BILL ANALYSIS
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|SENATE RULES COMMITTEE | SB 235|
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UNFINISHED BUSINESS
Bill No: SB 235
Author: Negrete McLeod (D)
Amended: 7/19/07
Vote: 21
SENATE PUBLIC EMP. & RET. COMMITTEE : 4-1, 4/16/07
AYES: Wiggins, Ashburn, Migden, Negrete McLeod
NOES: McClintock
SENATE APPROPRIATIONS COMMITTEE : 9-6, 5/7/07
AYES: Torlakson, Ashburn, Calderon, Corbett, Correa,
Florez, Kuehl, Ridley-Thomas, Yee
NOES: Cox, Aanestad, Battin, Dutton, Runner, Wyland
NO VOTE RECORDED: Cedillo, Oropeza
SENATE FLOOR : 29-7, 5/24/07
AYES: Alquist, Ashburn, Calderon, Cedillo, Corbett,
Correa, Denham, Ducheny, Kehoe, Kuehl, Machado,
Maldonado, Margett, Migden, Negrete McLeod, Oropeza,
Padilla, Perata, Ridley-Thomas, Romero, Runner, Scott,
Simitian, Steinberg, Torlakson, Vincent, Wiggins, Wyland,
Yee
NOES: Aanestad, Ackerman, Cogdill, Cox, Dutton,
Hollingsworth, McClintock
NO VOTE RECORDED: Battin, Florez, Harman, Lowenthal
ASSEMBLY FLOOR : Not available
SUBJECT : Vision care: annuitants: California State
University
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SOURCE : California State Employees Association, Retired
Division
DIGEST : This bill allows annuitants of the California
State University (CSU) system to participate in the newly
created California State University Annuitant Vision Care
Program for annuitants. This bill requires the Office of
the Chancellor of the CSU to administer the program for all
participating annuitants of the institution.
Assembly Amendments recast the bill.
ANALYSIS : Existing law, prior to enactment of AB 2242
(Assembly Public Employees, Retirement and Social Security
Committee), Chapter 611, Statutes of 2006, provided vision
care for active state employees only, not retirees.
Under regulations and through collective bargaining
agreements, the Department of Personnel Administration
(DPA) has provided vision care benefits to approximately
176,000 active state employees and their dependents since
1986. Until Chapter 611 (2006), vision care benefits were
not made available to state retirees.
Vision care is now available for retired state employees,
pursuant to Chapter 611 (2006). When a state employee
currently receiving vision care benefits retires,
enrollment in the vision care plan administered by DPA is
now permitted to continue if the retiree pays the monthly
insurance premium (approximately $12 to $18 per month).
This bill allows annuitants of the CSU system to
participate in the newly created California State
University Annuitant Vision Care Program for annuitants.
This bill requires the Office of the Chancellor of the CSU
to administer the program for all participating annuitants
of the institution.
FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes
Local: No
According to the Assembly Appropriations Committee, all
costs, including start-up and ongoing expenses associated
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with administering the program, would be included in
premiums paid by participating annuitants.
SUPPORT : (Verified 5/10/07) (Unable to reverify)
California State Employees Association, Retired Division
(source)
American Federation of State, County and Municipal
Employees
California State Employees Association
Public Employees' Retirement System
Retired Public Employees Association
OPPOSITION : (Unable to verify at time of writing)
California State University (previous version)
ARGUMENTS IN SUPPORT : The Public Employees' Retirement
System Board of Administration states:
"This bill would allow annuitants of the California State
University (CSU) system to participate in the Vision Care
Program for State Annuitants. The Vision Care Program is
under the administration of the Department of Personnel
Administration (DPA) and 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."
ARGUMENTS IN OPPOSITION : CSU states in opposition:
"[T]his measure would require that those CSU employees
who participated in a vision plan prior to retirement be
eligible to participate in a retiree vision plan
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equivalent to the active employee plan currently offered
by the CSU; but DPA and CSU do not necessarily contract
with the same vision vendor, nor do they offer the same
level of vision benefits for their employees.
. . .
The CSU believes that if it is the intent of the author
to allow CSU retirees to receive a retiree-paid vision
plan through the CSU, then this measure must be amended
to designate the CSU as the plan administrator and
adequate funding must be provided to allow for start up
planning and administration of this new program. For
example, CSU currently administers the CSU retiree dental
plan, currently the one CSU-specific retiree benefit plan
in place, as a separate program from other state
programs."
JJA:mw 9/4/07 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
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