                                 CODE OF VIRGINIA

HEALTH INSURANCE CREDITS FOR RETIRED CONSTITUTIONAL OFFICERS, EMPLOYEES OF
CONSTITUTIONAL OFFICERS, GENERAL REGISTRARS, EMPLOYEES OF GENERAL REGISTRARS,
AND LOCAL SOCIAL SERVICE EMPLOYEES (§ 51.1-1403)

A. A local officer, as defined in &#xA7; 51.1-124.3, general registrar, employee
of a general registrar, or an employee of a local social services board, retired
under the Virginia Retirement System, including the hybrid retirement program
described in &#xA7; 51.1-169, who rendered at least 15 years of total creditable
service under the System shall receive a health insurance credit to his monthly
retirement allowance, which shall be applied to reduce the retired
member&#8217;s health insurance premium cost. The amount of each monthly health
insurance credit payable under this section shall be (i) $1.50 for each full
year of the retired member&#8217;s creditable service, not to exceed a maximum
monthly credit of $45, or (ii) beginning July 1, 2024, for a local officer, as
defined in &#xA7; 51.1-124.3, $1.75 for each full year of the retired
member&#8217;s creditable service, not to exceed a maximum monthly credit of
$52.50; however, each former member whose retirement was for disability, a
participant receiving long-term disability pursuant to &#xA7; 51.1-1157 or
51.1-1165, or a member of the hybrid retirement program receiving long-term
disability pursuant to coverage under subsection A of &#xA7; 51.1-1153 shall
receive a monthly health insurance credit in the amount of (a) for an individual
described in this section other than a local officer, as defined in &#xA7;
51.1-124.3, $45 or (b) beginning July 1, 2024, for a local officer, as defined
in &#xA7; 51.1-124.3, $52.50. Eligibility for the credit shall be determined in
a manner prescribed by the Virginia Retirement System. Any member who elects to
defer his retirement pursuant to subsection C of &#xA7; 51.1-153 shall be
entitled to receive the allowable credit provided by this section on the
effective date of his retirement. The cost of such credit shall be borne by the
Commonwealth.

B. In addition to the health insurance credit authorized in subsection A,
localities that participate in the Virginia Retirement System may elect to
provide an additional health insurance credit of $1 per month for each full year
of the retired member&#8217;s creditable service, not to exceed a maximum
monthly credit of $30. The costs of such additional health insurance credit
shall be borne by the locality.

C. 1. Those retired employees who purchase an alternative personal health
insurance policy from a carrier or organization of their own choosing shall be
eligible to receive a credit in the amount specified in subdivision C 2.
Eligibility for the credit and payment of the credit shall be determined in a
manner prescribed by the Virginia Retirement System.

   2. The credit shall be in (i) the amount provided in subsection A, or
   subsection A and subsection B if the additional credit authorized by
   subsection B is provided or (ii) the amount of premium paid for the personal
   health insurance policy, whichever is less.

D. Any person included in the membership of a retirement system provided by
Chapter 1 (&#xA7; 51.1-124.1 et seq.), 2 (&#xA7; 51.1-200 et seq.), 2.1 (&#xA7;
51.1-211 et seq.), or 3 (&#xA7; 51.1-300 et seq.) who (i) rendered at least 15
years of total creditable service as a local officer as defined in &#xA7;
51.1-124.3 or as an employee of a local social services board or combined
service as a general registrar or an employee of a general registrar and (ii)
after terminating service as a local officer or employee of a local social
services board or general registrar or as an employee of a general registrar,
was employed by a local government that does not elect to provide a health
insurance credit under &#xA7; 51.1-1402, shall be eligible for the credit
provided by subsection A, provided that the retired employee is participating in
a health insurance plan. The Commonwealth shall be charged with the credit as
provided for in subsection A. In such case, the health insurance credit shall be
determined based upon the amount of state service or service as a local officer
or service as an employee of a local social services board or combined service
as a general registrar or an employee of a general registrar, whichever is
greater.

E. The Virginia Retirement System shall (i) actuarially determine the amount
necessary to fund all credits provided under this section, (ii) reflect the cost
of such credits in the applicable employer contribution rate pursuant to &#xA7;
51.1-145, and (iii) prescribe such terms and conditions as are necessary to
carry out the provisions of this section. The costs associated with the
administration of the health insurance program provided for in this section
shall be recovered from the health insurance credit trust fund.

HISTORY: 1997, c. 989, § 2.1-20.1:7; 2000, c. 517; 2001, c. 844; 2005, cc. 382,
432; 2006, c. 336; 2012, cc. 701, 823; 2023, c. 581.