00                             SENATE BILL NO. 48                                                                          
01 "An Act creating a fund in the Department of Public Safety; providing for payment of                                    
02 certain medical insurance premiums for surviving dependents of certain police officers                                  
03 or firefighters who die in the line of duty; and providing for an effective date."                                      
04 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:                                                                
05    * Section 1. AS 39 is amended by adding a new chapter to read:                                                     
06            Chapter 60. Police Officer and Firefighter Survivors' Fund.                                                
07 Sec. 39.60.010. Police officer and firefighter survivors' fund established.                                           
08 (a) The police officer and firefighter survivors' fund is established in the general fund                               
09 for the purpose of paying medical insurance premiums for an eligible surviving spouse                                   
10       or dependent child of a police officer or a firefighter. The department may make                                  
11       premium payments from the fund to the medical insurance provider for the former                                   
12       employer of the deceased police officer or firefighter.                                                           
13            (b)  The department shall create the following two separate accounts in the                                  
14       fund:                                                                                                             
01                 (1)  a state employee survivor account that consists of                                                 
02                      (A)  appropriations to the account;                                                                
03                      (B)  donations to the account; and                                                                 
04                 (2)  a municipal employee survivor account that consists of                                             
05                      (A)  municipal contributions under AS 39.60.060;                                                   
06                      (B)  appropriations to the account; and                                                            
07                      (C)  donations to the account.                                                                     
08            (c)  The legislature may appropriate money to the fund. Money in the fund                                    
09       does not lapse.                                                                                                   
10 (d)  Money appropriated to the fund may be spent for purposes of the fund                                               
11       without further appropriation.                                                                                    
12            (e)  Nothing in this section creates a dedicated fund.                                                       
13 Sec. 39.60.020. Powers and duties of the commissioner. (a) Annually, not                                              
14 later than June 30, the commissioner shall determine the amount of money sufficient                                     
15       to pay premiums under AS 39.60.030 and the associated administrative costs.                                       
16            (b)  The commissioner shall adopt regulations to implement this chapter.                                     
17 Sec. 39.60.030. Payment authorized. The commissioner may use money in                                                 
18 the fund to pay medical insurance premiums for a surviving dependent who is eligible                                    
19 under AS 39.60.040 and to pay the department's costs associated with administering                                      
20 the fund. The state employee survivor account and the municipal employee survivor                                       
21       account shall be used to pay premiums for the respective surviving dependents.                                    
22 Sec. 39.60.040. Eligibility of surviving dependents of police officers and                                            
23 firefighters for medical insurance premiums. (a) A surviving dependent of a                                           
24 deceased police officer or firefighter may apply to the commissioner for payment of                                     
25 medical insurance premiums for a surviving dependent under AS 39.60.030. Not later                                      
26 than 30 days after receiving the application, the commissioner shall determine whether                                  
27       the surviving dependent is eligible under (b) of this section.                                                    
28 (b)  A person who is a surviving dependent of an employee who was a police                                              
29       officer or firefighter is eligible for premium payments under (a) of this section if                              
30 (1)  at the time of death, the employee was a year-round, permanent                                                     
31 full-time employee of the state or a municipality that has elected to participate under                                 
01       AS 39.60.050;                                                                                                     
02                 (2)  at the time of death, the surviving dependent was receiving                                        
03       employer-sponsored medical insurance benefits;                                                                    
04                 (3)  the proximate cause of the employee's death is a bodily injury                                     
05       sustained or a hazard undergone while in the performance and within the scope of the                              
06       employee's duties, as determined by the commissioner; and                                                         
07                 (4)  the injury or hazard is not the proximate result of wilful negligence                              
08       by the employee.                                                                                                  
09            (c)  A surviving spouse becomes ineligible for premium payments under this                                   
10       section on the earlier of the date the surviving spouse                                                           
11 (1)  becomes eligible to receive major medical insurance coverage by                                                    
12       other means; or                                                                                                   
13                 (2)  reaches 65 years of age.                                                                           
14 (d)  Except for a child who is totally and permanently disabled, a child who                                            
15 survives the employee becomes ineligible for premium payments under this section on                                     
16       the earlier of the date the surviving dependent child                                                             
17 (1)  becomes eligible to receive a major medical insurance coverage                                                     
18       benefit by other means; or                                                                                        
19                 (2)  reaches 26 years of age.                                                                           
20 (e)  If a person is determined eligible for premiums under this section, the                                            
21 commissioner shall pay the premium for the level of medical insurance coverage                                          
22 existing at the time of death beginning the first month following the date the surviving                                
23 dependent applied for fund payments and ending the first month following the date the                                   
24 surviving dependent becomes ineligible under (c) or (d) of this section. Payment of                                     
25       premiums shall be made to the applicable employer medical insurance provider.                                     
26 Sec. 39.60.050. Municipal election to participate in police officer and                                               
27 firefighter survivors' fund. (a) A municipality may elect to participate in the fund by                               
28 entering into an agreement with the commissioner that is consistent with                                                
29 AS 39.60.070. If a municipality elects to participate in the fund, the commissioner                                     
30 shall determine the amount and frequency of the municipality's required contributions                                   
31 to the fund based on the anticipated cost of the municipality's participation, including                                
01       the department's cost of administering the agreement under this subsection.                                       
02            (b)  The commissioner shall administer agreements entered into under (a) of                                  
03       this section.                                                                                                     
04 (c)  A surviving dependent of a police officer or firefighter who died while                                            
05 employed by a municipality is not eligible for payments from the fund unless the                                        
06 municipality elects to participate in the fund and is in compliance with an agreement                                   
07       entered into under (a) of this section.                                                                           
08            Sec. 39.60.060. Eligibility of municipal police officers and firefighters. (a)                             
09       Notwithstanding AS 39.60.050(c), the commissioner may determine that a surviving                                  
10 dependent of a police officer or firefighter who was employed by a municipality is                                      
11       eligible for payment under the fund if,                                                                           
12 (1)  immediately after the time of death, the municipality elected to                                                   
13 participate in the fund and is in compliance with the terms of an agreement entered                                     
14       into under AS 39.60.050(a); and                                                                                   
15 (2)  at the time of death, the police officer or firefighter was eligible for                                           
16       and receiving employer-sponsored medical insurance.                                                               
17 (b)  If a municipality enters into an agreement under AS 39.60.050(a) and fails                                         
18 to meet a requirement of that agreement, including a requirement under AS 39.60.070,                                    
19 the commissioner may determine that a surviving dependent of a police officer or                                        
20 firefighter employed by a municipality who would otherwise be eligible for payments                                     
21 from the fund under AS 39.60.040 is ineligible and deny payment from the fund until                                     
22       the commissioner determines all requirements of the agreement are satisfied.                                      
23 Sec. 39.60.070. Terms of agreement by municipality to participate in fund.                                            
24 An agreement under AS 39.60.050(a) for a municipality to participate in the fund must                                   
25       require that the municipality                                                                                     
26 (1)  contribute to the fund as determined by the commissioner under                                                     
27       AS 39.60.050(a);                                                                                                  
28                 (2)  is current with contributions required under this section; and                                     
29                 (3)  complies with applicable regulations adopted by the commissioner.                                  
30            Sec. 39.60.190. Definitions. In this chapter,                                                              
31 (1)  "child" means a biological child, adopted child, or stepchild of an                                                
01       employee;                                                                                                         
02                 (2)  "commissioner" means the commissioner of public safety or the                                      
03       commissioner's designee;                                                                                          
04                 (3)  "department" means the Department of Public Safety;                                                
05                 (4)  "dependent" means a surviving spouse or child of an employee;                                      
06                 (5)  "firefighter" means an employee of the state or a municipality                                     
07       employed to perform fire response services;                                                                       
08                 (6)  "fund" means the police officer and firefighter survivors' fund                                    
09       established in AS 39.60.010;                                                                                      
10                 (7)  "police officer" has the meaning given in AS 18.65.290;                                            
11 (8)  "surviving spouse" means the spouse of an employee who was                                                         
12       married to an employee at the time of the employee's death.                                                       
13    * Sec. 2. AS 44.41.020 is amended by adding a new subsection to read:                                              
14 (g)  The Department of Public Safety shall manage and administer the police                                             
15 officer and firefighter survivors' fund established in AS 39.60.010 in cooperation with                                 
16 the Department of Administration. The Department of Public Safety shall establish                                       
17 standardized procedures and forms for use in administering the police officer and                                       
18       firefighter survivors' fund.                                                                                      
19    * Sec. 3. The uncodified law of the State of Alaska is amended by adding a new section to                          
20 read:                                                                                                                   
21 TRANSITION: REGULATIONS. The commissioner of public safety may adopt                                                    
22 regulations necessary to implement secs. 1 and 2 of this Act. The regulations take effect under                         
23 AS 44.62 (Administrative Procedure Act), but not before the effective date of secs. 1 and 2 of                          
24 this Act.                                                                                                               
25    * Sec. 4. Section 3 of this Act takes effect immediately under AS 01.10.070(c).                                    
26    * Sec. 5. Except as provided in sec. 4 of this Act, this Act takes effect July 1, 2017.