 7 | | and community
college dependent beneficiaries shall be | 8 | | eligible to participate in the program
established under this | 9 | | Section, without any interruption or delay in coverage
or | 10 | | limitation as to pre-existing medical conditions. Eligibility | 11 | | to
participate shall be determined by the State Universities | 12 | | Retirement System.
Eligibility information shall be | 13 | | communicated to the Department of Central
Management Services | 14 | | in a format acceptable to the Department.
| 15 | | Eligible community college benefit recipients may enroll | 16 | | or re-enroll in the program of health benefits established | 17 | | under this Section during any applicable annual open | 18 | | enrollment period and as otherwise permitted by the Department | 19 | | of Central Management Services. A community college benefit | 20 | | recipient shall not be deemed ineligible to participate solely | 21 | | by reason of the community college benefit recipient having | 22 | | made a previous election to disenroll or otherwise not | 23 | | participate in the program of health benefits. | 24 | | (d) Coverage. The health benefit coverage provided under | 25 | | this Section
shall be a program of health, dental, and vision | 26 | | benefits.
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| 1 | | The program of health benefits under this Section may | 2 | | include any or all of
the benefit limitations, including but | 3 | | not limited to a reduction in benefits
based on eligibility | 4 | | for federal Medicare benefits, that are provided under
| 5 | | subsection (a) of Section 6 of this Act for other health | 6 | | benefit programs under
this Act. The Director shall also | 7 | | provide community college benefit recipients the option to | 8 | | decline dental coverage under this Act for themselves and | 9 | | their dependent beneficiaries.
| 10 | | (e) Insurance rates and premiums. The Director shall | 11 | | determine the
insurance rates and premiums for community | 12 | | college benefit recipients and
community college dependent | 13 | | beneficiaries. Rates and premiums may be based
in part on age | 14 | | and eligibility for federal Medicare coverage.
The Director | 15 | | shall also determine premiums that will allow for the
| 16 | | establishment of an actuarially sound reserve for this | 17 | | program.
| 18 | | The cost of health benefits under the program shall be | 19 | | paid as follows:
| 20 | | (1) For a community college benefit recipient, up to | 21 | | 75% of the total
insurance rate shall be paid from the | 22 | | Community College Health Insurance
Security Fund.
| 23 | | (2) The balance of the rate of insurance, including | 24 | | the entire premium
for any coverage for community college | 25 | | dependent beneficiaries that has been
elected, shall be | 26 | | paid by deductions authorized by the community college
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| 1 | | benefit recipient to be withheld from his or her monthly | 2 | | annuity or benefit
payment from the State Universities | 3 | | Retirement System; except that (i) if the
balance of the | 4 | | cost of coverage exceeds the amount of the monthly annuity | 5 | | or
benefit payment, the difference shall be paid directly | 6 | | to the State
Universities Retirement System by the | 7 | | community college benefit recipient, and
(ii) all or part | 8 | | of the balance of the cost of coverage may, at the option | 9 | | of
the board of trustees of the community college | 10 | | district, be paid to
the State Universities Retirement | 11 | | System by the board of the community college
district from | 12 | | which the community college benefit recipient retired. The | 13 | | State
Universities Retirement System shall promptly | 14 | | deposit all moneys withheld by or
paid to it under this | 15 | | subdivision (e)(2) into the Community College Health
| 16 | | Insurance Security Fund. These moneys shall not be | 17 | | considered assets of the
State Universities Retirement | 18 | | System.
| 19 | | (f) Financing. All revenues arising from the | 20 | | administration of the health
benefit program established under | 21 | | this Section shall be deposited into the
Community College | 22 | | Health Insurance Security Fund, which is hereby created as a
| 23 | | nonappropriated trust fund to be held outside the State | 24 | | Treasury, with the
State Treasurer as custodian. Any interest | 25 | | earned on moneys in the Community
College Health Insurance | 26 | | Security Fund shall be deposited into the Fund.
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| 1 | | Moneys in the Community College Health Insurance Security | 2 | | Fund shall be used
only to pay the costs of the health benefit | 3 | | program established under this
Section, including associated | 4 | | administrative costs and the establishment of a
program | 5 | | reserve. Beginning January 1, 1999,
the Department of Central | 6 | | Management Services may make expenditures from the
Community | 7 | | College Health Insurance Security Fund for those costs.
| 8 | | (g) Contract for benefits. The Director shall by contract, | 9 | | self-insurance,
or otherwise make available the program of | 10 | | health benefits for community
college benefit recipients and | 11 | | their community college dependent beneficiaries
that is | 12 | | provided for in this Section. The contract or other | 13 | | arrangement for
the provision of these health benefits shall | 14 | | be on terms deemed by the Director
to be in the best interest | 15 | | of the State of Illinois and the community college
benefit | 16 | | recipients based on, but not limited to, such criteria as
| 17 | | administrative cost, service capabilities of the carrier or | 18 | | other contractor,
and the costs of the benefits.
| 19 | | (h) Continuation of program. It is the intention of the | 20 | | General Assembly
that the program of health benefits provided | 21 | | under this Section be maintained
on an ongoing, affordable | 22 | | basis. The program of health benefits provided under
this | 23 | | Section may be amended by the State and is not intended to be a | 24 | | pension or
retirement benefit subject to protection under | 25 | | Article XIII, Section 5 of the
Illinois Constitution.
| 26 | | (i) Other health benefit plans. A health benefit plan |
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| 1 | | provided by a
community college district (other than a | 2 | | community college district subject to
Article VII of the | 3 | | Public Community College Act) under the terms of a
collective | 4 | | bargaining agreement in effect on or prior to the effective | 5 | | date of
this amendatory Act of 1997 shall continue in force | 6 | | according to the terms of
that agreement, unless otherwise | 7 | | mutually agreed by the parties to that
agreement and the | 8 | | affected retiree.
A community college benefit recipient or | 9 | | community college dependent
beneficiary whose coverage under | 10 | | such a plan expires shall be eligible to begin
participating | 11 | | in the program established under this Section without any
| 12 | | interruption or delay in coverage or limitation as to | 13 | | pre-existing medical
conditions.
| 14 | | This Act does not prohibit any community college district | 15 | | from offering
additional health benefits for its retirees or | 16 | | their dependents or survivors.
| 17 | | (Source: P.A. 100-1017, eff. 8-21-18.)".
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