HB 583 -- State Employees' Retirement Incentives

Sponsor:  Smith (118)

This bill contains provisions pertaining to medical insurance and
retirement incentives for state employees who are members of the
Highways and Transportation Employees' and Highway Patrol
Retirement System (HTEHPRS), the Missouri State Employees'
Retirement System (MOSERS), or the Missouri State Employees'
Retirement System, Year 2000 Plan (MSEP 2000).  Members of each
system must retire prior to January 1, 2004, and be eligible for
medical coverage under the Missouri Consolidated Health Care
Plan.

In its main provisions, the bill:

(1)  Allows any retiree to elect to continue medical coverage at
the same costs as if the retiree were an active employee until
the retiree is eligible for Medicare or reaches 65 years of age;

(2)  Requires the costs for medical coverage for eligible
retirees to revert to the applicable rate when the retiree
becomes eligible for Medicare or reaches 65 years of age;

(3)  Requires any additional years of service credited to a
retiree's annuity to be applicable to the costs of medical
coverage after the retiree becomes eligible for Medicare or
reaches 65 years of age;

(4)  Requires the governing body of any participating member
agency to elect to provide the medical coverage incentive
contained in the bill in order for employees or retirees to be
eligible to apply the incentive to their current coverage;

(5)  Allows the governing boards of Truman State University,
Lincoln University, state colleges listed in Section 174.020,
RSMo, the Department of Transportation, the State Highway Patrol,
and the Department of Conservation to elect to provide their
employees or retirees the same incentive for medical coverage as
are available under the bill;

(6)  Allows current employees who elect to retire and who are
eligible to receive a normal annuity under HTEHPRS or MOSERS, or
a life and any temporary annuity under MSEP 2000, to receive four
years of additional credit service.  This election requires an
active employment status of one year, and the employment must be
immediately prior to the effective date of the bill.  In
addition, certain limitations will apply for employees who elect
to retire;

(7)  Requires the re-calculation of a retiree's annuity and the
provision of a lump-sum payment to a retiree.  An employee may
elect to receive an annuity or lump-sum payment.  The lump-sum
payment amount is subject to additional requirements;

(8)  Requires MOSERS and HTEHPRS to submit a written report to
the Governor, the Commissioner of Administration, and the General
Assembly by February 1, 2004.  The report must examine required
subject areas and the effects of the incentive provisions
contained in the bill.  The period the report must cover is
February 1, 2003, to January 1, 2004; and

(9)  Requires the Office of Administration to submit a budgetary
report concerning the effects of the incentive provisions
contained in the bill.  The subject areas the report must address
are also contained in the bill.

The bill contains an emergency clause.

Missouri House of Representatives
Last Updated July 25, 2003 at 10:12 am