Public Chapter 159
SENATE BILL NO. 1077
By Haynes, McNally
Substituted for: House Bill No. 1514
By Head, Cross, Newton, Westmoreland, Walley, Windle, Ridgeway, Miller
AN ACTTo amend Tennessee Code Annotated, Title 8, Chapter 27, Part 2, relative to retirees participating in the state group insurance plan.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF TENNESSEE:
SECTION 1. Tennessee Code Annotated, Title 8, Chapter 27, Part 2, is amended by adding the following new subsection:
8-27-2_____. (a)(1) The committee is authorized to establish a schedule of premium payments for retirees participating in the group insurance plan established under this part. The schedule shall be based upon the total monthly plan premiums for all participants and the retiree's contribution shall be graduated to reflect the retiree's length of service. For retirees with less than twenty (20) years of service, the retiree shall pay forty percent (40%) of the total premium under the state plan. For retirees with twenty (20) but less than thirty (30) years of service, the retiree shall pay thirty percent (30%) of the total premium under the state plan. For retirees with thirty (30) or more years of service, the retiree shall pay twenty percent (20%) of the total premium under the state plan.
(2) "Years of service," as used in this section, means only those years of service rendered by the retiree as a state employee, as such term is defined in § 8-27-201(f), and as applied by the committee's policy governing the continuation of group insurance coverage under this part after retirement.
SECTION 2. This act shall take effect upon becoming a law, the public welfare requiring it.