BILL NUMBER: AB 373 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY MARCH 19, 2013
INTRODUCED BY Assembly Member Mullin
FEBRUARY 14, 2013
An act to amend Section 21661 of the Government Code, relating to
public employee health benefits.
LEGISLATIVE COUNSEL'S DIGEST
AB 373, as amended, Mullin. Public Employees' Long Term
Long-Term Care Act.
The Public Employees ' Long Term Long-Term
Care Act requires the Board of Administration of the Public
Employees' Retirement System to contract with carriers offering
long-term care insurance plans for eligible employees and annuitants,
as defined. Existing law requires that long-term care insurance
plans be made available periodically during open enrollment periods
determined by the board. Existing law prescribes the classes of
people who are eligible to enroll in these plans.
This bill would make technical, nonsubstantive changes to
these provisions provide that domestic partners and
adult children are eligible to enroll in long-term care plans offered
under the Public Employees' Long- Term Care Act. The bill
would specify that eligibility to enroll in these plans is subject
to limitations of federal law. The bill would authorize the board to
expand eligibility for these plans to all classes of persons who meet
relevant requirements under the act and federal law. The bill would
prescribe certain definitions for these purposes .
Vote: majority. Appropriation: no. Fiscal committee: no
yes . State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 21661 of the Government Code is amended to
read:
21661. (a) The For purposes of this
section:
(1) "Adult children" means children who are at least 18 years of
age.
(2) "Domestic partners" means adults in a domestic partnership as
defined in Section 22771.
(3) "Siblings" means siblings who are at least 18 years of age.
(4) "Spouses" means parties in a marital relationship recognized
under the Internal Revenue Code, including, but not limited to,
Section 7702B(f)(2) of Title 26 of the United States Code, or any
other applicable authority that governs eligibility for a federally
qualified state long-term care plan.
(b) The board shall contract with
carriers offering long-term care insurance plans.
The long-term care insurance plans shall be made available
periodically during open enrollment periods as determined by the
board.
(b)
(c) The board shall award contracts to carriers who are
qualified to provide long-term care benefits, and may develop and
administer self-funded long-term care insurance plans. The board may
offer one or more long-term care insurance plans.
(c)
(d) The long-term care insurance plans shall include
home, community, and institutional care and shall, to the extent
determined by the board, provide substantially equivalent coverage to
that required under Chapter 2.6 (commencing with Section 10231) of
Part 2 of Division 2 of the Insurance Code, if the carrier has been
approved by the Department of Managed Health Care pursuant to Chapter
2.2 (commencing with Section 1340) of Division 2 of the Health and
Safety Code.
(d) The
(e) Except as prohibited by the
Internal Revenue Code, including, but not limited to, Section 7702B
(f)(2) of Title 26 of the United States Code, or any other
authority that governs eligibility for a federally qualified state
long-term care plan, the classes of persons who shall be
eligible to enroll are:
(1) Active and retired members and annuitants of the Public
Employees' Retirement System, and their spouses, domestic
partners, parents, siblings, adult children, and
spouses' parents.
(2) Active and retired members and annuitants of the State
Teachers' Retirement Plan, and their spouses, domestic partners,
parents, siblings, adult children, and spouses'
parents.
(3) Active and retired members and annuitants of the Judges'
Retirement System, and their spouses, domestic partners,
parents, siblings, adult children, and spouses' parents.
(4) Active and retired members and annuitants of the Judges'
Retirement System II, and their spouses, domestic partners,
parents, siblings, adult children, and spouses'
parents.
(5) Active and retired members and annuitants of the Legislators'
Retirement System, and their spouses, domestic partners,
parents, adult children, siblings, and spouses' parents.
(6) Members of the California Assembly and Senate and their
spouses, domestic partners, parents, siblings, adult
children, and spouses' parents.
(7) Active and retired members and annuitants, and other classes
of employees of a public agency that is located in this state, and
their spouses, domestic partners, parents, siblings,
ad ult children, and spouses' parents.
(f) The board may expand eligibility to all classes of persons who
meet the requirements of this section, applicable provisions of the
Internal Revenue Code, or any other authority that governs
eligibility for a federally qualified state long-term care plan.
(e)
(g) An individual specified in paragraphs (1)
to (7), inclusive, of subdivision (d) subdivision (e)
or (f) shall not be eligible unless he or she resides in the
United States, its territories and possessions, or in a country in
which a provider network can be established comparable in quality and
effectiveness to those established in the United States.
(f)
(h) Notwithstanding paragraphs (1) to (7),
inclusive, of subdivision (d) subdivision (e) or (f)
, a person shall not be enrolled unless he or she meets the
eligibility and underwriting criteria established by the board.
(g)
(i) Notwithstanding paragraphs (1) to (7),
inclusive, of subdivision (d) subdivision (e) or (f)
, enrollment of active employees of the State of California
shall be subject to Section 19867.
(h)
(j) The board shall establish eligibility criteria for
enrollment, establish appropriate underwriting criteria for potential
enrollees, define the scope of covered benefits, define the criteria
to receive benefits, and set any other standards as needed.
As used in this section, "sibling" means a sibling who is at least
18 years of age.
(i)
(k) The long-term care insurance plans shall not become
part of, or subject to, the retirement or health benefits programs
administered by the system.
(j)
(l) For any self-funded long-term care plan developed
by the board, the premiums shall be deposited in the Public Employees'
Long-term Long-Term Care Fund.