H. B. 4529
(By Mr. Speaker, Mr. Kiss, and Delegates Browning,
Moore, Staton, G. White, Stalnaker, Poling,
Kominar, H. White, Varner and Beane)
[Introduced
February 13, 2006
; referred to the
Committee on Banking and Insurance then Finance.]
A BILL to amend and reenact §5-16-22 of the Code of West Virginia,
1931, as amended, relating to allowing nonprofit organizations
and their employees to participate in the Public Employees
Insurance Program effective the first day of January, two
thousand eight.
Be it enacted by the Legislature of West Virginia:
That §5-16-22 of the Code of West Virginia, 1931, as amended,
be amended and reenacted to read as follows:
ARTICLE 16. WEST VIRGINIA PUBLIC EMPLOYEES INSURANCE ACT.
§5-16-22. Permissive participation; exemptions.
The provisions of this article are not mandatory upon any
employee or employer who is not an employee of or is not the State
of West Virginia, its boards, agencies, commissions, departments,
institutions or spending units or a county board of education, and nothing contained in this article shall be construed so as to
compel any employee or employer to enroll in or subscribe to any
insurance plan authorized by the provisions of this article.
Those employees enrolled in the insurance program authorized
under the provisions of article two-b, chapter twenty-one-a of this
code shall not be required to enroll in or subscribe to an
insurance plan or plans authorized by the provisions of this
article, and the employees of any department which has an existing
insurance program for its employees to which the government of the
United States contributes any part or all of the premium or cost of
the premium may be exempted from the provisions of this article.
Any employee or employer exempted under the provisions of this
paragraph may enroll in any insurance program authorized by the
provisions of this article at any time, to the same extent as any
other qualified employee or employer, but employee or employer
shall not remain enrolled in both programs. The provisions of
articles fourteen, fifteen and sixteen, chapter thirty-three of
this code, relating to group life insurance, accident and sickness
insurance, and group accident and sickness insurance, are not
applicable to the provisions of this article whenever the
provisions of articles fourteen, fifteen and sixteen, chapter
thirty-three of this code are in conflict with or contrary to any
provision set forth in this article or to any plan or plans
established by the Public Employees Insurance Agency.
Employers, other than the State of West Virginia, its boards, agencies, commissions, departments, institutions, spending units or
a county board of education are exempt from participating in the
insurance program provided for by the provisions of this article
unless participation by the employer has been approved by a
majority vote of the employer's governing body. It is the duty of
the clerk or secretary of the governing body of an employer who by
majority vote becomes a participant in the insurance program to
notify the director not later than ten days after the vote.
Any employer, whether the employer participates in the Public
Employees Insurance Agency insurance program as a group or not,
which has retired employees, their dependents or surviving
dependents of deceased retired employees who participate in the
Public Employees Insurance Agency insurance program as authorized
by this article, shall pay to the agency the same contribution
toward the cost of coverage for its retired employees, their
dependents or surviving dependents of deceased retired employees as
the State of West Virginia, its boards, agencies, commissions,
departments, institutions, spending units or a county board of
education pay for their retired employees, their dependents and
surviving dependents of deceased retired employees, as determined
by the finance board: Provided, That after the thirtieth day of
June, one thousand nine hundred ninety-six, an employer is only
required to pay a contribution toward the cost of coverage for its
retired employees, their dependents or the surviving dependents of
deceased retired employees who elect coverage when the retired employee participated in the plan as an active employee of the
employer for at least five years. Each employer is hereby
authorized and required to budget for and make such payments as are
required by this section.
Notwithstanding any provision of this article to the contrary,
effective the first day of January, two thousand eight, nonprofit
corporations organized pursuant to the corporate laws of this state
or other jurisdictions that are qualified under section 501(c) of
the Internal Revenue Code and their employees may participate in
the Public Employees Insurance Program established under the
provisions of this article with the same benefits and the same
obligations as an agency of this state.
The Director of the Public Employees Insurance Agency shall
propose rules for legislative approval in accordance with the
provisions of article three, chapter twenty-nine-a of this code to
implement the provisions of this section relating to nonprofit
corporations.
NOTE: The purpose of this bill is to provide for PEIA
coverage for nonprofit organizations and their employees beginning
January 1, 2008.
Strike-throughs indicate language that would be stricken from
the present law, and underscoring indicates new language that would
be added.