REPORT TITLE:
Health Fund


DESCRIPTION:
Entitles the employee-beneficiary who is retired and the
employee-beneficiary's spouse who participates in the
supplemental Medicare plan of an employee organization, the same
amount paid by the fund to those who have enrolled in the
voluntary medical insurance coverage under the Medicare plan.

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                                        
THE SENATE                              S.B. NO.           948
TWENTIETH LEGISLATURE, 1999                                
STATE OF HAWAII                                            
                                                             
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                   A  BILL  FOR  AN  ACT

RELATING TO HEALTH FUND MEDICARE PART B.
 


BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

 1      SECTION 1.  Section 87-27, Hawaii Revised Statutes, is
 
 2 amended to read as follows:
 
 3      "87-27  Supplemental plan to federal Medicare.  Any other
 
 4 provision of this chapter notwithstanding, the board of trustees
 
 5 shall establish, effective July 1, 1966, a health benefit plan
 
 6 which takes into account benefits available to an employee-
 
 7 beneficiary and spouse under the federal Medicare plan, subject
 
 8 to the following conditions:
 
 9      (1)  There shall be no duplication of benefits payable under
 
10           federal Medicare but the plan so established by the
 
11           board shall be supplemental to the federal Medicare
 
12           plan.
 
13      (2)  The contribution for voluntary medical insurance
 
14           coverage under federal Medicare may be paid by the
 
15           fund, in such manner as the board shall specify, in the
 
16           case of an employee-beneficiary who is a retired
 
17           employee, and spouse while the employee-beneficiary is
 
18           living, including members of the old pension system and
 
19           after death the employee-beneficiary's spouse provided
 

 
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                                     S.B. NO.           948
                                                        
                                                        

 
 1           the spouse qualifies as an employee-beneficiary;
 
 2           provided that the counties, through their respective
 
 3           departments of finance, shall reimburse the fund for
 
 4           any contributions made for county employee-
 
 5           beneficiaries under this paragraph.  In the case of an
 
 6           employee-beneficiary who is a retired employee, and
 
 7           spouse who participates in the supplemental plan to
 
 8           federal Medicare of an employee organization, the
 
 9           employee-beneficiary shall be entitled to the same
 
10           amount paid by the fund to employee-beneficiaries who
 
11           participate in the supplemental plan to federal
 
12           Medicare established by the fund and who have enrolled
 
13           in the voluntary medical insurance coverage under the
 
14           federal Medicare plan.
 
15      (3)  The benefits available under the plan, when taken
 
16           together with the benefits available under the federal
 
17           Medicare plan shall, as nearly as is possible,
 
18           approximate the benefits available under the plans set
 
19           forth in section 87-22.  If, for any reason, a
 
20           situation develops where the benefits available under
 
21           the supplemental plan and the federal Medicare plan
 
22           substantially differ from those that would otherwise be
 
23           available, the board is authorized to correct this
 

 
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                                     S.B. NO.           948
                                                        
                                                        

 
 1           inequity to assure substantial equality of benefits.
 
 2      (4)  Any employee-beneficiary or dependent-beneficiary who
 
 3           is enrolled in the federal Medicare plan shall
 
 4           participate in the supplemental plan to be set up
 
 5           hereunder, and any employee-beneficiary or dependent-
 
 6           beneficiary eligible for, but not enrolled in the
 
 7           federal Medicare plan, may participate in such other
 
 8           plans as are set forth in section 87-22." 
 
 9      SECTION 2.  New statutory material is underscored.
 
10      SECTION 3.  This Act shall take effect upon its approval.
 
11 
 
12                           INTRODUCED BY:  _______________________