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CSHB 23(FIN): "An Act creating a fund in the Department of Public Safety; providing for payment of certain medical insurance premiums for surviving dependents of certain peace officers or firefighters who die in the line of duty; and providing for an effective date."

00 CS FOR HOUSE BILL NO. 23(FIN) 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 peace 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. Dependent Survivors of Peace Officers and Firefighters. 07 Sec. 39.60.005. Peace officer and firefighter survivors' medical insurance 08 premiums. The state and the municipalities shall pay medical insurance premiums for 09 the surviving dependents of peace officers and firefighters eligible under this chapter. 10 Sec. 39.60.010. Peace officer and firefighter survivors' fund established. (a) 11 The peace officer and firefighter survivors' fund is established in the general fund for 12 the purpose of paying medical insurance premiums for an eligible surviving spouse or 13 dependent child of a peace officer or a firefighter. The department may make premium 14 payments from the fund to the medical insurance provider for the former employer of

01 the deceased peace officer or firefighter. 02 (b) The fund consists of donations and other money appropriated to the fund. 03 (c) The legislature may appropriate money to the fund. Money in the fund 04 does not lapse. 05 (d) Money appropriated to the fund may be spent for purposes of the fund 06 without further appropriation. 07 (e) Nothing in this section creates a dedicated fund. 08 Sec. 39.60.020. Powers and duties of the commissioner. (a) Annually, not 09 later than June 30, the commissioner shall determine the amount of money sufficient 10 to pay premiums under AS 39.60.030 and the associated administrative costs. 11 (b) The commissioner shall adopt regulations to implement this chapter. 12 Sec. 39.60.030. Payment authorized. The commissioner may use money in 13 the fund to pay medical insurance premiums for a surviving dependent of a state 14 employee who is eligible under AS 39.60.040, 50 percent of the premium for a 15 surviving dependent of an employee of a small municipality eligible under 16 AS 39.60.040, and the department's costs associated with administering the fund. 17 Sec. 39.60.040. Eligibility of surviving dependents of peace officers and 18 firefighters for medical insurance premiums. (a) A surviving dependent of a 19 deceased peace officer or firefighter may apply to the commissioner for payment of 20 medical insurance premiums for a surviving dependent under AS 39.60.030. Not later 21 than 30 days after receiving the application, the commissioner shall determine whether 22 the surviving dependent is eligible under (b) of this section. 23 (b) A person who is a surviving dependent of an employee who was a peace 24 officer or firefighter is eligible for premium payments under (a) of this section if 25 (1) at the time of death, the employee was a full-time employee of the 26 state or a municipality; 27 (2) at the time of death, the surviving dependent was receiving 28 employer-sponsored medical insurance benefits; 29 (3) the proximate cause of the employee's death is a bodily injury 30 sustained or a hazard undergone while in the performance and within the scope of the 31 employee's duties, as determined by the commissioner; and

01 (4) the injury or hazard is not the proximate result of wilful negligence 02 by the employee. 03 (c) A surviving spouse becomes ineligible for premium payments under this 04 section on the earlier of the date the surviving spouse 05 (1) becomes eligible to receive a major medical insurance coverage 06 benefit by other means; or 07 (2) is eligible for Medicare. 08 (d) Except for a child who is totally and permanently disabled, a child who 09 survives the employee becomes ineligible for premium payments under this section on 10 the earlier of the date the surviving dependent child 11 (1) becomes eligible to receive a major medical insurance coverage 12 benefit by other means; or 13 (2) reaches 26 years of age. 14 (e) The amount of a premium payable under this section must be based on the 15 level of medical insurance benefits the deceased employee was receiving at the time of 16 the employee's death. Payment of premiums shall be made to the applicable employer- 17 sponsored medical insurance provider as follows: 18 (1) the commissioner shall pay 19 (A) 100 percent for an eligible surviving dependent of a 20 deceased state employee; 21 (B) 50 percent for an eligible surviving dependent of a 22 deceased employee of a small municipality; 23 (2) a large municipality shall pay 100 percent for an eligible surviving 24 dependent of a deceased employee of that municipality; and 25 (3) A small municipality shall pay 50 percent for an eligible surviving 26 dependent of a deceased employee of that small municipality. 27 Sec. 39.60.190. Definitions. In this chapter, 28 (1) "child" means a biological child, adopted child, or stepchild of an 29 employee; 30 (2) "commissioner" means the commissioner of public safety or the 31 commissioner's designee;

01 (3) "department" means the Department of Public Safety; 02 (4) "dependent" means a surviving spouse or child of an employee; 03 (5) "firefighter" means an employee occupying a position as a 04 firefighter or fire chief; 05 (6) "fund" means the peace officer and firefighter survivors' fund 06 established in AS 39.60.010; 07 (7) "large municipality" means a municipality with a population of 08 10,000 or more according to the latest figures of the United States Bureau of the 09 Census; 10 (8) "peace officer" means an employee occupying a position as a peace 11 officer, chief of police, regional public safety officer, correctional officer, correctional 12 superintendent, or probation officer; 13 (9) "small municipality" means a municipality with a population of 14 less than 10,000 according to the latest figures of the United States Bureau of the 15 Census; 16 (10) "surviving spouse" means the spouse of an employee who was 17 married to an employee at the time of the employee's death. 18 * Sec. 2. AS 44.41.020 is amended by adding a new subsection to read: 19 (g) The Department of Public Safety shall manage and administer the peace 20 officer and firefighter survivors' fund established in AS 39.60.010 in cooperation with 21 the Department of Administration. The Department of Public Safety shall establish 22 standardized procedures and forms for use in administering the peace officer and 23 firefighter survivors' fund. 24 * Sec. 3. The uncodified law of the State of Alaska is amended by adding a new section to 25 read: 26 TRANSITION: REGULATIONS. The commissioner of public safety may adopt 27 regulations necessary to implement secs. 1 and 2 of this Act. The regulations take effect under 28 AS 44.62 (Administrative Procedure Act), but not before the effective date of secs. 1 and 2 of 29 this Act. 30 * Sec. 4. Section 3 of this Act takes effect immediately under AS 01.10.070(c). 31 * Sec. 5. Except as provided in sec. 4 of this Act, this Act takes effect July 1, 2017.