Section 1 [CONTRACTS.] eliminates the requirement that DOER deal only with specific types of carriers (health insurance carriers, nonprofit health service plan corporations, and health maintenance organizations). Authorizes DOER to enter into contracts with parties qualified to provide services necessary under SEGIP.

Section 2 Paragraph (a) removes the requirement that changes for benefits provided to legislative members must not be effective until the expiration of the term of the members of the current House of Representatives. The stricken language in paragraph (h) removes an obsolete reference to an early retirement incentive offered in 1982.

Section 3 [RETIRED EMPLOYEES.] current law requires DOER to provide retired state employees who meet certain conditions with a health insurance plan that is actuarially equivalent to those made available under collective bargaining agreements. The change in this section provides DOER with the discretion to offer an actuarially equivalent plan.

Section 4 [RETIRED JUDGES; FORMER LEGISLATORS.] current law allows former members of the legislature to purchase health insurance coverage at any time after leaving the legislature without limitation on the frequency of purchasing and terminating the coverage. This

section would limit former members to a onetime election to purchase coverage made within 30 days after leaving office.

TSB:rer

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