2000 Minnesota Statutes

     355.90 Optional Medicare coverage for certain pre-1986 
  public employees. 

    Subdivision 1.    Definitions.  (a) Notwithstanding any 
 provision of section 355.01 to the contrary, the terms used in 
 this section are defined in this subdivision.  

    (b) "Employee" means an active member or participant of a 
 public employee pension plan listed in section 356.30, 
 subdivision 3, clauses (5), (6), (7), (9), (10), (11), and (12), 
 who is not covered by a previous agreement under section 355.02 
 for that employment and who meets the requirements of United 
 States Code, title 42, section 418(v)(2). 

    (c) "Employment" means service performed for compensation 
 by an employee in the employ of the state or of a political 
 subdivision that constitutes Medicare qualified government 
 employment under the provisions of United States Code, title 42, 
 section 410(p).  

    (d) "Political subdivision" means a public employer under 
 section 355.01, subdivision 10.  

    (e) "Social Security Act" means the act cited in section 
 355.01, subdivision 8.  

    (f) "State agency" means the commissioner of employee 
 relations or the commissioner's designee.  

    (g) "Wages" means compensation specified in section 355.01, 
 subdivision 2.  

    Subd. 2.    Optional Medicare coverage agreement.  The 
 state agency, with the approval of the governor, may modify its 
 agreement on behalf of the state and its political subdivisions 
 with the Secretary of Health and Human Services to extend the 
 provisions of United States Code, title 42, sections 426, 426-1, 
 and 1395c, to current employees of the state and its political 
 subdivisions who do not have that coverage through coverage by 
 the federal old age, survivors, and disability insurance program 
 for that employment under any previous agreement or modification 
 of the agreement.  

    Subd. 3.    Referendum.  A referendum on the question of 
 extending the provisions of United States Code, title 42, 
 sections 426, 426-1, and 1395c, must be held for each public 
 employee pension plan listed in section 356.30, subdivision 3, 
 except clauses (5) and (6), that has current members or 
 participants who do not have coverage by the federal old age, 
 survivors, and disability insurance program for the employment 
 giving rise to that pension plan membership.  The state agency 
 shall supervise the referendum in accordance with United States 
 Code, title 42, section 418, on the date or dates set by the 
 governor for each pension plan.  The notice of the referendum 
 provided to each employee must contain a statement sufficient to 
 inform the person of the rights available to the person as an 
 employee in Medicare qualified government employment and the 
 employee contribution rates applicable to the program.  The 
 referendum must permit each employee the opportunity to select 
 or reject Medicare coverage.  The governor shall certify to the 
 Secretary of Health and Human Services that the conditions 
 specified in United States Code, title 42, section 418(d)(7) 
 have been met.  Coverage is effective for members or 
 participants of the plan who select it on the first of the month 
 after the certification. 

    Subd. 4.    Employee and employer contributions.  (a) 
 Beginning on the first of the month after the certification by 
 the governor, the employer of each member or participant 
 selecting coverage under the referendum shall deduct from the 
 wages of the employee an amount equal to the tax that would be 
 imposed under United States Code, title 26, section 3101(b), if 
 the services of the employee for which wages were paid 
 constituted employment as defined in United States Code, title 
 26, section 3121. 

    (b) In addition to the deduction specified in paragraph 
 (a), the employer of each member or participant covered by the 
 referendum shall also pay an amount equal to the tax that would 
 be imposed under United States Code, title 26, section 3111(b), 
 on the same wage base specified in paragraph (a). 

    (c) The amounts under paragraphs (a) and (b) shall be paid 
 by the employer to the Secretary of the Treasury in the manner 
 required by the secretary. 

    HIST: 1988 c 709 art 6 s 1; 1989 c 319 art 5 s 2,3