Allows a retiree who moves outside of the coverage of the EUTF to be reimbursed for the lesser of: (1) the actual cost of the personal health insurance policy; or (2) the amount of the state or county contribution for the most comparable health benefits plan. Effective date July 1, 2007. (CD1)

A BILL FOR AN ACT

SECTION 1. Chapter 87A, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

"§87A-   State and county contribution; reimbursement for retired employees. Effective July 1, 2007, an employee-beneficiary who retires and relocates outside of the state shall be reimbursed for the premiums paid by the employee-beneficiary for a personal health insurance policy; provided that the board shall determine which employee-beneficiaries and what types of personal health insurance policies shall be eligible for reimbursement and may set other conditions that shall be met for the employee-beneficiary to receive the reimbursements provided under this section.

Reimbursements shall be paid by the fund on a quarterly basis upon the presentation of documentation that the premiums for the personal health insurance policy have been paid by the employee-beneficiary. This section shall apply to all employee-beneficiaries who retire and relocate outside of the state, regardless of their date of retirement."

SECTION 2. New statutory material is underscored.

SECTION 3. This Act shall take effect on July 1, 2007.