Q. How will these accounts be funded?
A. The state will fund this health reimbursement arrangement based on a participant's age on the last day of the calendar year. This credit will be made annually on or before June 30 to all employees who have been continuously employed by the state between December 31 and the actual date of the credit.
Annual contributions shall be made to each full time active employees account according to the following schedule:
|Less than 30||$500|
|30 - 39||$800|
|40 - 49||$1,100|
|50 or older||$1,400|
(See Section 3.3 of the Plan document)
Q. When will contributions be made to my account?
A. For retired participants, the bonus contribution ($1,000 x eligible years of service) will be credited to your account within 60 days of your retirement date.
(See Section 3.4)
For active employees, the state will credit your account with the annual contribution each summer for all active employees who were employed continuously between January 1 and the date of the contribution that year (no later than June 30). Employees who retire prior to July 1 will not receive the annual contribution.
(See Section 3.2 and 3.3)
Q. Will my spouse and/or dependents receive reimbursements for their qualifying medical expenses?
The accounts can be used to pay insurance policy premiums for individuals to whom the Retired Participant is legally married (excluding a “common-law” spouse) or who qualifies as a dependent child of the Retired Participant under the State’s health plans at the time the Qualifying Expense is incurred.
(See Section 3.8)
Q. I'm ready to retire now. When will the account funds be available?
If you are eligible, one should expect these funds when PERF issues the first retirement check. The funds are not released until PERF processes your retirement and subsequently notifies the plan administrator.
Q. When can I use the funds in my account?
A. Only a Retired Participant is entitled to receive benefits from the HRA. A Retired Participant is defined as an Eligible Employee who is a Participant at his termination of employment and who is (a) eligible for and has applied to receive a normal, unreduced or disability retirement benefit (as determined by statutes and codes governing a State public employee retirement fund of which the Participant is a member) on the Participant’s last day of service, or (b) who has completed at least 10 years of service as an elected or appointed officer on the Participant’s last day of service as an elected or appointed officer .
(See Sections 2.4 and 2.5)