By Barrientos                                          S.B. No. 257
         76R3395 GCH-D                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to dependent coverage under the state employees uniform
 1-3     group insurance program.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.  Section 19(b), Texas Employees Uniform Group
 1-6     Insurance Benefits Act (Article 3.50-2, Vernon's Texas Insurance
 1-7     Code), is amended to read as follows:
 1-8           (b)  A surviving spouse of an employee or a retiree who is
 1-9     entitled to monthly benefits paid by a retirement system named in
1-10     this Act may, following the death of the employee or retiree, elect
1-11     to retain the spouse's authorized coverages and also retain
1-12     authorized coverages for any dependent of the spouse, at the group
1-13     rate for employees, provided such coverage was previously secured
1-14     by the employee or retiree for the spouse or dependent, and the
1-15     spouse directs the applicable retirement system to deduct required
1-16     contributions from the monthly benefits paid the surviving spouse
1-17     by the retirement system.  A surviving dependent of a retiree who
1-18     was receiving monthly benefits paid by a retirement system named in
1-19     this Act may, after the death of the retiree and if the retiree
1-20     leaves no surviving spouse, elect to retain any coverage previously
1-21     secured by the retiree, at the group rate for employees, until the
1-22     dependent becomes ineligible for coverage for a reason other than
1-23     the death of the member of the group.  A dependent who makes an
1-24     election under this subsection and who is entitled to monthly
 2-1     benefits from a retirement system named in this Act based on the
 2-2     service of the deceased retiree must direct the applicable
 2-3     retirement system to deduct required contributions for the coverage
 2-4     from the monthly benefits paid the surviving dependent by the
 2-5     retirement system.  If funds are specifically appropriated for the
 2-6     purpose, the state shall pay the same portion of the cost of the
 2-7     required contributions for a deceased retiree's surviving spouse or
 2-8     other surviving dependent who elects to retain coverage under this
 2-9     subsection as it pays for similar dependent coverage for an
2-10     employee or retiree participating in the program.
2-11           SECTION 2.  This Act takes effect September 1, 1999.
2-12           SECTION 3.  The importance of this legislation and the
2-13     crowded condition of the calendars in both houses create an
2-14     emergency and an imperative public necessity that the
2-15     constitutional rule requiring bills to be read on three several
2-16     days in each house be suspended, and this rule is hereby suspended.