§87-6 Contributions by an employee-beneficiary for health benefits plans. (a) Each employee-beneficiary shall make a monthly contribution to the fund amounting to the difference between the monthly charge of the health benefits plan selected by the employee-beneficiary and the State's and county's contribution to the fund.

Nothing in this section shall prohibit any employee-beneficiary from participating in a cafeteria plan authorized under section 125 of the Internal Revenue Code of 1986, as amended, and part II of chapter 78.

(b) During the period the health benefits plan selected by an employee-beneficiary is in effect, the employee-beneficiary shall authorize, if otherwise allowed by law, the employee-beneficiary's contribution to be withheld and transmitted to the fund monthly by the comptroller or finance officer who disburses the employee-beneficiary's compensation, pension, or retirement pay. If, however, an employee-beneficiary's contribution to the fund is not withheld and transmitted to the fund, the employee-beneficiary shall pay the monthly contribution (1) directly to the fund by the first day of each month, in the case of an employee-beneficiary who normally receives the employee-beneficiary's compensation from the comptroller of the State, or (2) in the case of all other employee-beneficiaries, to the respective finance officer from whom the employee-beneficiary normally receives compensation for transmittal to the fund by the first day of each month.

(c) Notwithstanding any other law to the contrary:

(1) The beneficiary of an employee who is killed in the performance of duty;

(2) An employee-beneficiary who retired after June 30, 1984, due to a disability as defined in sections 88-79 and 88-285;

(3) An employee-beneficiary who retired before July 1, 1984;

(4) An employee-beneficiary who:

(A) Was hired before July 1, 1996;

(B) Retired after June 30, 1984; and

(C) Who had ten years or more of credited service, excluding sick leave; and

(5) An employee-beneficiary who was hired after June 30, 1996, and who retired with twenty-five or more years of credited service, excluding sick leave;

or upon death their beneficiary, including employees who retired prior to the establishing of the fund and their beneficiaries, or the beneficiary of any employee-beneficiary, as described in section 87-1(6) shall not be required to make any contribution to the fund. The monthly contribution of the persons identified in this subsection shall be financed by the State through the department of budget and finance and the several counties through their respective departments of finance for each of their respective employee-beneficiaries.

(d) Subsection (a) notwithstanding, an employee-beneficiary's monthly contribution to the fund, amounting to the difference between the monthly cost of the health benefits plan selected by the employee-beneficiary and the State's or appropriate county's contribution to the fund, shall be deemed to include the amount which would have been the employee-beneficiary's contribution if the employee-beneficiary had not elected to participate in the cafeteria plan. [L 1961, c 146, pt of §1; am L 1965, c 235, §1(I); Supp, §5A-5; am L 1966, c 13, §2(c); HRS §87-6; am L 1969, c 40, §1; am L 1973, c 24, §2; am L 1974, c 136, §2; am L 1984, c 252, §2; am L 1987, c 27, §3; am L 1989, c 63, §7, c 99, §1, and c 334, §1(3); am L 1991, c 331, §4; am L 1995, c 217, §4; am L 1996, c 269, §4; am L 1998, c 151, §3]