HB 1428-FN – AS AMENDED BY THE HOUSE

10Feb2010… 0388h

2010 SESSION

10-2669

10/04

HOUSE BILL 1428-FN

AN ACT relative to death benefits for surviving spouses of a New Hampshire retirement system member.

SPONSORS: Rep. P. McMahon, Merr 3

COMMITTEE: Executive Departments and Administration

ANALYSIS

This bill removes the requirement in the retirement system for the termination of benefits for a surviving spouse when the surviving spouse remarries.

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

10Feb2010… 0388h

10-2669

10/04

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Ten

AN ACT relative to death benefits for surviving spouses of a New Hampshire retirement system member.

Be it Enacted by the Senate and House of Representatives in General Court convened:

1 Death Benefits; Group II. Amend RSA 100-A:12 to read as follows:

100-A:12 Benefits Upon Member’s Death After Retirement--Group II Members.

I. Upon the death of a retired group II member who retired before April 1, 1987, after the member’s retirement allowance payments have commenced, there shall be paid to the person nominated by the member by written designation filed with the board, if living, otherwise to the retired member’s estate, in addition to the amount payable under RSA 100-A:11 a lump sum of $3,600; provided, however, that if said retired member was, prior to the member’s death, in receipt of an accidental disability retirement allowance there shall be paid to the person’s spouse, if surviving, in lieu of such lump sum payment, an allowance to continue until the spouse’s death [or remarriage] equal to 50 percent of the accidental disability retirement allowance payable to the retired member prior to the member’s death.

I-a. In addition to any other provision of this section, upon the death of a retired group II member of the New Hampshire retirement system or any predecessor system, who retired pursuant to RSA 100-A:5, II with at least 20 years of creditable service or pursuant to RSA 100-A:6, II(a) prior to April 1, 1987, there shall be paid to the member’s spouse at the time of retirement, if surviving, an allowance to continue until the spouse’s death [or remarriage] equal to 50 percent of the service or ordinary disability retirement allowance payable to the retired member prior to the member’s death. The total cost of terminally funding the benefits provided by this paragraph shall be funded from the special account established under RSA 100-A:16, II(h).

II. Upon the death of a group II member who has retired on or after April 1, 1987, or upon the death of a group II member who has filed an application for retirement benefits with the board of trustees after January 1, 1991, there shall be paid to the person nominated by the member by written designation filed with the board, if living, otherwise to the retired member’s estate, in addition to the amount payable under RSA 100-A:11 a lump sum of $3,600 if the member retired before July 1, 1988, and if the member is married on the date of such member’s retirement, there shall be paid to such surviving spouse an allowance to continue until the spouse’s death [or remarriage] equal to 50 percent of the member’s service, ordinary disability, or accidental disability retirement allowance payments. For any person who is a group II member as of June 30, 1988, and who retires on or after July 1, 1988, the lump sum payment shall be $10,000. For any person who becomes a member of group II on or after July 1, 1988, and on or prior to July 1, 1993, the lump sum payment shall be $3,600. It is the intent of the legislature that future group II members shall be included only if the total cost of such inclusion can be funded by reimbursement from the special account established under RSA 100-A:16, II(h).

2 Board of Trustees’ Authority; Remarriage. Amend RSA 100-A:14, XIV to read as follows:

XIV. The board of trustees shall have the authority to recover for the retirement system any benefits deemed not payable under this chapter including as a result of a death of any retiree or beneficiary[, or as the result of the remarriage of a surviving spouse in receipt of benefits].

3 Medical Benefit Subsidy; Group II. Amend RSA 100-A:52, I(d) to read as follows:

(d) The surviving spouse and children of a deceased group II member who dies as the natural and proximate result of injuries suffered while in the performance of duty, provided that:

(1) Any such child shall be qualified under this subparagraph only if under 18 years of age, or under 23 years of age if attending school on a full-time basis; and

(2) [Such surviving spouse shall cease to be qualified upon the remarriage of the surviving spouse; and

(3)] No surviving spouse or child shall be qualified or continue to be qualified under this subparagraph while receiving or eligible to receive medical insurance or health care benefits from any employer-sponsored plan.

4 Medical Benefit Subsidy; Group II. Amend RSA 100-A:52, I(g) to read as follows:

(g) The spouse of a qualified retiree, until the spouse’s death [or remarriage].

5 Medical Benefit Subsidy; Group I Teachers and Political Subdivision Employees. Amend RSA 100-A:52-a, I(f) to read as follows:

(f) The surviving spouse and children of a deceased teacher or group I political subdivision employee member who dies as the natural and proximate result of injuries suffered while in the performance of duty, provided that:

(1) Any such child shall be qualified under this subparagraph only if under 18 years of age, or under 23 years of age if attending school on a full-time basis; and

(2) [Such surviving spouse shall cease to be qualified upon the remarriage of the surviving spouse; and

(3)] No surviving spouse or child shall be qualified or continue to be qualified under this subparagraph while receiving or eligible to receive medical insurance or health care benefits from any employer’s sponsored plan.

6 Medical Benefit Subsidy; Group I Teachers and Political Subdivision Employees. Amend RSA 100-A:52-a, I(h) to read as follows:

(h) The spouse of a qualified retiree, until the spouse’s death [or remarriage].

7 Medical Benefit Subsidy; Group I. Amend RSA 100-A:52-b, I(f) to read as follows:

(f) The surviving spouse and children of a deceased group I member who dies as the natural and proximate result of injuries suffered while in the performance of duty, provided that:

(1) Any such child shall be qualified under this subparagraph only if under 18 years of age, or under 23 years of age if attending school on a full-time basis; and

(2) [Such surviving spouse shall cease to be qualified upon the remarriage of the surviving spouse; and

(3)] No surviving spouse or child shall be qualified or continue to be qualified under this subparagraph while receiving or eligible to receive medical insurance or health care benefits from any employer’s sponsored plan.

8 Medical Benefit Subsidy; Group I. Amend RSA 100-A:52-b, I(h) to read as follows:

(h) The spouse of a qualified retiree, until the spouse’s death [or remarriage].

9 Call, Substitute, or Volunteer, Firemen; Surviving Spouse. Amend RSA 100-A:19, III- V to read as follows:

III. If, upon the receipt by the board of trustees of proper proof of the death of a call, substitute, or volunteer fireman who was eligible for benefits under this section indicating that such death was the natural and proximate result of an injury received while in the actual performance of fire duty at some definite time and place, the board decides that death was the result of an accident in the performance of fire duty and was not caused by willful negligence on the part of such fireman, an annual allowance equal to the allowance payable to the fireman on [his] becoming totally and permanently disabled, as set forth in paragraph II above, shall be payable to [his widow] the surviving spouse, to continue [during her widowhood] until death; or if there is no [widow] surviving spouse, or if the [widow] surviving spouse dies [or remarries] before the youngest child of the deceased fireman has attained age 18, then to his or her child or children under such age, divided in such manner as the board in its discretion shall determine, to continue as a joint and survivorship allowance for the benefit of such child or children under said age until every child dies or attains said age; or if there is no [widow] surviving spouse or child under age 18 living at the death of the fireman, then to his or her dependent father or dependent mother as the board shall determine, to continue [for life] until death; provided that if none of the aforementioned beneficiaries is living at the death of the fireman no benefit shall be payable under the provisions of this paragraph.

IV. For purposes of this section, firemen shall be acknowledged as performing their fire duties when they are going to, returning from, or working at a fire or other public emergency; when performing all work within the scope of employment of the fireman under the expressed or implied authority of a superior officer; and in such other cases as the board may from time to time decide to be for the public interest.

V. In the case of a call, substitute, or volunteer fireman in receipt of an allowance under paragraph II above as the result of a disability received in line of fire duty, who dies while in receipt of such allowance as the result of such injury received in the performance of fire duty, the payment of such allowance shall continue to his [widow] or her surviving spouse until [she] the surviving spouse dies [or remarries], or to his or her child or children until each reaches the age of 18 years.

10 Effective Date. This act shall take effect 60 days after its passage.

LBAO

10-2669

Amended 03/01/10

HB 1428 FISCAL NOTE

AN ACT relative to death benefits for surviving spouses of a New Hampshire retirement system member.

FISCAL IMPACT:

METHODOLOGY: