September 25, 2008, Introduced by Senator KUIPERS and referred to the Committee on Local, Urban and State Affairs.
A bill to amend 1943 PA 240, entitled
"State employees' retirement act,"
by amending section 68c (MCL 38.68c), as added by 2007 PA 95.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 68c. (1) Except as otherwise provided in this subsection,
a retirant who is receiving a retirement allowance under this act
and
is employed by this state beginning on or after the effective
date
of this section October 1,
2007 agrees to forfeit his or her
right to receive that retirement allowance during this period of
state employment. The retirement system shall cease payment of the
retirement allowance to a retirant described in this subsection
during this period of state employment and shall reinstate payment
of the retirement allowance without recalculation when the period
of state employment ceases. This subsection does not apply to a
retirant
who is employed by this state on the day before the
effective
date of this section October
1, 2007 so long as he or she
remains
in the position held by the retirant on the day before the
effective
date of this section October
1, 2007. As used in this
subsection, "employed by this state" means employed directly by
this
state as an employee or indirectly by this state through a
contractual
arrangement with other parties October 1, 2007.
(2) A hospital, medical-surgical, and sick care benefits plan,
dental plan, vision plan, and hearing plan that covers retirants,
retirant allowance beneficiaries, former qualified participants,
and health benefit dependents under this act shall contain a
coordination of benefits provision that provides all of the
following:
(a) If the person covered under any of the plans is also
eligible for medicare, then the benefits under medicare shall be
determined before the health insurance benefits under this act.
(b) If a person covered under any of the plans provided by
this act is also covered under another plan that contains a
coordination of benefits provision, the benefits shall be
coordinated as provided in the coordination of benefits act, 1984
PA 64, MCL 550.251 to 550.255.
(c) If the person covered under any of the plans provided by
this act is also covered under another plan that does not contain a
coordination of benefits provision, the benefits under the other
plan shall be determined before the benefits provided pursuant to
this act.