SB425: relative to payment of medical benefits costs for certain group I retirement system members.

SB 425-FN - AS INTRODUCED

2004 SESSION

04-3043

10/09

SENATE BILL 425-FN

AN ACT relative to payment of medical benefits costs for certain group I retirement system members.

SPONSORS: Sen. Gallus, Dist 1; Sen. Larsen, Dist 15; Sen. Martel, Dist 18; Rep. Theberge, Coos 3; Rep. C. Bouchard, Merr 39

COMMITTEE: Insurance

ANALYSIS

This bill provides for payment by the state of medical benefits costs for certain group I retirees who retire with split benefits.

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

04-3043

10/09

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Four

AN ACT relative to payment of medical benefits costs for certain group I retirement system members.

Be it Enacted by the Senate and House of Representatives in General Court convened:

1 Medical Benefits; Payment by the Retirement System; Group I. Amend RSA 100-A:52-b, I(a) to read as follows:

(a) Any person, who has at least 20 years of creditable service as a group I member if age 60 or older, or at least 30 years of creditable service as a group I member if age 55-59, retired on or before July 1, 2004 as a group I member of the New Hampshire retirement system on service or ordinary disability retirement, provided that such person shall be entitled to retirement on the basis of group I creditable service, or any person retired on or before July 1, 2004[,] as a group I member whose service retirement benefit is based upon the provisions of RSA 100-A:19-c and who has a minimum of [20] 10 years of creditable service both as a group I member and as a group II member provided the person is age 60 or older.

2 Effective Date. This act shall take effect 60 days after its passage.

LBAO

04-3043

12/31/03

SB 425-FN - FISCAL NOTE

AN ACT relative to payment of medical benefits costs for certain group I retirement system members.

FISCAL IMPACT:

The New Hampshire Retirement System states this bill will have no fiscal impact on state, county, and local revenue or expenditures.

The New Hampshire Retirement System's Special Account will decrease by $34,000 in FY 2004.

METHODOLOGY:

The New Hampshire Retirement System states this bill will provide the postretirement medical subsidy for certain Group I retirees who retire prior to July 1, 2004 under the provisions of RSA 100-A:19, have at least 10 years of creditable service, both as a Group I member and a Group II member, and are age 60 or older. There are two active members who would be impacted by this bill, and the System states the terminal funding cost as of June 30, 2004 would be $34,000. There are no administrative costs associated with this legislation.

The Special Account balance as of June 30, 2003 was $61,100,000 for State Employee members.

The Actuary's letter is on file in the bill jacket in the Senate Clerk's Office.