ENROLLED
H. B.4694
(By Delegates Michael, Doyle, Campbell, Border, Leach, Kelley
and Laird)
[Passed March 14, 1998; in effect ninety days from passage.]
AN ACT to amend and reenact section eighteen, article sixteen,
chapter five of the code of West Virginia, one thousand nine
hundred thirty-one, as amended, relating to public employees
insurance program funds and authorizing receipt and
retainment of interest on those funds.
Be it enacted by the Legislature of West Virginia:
That section eighteen, article sixteen, chapter five of the
code of West Virginia, one thousand nine hundred thirty-one, as
amended, be amended and reenacted to read as follows:
ARTICLE 16. WEST VIRGINIA PUBLIC EMPLOYEES INSURANCE ACT.
§5-16-18. Payment of costs by employer; schedule of insurance;
special funds created; duties of treasurer with respect thereto.
(a) All employers operating from state general revenue or
special revenue funds or federal funds or any combination of
those funds shall budget the cost of insurance coverage provided
by the public employees insurance agency to current and retired
employees of the employer as a separate line item, titled "PEIA", in its respective annual budget and are responsible for the
transfer of funds to the director for the cost of insurance for
employees covered by the plan. Each spending unit shall pay to
the director its proportionate share from each source of funds.
Any agency wishing to charge general revenue funds for insurance
benefits for retirees under section thirteen of this article
shall provide documentation to the director that the benefits
cannot be paid for by any special revenue account or that the
retiring employee has been paid solely with general revenue funds
for twelve months prior to retirement.
(b)If the general revenue appropriation for any employer,
excluding county boards of education, is insufficient to cover
the cost of insurance coverage for the employer's participating
employees, retired employees and surviving dependents, the
employer shall pay the remainder of the cost from its "personal
services" or "unclassified" line items. The amount of the
payments for county boards of education shall be determined by
the method set forth in section twenty-four, article nine-a,
chapter eighteen of this code: Provided, That local excess levy
funds shall be used only for the purposes for which they were
raised: Provided, however, That after approval of its annual
financial plan, but in no event later than the thirty-first day
of December of each year, the finance board shall notify the
Legislature and county boards of education of the maximum amount
of employer premiums that the county boards of education shall
pay for covered employees during the following fiscal year.
(c)All other employers not operating from the state general revenue fund shall pay to the director their share of
premium costs from their respective budgets. The finance board
shall establish the employers' share of premium costs to reflect
and pay the actual costs of the coverage including incurred but
not reported claims.
(d)The contribution of the other employers (namely: A
county, city or town) in the state; any separate corporation or
instrumentality established by one or more counties, cities or
towns, as permitted by law; any corporation or instrumentality
supported in most part by counties, cities or towns; any public
corporation charged by law with the performance of a governmental
function and whose jurisdiction is coextensive with one or more
counties, cities or towns; any comprehensive community mental
health center or comprehensive mental retardation facility
established, operated or licensed by the secretary of health and
human resources pursuant to section one, article two-a, chapter
twenty-seven of this code, and which is supported in part by
state, county or municipal funds; and a combined city-county
health department created pursuant to article two, chapter
sixteen of this code for their employees shall be the percentage
of the cost of the employees' insurance package as the employers
determine reasonable and proper under their own particular
circumstances.
(e)The employee's proportionate share of the premium or
cost shall be withheld or deducted by the employer from the
employee's salary or wages as and when paid and the sums shall be
forwarded to the director with any supporting data as the director may require.
(f)All moneys received by the public employees insurance
agency shall be deposited in a special fund or funds as are
necessary in the state treasury and the treasurer of the state is
custodian of the fund or funds and shall administer the fund or
funds in accordance with the provisions of this article or as the
director may from time to time direct. The treasurer shall pay
all warrants issued by the state auditor against the fund or
funds as the director may direct in accordance with the
provisions of this article. All funds received by the agency,
including, but not limited to, basic insurance premiums,
administrative expenses and optional life insurance premiums,
shall be deposited in the West Virginia consolidated investment
pool with the West Virginia investment management board, with the
interest income a proper credit to all such funds.