00                            HOUSE BILL NO. 380                                                                          
01 "An Act relating to reimbursement for certain Medicare premium charges for persons                                      
02 receiving benefits from the teachers' retirement system, the judicial retirement system,                                
03 the elected public officers retirement system, and the public employees' retirement                                     
04 system."                                                                                                                
05 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:                                                                
06    * Section 1.  AS 14.25.168(b) is amended to read:                                                                  
07            (b)  After an election of coverage under  this section, major medical insurance                              
08       coverage takes effect on the same date as retirement benefits begin and stops when the                            
09       member or survivor is no longer eligible to receive a monthly benefit.  The coverage                              
10       for persons  age 65 or older is the same as that available for persons under age 65.                              
11       The benefits payable to those persons age 65 or older supplement any benefits                                     
12       provided under the federal old age, survivors and disability insurance program.  The                              
13       medical premium and optional insurance premiums owed by a member or survivor                                      
14       shall be deducted from the benefit owed to the member or survivor before payment of                               

01       the benefit.  A person who is at least 65 years of age and who is receiving a                                 
02       monthly benefit under the system shall be reimbursed annually for the premium                                 
03       charges the person has paid for Part B of the federal Medicare program covering                               
04       the person.  The administrator may, by regulation, prescribe application                                      
05       procedures for reimbursement and a reimbursement schedule.  The                                               
06       administrator shall provide for an annual actuarial review to determine the                                   
07       difference in the cost to the system of premiums paid for major medical                                       
08       insurance coverage for covered persons who are under 65 years of age and those                                
09       who are age 65 and older.  The amount of the difference may be used to provide                                
10       the reimbursement for premiums for Medicare Part B coverage by this                                           
11       subsection.                                                                                                   
12    * Sec. 2.  AS 22.25.090(b) is amended to read:                                                                     
13            (b)  Except as provided in (d) of this section, major medical insurance                                      
14       coverage takes effect on the same date as retirement benefits begin and stops when the                            
15       retired person or survivor is no longer eligible to receive a monthly benefit.  The                               
16       coverage for persons age 65 or older is the same as that available for persons under 65                           
17       years of age.  The benefits payable to those persons age 65 or older supplement any                               
18       benefits provided under the federal old age, survivors, and disability insurance                                  
19       program.  The medical premium and optional insurance premiums owed by a retired                                   
20       person or survivor shall be deducted from the benefit payable to the retired person or                            
21       survivor before payment of the benefit.  A person who is at least 65 years old and                            
22       who is receiving a monthly benefit under the system shall be reimbursed annually                              
23       for the premium charges the person has paid for Part B of the federal Medicare                                
24       program covering the person.  The administrator may, by regulation,  prescribe                                
25       application procedures for reimbursement and a reimbursement schedule.  The                                   
26       administrator shall provide for an annual actuarial review to determine the                                   
27       difference in the cost to the system of premiums paid for major medical                                       
28       insurance coverage for covered persons who are under 65 years of age and those                                
29       who are age 65 and older.  The amount of the difference may be used to provide                                
30       the reimbursement for premiums for Medicare Part B coverage by this                                           
31       subsection.                                                                                                   

01    * Sec. 3.  AS 39.35.535(b) is amended to read:                                                                     
02            (b)  Except as provided in (d) of this section, after an election of coverage                                
03       under this section, major medical insurance coverage takes effect on the same date that                           
04       benefits begin [,] and stops when the member or survivor is no longer eligible to                                 
05       receive a monthly benefit.  The coverage for persons age 65 or older is the same                                  
06       coverage available for a person under 65 years of age.  The benefits payable to persons                           
07       age 65 or older supplement any benefits provided under the federal old age, survivors                             
08       and disability insurance program.  The medical premium and optional insurance                                     
09       premiums owed by a member or survivor shall be deducted from the benefit owed to                                  
10       the member or survivor before payment of the benefit..  A person who is at least 65                           
11       years old and who is receiving a monthly benefit under the system shall be                                    
12       reimbursed annually for the premium charges the person has paid for Part B of                                 
13       the federal Medicare program covering the person.  The administrator may, by                                  
14       regulation, prescribe application procedures for reimbursement and a                                          
15       reimbursement schedule.  The administrator shall provide for an annual                                        
16       actuarial review to determine the difference in the cost to the system of premiums                            
17       paid for major medical insurance coverage for covered persons who are under 65                                
18       years of age and those who are age 65 and older.  The amount of the difference                                
19       may be used to provide the reimbursement for premiums for Medicare Part B                                     
20       coverage by this subsection.                                                                                  
21    * Sec. 4.  The uncodified law of the State of Alaska is amended by adding a new section to                         
22 read:                                                                                                                   
23       MEDICARE REIMBURSEMENT FOR CERTAIN BENEFICIARIES UNDER THE                                                        
24 ELECTED PUBLIC OFFICERS RETIREMENT SYSTEM.  Notwithstanding former                                                      
25 AS 39.37.145, a person who is at least 65 years old and who is receiving a monthly benefit                              
26 under the elected public officers retirement system shall be reimbursed annually for the                                
27 premium charges the person has paid for Part B of the federal Medicare program covering the                             
28 person.  The administrator may, by regulation, prescribe application procedures for                                     
29 reimbursement and a reimbursement schedule.  The administrator shall provide for an annual                              
30 actuarial review to determine the difference in the cost to the system of premiums paid for                             
31 major medical insurance coverage for covered persons who are under 65 years of age and                                  

01 those who are age 65 and older.  The amount of the difference may be used to provide the                                
02 reimbursement for premiums for Medicare Part B coverage by this section.