AB68: Bill Text

AB68,702 Section 702 . 40.03 (2) (p) of the statutes is amended to read:

AB68,645,19 40.03 (2) (p) Shall establish procedures for and conduct the elections of board members required under ss. s. 15.16 (1) (d) and 15.165 (3) (a) 1., 2., 6. and 7. (1) (cm) 1. The procedures shall include the establishment of a nominating process and shall provide for the distribution of ballots to all participating employees and annuitants eligible to vote in the election.

AB68,703 Section 703 . 40.03 (2) (v) of the statutes is amended to read:

AB68,646,4 40.03 (2) (v) May settle any dispute in an appeal of a determination made by the department that is subject to review under sub. (1) (j), or (6) (i), (7) (f), or (8) (f), or s. 40.80 (2g), but only with the approval of the board having the authority to accept the appeal. In deciding whether to settle such a dispute, the secretary shall consider the cost of litigation, the likelihood of success on the merits, the cost of delay in resolving the dispute, the actuarial impact on the trust fund, and any other relevant factor the secretary considers appropriate. Any moneys paid by the department to settle a dispute under this paragraph shall be paid from the appropriation account under s. 20.515 (1) (r).

AB68,704 Section 704. 40.03 (2) (x) of the statutes is repealed.

AB68,705 Section 705 . 40.03 (4m) of the statutes is created to read:

AB68,646,10 40.03 (4m) Office of internal audit. (a) The office of internal audit shall provide independent assurance that the public employee trust fund assets under the control of the department are safeguarded for the purpose of ensuring the fulfillment of the benefit commitments to individuals under this chapter.

AB68,646,12 (b) The internal auditor may review any activity, information, or record of the department that relates to the administration of the fund.

AB68,646,16 (c) The internal auditor shall plan and conduct audit activities, including external audits, risk assessments, research projects, and management reviews, under the direction of the board and in accordance with policies, principles, and directives determined by the board.

AB68,646,19 (d) The internal auditor shall monitor the department's compliance with applicable legal requirements and contracts entered into by the department and the board.

AB68,706 Section 706 . 40.03 (6) (intro.) of the statutes is amended to read:

AB68,646,25 40.03 (6) Group insurance board. (intro.) The With respect to the group insurance plans provided for by this chapter other than the group income continuation insurance plan established under ss. 40.61 and 40.62 and the group long-term disability insurance plan established under s. 40.64, the group insurance board:

AB68,707 Section 707. 40.03 (6) (a) 1. of the statutes is amended to read:

AB68,647,5 40.03 (6) (a) 1. Except as provided in par. (m), shall, on behalf of the state, enter into a contract or contracts with one or more insurers authorized to transact insurance business in this state for the purpose of providing the group insurance plans provided for by this chapter; or

AB68,708 Section 708 . 40.03 (6) (d) (intro.) of the statutes is amended to read:

AB68,647,11 40.03 (6) (d) (intro.) May take any action as trustees which that is deemed advisable and not specifically prohibited or delegated to some other governmental agency, to carry out the purpose and intent of the group insurance plans provided under this chapter, including, but not limited to, provisions in the appropriate contracts relating to:

AB68,709 Section 709 . 40.03 (6) (i) of the statutes is amended to read:

AB68,647,15 40.03 (6) (i) Shall accept timely appeals of determinations made by the department affecting any right or benefit under any group insurance plan provided for under this chapter plans that are overseen by the group insurance board.

AB68,710 Section 710 . 40.03 (7) of the statutes is repealed.

AB68,711 Section 711 . 40.03 (8) of the statutes is repealed.

AB68,712 Section 712 . 40.04 (3) (a) of the statutes is amended to read:

AB68,648,2 40.04 (3) (a) The net gain or loss of the variable retirement investment trust shall be distributed annually on December 31 to each participating account in the same ratio as each account's average daily balance within the respective trust bears to the total average daily balance of all participating accounts in the trust. The amount to be distributed shall be the excess of the increase within the period in the value of the assets of the trust resulting from income from the investments of the trust and from the sale or appreciation in value of any investment of the trust, over the decrease within the period in the value of the assets resulting from the sale or the depreciation in value of any investments of the trust.

AB68,713 Section 713 . 40.04 (3) (am) 3. (intro.) of the statutes is amended to read:

AB68,648,8 40.04 (3) (am) 3. (intro.) Annually, on December 31, the sum of all of the following shall be distributed from the market recognition account to each participating account in the core retirement investment trust in the same ratio as each account's average daily balance bears to the total average daily balance of all participating accounts in the trust:

AB68,714 Section 714 . 40.05 (2) (aw) of the statutes is created to read:

AB68,648,17 40.05 (2) (aw) For purposes of this subsection, the participating employer of an employee subject to s. 40.65 who is on a deployment, training, or readiness exercise as the member of an urban search and rescue task force under a contract under s. 323.72 (1) is the local agency, and the local agency shall contribute any additional percentage or percentages related to the deployment, training, or readiness exercises under a contract under s. 323.72 (1) as calculated by the actuary under s. 40.03 (5) (c). A local agency may seek reimbursement from the department of military affairs under s. 323.72 (2m).

AB68,715 Section 715. 40.05 (4) (a) 2. of the statutes is amended to read:

AB68,649,7 40.05 (4) (a) 2. For an insured employee who is an eligible employee under s. 40.02 (25) (a) 2. or (b) 1m. or 2c., the employer shall pay required employer contributions toward the health insurance premium of the insured employee beginning on the date on which the employee becomes insured. For an insured state employee who is currently employed, but who is not a limited term appointment under s. 230.26 or an eligible employee under s. 40.02 (25) (a) 2. or (b) 1m. or 2c., the employer shall pay required employer contributions toward the health insurance premium of the insured employee beginning on the first day of the 3rd 2nd month beginning after the date on which the employee begins employment with the state, not including any leave of absence. For an insured employee who has a limited term appointment under s. 230.26, the employer shall pay required employer contributions toward the health insurance premium of the insured employee beginning on the first day of the 7th month beginning after the date on which the employee first becomes a participating employee.

AB68,716 Section 716. 40.06 (8) of the statutes is created to read:

AB68,649,12 40.06 (8) For periods during which a protective occupation participant who is a participating employee is on a deployment, training, or readiness exercise with an urban search and rescue task force under a contract under s. 323.72 (1), all of the following shall apply:

AB68,649,14 (a) The employer remits required contributions to the department under s. 40.05 (1) (a) and (2) (a).

AB68,649,17 (b) The employer reports to the department service and earnings that are at least the same rate the employee would have received if the employee had not been on the deployment, training, or readiness exercise.

AB68,717 Section 717 . 40.08 (12) of the statutes is amended to read:

AB68,650,2 40.08 (12) Court review. Notwithstanding s. 227.52, any action, decision, or determination of the board, the Wisconsin retirement board, the teachers retirement board, the group insurance board, or the deferred compensation board in an administrative proceeding shall be reviewable only by an action for certiorari in the circuit court for Dane County that is commenced by any party to the administrative proceeding, including the department, within 30 days after the date on which notice of the action, decision, or determination is mailed to that party, and any party to the certiorari proceedings may appeal the decision of that court.

AB68,718 Section 718. 40.22 (1) of the statutes is amended to read:

AB68,650,8 40.22 (1) Except as otherwise provided in sub. (2) and s. 40.26 (6) and (7), each employee currently in the service of, and receiving earnings from, a state agency or other participating employer shall be included within the provisions of the Wisconsin retirement system as a participating employee of that state agency or participating employer.

AB68,719 Section 719. 40.22 (2m) (intro.) of the statutes is amended to read:

AB68,650,16 40.22 (2m) (intro.) Except as otherwise provided in s. 40.26 (6) and (7), an employee who was a participating employee before July 1, 2011, who is not expected to work at least one-third of what is considered full-time employment by the department, as determined by rule, and who is not otherwise excluded under sub. (2) from becoming a participating employee shall become a participating employee if he or she is subsequently employed by the state agency or other participating employer for either of the following periods:

AB68,720 Section 720. 40.22 (2r) (intro.) of the statutes is amended to read:

AB68,650,24 40.22 (2r) (intro.) Except as otherwise provided in s. 40.26 (6) and (7), an employee who was not a participating employee before July 1, 2011, who is not expected to work at least two-thirds of what is considered full-time employment by the department, as determined by rule, and who is not otherwise excluded under sub. (2) from becoming a participating employee shall become a participating employee if he or she is subsequently employed by the state agency or other participating employer for either of the following periods:

AB68,721 Section 721 . 40.22 (3) (intro.) of the statutes is amended to read:

AB68,651,3 40.22 (3) (intro.) Except as otherwise provided in s. 40.26 (6) and (7), a person who qualifies as a participating employee shall be included within, and shall be subject to, the Wisconsin retirement system effective on one of the following dates:

AB68,722 Section 722 . 40.23 (1) (bm) of the statutes is amended to read:

AB68,651,11 40.23 (1) (bm) If an application by a participant age 55 or over, or by a protective occupation participant age 50 or over, for long-term disability insurance benefits under s. 40.64 is disapproved under rules promulgated by the department, the date which would have been the effective date for the insurance benefits shall be is the retirement annuity effective date if requested by the applicant within 60 days of the disapproval or, if the disapproval is appealed, within 60 days of the final disposition of the appeal.

AB68,723 Section 723. 40.26 (7) of the statutes is created to read:

AB68,651,18 40.26 (7) Subsections (1) to (5) do not apply to a participant who applies for an annuity or lump sum payment during the period in which at least 15 days have elapsed between the participant's termination of employment as a teacher with a school district that is a participating employer and becoming a teacher as an employee or contractor providing employee services with any school district that is a participating employer if all of the following conditions are met:

AB68,651,22 (a) At the time the participant terminates his or her employment as a teacher with a school district, the participant does not have an agreement with any school district that is a participating employer to return to employment as a teacher or enter into a contract to provide employee services as a teacher for the school district.

AB68,651,24 (b) The participant elects on a form provided by the department to not become a participating employee.

AB68,724 Section 724 . 40.27 (2) (d) of the statutes is repealed.

AB68,725 Section 725. 40.51 (2m) (a) of the statutes is repealed.

AB68,726 Section 726. 40.51 (2m) (b) of the statutes is renumbered 40.51 (2m) and amended to read:

AB68,652,7 40.51 (2m) If an eligible employee is divorced or was a domestic partner in a dissolved domestic partnership, the eligible employee may not enroll a new spouse or domestic partner in a group health insurance plan under this subchapter until 6 months have elapsed since the date of the divorce or dissolved domestic partnership.

AB68,727 Section 727. 40.51 (7) (a) of the statutes is amended to read:

AB68,652,20 40.51 (7) (a) Any employer, other than the state, including an employer that is not a participating employer, may offer to all of its employees a health care coverage plan through a program offered by the group insurance board. Notwithstanding sub. (2) and ss. 40.05 (4) and 40.52 (1), the department may by rule establish different eligibility standards or contribution requirements for such employees and employers. Beginning on January 1, 2012, except as otherwise provided in a collective bargaining agreement under subch. IV of ch. 111 that covers public safety employees or transit employees and except as provided in par. (b), an employer may not offer a health care coverage plan to its employees under this subsection if the employer pays more than 88 percent of the average premium cost of plans offered in any tier with the lowest employee premium cost under this subsection.

AB68,728 Section 728 . 40.51 (8) of the statutes is amended to read:

AB68,653,2 40.51 (8) Every health care coverage plan offered by the state under sub. (6) shall comply with ss. 631.89, 631.90, 631.93 (2), 631.95, 632.72 (2), 632.729, 632.746 (1) to (8) and (10), 632.747, 632.748, 632.798, 632.83, 632.835, 632.85, 632.853, 632.855, 632.862, 632.867, 632.87 (3) to (6), 632.871, 632.885, 632.89, 632.895 (5m) and (8) to (17), and 632.896.

AB68,729 Section 729 . 40.51 (8) of the statutes, as affected by 2021 Wisconsin Act .... (this act), section 728, is amended to read:

AB68,653,9 40.51 (8) Every health care coverage plan offered by the state under sub. (6) shall comply with ss. 631.89, 631.90, 631.93 (2), 631.95, 632.72 (2), 632.728, 632.729, 632.746 (1) to (8) and (10), 632.747, 632.748, 632.798, 632.83, 632.835, 632.85, 632.853, 632.855, 632.862, 632.867, 632.87 (3) to (6), 632.871, 632.885, 632.89, 632.895 (5m) and (8) to (17), and 632.896.

AB68,730 Section 730 . 40.51 (8) of the statutes, as affected by 2021 Wisconsin Act .... (this act), section 729, is amended to read:

AB68,653,16 40.51 (8) Every health care coverage plan offered by the state under sub. (6) shall comply with ss. 631.89, 631.90, 631.93 (2), 631.95, 632.72 (2), 632.728, 632.729, 632.746 (1) to (8) and (10), 632.747, 632.748, 632.798, 632.83, 632.835, 632.85, 632.853, 632.855, 632.861, 632.862, 632.867, 632.87 (3) to (6), 632.871, 632.885, 632.89, 632.895 (5m) and (8) to (17), and 632.896.

AB68,731 Section 731 . 40.51 (8m) of the statutes is amended to read:

AB68,653,21 40.51 (8m) Every health care coverage plan offered by the group insurance board under sub. (7) shall comply with ss. 631.95, 632.729, 632.746 (1) to (8) and (10), 632.747, 632.748, 632.798, 632.83, 632.835, 632.85, 632.853, 632.855, 632.862, 632.867, 632.871, 632.885, 632.89, and 632.895 (11) to (17).

AB68,732 Section 732 . 40.51 (8m) of the statutes, as affected by 2021 Wisconsin Act .... (this act), section 731, is amended to read:

AB68,654,2 40.51 (8m) Every health care coverage plan offered by the group insurance board under sub. (7) shall comply with ss. 631.95, 632.728, 632.729, 632.746 (1) to (8) and (10), 632.747, 632.748, 632.798, 632.83, 632.835, 632.85, 632.853, 632.855, 632.862, 632.867, 632.871, 632.885, 632.89, and 632.895 (11) (8) and (10) to (17).

AB68,733 Section 733 . 40.51 (8m) of the statutes, as affected by 2021 Wisconsin Act .... (this act), section 732, is amended to read:

AB68,654,8 40.51 (8m) Every health care coverage plan offered by the group insurance board under sub. (7) shall comply with ss. 631.95, 632.728, 632.729, 632.746 (1) to (8) and (10), 632.747, 632.748, 632.798, 632.83, 632.835, 632.85, 632.853, 632.855, 632.861, 632.862, 632.867, 632.871, 632.885, 632.89, and 632.895 (8) and (10) to (17).

AB68,734 Section 734 . 40.51 (15m) of the statutes is repealed.

AB68,735 Section 735. 40.513 (3) (b) of the statutes is amended to read:

AB68,654,12 40.513 (3) (b) The employee's spouse or domestic partner is receiving health care coverage under s. 40.51 (6).

AB68,736 Section 736. 40.52 (2) of the statutes is amended to read:

AB68,655,2 40.52 (2) Health insurance benefits under this subchapter shall be integrated, with exceptions determined appropriate by the group insurance board, with benefits under federal plans for hospital and health care for the aged and disabled. Exclusions and limitations with respect to benefits and different rates may be established for persons eligible under federal plans for hospital and health care for the aged and disabled in recognition of the utilization by persons within the age limits eligible under the federal program. The plan may include special provisions for spouses, domestic partners, and other dependents covered under a plan established under this subchapter where one spouse or domestic partner is eligible under federal plans for hospital and health care for the aged but the others are not eligible because of age or other reasons. As part of the integration, the department may, out of premiums collected under s. 40.05 (4), pay premiums for the federal health insurance.

AB68,737 Section 737. 40.55 (1) of the statutes is amended to read:

AB68,655,10 40.55 (1) Except as provided in sub. (5), the state shall offer, through the group insurance board, to eligible employees under s. 40.02 (25) (bm) and to state annuitants long-term care insurance policies which have been filed with the office of the commissioner of insurance and which have been approved for offering under contracts established by the group insurance board. The state shall also allow an eligible employee or a state annuitant to purchase those policies for his or her spouse, domestic partner, or parent.

AB68,738 Section 738 . 40.61 (2) of the statutes is amended to read:

AB68,656,3 40.61 (2) Except as provided in sub. (4), any an eligible employee may become covered by income continuation insurance by electing coverage within 30 days of initial eligibility, to be effective as of the first day of the month that first occurs during the 30-day period, or by electing coverage within 60 days of initially becoming eligible for a higher level of employer contribution towards the premium cost to be effective as of the first day of the month following the date of eligibility for teachers employed by the university and effective as of the following April 1 for all other employees. Any An employee who does not so elect at one of these times, or who subsequently cancels the insurance, may not thereafter become insured unless the employee furnishes evidence of insurability under the terms of the contract, or as otherwise provided by rule for employees under sub. (3), at the employee's own expense or obtains coverage subject to contractual waiting periods if contractual waiting periods are provided for by the contract or by rule for employees under sub. (3). An employee who furnishes satisfactory evidence of insurability under the terms of the contract shall become insured as of the first day of the month following the date of approval of evidence. The method to be used shall be determined by the group insurance board under sub. (1).

AB68,739 Section 739 . 40.61 (3) of the statutes is amended to read:

AB68,656,11 40.61 (3) Any An employer under s. 40.02 (28), other than the state, may offer to all of its employees an a group income continuation insurance plan through a program offered by the group insurance board. Notwithstanding sub. (2) and ss. 40.05 (5) and 40.62, the department may by rule establish different eligibility standards or contribution requirements for such those employees and employers and may by rule limit the categories of employers which that may be included as participating employers under this subchapter.

AB68,740 Section 740. 40.62 (1) of the statutes is amended to read:

AB68,656,20 40.62 (1) The group insurance board shall establish an a group income continuation insurance plan providing for full or partial payment of the financial loss of earnings incurred as a result of injury or illness with separate provisions for short-term insurance with a benefit duration of no more than one year and long-term insurance covering injury or illness of indefinite duration. Employees An employee insured under the plan shall be eligible for benefits upon exhaustion of accumulated sick leave and completion of the elimination period established by the group insurance board.

AB68,741 Section 741 . 40.63 (5) of the statutes is amended to read:

AB68,657,15 40.63 (5) The department shall make a report based on the evidence prescribed in subs. (1) to (4) as to whether a disability benefit shall be granted and the department shall submit the report to the teachers retirement board for teacher participants and to the Wisconsin retirement board for participants other than teachers. A copy of the report and notice of the date that the report was presented, or will be presented, to the appropriate board and the board's name, shall be mailed to the applicant and to the applicant's former employer. Either the applicant or the employer may request a hearing under s. 227.44 to contest the department's determination by filing a timely appeal with the appropriate board. If a request for a hearing is not timely filed, and the appropriate board does not disapprove the department's determination or request additional information within the time allowed for filing appeals, the report shall be final. If the board requests additional information, the report shall be final 30 days after the board's receipt of the requested information unless the board disapproves the report. If the report is disapproved, notice of the board's action shall be sent to the applicant and the applicant's former employer. Either the applicant or the employer may contest the board's action by submitting a written request for a hearing under s. 227.44 to the appropriate board within 30 days following the date on which the notice of the board's action was mailed to the applicant or the employer.

AB68,742 Section 742 . 40.63 (9) (d) of the statutes is amended to read:

AB68,658,5 40.63 (9) (d) If the department terminates a disability annuity under this subsection, the department shall make a report which shall include the department's determination and the reasons for the determination. The department shall submit the report to the teachers retirement board for teacher participants and to the Wisconsin retirement board for participants other than teachers. A copy of the report and notice of the date that the report was presented, or will be presented, to the appropriate board, and the board's name, shall be mailed to the affected annuitant. An annuitant may request a hearing under s. 227.44 to contest the department's determination by filing a timely appeal with the appropriate board. If a request for a hearing is not timely filed, and the appropriate board does not disapprove the department's determination or request additional information within the time allowed for filing appeals, the report shall be final. If the board requests additional information, the report shall be final 30 days after the board's receipt of the requested information unless the board disapproves the department's determination.