1.1                          A bill for an act 
  1.2             relating to public employment; requiring notice before 
  1.3             dissolution of certain self insured employee benefit 
  1.4             plans; amending Minnesota Statutes 1996, section 
  1.5             471.617, subdivision 4. 
  1.6   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.7      Section 1.  Minnesota Statutes 1996, section 471.617, 
  1.8   subdivision 4, is amended to read: 
  1.9      Subd. 4.  [EXCLUSIVE REPRESENTATIVE.] (a) No statutory or 
  1.10  home rule charter city or county or school district or 
  1.11  instrumentality thereof, of any of them shall adopt a self 
  1.12  insured health benefit plan for any employees represented by an 
  1.13  exclusive representative certified pursuant to section 179A.12 
  1.14  without prior notification and consultation on ten days written 
  1.15  notice to the exclusive representative and agreement by the 
  1.16  exclusive representative that represents the largest number of 
  1.17  employees to be included in the plan. 
  1.18     (b) Prior to a decision to dissolve any self insurance, 
  1.19  trust fund, or dedicated insurance fund created by a single 
  1.20  statutory or home rule charter city, county, school district, or 
  1.21  instrumentality of any of them, either by ordinance or 
  1.22  resolution, the employer must provide 30 days' written notice to 
  1.23  each exclusive representative of employees and each individual 
  1.24  currently receiving health benefits, and also obtain approval 
  1.25  for the proposed action by the exclusive representative that 
  2.1   represents the largest number of employees included in the 
  2.2   plan.  All assets from the trust fund must be audited before 
  2.3   closure, and remaining assets must be dedicated for use for 
  2.4   health insurance benefits for all individuals currently 
  2.5   receiving health benefits.  This paragraph does not apply to 
  2.6   joint self-insurance trusts or pools. 
  2.7      (c) The assets or liabilities of a joint self-insurance 
  2.8   trust or pool that is dissolved must be distributed to members 
  2.9   of the joint trust or pool in accordance with the joint trust or 
  2.10  pool agreement, if any. 
  2.11     Sec. 2.  [EFFECTIVE DATE.] 
  2.12     Section 1 is effective July 1, 1997.