As Reported by House Local Governments and Townships Committee 1 123rd General Assembly 4 Regular Session Sub. H. B. No. 379 5 1999-2000 6 REPRESENTATIVES PETERSON-ALLEN-BARRETT-BRITTON-DISTEL- 8 FLANNERY-JACOBSON-NETZLEY-SCHULER-TERWILLEGER-TRAKAS- 9 WILLAMOWSKI-O'BRIEN-CAREY-HOOPS-VERICH-YOUNG-EVANS 10 _________________________________________________________________ 11 A B I L L To enact section 505.603 of the Revised Code to 13 provide townships with the ability to offer cash 14 payments, in lieu of otherwise offered health benefits or life insurance benefits, to their 15 officers and employees through a "cafeteria plan" 16 that meets Internal Revenue Code requirements. BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO: 18 Section 1. That section 505.603 of the Revised Code be 20 enacted to read as follows: 21 Sec. 505.603. IN ADDITION TO OR IN LIEU OF PROVIDING 23 BENEFITS TO TOWNSHIP OFFICERS AND EMPLOYEES UNDER SECTIONS 24 505.60, 505.601, OR 505.602 OF THE REVISED CODE, A BOARD OF 25 TOWNSHIP TRUSTEES MAY OFFER BENEFITS TO OFFICERS AND EMPLOYEES 26 THROUGH A CAFETERIA PLAN THAT MEETS THE REQUIREMENTS OF SECTION 27 125 OF THE "INTERNAL REVENUE CODE OF 1986," 100 STAT. 2085, 26 29 U.S.C.A. 125, AS AMENDED, AFTER FIRST ADOPTING A POLICY 31 AUTHORIZING AN OFFICER OR EMPLOYEE TO RECEIVE A CASH PAYMENT IN 32 LIEU OF A BENEFIT OTHERWISE OFFERED TO TOWNSHIP OFFICERS OR EMPLOYEES UNDER ANY OF THOSE SECTIONS, BUT ONLY IF THE CASH 33 PAYMENT DOES NOT EXCEED TWENTY-FIVE PER CENT OF THE COST OF 34 PREMIUMS OR PAYMENTS THAT OTHERWISE WOULD BE PAID BY THE BOARD 35 FOR BENEFITS FOR THE OFFICER OR EMPLOYEE UNDER AN OFFERED POLICY, 36 CONTRACT, OR PLAN. NO CASH PAYMENT IN LIEU OF A BENEFIT SHALL BE 37 MADE PURSUANT TO THIS SECTION UNLESS THE OFFICER OR EMPLOYEE 38 2 SIGNS A STATEMENT AFFIRMING THAT THE OFFICER OR EMPLOYEE IS 39 COVERED UNDER ANOTHER HEALTH INSURANCE OR HEALTH CARE POLICY, 40 CONTRACT, OR PLAN IN THE CASE OF A HEALTH BENEFIT, OR A LIFE 41 INSURANCE POLICY IN THE CASE OF A LIFE INSURANCE BENEFIT, AND 42 SETTING FORTH THE NAME OF THE EMPLOYER, IF ANY, THAT SPONSORS THE 43 COVERAGE, THE NAME OF THE CARRIER THAT PROVIDES THE COVERAGE, AND 44 AN IDENTIFYING NUMBER OF THE APPLICABLE POLICY, CONTRACT, OR 45 PLAN.