ERS Riders from Chapter 1355 (H.B. 1), Acts of the 82nd Legislature, Regular Session, 2011 (the General Appropriations Act)
Rider 12, page I-34
12. Implement Changes for Medicare-Eligible Retirees. It is the intent of the Legislature that the Employees Retirement System shall either implement a Medicare Advantage program for Medicare-eligible retirees, or shall change their policy for coordination of benefits with Medicare for Medicare-eligible retirees in the HealthSelect group insurance plan as described in the 2010 Government Effectiveness and Efficiency Report, Implement a Tiered Coinsurance Plan for State Employees. In order to share costs of and reduce utilization of medical procedures, this wouldhave Medicare-eligible retirees pay 30 percent of the remaining costs after Medicare determinesand makes payment for covered medical services. ERS should limit the coinsurance maximum to$1,500 for Medicare-eligible retirees whose household income levels fall below 200 percent of theFederal Poverty Level. Implementing the change in coordination of benefits with Medicare willproduce estimated savings of $34,043,401 in All Funds, which consists of $19,520,687 in GeneralRevenue Funds, $1,225,339 in General Revenue-dedicated Funds, $6,749,850 in Federal Funds,and $6,547,525 in Other Funds during the 2012-13 biennium.
Rider 13, page I-35
13. Group Insurance Program Study. Out of amounts appropriated elsewhere in this Act for the Group Insurance Program, the Employees Retirement System shall conduct a study of the current group insurance program that includes, but is not limited to, the current plan design and funding of the group insurance program. The study shall include potential plan design and other changes that would improve the long-term sustainability of the group insurance program. A report of the study shall be submitted by the Employees Retirement System to the Legislative Budget Board and the Governor no later than September 1, 2012.
Rider 18.03, page IX-71
Sec. 18.03. Pension Plan Changes Study. Out of funds appropriated elsewhere in this Act, the
Employees Retirement System and the Teacher Retirement System shall each individually report on the actuarial and fiscal impacts from potential changes to the state, university and school district pension plans as of August 31, 2011, including but not limited to: retirement eligibility; final average salary; benefit multiplier; and the creation of a hybrid plan that includes defined benefit and defined contribution features such as a two-part plan or a cash balance plan. The report shall be submitted to the Legislative Budget Board and the Governor no later than September 1, 2012. A pension plan study is required of the Employees Retirement System and the Teacher Retirement System only if the if the legislature does not otherwise implement actuarially significant changes that increase the total plan contribution rate for the pension plans; make plan design changes to the current defined benefit plan structure for the pension plans; or establish a new plan structure for the pension plan in the form of a hybrid pension plan. The Legislative Budget Board will confirm for each agency by September 1, 2011 whether or not these conditions have been met, and if a pension plan study is required.