BILL NUMBER: AB 2059 CHAPTERED 09/20/02 CHAPTER 733 FILED WITH SECRETARY OF STATE SEPTEMBER 20, 2002 APPROVED BY GOVERNOR SEPTEMBER 20, 2002 PASSED THE ASSEMBLY AUGUST 22, 2002 PASSED THE SENATE AUGUST 19, 2002 AMENDED IN SENATE AUGUST 5, 2002 AMENDED IN SENATE JUNE 13, 2002 AMENDED IN ASSEMBLY MAY 9, 2002 AMENDED IN ASSEMBLY APRIL 29, 2002 INTRODUCED BY Assembly Members Rod Pacheco, Bogh, and Cohn (Coauthors: Assembly Members Havice, Negrete McLeod, Pescetti, Reyes, and Strom-Martin) FEBRUARY 19, 2002 An act to add Section 22821.3 to the Government Code, and to amend Section 13600 of the Probate Code, relating to public employee health benefits, making an appropriation therefor, and declaring the urgency thereof, to take effect immediately. LEGISLATIVE COUNSEL'S DIGEST AB 2059, Rod Pacheco. Public employee health benefits: survivors of firefighters and peace officers. (1) The Public Employees' Medical and Hospital Care Act provides that, upon the death of a specified firefighter or peace officer from injury or disease relating to his or her official duties, the uninsured surviving spouse, as defined, and uninsured family members may enroll in an approved health benefits plan and a portion of the cost of that enrollment is paid by the state. Employer and employee contributions for health benefits are deposited into one of 2 continuously appropriated funds. Under this bill, if the eligible family members of a deceased firefighter or peace officer, as specified, employed by a contracting agency were validly enrolled in an approved health benefits plan on the date of the employee's death, the contracting agency would be required to continue to pay the employer's contribution for the continued enrollment of those family members for a specified period. By increasing the contributions to a continuously appropriated fund, the bill would make an appropriation. (2) Existing law limits the amount of money that a surviving spouse, or the guardian or conservator of the estate of the surviving spouse, may collect in salary or compensation owed from the employers of his or her deceased spouse to no more than $5,000, as specified, without procuring letters of administration or awaiting probate of the deceased's will. This bill would exempt from that $5,000 limitation the surviving spouse or the guardian or conservator of the estate of the surviving spouse of specified firefighters or peace officers subject to the Public Employees' Medical and Hospital Care Act. The bill would also make that $5,000 amount subject to an annual cost-of-living adjustment, as specified. The bill would declare that it is to take effect immediately as an urgency statute. Appropriation: yes. THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS: SECTION 1. Section 22821.3 is added to the Government Code, to read: 22821.3. (a) Subject to subdivisions (b) and (c), if the eligible family members of a deceased peace officer or firefighter of a contracting agency, as described in subdivision (a) of Section 22821.2, are validly enrolled under this part on the date of the employee's death, the contracting agency shall continue to pay the employer contribution applicable to active employees for the continued enrollment of those eligible family members for a period not to exceed 120 days, beginning in the month of the employee's death. (b) A contracting agency shall remit the amounts required under paragraph (2) of Section 22826 and Section 22831 as well as the total amount of premium required from the employer under this part in accordance with regulations of the board. Enrollment of the eligible family members shall be continuous following the death of the employee. (c) Notwithstanding subdivision (a), the contracting agency's obligation to pay the employer's contribution pursuant to this section shall terminate upon either of the following: (1) Enrollment of the eligible family members pursuant to Section 22821.2. (2) A final determination of the board that the deceased employee' s family members are not eligible to enroll or continue enrollment under this part. (d) During the period that enrollment is continued pursuant to this section, the surviving spouse or eldest eligible family member shall retain the rights and obligations that otherwise would be applicable to the employee under this part. SEC. 2. Section 13600 of the Probate Code is amended to read: 13600. (a) At any time after a husband or wife dies, the surviving spouse or the guardian or conservator of the estate of the surviving spouse may, without procuring letters of administration or awaiting probate of the will, collect salary or other compensation owed by an employer for personal services of the deceased spouse, including compensation for unused vacation, not in excess of five thousand dollars ($5,000) net. (b) Not more than five thousand dollars ($5,000) net in the aggregate may be collected by or for the surviving spouse under this chapter from all of the employers of the decedent. (c) For the purposes of this chapter, a guardian or conservator of the estate of the surviving spouse may act on behalf of the surviving spouse without authorization or approval of the court in which the guardianship or conservatorship proceeding is pending. (d) The five thousand dollar ($5,000) net limitation set forth in subdivisions (a) and (b) does not apply to the surviving spouse or the guardian or conservator of the estate of the surviving spouse of a firefighter or peace officer described in subdivision (a) of Section 22821.2 of the Government Code. (e) On January 1, 2003, and on January 1 of each year thereafter, the maximum net amount of salary or compensation payable under subdivisions (a) and (b) to the surviving spouse or the guardian or conservator of the estate of the surviving spouse may be adjusted to reflect any increase in the cost of living occurring after January 1 of the immediately preceding year. The United States city average of the "Consumer Price Index for all Urban Consumers," as published by the United States Bureau of Labor Statistics, shall be used as the basis for determining the changes in the cost of living. The cost-of-living increase shall equal or exceed 1 percent before any adjustment is made. The net amount payable may not be decreased as a result of the cost-of-living adjustment. SEC. 3. This act is an urgency statute necessary for the immediate preservation of the public peace, health, or safety within the meaning of Article IV of the Constitution and shall go into immediate effect. The facts constituting the necessity are: To ensure that the families of specified firefighters and peace officers maintain their health benefits following the death of a firefighter or peace officer, it is necessary that this act take effect immediately.