1.1                          A bill for an act
  1.2             relating to education; providing an early retirement 
  1.3             incentive to school district employees. 
  1.4   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.5      Section 1.  [EMPLOYER-PAID HEALTH INSURANCE.] 
  1.6      Subdivision 1.  [PUBLIC EMPLOYEES.] A school district or 
  1.7   intermediate school district must provide employer-paid 
  1.8   hospital, medical, and dental benefits to a person who: 
  1.9      (1) is eligible for employer-paid insurance under 
  1.10  collective bargaining agreements or personnel plans in effect on 
  1.11  the day before the effective date of this section; 
  1.12     (2) has at least 25 years of combined service in any 
  1.13  Minnesota public pension plans other than volunteer firefighter 
  1.14  plans; 
  1.15     (3) has at least as many months of service with the current 
  1.16  employer as the number of months younger than age 65 the person 
  1.17  is at the time of retirement; 
  1.18     (4) upon retirement is immediately eligible for a 
  1.19  retirement annuity if the person is a member of a defined 
  1.20  benefit plan; 
  1.21     (5) is at least 55 years of age; and 
  1.22     (6) in the case of a school district employee, retires on 
  1.23  or after May 15, 2002, and before July 19, 2002; and in the case 
  1.24  of an employee of an intermediate district employer, retires on 
  2.1   or after July 1, 2002, and before October 1, 2002. 
  2.2      Subd. 2.  [CONDITIONS; COVERAGE.] For purposes of this 
  2.3   section, a person retires when the person terminates active 
  2.4   employment and applies for retirement benefits.  The retired 
  2.5   employee is eligible for single and dependent coverages and 
  2.6   employer payments to which the person was entitled immediately 
  2.7   before retirement, subject to any changes in coverage and 
  2.8   employer and employee payments through collective bargaining or 
  2.9   personnel plans, for employees in positions equivalent to the 
  2.10  position from which the employee retired.  The retired employee 
  2.11  is not eligible for employer-paid life insurance.  Eligibility 
  2.12  ceases when the retired employee is eligible for Medicare, or 
  2.13  when the employee chooses not to receive the retirement benefits 
  2.14  for which the employee has applied, or when the employee is 
  2.15  eligible for employer-paid health insurance from a new employer. 
  2.16     Subd. 3.  [APPLICATION OF OTHER LAW.] Unilateral 
  2.17  implementation of this section by a public employer is not an 
  2.18  unfair labor practice for purposes of Minnesota Statutes, 
  2.19  chapter 179A.  The authority provided in this section for an 
  2.20  employer to pay health insurance costs for certain retired 
  2.21  employees is not subject to the limits in Minnesota Statutes, 
  2.22  section 179A.20, subdivision 2a. 
  2.23     <b>[EFFECTIVE DATE.]</b> This section is effective the day 
  2.24  following final enactment.