BILL ANALYSIS
SB 235
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Date of Hearing: June 20, 2007
ASSEMBLY COMMITTEE ON PUBLIC EMPLOYEES, RETIREMENT AND SOCIAL
SECURITY
Ed Hernandez, O.D., Chair
SB 235 (Negrete McLeod) - As Amended: May 10, 2007
SENATE VOTE : 29-7
SUBJECT : Vision care: annuitants: California State University.
SUMMARY : Specifically, this bill allows annuitants of the
California State University (CSU) to participate in the Vision
Care Program for State Annuitants and requires the CSU Trustees
to administer the program for their participating annuitants.
EXISTING LAW , prior to enactment of AB 2242 (PER&SS Committee),
Chapter 611, Statutes of 2006, provided vision care for active
state employees only, not retirees. AB 2242 established, under
the administration of the Department of Personnel Administration
(DPA), a vision care program for state annuitants and their
dependents, at no cost to the state. The cost of the coverage
is paid for by the participant. Under the provisions of AB
2242, annuitants of the CSU and the University of California are
prohibited from participating in the DPA administered vision
care program.
FISCAL EFFECT : Unknown
COMMENTS : Under regulations and through collective bargaining
agreements, DPA has provided vision care benefits to
approximately 176,000 active state employees and their
dependents since 1986. Until enactment last year of AB 2242,
vision care benefits were not made available to state retirees.
The newly created Vision Care Program for State Annuitants is in
the process of an "open enrollment" period and to date, over
30,000 retirees have enrolled. The carrier is Vision Service
Plan, and rates are estimated at $8.78 per month per single
participant, $17.12 per month for a two party, and $18.43 per
month for a party of 3 or more.
According to the California Public Employees' Retirement System
(CalPERS), "This bill would allow annuitants of the CSU system
to participate in the Vision Care Program for State Annuitants.
The Vision Care Program is under the administration of DPA and
SB 235
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is a voluntary vision care program for state annuitants and
their dependents, excluding CSU annuitants. CSU annuitants are
currently only eligible for vision care benefits through their
health care provider, not CSU or DPA. The current sate
annuitant vision coverage through the Health Maintenance
Organization and Preferred Plan Option basic plans are not as
comprehensive as the coverage provided to state active members
through the Vision Service Plan program. This bill recognizes
the unique needs of the retiree group and would provide retirees
and their families the option to enroll into a comprehensive
vision care program."
Supporters state, "The ability to see plays an integral role in
retirees' level of mobility and independence. Many physical
ailments and diseases can be diagnosed at a much earlier stage
if regular and complete eye exams are conducted. Glaucoma and
cataracts can be effectively treated with comprehensive eye
care. Not only can early intervention save the eyesight of
retirees, it could also save money by reducing high-cost
complications, serious health problems and irrevocable vision
loss?By having a vision services program, retirees will be more
likely to receive a regular eye exam, update their lenses and
maintain good visual health."
REGISTERED SUPPORT / OPPOSITION :
Support
California State Employees Association, Retired Division
(Sponsor)
California Public Employees' Retirement System
Retired Public Employees Association
Opposition
None on file
Analysis Prepared by : Karon Green / P.E., R. & S.S. / (916)
319-3957