[Effective through June 30, 2006.]
1. The governing body of any county, school district, municipal corporation, political subdivision, public corporation or other local governmental agency of the State of Nevada may:
(a) Adopt and carry into effect a system of group life, accident or health insurance, or any combination thereof, for the benefit of its officers and employees, and the dependents of officers and employees who elect to accept the insurance and who, where necessary, have authorized the governing body to make deductions from their compensation for the payment of premiums on the insurance.
(b) Purchase group policies of life, accident or health insurance, or any combination thereof, for the benefit of such officers and employees, and the dependents of such officers and employees, as have authorized the purchase, from insurance companies authorized to transact the business of such insurance in the State of Nevada, and, where necessary, deduct from the compensation of officers and employees the premiums upon insurance and pay the deductions upon the premiums.
(c) Provide group life, accident or health coverage through a self-insurance reserve fund and, where necessary, deduct contributions to the maintenance of the fund from the compensation of officers and employees and pay the deductions into the fund. The money accumulated for this purpose through deductions from the compensation of officers and employees and contributions of the governing body must be maintained as an internal service fund as defined by NRS 354.543 . The money must be deposited in a state or national bank or credit union authorized to transact business in the State of Nevada. Any independent administrator of a fund created under this section is subject to the licensing requirements of chapter 683A of NRS, and must be a resident of this State. Any contract with an independent administrator must be approved by the Commissioner of Insurance as to the reasonableness of administrative charges in relation to contributions collected and benefits provided. The provisions of NRS 689B.030 to 689B.050 , inclusive, and 689B.575 apply to coverage provided pursuant to this paragraph, except that the provisions of NRS 689B.0359 do not apply to such coverage.
(d) Defray part or all of the cost of maintenance of a self-insurance fund or of the premiums upon insurance. The money for contributions must be budgeted for in accordance with the laws governing the county, school district, municipal corporation, political subdivision, public corporation or other local governmental agency of the State of Nevada.
2. If a school district offers group insurance to its officers and employees pursuant to this section, members of the board of trustees of the school district must not be excluded from participating in the group insurance. If the amount of the deductions from compensation required to pay for the group insurance exceeds the compensation to which a trustee is entitled, the difference must be paid by the trustee.
[1:27:1947; 1943 NCL § 3655.05]—(NRS A 1960, 76; 1963, 214; 1969, 888; 1977, 389; 1979, 973; 1981, 1770; 1983, 616; 1985, 1449; 1989, 1274; 1991, 451; 1995, 1011; 1999, 1467 , 2005 , 3106 ; 2001, 141 , 144 , 1925 ; 2003, 115 , 3260 , 3372 , 3535 )
[Effective July 1, 2006.]
1. The governing body of any county, school district, municipal corporation, political subdivision, public corporation or other local governmental agency of the State of Nevada may:
(a) Adopt and carry into effect a system of group life, accident or health insurance, or any combination thereof, for the benefit of its officers and employees, and the dependents of officers and employees who elect to accept the insurance and who, where necessary, have authorized the governing body to make deductions from their compensation for the payment of premiums on the insurance.
(b) Purchase group policies of life, accident or health insurance, or any combination thereof, for the benefit of such officers and employees, and the dependents of such officers and employees, as have authorized the purchase, from insurance companies authorized to transact the business of such insurance in the State of Nevada, and, where necessary, deduct from the compensation of officers and employees the premiums upon insurance and pay the deductions upon the premiums.
(c) Provide group life, accident or health coverage through a self-insurance reserve fund and, where necessary, deduct contributions to the maintenance of the fund from the compensation of officers and employees and pay the deductions into the fund. The money accumulated for this purpose through deductions from the compensation of officers and employees and contributions of the governing body must be maintained as an internal service fund as defined by NRS 354.543 . The money must be deposited in a state or national bank or credit union authorized to transact business in the State of Nevada. Any independent administrator of a fund created under this section is subject to the licensing requirements of chapter 683A of NRS, and must be a resident of this State. Any contract with an independent administrator must be approved by the Commissioner of Insurance as to the reasonableness of administrative charges in relation to contributions collected and benefits provided. The provisions of NRS 689B.030 to 689B.050 , inclusive, 689B.287 and 689B.575 apply to coverage provided pursuant to this paragraph, except that the provisions of NRS 689B.0359 do not apply to such coverage.
(d) Defray part or all of the cost of maintenance of a self-insurance fund or of the premiums upon insurance. The money for contributions must be budgeted for in accordance with the laws governing the county, school district, municipal corporation, political subdivision, public corporation or other local governmental agency of the State of Nevada.
2. If a school district offers group insurance to its officers and employees pursuant to this section, members of the board of trustees of the school district must not be excluded from participating in the group insurance. If the amount of the deductions from compensation required to pay for the group insurance exceeds the compensation to which a trustee is entitled, the difference must be paid by the trustee.
[1:27:1947; 1943 NCL § 3655.05]—(NRS A 1960, 76; 1963, 214; 1969, 888; 1977, 389; 1979, 973; 1981, 1770; 1983, 616; 1985, 1449; 1989, 1274; 1991, 451; 1995, 1011; 1999, 1467 , 2005 , 3106 ; 2001, 141 , 144 , 1925 ; 2003, 115 , 3260 , 3372 , 3535 ; 2005, 2347 , effective July 1, 2006)
1. A local government employer and any employee organization that is recognized by the employer pursuant to chapter 288 of NRS may, by written agreement between themselves or with other local government employers and employee organizations, establish a trust fund to provide health and welfare benefits to active and retired employees of the participating employers and the dependents of those employees.
2. All contributions made to a trust fund established pursuant to this section must be held in trust and used:
(a) To provide, from principal or income, or both, for the benefit of the participating employees and their dependents, medical, hospital, dental, vision, death, disability or accident benefits, or any combination thereof, and any other benefit appropriate for an entity that qualifies as a voluntary employees’ beneficiary association under Section 501(c)(9) of the Internal Revenue Code of 1986, 26 U.S.C. § 501(c)(9), as amended; and
(b) To pay any reasonable administrative expenses incident to the provision of these benefits and the administration of the trust.
3. The basis on which contributions are to be made to the trust must be specified in a collective bargaining agreement between each participating local government employer and employee organization or in a written participation agreement between the employer and employee organization, jointly, and the trust.
4. The trust must be administered by a board of trustees on which participating local government employers and employee organizations are equally represented. The agreement that establishes the trust must:
(a) Set forth the powers and duties of the board of trustees, which must not be inconsistent with the provisions of this section;
(b) Establish a procedure for resolving expeditiously any deadlock that arises among the members of the board of trustees; and
(c) Provide for an audit of the trust, at least annually, the results of which must be reported to each participating employer and employee organization.
5. The provisions of paragraphs (b) and (c) of subsection 2 of NRS 287.029 apply to a trust fund established pursuant to this section by the governing body of a school district.
6. As used in this section:
(a) “Employee organization” has the meaning ascribed to it in NRS 288.040 .
(b) “Local government employer” has the meaning ascribed to it in NRS 288.060 .
(Added to NRS by 2003, 2737 ; A 2003, 20th Special Session, 257 )
1. The governing body of any county, school district, municipal corporation, political subdivision, public corporation or other local governmental agency of the State of Nevada may adopt and carry into effect a system of medical or hospital service, or a combination thereof, through nonprofit membership corporations defraying the cost of medical service or hospital care, or both, open to participation by all licentiates of the particular class, whether doctors of medicine, doctors of osteopathy or doctors of chiropractic, offering services through such a nonprofit membership corporation, for the benefit of such of their officers and employees, and the dependents of such officers and employees, as may elect to accept membership in such nonprofit corporation and who have authorized the governing body to make deductions from their compensation for the payment of membership dues.
2. A part, not to exceed 50 percent, of the cost of such membership dues may be defrayed by such governing body by contribution. The money for such contributions must be budgeted for in accordance with the laws governing such county, school district, municipal corporation, political subdivision, public corporation or other local governmental agency of the State of Nevada.
3. The power conferred in this section, with respect to the rendition of medical or hospital service, or a combination thereof, is coextensive with the power conferred in NRS 287.010 with respect to insurance companies.
4. If a school district offers coverage for medical service or hospital care, or both, to its officers and employees pursuant to this section, members of the board of trustees of the school district must not be excluded from participating in the coverage. If the amount of the deductions from compensation required to pay for the coverage exceeds the compensation to which a trustee is entitled, the difference must be paid by the trustee.
[2:27:1947; 1943 NCL § 3655.06]—(NRS A 1960, 76; 1963, 215; 1995, 1012; 2003, 3260 )
1. Except as otherwise provided in subsection 3, the surviving spouse and any surviving child of a police officer or firefighter who was:
(a) Employed by a local governmental agency that had established group insurance, a plan of benefits or medical and hospital service pursuant to NRS 287.010 , 287.015 , 287.020 or paragraph (b), (c) or (d) of subsection 1 of NRS 287.025 ; and
(b) Killed in the line of duty,
Ê may elect to accept or continue coverage under that group insurance, plan or medical and hospital service if the police officer or firefighter was a participant or would have been eligible to participate in the group insurance, plan or medical and hospital service on the date of the death of the police officer or firefighter. If the surviving spouse or child elects to accept coverage under the group insurance, plan or medical and hospital service in which the police officer or firefighter would have been eligible to participate or to discontinue coverage under the group insurance, plan or medical and hospital service in which the police officer or firefighter was a participant, the spouse, child or legal guardian of the child must notify in writing the local governmental agency that employed the police officer or firefighter within 60 days after the date of death of the police officer or firefighter.
2. The local governmental agency that employed the police officer or firefighter shall pay the entire cost of the premiums or contributions for the group insurance, plan of benefits or medical and hospital service for the surviving spouse or child who meets the requirements set forth in subsection 1.
3. A surviving spouse is eligible to receive coverage pursuant to this section for the duration of the life of the surviving spouse. A surviving child is eligible to receive coverage pursuant to this section until the child reaches:
(a) The age of 18 years; or
(b) The age of 23 years, if the child is enrolled as a full-time student in an accredited university, college or trade school.
4. As used in this section “police officer” has the meaning ascribed to it in NRS 617.135 .
(Added to NRS by 1999, 2607 ; A 2003, 1613 , 2737 , 3261 ; 2005, 323 )
1. Whenever an officer or employee of the governing body of any county, school district, municipal corporation, political subdivision, public corporation or other local governmental agency of the State of Nevada retires under the conditions set forth in NRS 1A.350 or 1A.480 , or 286.510 or 286.620 and, at the time of his retirement, was covered or had his dependents covered by any group insurance, plan of benefits or medical and hospital service established pursuant to NRS 287.010 , 287.015 , 287.020 or paragraph (b), (c) or (d) of subsection 1 of NRS 287.025 , the officer or employee has the option upon retirement to cancel or continue any such coverage or join the Public Employees’ Benefits Program to the extent that such coverage is not provided to him or a dependent by the Health Insurance for the Aged Act, 42 U.S.C. §§ 1395 et seq.
2. A retired person who joins the Public Employees’ Benefits Program upon retirement pursuant to subsection 1 or continues coverage under the Public Employees’ Benefits Program shall assume the portion of the premium or contribution costs for the coverage which the governing body or the State does not pay on behalf of retired officers or employees. A dependent of such a retired person has the option, which may be exercised to the same extent and in the same manner as the retired person, to cancel or continue coverage in effect on the date the retired person dies. The dependent is not required to continue to receive retirement payments from the Public Employees’ Retirement System to continue coverage.
3. Notice of the selection of the option must be given in writing to the last public employer of the officer or employee within 60 days after the date of retirement or death, as the case may be. If no notice is given by that date, the retired officer or employee and his dependents shall be deemed to have selected the option to cancel the coverage for the group insurance, plan of benefits or medical and hospital service established pursuant to NRS 287.010 , 287.015 , 287.020 or paragraph (b), (c) or (d) of subsection 1 of NRS 287.025 or not to join the Public Employees’ Benefits Program, as the case may be.
4. The governing body of any county, school district, municipal corporation, political subdivision, public corporation or other local governmental agency of this State:
(a) May pay the cost, or any part of the cost, of coverage established pursuant to NRS 287.010 , 287.015 or 287.020 or paragraph (b), (c) or (d) of subsection 1 of NRS 287.025 for persons who continue that coverage pursuant to subsection 1, but it must not pay a greater portion than it does for its current officers and employees.
(b) Shall pay the same portion of the cost of coverage under the Public Employees’ Benefits Program for persons who join the Program upon retirement pursuant to subsection 1 as the State pays pursuant to subsection 2 of NRS 287.046 for persons retired from state service who have continued to participate in the Program.
5. The governing body of any county, school district, municipal corporation, political subdivision, public corporation or other local governmental agency of this State shall, for the purpose of establishing actuarial data to determine rates and coverage for persons who continue coverage for group insurance, a plan of benefits or medical and hospital service with the governing body pursuant to subsection 1, commingle the claims experience of those persons with the claims experience of active officers and employees and their dependents who participate in the group insurance, a plan of benefits or medical and hospital service.
(Added to NRS by 1967, 974; A 1979, 325, 1074; 1981, 246; 1985, 40; 1987, 504; 1993, 875; 1995, 1957; 1999, 3025 ; 2001, 951 ; 2001 Special Session, 95 ; 2003, 2738 , 3250 , 3262 )
1. If a member of the board of trustees of a school district who has served at least one full term of office does not seek reelection or is defeated for reelection and, upon the expiration of his term of office, was covered or had his dependents covered by any group insurance, plan of benefits or medical and hospital service established pursuant to NRS 287.010 , 287.015 , 287.020 or paragraph (b), (c) or (d) of subsection 1 of NRS 287.025 , the board member has the option upon the expiration of his term of office to cancel or continue any such coverage to the extent that coverage is not provided to him or a dependent by the Health Insurance for the Aged Act, 42 U.S.C. §§ 1395 et seq. A board member who continues coverage pursuant to this section shall assume all costs for the continued coverage. A dependent of such a board member has the option, which may be exercised to the same extent and in the same manner as the board member, to cancel or continue coverage in effect on the date the board member dies.
2. Notice of the selection of the option must be given in writing to the board of trustees of the school district within 30 days after the expiration of the board member’s term of office or the date of his death, as the case may be. If no notice is given by that date, the board member and his dependents shall be deemed to have selected the option to cancel the coverage.
(Added to NRS by 1995, 1011; A 2003, 2739 , 3263 )
1. The governing body of any county, school district, municipal corporation, political subdivision, public corporation or other local governmental agency of the State of Nevada may, in addition to the other powers granted in NRS 287.010 , 287.015 and 287.020 :
(a) Negotiate and contract with the Board of the Public Employees’ Benefits Program to secure group insurance for its officers and employees and their dependents by participation in the Public Employees’ Benefits Program.
(b) Negotiate and contract with another county, school district, municipal corporation, political subdivision, public corporation or other local governmental agency of the State of Nevada to secure group insurance for its officers and employees and their dependents by participation in any group insurance plan established or to be established by the other local governmental agency.
(c) To secure group health, life or workers’ compensation insurance for its officers and employees and their dependents, participate as a member of a nonprofit cooperative association or nonprofit corporation that has been established in this State to secure such insurance for its members from an insurer licensed pursuant to the provisions of title 57 of NRS.
(d) In addition to the provisions of paragraph (c), participate as a member of a nonprofit cooperative association or nonprofit corporation that has been established in this State to:
(1) Facilitate contractual arrangements for the provision of medical services to its members’ officers and employees and their dependents and for related administrative services.
(2) Procure health-related information and disseminate that information to its members’ officers and employees and their dependents.
2. Each contract negotiated pursuant to paragraph (a) or (b) of subsection 1:
(a) Must be submitted to the Commissioner of Insurance for approval not less than 30 days before the date on which the contract is to become effective.
(b) Does not become effective unless approved by the Commissioner of Insurance.
(c) Shall be deemed to be approved if not disapproved by the Commissioner within 30 days after its submission.
(Added to NRS by 1965, 1025; A 1969, 465; 1991, 658; 1995, 2509; 1999, 189 , 2820 , 3027 ; 2001, 204 ; 2003, 2739 , 3264 ) The governing body of any county, school district, municipal corporation, political subdivision, public corporation or other local governmental agency of the State of Nevada that provides health insurance through a plan of self-insurance shall provide coverage for colorectal cancer screening in accordance with:
1. The guidelines concerning colorectal cancer screening which are published by the American Cancer Society; or
2. Other guidelines or reports concerning colorectal cancer screening which are published by nationally recognized professional organizations and which include current or prevailing supporting scientific data.
(Added to NRS by 2003, 1337 ; A 2003, 20th Special Session, 264 )
1. If the governing body of a school district:
(a) Provides group life, accident or health coverage through a self-insurance reserve fund as described in paragraph (c) of subsection 1 of NRS 287.010 ; or
(b) Establishes or carries into effect any other system of self-funded life, accident or health coverage,
Ê any money that is paid toward such coverage by officers and employees of the school district in the form of contributions, deductions and premiums, and any money that is set aside by the school district for the matching of contributions, or for the defraying of costs pursuant to paragraph (d) of subsection 1 of NRS 287.010 , must be deposited in a trust fund or otherwise held in trust for the benefit of the officers and employees of the school district.
2. Money that is deposited in a trust fund or otherwise held in trust pursuant to subsection 1:
(a) Must be used only for the purpose of funding, maintaining, operating and administering the program or system of group insurance;
(b) Must not be loaned to the school district or the board of trustees of the school district or its agent or any other governmental entity; and
(c) May be invested in any reasonable and prudent manner, except that such money must not be invested to purchase any obligations of the school district or the board of trustees of the school district or its agent. All interest and income earned on the money in the fund must be deposited in the fund.
(Added to NRS by 2003, 417 ) No provisions of law prohibiting, restricting or limiting the assignment of or order for wages or salary shall be deemed in any way to prohibit, restrict or limit the powers enumerated in NRS 287.010 , 287.015 , 287.020 or 287.025 , nor the right and power of officers or employees to authorize and approve payment of premiums or contributions by wage and salary deductions.
[3:27:1947; 1943 NCL § 3655.07]—(NRS A 1999, 3028 ; 2003, 2740 , 3265 )
The provisions of NRS 287.010 to 287.040 , inclusive, do not make it compulsory upon any governing body of any county, school district, municipal corporation, political subdivision, public corporation or other local governmental agency of the State of Nevada, except as otherwise provided in NRS 287.021 or in an agreement entered into pursuant to subsection 3 of NRS 287.015 , to pay any premiums, contributions or other costs for group insurance, a plan of benefits or medical or hospital services established pursuant to NRS 287.010 , 287.015 , 287.020 or paragraph (b), (c) or (d) of subsection 1 of NRS 287.025 , or upon any officer or employee of any county, school district, municipal corporation, political subdivision, public corporation or other local governmental agency of this State to accept any such coverage or to assign his wages or salary in payment of premiums or contributions therefor.
[4:27:1947; 1943 NCL § 3655.08]—(NRS A 1960, 77; 1979, 1075; 1985, 268; 1995, 1013; 1999, 2609 , 3028 ; 2003, 417 , 1613 , 2740 , 3251 , 3265 )
GROUP INSURANCE FOR STATE OFFICERS AND EMPLOYEES As used in NRS 287.0402 to 287.049 , inclusive, unless the context otherwise requires, the words and terms defined in NRS 287.0404 to 287.0406 , inclusive, have the meanings ascribed to them in those sections.
(Added to NRS by 1999, 3023 ; A 2001, 2938 ; 2003, 3265 ) “Board” means the Board of the Public Employees’ Benefits Program created by NRS 287.041 .
(Added to NRS by 1999, 3023 )
“Participating local governmental agency” means a county, school district, municipal corporation, political subdivision, public corporation or other local governmental agency that has an agreement in effect with the Program pursuant to paragraph (a) of subsection 1 of NRS 287.025 to obtain group insurance from the Program.
(Added to NRS by 2003, 3259 )
“Participating public agency” means any participating local governmental agency and participating state agency.
(Added to NRS by 2003, 3259 )
“Participating state agency” means a department, commission, board, bureau or other agency of the Executive, Legislative and Judicial Branches of State Government, including, without limitation, the Public Employees’ Retirement System and the Nevada System of Higher Education.
(Added to NRS by 2003, 3259 ) “Program” means the Public Employees’ Benefits Program established pursuant to subsection 1 of NRS 287.043 .
(Added to NRS by 1999, 3023 )
1. There is hereby created the Board of the Public Employees’ Benefits Program. The Board consists of nine members appointed as follows:
(a) One member who is a professional employee of the Nevada System of Higher Education, appointed by the Governor upon consideration of any recommendations of organizations that represent employees of the Nevada System of Higher Education.
(b) One member who is retired from public employment, appointed by the Governor upon consideration of any recommendations of organizations that represent retired public employees.
(c) Two members who are employees of the State, appointed by the Governor upon consideration of any recommendations of organizations that represent state employees.
(d) One member appointed by the Governor upon consideration of any recommendations of organizations that represent employees of local governments that participate in the program.
(e) One member who is employed by this State in a managerial capacity and has substantial and demonstrated experience in risk management, portfolio investment strategies or employee benefits programs appointed by the Governor. The Governor may appoint the Executive Officer of the Public Employees’ Retirement System to fill this position.
(f) Two members who have substantial and demonstrated experience in risk management, portfolio investment strategies or employee benefits programs appointed by the Governor.
(g) The Director of the Department of Administration or his designee.
2. Of the six persons appointed to the Board pursuant to paragraphs (a) to (e), inclusive, of subsection 1, at least one member must have an advanced degree in business administration, economics, accounting, insurance, risk management or health care administration, and at least two members must have education or proven experience in the management of employees’ benefits, insurance, risk management, health care administration or business administration.
3. Each person appointed as a member of the Board must:
(a) Except for a member appointed pursuant to paragraph (f) of subsection 1, have been a participant in the Program for at least 1 year before his appointment;
(b) Except for a member appointed pursuant to paragraph (f) of subsection 1, be a current employee of the State of Nevada or another public employer that participates in the Program or a retired public employee who is a participant in the Program; and
(c) Not be an elected officer of the State of Nevada or any of its political subdivisions.
4. Except as otherwise provided in this subsection, after the initial terms, the term of an appointed member of the Board is 4 years and until his successor is appointed and takes office unless the member no longer possesses the qualifications for appointment set forth in this section or is removed by the Governor. If a member loses the requisite qualifications within the last 12 months of his term, the member may serve the remainder of his term. Members are eligible for reappointment. A vacancy occurring in the membership of the Board must be filled in the same manner as the original appointment.
5. The appointed members of the Board serve at the pleasure of the Governor. If the Governor wishes to remove a member from the Board for any reason other than malfeasance or misdemeanor, the Governor shall provide the member with written notice which states the reason for and the effective date of the removal.
(Added to NRS by 1963, 1319; A 1967, 1580; 1977, 147; 1991, 658; 1999, 3028 , 3043 ; 2001, 216 ; 2003, 3274 )
1. A majority of the members of the Board constitutes a quorum for the transaction of business.
2. The Governor shall designate one of the members of the Board to serve as the Chairman.
3. The Board shall meet at least once every calendar quarter and at other times upon the call of the Chairman.
4. The Board may meet in closed session:
(a) To discuss matters relating to personnel;
(b) To prepare a request for a proposal or other solicitation for bids to be released by the Board for competitive bidding; or
(c) As otherwise provided pursuant to chapter 241 of NRS.
5. Except as otherwise provided in this subsection, if the Board causes a meeting to be transcribed by a court reporter who is certified pursuant to chapter 656 of NRS, the Board shall post a transcript of the meeting on its Internet website not later than 30 days after the meeting. The Board shall post a transcript of a closed session of the Board on its Internet website when the Board determines that the matters discussed no longer require confidentiality and, if applicable, the person whose character, conduct, competence or health was discussed in the closed session has consented to the posting.
6. As used in this section, “request for a proposal” has the meaning ascribed to it in subsection 8 of NRS 333.020 .
(Added to NRS by 1999, 3023 ; A 2003, 549 ; 2005, 1409 )
1. No member who is a public employee may receive any compensation for his services as a member of the Board. Any member who is a public employee must be granted administrative leave from his duties to engage in the business of the Board without loss of his regular compensation. Such leave does not reduce the amount of the member’s other accrued leave.
2. A member of the Board who is not a public employee is entitled to receive $80 per day for his attendance at meetings of the Board.
(Added to NRS by 1963, 1319; A 1977, 122; 1985, 392; 1987, 326; 1991, 659; 1999, 3029 ) The Board may reimburse a witness whom the Board requests appear before it and who has expertise in a field that is relevant to the Program for any expenses relating to the testimony of the witness that the Board deems reasonable.
(Added to NRS by 1999, 3023 )
1. The Board shall employ an Executive Officer who is in the unclassified service of the State and serves at the pleasure of the Board. The Board may delegate to the Executive Officer the exercise or discharge of any power, duty or function vested in or imposed upon the Board.
2. The Executive Officer must:
(a) Be a graduate of a 4-year college or university with a degree in business administration or public administration or an equivalent degree, as determined by the Board; and
(b) Possess at least 5 years’ experience in a high-level administrative or executive capacity in the field of insurance, management of employees’ benefits or risk management, including, without limitation, responsibility for a variety of administrative functions such as personnel, accounting, data processing or the structuring of insurance programs.
3. Except as otherwise provided in NRS 284.143 , the Executive Officer shall not pursue any other business or occupation or perform the duties of any other office of profit during normal office hours unless on leave approved in advance. The Executive Officer shall not participate in any business enterprise or investment with any vendor or provider to the Program.
4. The Executive Officer is entitled to an annual salary fixed by the Board. The salary of the Executive Officer is exempt from the limitations set forth in NRS 281.123 .
(Added to NRS by 1999, 3024 ; A 2005, 592 )
1. The Executive Officer may appoint a Quality Control Officer, Operations Officer, Accounting Officer, Information Technology Systems Officer and Executive Assistant, who are in the unclassified service of the State and serve at the pleasure of the Executive Officer. The appointment and dismissal of the Quality Control Officer are subject to the approval of the Board.
2. The Quality Control Officer, Operations Officer, Accounting Officer and Information Technology Systems Officer must each be a graduate of a 4-year college or university with a degree that is appropriate to their respective responsibilities or possess equivalent experience as determined by the Board.
3. The Quality Control Officer, Operations Officer, Accounting Officer, Information Technology Systems Officer and Executive Assistant are entitled to annual salaries fixed by the Board. The salaries of these employees are exempt from the limitations set forth in NRS 281.123 .
4. The Executive Officer may employ such staff in the classified service of the State as are necessary for the performance of his duties, within limits of legislative appropriations or other available money.
(Added to NRS by 1983, 1343; A 1985, 392; 1987, 327; 1991, 661; 1999, 3032 ; 2005, 593 )
1. Each member of the Board and the Executive Officer shall complete at least 16 hours of continuing education relating to the administration of group benefits for public employees each year.
2. While attending courses of continuing education, a member of the Board who is a public employee and the Executive Officer must be granted administrative leave with pay and are entitled to receive the travel expenses provided for state officers and employees generally.
3. While attending courses of continuing education, a member of the Board who is not a public employee is entitled to receive the per diem allowance and travel expenses provided for state officers and employees generally.
(Added to NRS by 1999, 3024 )
1. The Board shall:
(a) Establish and carry out a program to be known as the Public Employees’ Benefits Program which:
(1) Must include a program relating to group life, accident or health insurance, or any combination of these; and
(2) May include a program to reduce taxable compensation or other forms of compensation other than deferred compensation,
Ê for the benefit of all state officers and employees and other persons who participate in the Program.
(b) Ensure that the Program is funded on an actuarially sound basis and operated in accordance with sound insurance and business practices.
2. In establishing and carrying out the Program, the Board shall:
(a) For the purpose of establishing actuarial data to determine rates and coverage for active and retired state officers and employees and their dependents, commingle the claims experience of such active and retired officers and employees and their dependents.
(b) Except as otherwise provided in this paragraph, negotiate and contract pursuant to paragraph (a) of subsection 1 of NRS 287.025 with the governing body of any county, school district, municipal corporation, political subdivision, public corporation or other local governmental agency of the State of Nevada that wishes to obtain group insurance for its active and retired officers and employees and their dependents by participation in the Program. The Board shall establish separate rates and coverage for active and retired officers and employees of those local governmental agencies and their dependents based on actuarial reports that commingle the claims experience of such active and retired officers and employees and their dependents.
(c) Except as otherwise provided in paragraph (d), provide public notice in writing of any proposed changes in rates or coverage to each participating public agency that may be affected by the changes. Notice must be provided at least 30 days before the effective date of the changes.
(d) If a proposed change is a change in the premium or contribution charged for, or coverage of, health insurance, provide written notice of the proposed change to all participants in the Program. The notice must be provided at least 30 days before the date on which a participant in the Program is required to select or change his policy of health insurance.
(e) Purchase policies of life, accident or health insurance, or any combination of these, or, if applicable, a program to reduce the amount of taxable compensation pursuant to 26 U.S.C. § 125, from any company qualified to do business in this State or provide similar coverage through a plan of self-insurance established pursuant to NRS 287.0433 for the benefit of all eligible participants in the Program.
(f) Except as otherwise provided in this title, develop and establish other employee benefits as necessary.
(g) Investigate and approve or disapprove any contract proposed pursuant to NRS 287.0479 .
(h) Adopt such regulations and perform such other duties as are necessary to carry out the provisions of NRS 287.0402 to 287.049 , inclusive, including, without limitation, the establishment of:
(1) Fees for applications for participation in the Program and for the late payment of premiums or contributions;
(2) Conditions for entry and reentry into the Program by local governmental agencies that wish to enter or reenter the Program pursuant to paragraph (a) of subsection 1 of NRS 287.025 ;
(3) Procedures by which a group of participants in the Program may leave the Program pursuant to NRS 287.0479 and conditions and procedures for reentry into the Program by those participants; and
(4) Specific procedures for the determination of contested claims.
(i) Appoint an independent certified public accountant. The accountant shall:
(1) Provide an annual audit of the Program; and
(2) Report to the Board and the Interim Retirement and Benefits Committee of the Legislature created pursuant to NRS 218.5373 .
(j) Appoint an attorney who specializes in employee benefits. The attorney shall:
(1) Perform a biennial review of the Program to determine whether the Program complies with federal and state laws relating to taxes and employee benefits; and
(2) Report to the Board and the Interim Retirement and Benefits Committee of the Legislature created pursuant to NRS 218.5373 .
3. The Board shall submit an annual report regarding the administration and operation of the Program to the Director of the Legislative Counsel Bureau not more than 6 months before the Board establishes rates and coverage for participants for the following plan year. The report must include, without limitation:
(a) The amount paid by the Program in the preceding plan year for the claims of active and retired participants in the Program; and
(b) The amount paid by the Program in the preceding plan year for the claims of retired participants in the Program who were provided coverage for medical or hospital service, or both, by the Health Insurance for the Aged Act, 42 U.S.C. §§ 1395 et seq., or a plan that provides similar coverage.
4. The Board may use any services provided to state agencies and shall use the services of the Purchasing Division of the Department of Administration to establish and carry out the Program.
5. The Board may make recommendations to the Legislature concerning legislation that it deems necessary and appropriate regarding the Program.
6. A participating public agency is not liable for any obligation of the Program other than indemnification of the Board and its employees against liability relating to the administration of the Program, subject to the limitations specified in NRS 41.0349 .
7. As used in this section, “employee benefits” includes any form of compensation provided to a public employee except federal benefits, wages earned, legal holidays, deferred compensation and benefits available pursuant to chapter 286 of NRS.
(Added to NRS by 1963, 1319; A 1965, 1026; 1969, 466; 1979, 629, 933; 1983, 1343; 1985, 543; 1987, 326, 1400; 1991, 249, 659; 1995, 1647; 1999, 2609 , 3030 ; 2001, 952 , 2709 , 2939 ; 2003, 191 , 333 , 1613 , 3251 , 3265 ) The Board may establish a plan of life, accident or health insurance and provide for the payment of contributions into the Fund for the Public Employees’ Benefits Program established pursuant to NRS 287.0435 , a schedule of benefits and the disbursement of benefits from the Fund. The Board may reinsure any risk or any part of such a risk.
(Added to NRS by 1983, 1342; A 1985, 268; 1987, 327; 1991, 660; 1999, 3031 ) [Effective through June 30, 2006.] If the Board provides health insurance through a plan of self-insurance, it shall comply with the provisions of NRS 689B.255 , 695G.150 , 695G.160 , 695G.164 , 695G.170 , 695G.173 , 695G.200 to 695G.230 , inclusive, and 695G.241 to 695G.310 , inclusive, in the same manner as an insurer that is licensed pursuant to title 57 of NRS is required to comply with those provisions.
(Added to NRS by 2001, 2938 ; A 2003, 785 , 3373 , 3536 ) [Effective July 1, 2006.] If the Board provides health insurance through a plan of self-insurance, it shall comply with the provisions of NRS 689B.255 , 695G.150 , 695G.160 , 695G.164 , 695G.170 , 695G.173 , 695G.200 to 695G.230 , inclusive, 695G.241 to 695G.310 , inclusive, and 695G.405 , in the same manner as an insurer that is licensed pursuant to title 57 of NRS is required to comply with those provisions.
(Added to NRS by 2001, 2938 ; A 2003, 785 , 3373 , 3536 ; 2005, 2348 , effective July 1, 2006) The Board may:
1. Use its assets to pay the expenses of health care for its members and covered dependents, to pay its employees’ salaries and to pay administrative and other expenses.
2. Enter into contracts relating to the administration of the Program, including, without limitation, contracts with licensed administrators and qualified actuaries. Each such contract with a licensed administrator:
(a) Must be submitted to the Commissioner of Insurance not less than 30 days before the date on which the contract is to become effective for approval as to the reasonableness of administrative charges in relation to contributions collected and benefits provided.
(b) Does not become effective unless approved by the Commissioner.
(c) Shall be deemed to be approved if not disapproved by the Commissioner within 30 days after its submission.
3. Enter into contracts with physicians, surgeons, hospitals, health maintenance organizations and rehabilitative facilities for medical, surgical and rehabilitative care and the evaluation, treatment and nursing care of members and covered dependents. The Board shall not enter into a contract pursuant to this subsection unless:
(a) Provision is made by the Board to offer all the services specified in the request for proposals, either by a health maintenance organization or through separate action of the Board.
(b) The rates set forth in the contract are based on:
(1) For active and retired state officers and employees and their dependents, the commingled claims experience of such active and retired officers and employees and their dependents; and
(2) For active and retired officers and employees of public agencies enumerated in NRS 287.010 that contract with the Program to obtain group insurance by participation in the Program and their dependents, the commingled claims experience of such active and retired officers and employees and their dependents.
4. Enter into contracts for the services of other experts and specialists as required by the Program.
5. Charge and collect from an insurer, health maintenance organization, organization for dental care or nonprofit medical service corporation, a fee for the actual expenses incurred by the Board or a participating public agency in administering a plan of insurance offered by that insurer, organization or corporation.
(Added to NRS by 1987, 325; A 1991, 660; 1999, 2821 , 3032 ; 2001, 204 , 2711 ; 2003, 3253 , 3267 )
1. All money received for the Program, including, without limitation, premiums and contributions, must be deposited in the State Treasury for credit to the Fund for the Public Employees’ Benefits Program which is hereby created as a trust fund. The Fund must be accounted for as an internal service fund. Payments into and disbursements from the Fund must be so arranged as to keep the Fund solvent at all times.
2. The money in the Fund must be invested as other money of the State is invested and any income from investments paid into the Fund for the benefit of the Fund.
3. Disbursements from the Fund must be made as any other claims against the State are paid.
4. The State Treasurer may charge a reasonable fee for his services in administering the Fund, but the State, the State General Fund and the State Treasurer are not liable to the Fund for any loss sustained by the Fund as a result of any investment made on behalf of the Fund or any loss sustained in the operation of the Program.
5. The Board shall deposit any disbursement received from the Fund into an interest-bearing checking account in a bank or credit union qualified to receive deposits of public money. Claims that have been submitted to the Program and approved must be paid from the account, and any refund of such a claim must be deposited into the account.
(Added to NRS by 1983, 1342; A 1985, 544; 1991, 660; 1999, 3032 ; 2001, 953 ) Except for the files of individual members and former members, the correspondence, files, minutes, audio recordings, transcripts and books of the Program are, except as otherwise provided in NRS 241.035 , public records.
(Added to NRS by 1987, 326; A 1999, 3033 ; 2005, 1410 )
1. A participating public agency shall furnish to the Board:
(a) Written notice regarding a change in the status of an employee of the participating public agency or a dependent of such an employee that affects the eligibility of the employee or dependent to participate in the Program. Such notice must be provided to the Program, on a form prescribed by the Program, within 15 calendar days after the participating public agency is notified or otherwise becomes aware of the change in status.
(b) Upon request, any other information necessary to carry out the provisions of this chapter.
2. Members of the Board and its employees or agents may examine under oath any officer, agent or employee of a participating public agency concerning the information required pursuant to this section.
3. The books, records and payrolls of a participating public agency must be available for inspection by members of the Board and its employees and agents to obtain any information necessary for the administration of the Program, including, without limitation, the accuracy of the payroll and identity of employees.
4. A participating public agency shall reimburse the Program for any premium or contribution that was not paid to the Program as a result of the failure of the participating public agency to furnish the notice required pursuant to paragraph (a) of subsection 1. The participating public agency shall not require any employee or his dependent to reimburse the participating public agency for the amount of any premium or contribution for which the participating public agency is liable to the Program pursuant to this subsection.
(Added to NRS by 1987, 326; A 1991, 661; 1999, 3033 ; 2003, 3268 )
1. A part of the cost of the premiums or contributions for group insurance provide by the Program, not to exceed the amount specified by law, applied to both group life and group accident or health coverage, for each state officer, except a Senator or Assemblyman, or employee electing to participate in the Program, may be paid by the participating state agency which employs the officer or employee in whose behalf that part is paid from money appropriated to or authorized for that participating state agency for that purpose. Participation by the State in the cost of premiums or contributions must not exceed the amounts specified by law. If a state officer or employee chooses to cover his dependents, whenever this option is made available by the Board, except as otherwise provided in NRS 287.021 and 287.0477 , he must pay the difference between the amount of the premium or contribution for the coverage for himself and his dependents and the amount paid by the participating state agency that employs the officer or employee.
2. A participating state agency shall not pay any part of those premiums or contributions if the group life insurance or group accident or health insurance is not approved by the Board.
(Added to NRS by 1963, 1320; A 1965, 1026; 1967, 1580; 1969, 466; 1971, 509; 1973, 261; 1975, 1137; 1977, 454; 1979, 208, 933; 1981, 222, 1330; 1983, 1343, 2013; 1985, 845; 1991, 661; 1999, 2610 , 3033 ; 2003, 1613 , 3268 ) The participating state agency which employed a state officer or employee who:
1. Was injured in the course of that employment;
2. Receives compensation for a temporary total disability pursuant to NRS 616C.475 ; and
3. Was a member of the Program at the time of the injury,
Ê shall pay the State’s share of the cost of the premiums or contributions for the Program for that officer or employee for not more than 9 months after the injury or until the officer or employee is able to return to work, whichever is less. If the previous injury recurs within 1 month after the employee returns to work and the employee again receives compensation pursuant to NRS 616C.475 as a result of the previous injury, the participating state agency shall not, except as otherwise provided in this section, pay the State’s share of the cost of the premiums or contributions for the period during which the employee is unable to work as a result of the recurring previous injury. If the initial period of disability was less than 9 months, the participating state agency shall pay, during the recurrence, the State’s share of the costs of the premiums or contributions for a period which, when added to the initial period, equals not more than 9 months.
(Added to NRS by 1983, 668; A 1991, 250; 1999, 3034 ; 2003, 3269 )
1. Except as otherwise provided in this section, every state officer or employee is eligible to participate in the Program on the first day of the month following the completion of 90 days of full-time employment.
2. Professional employees of the Nevada System of Higher Education who have annual employment contracts are eligible to participate in the Program on:
(a) The effective dates of their respective employment contracts, if those dates are on the first day of a month; or
(b) The first day of the month following the effective dates of their respective employment contracts, if those dates are not on the first day of a month.
3. Every officer or employee who is employed by a participating local governmental agency on a permanent and full-time basis on the date on which the participating local governmental agency enters into an agreement to participate in the Program pursuant to paragraph (a) of subsection 1 of NRS 287.025 , and every officer or employee who commences his employment with that participating local governmental agency after that date, is eligible to participate in the Program on the first day of the month following the completion of 90 days of full-time employment.
4. Every Senator and Assemblyman is eligible to participate in the Program on the first day of the month following the 90th day after his initial term of office begins.
5. An officer or employee of the governing body of any county, school district, municipal corporation, political subdivision, public corporation or other local governmental agency of the State of Nevada who retires under the conditions set forth in NRS 1A.350 or 1A.480 , or 286.510 or 286.620 and was not participating in the Program at the time of his retirement is eligible to participate in the Program 60 days after notice of the selection to participate is given pursuant to NRS 287.023 .
6. Notwithstanding the provisions of subsections 1, 3 and 4, if the Board does not, pursuant to NRS 689B.580 , elect to exclude the Program from compliance with NRS 689B.340 to 689B.590 , inclusive, and if the coverage under the Program is provided by a health maintenance organization authorized to transact insurance in this State pursuant to chapter 695C of NRS, any affiliation period imposed by the Program may not exceed the statutory limit for an affiliation period set forth in NRS 689B.500 .
(Added to NRS by 1963, 1320; A 1965, 124, 1026; 1967, 1581; 1969, 466, 1428; 1981, 222; 1985, 622; 1989, 1966; 1993, 385, 876; 1995, 1958; 1997, 2961; 1999, 3034 ; 2001, 216 , 954 , 1926 ; 2001 Special Session, 96 ; 2003, 3254 , 3269 )
1. Except as otherwise provided in subsection 6, any active state officer or employee who elects to participate in the Program may participate, and the participating state agency that employs the officer or employee shall pay the State’s share of the cost of the premiums or contributions for the Program from money appropriated or authorized as provided in NRS 287.044 . State officers and employees who elect to participate in the Program must authorize deductions from their compensation for the payment of premiums or contributions for the Program. Any deduction from the compensation of a state officer or employee for the payment of a premium or contribution for health insurance must be based on the actual amount of the premium or contribution after deducting any amount of the premium or contribution which is paid by the participating state agency that employs the employee.
2. The Department of Personnel shall pay a percentage of the base amount provided by law for that fiscal year toward the cost of the premiums or contributions for the Program for persons who have retired with state service and who elect to participate in the Program. Except as otherwise provided in subsection 3, the percentage to be paid must be calculated as follows:
(a) For those persons who retire before January 1, 1994, 100 percent of the base amount provided by law for that fiscal year.
(b) For those persons who retire on or after January 1, 1994, with at least 5 years of state service, 25 percent plus an additional 7.5 percent for each year of state service in excess of 5 years to a maximum of 137.5 percent, excluding service purchased pursuant to NRS 1A.310 or 286.300 , of the base amount provided by law for that fiscal year.
3. If the amount calculated pursuant to subsection 2 exceeds the actual premium or contribution for the plan of the Program that the retired participant selects, the balance must be credited to the Fund for the Public Employees’ Benefits Program created pursuant to NRS 287.0435 .
4. For the purposes of subsection 2:
(a) Credit for service must be calculated in the manner provided by chapter 286 of NRS.
(b) No proration may be made for a partial year of state service.
5. The Department shall agree through the Board with the insurer for billing of remaining premiums or contributions for the retired participant and his dependents to the retired participant and to his dependents who elect to continue coverage under the Program after his death.
6. A Senator or Assemblyman who elects to participate in the Program shall pay the entire premium or contribution for his insurance.
(Added to NRS by 1963, 1320; A 1965, 1026; 1969, 467; 1979, 1075; 1981, 222, 875, 1684; 1983, 640, 1344; 1985, 41; 1987, 504; 1991, 661; 1993, 1155; 1999, 3035 ; 2001, 2940 ; 2001 Special Session, 97 ; 2003, 258 , 3255 , 3270 )
1. If an officer or employee of the State or a dependent of such an officer or employee incurs an illness or injury for which medical services are payable under the plan for self-insurance established by the Board and the illness or injury is incurred under circumstances creating a legal liability in some person, other than the officer, employee or dependent, to pay all or part of the cost of those services, the Board is subrogated to the right of the officer, employee or dependent to the extent of all such costs, and may join or intervene in any action by the officer, employee or dependent or his successors in interest, to enforce that legal liability.
2. If an officer, employee or dependent or his successors in interest fail or refuse to commence an action to enforce that legal liability, the Board may commence an independent action, after notice to the officer, employee or dependent or his successors in interest, to recover all costs to which it is entitled. In any such action by the Board, the officer, employee or dependent may be joined as a third party defendant.
3. If the Board is subrogated to the rights of the officer, employee or dependent or his successors in interest as provided in subsection 1, the Board has a lien upon the total proceeds of any recovery from the persons liable, whether the proceeds of the recovery are by way of a judgment or settlement or otherwise. Within 15 days after recovery by receipt of the proceeds of the judgment, settlement or other recovery, the officer, employee or dependent or his successors in interest shall notify the Board of the recovery and pay the Board the amount due to it pursuant to this section. The officer, employee or dependent or his successors in interest are not entitled to double recovery for the same injury.
4. The officer, employee or dependent or his successors in interest shall notify the Board in writing before entering any settlement or agreement or commencing any action to enforce the legal liability referred to in subsection 1.
(Added to NRS by 1987, 1399; A 1991, 662; 1999, 3036 )
1. A participating state employee whose position is only authorized for 4 to 6 months every other year and who plans to return to the same or a similar position for the next period during which such a position is authorized may retain his membership in and his dependents’ coverage by the Program after his employment ceases for:
(a) Six full calendar months in addition to the period of extended coverage required by federal law following the termination of employment; or
(b) Twenty-four full calendar months, if no period of extended coverage is required by federal law.
2. An employee who elects to continue his participation in the program pursuant to subsection 1 shall pay the entire premium or contribution plus allowable administrative fees for his insurance until the date on which he is reemployed.
3. Failure to return to the same or a similar position for any reason, whether the decision was made by the former employee or the State, does not affect the application of this section.
(Added to NRS by 1999, 3024 ) If the retention is consistent with the terms of any agreement between the State and the insurance company which issued the policies pursuant to the Program or with the plan of self-insurance of the Program:
1. A participating state officer or employee who retires on or after July 1, 1985, may retain his membership in and his dependents’ coverage by the Program.
2. A participating Legislator who retires from the service of the State or who completes 8 years of service as such may retain his membership in and his dependents’ coverage by the Program.
(Added to NRS by 1963, 1320; A 1965, 1027; 1969, 467; 1979, 1076; 1981, 223; 1983, 1100, 1344; 1985, 41; 1991, 250; 1999, 3037 ; 2003, 3271 )
1. A public officer or employee who has retired pursuant to NRS 1A.350 or 1A.480 , or 286.510 or 286.620 , or a retirement program provided pursuant to NRS 286.802 , or the surviving spouse of such a retired public officer or employee who is deceased may, in any even-numbered year, reinstate any insurance, except life insurance, which was provided to him and his dependents at the time of his retirement pursuant to NRS 287.010 , 287.015 , 287.020 or paragraph (b), (c) or (d) of subsection 1 of NRS 287.025 or the Program as a public officer or employee by:
(a) Giving written notice of his intent to reinstate the insurance to the last public employer of the public officer or employee not later than January 31 of an even-numbered year;
(b) Accepting the public employer’s current program or plan of insurance and any subsequent changes thereto; and
(c) Paying any portion of the premiums or contributions of the public employer’s program or plan of insurance, in the manner set forth in NRS 1A.470 or 286.615 , which are due from the date of reinstatement and not paid by the public employer.
Ê The last public employer shall give the insurer notice of the reinstatement no later than March 31 of the year in which the public officer or employee or surviving spouse gives notice of his intent to reinstate the insurance.
2. Reinstatement of insurance excludes claims for expenses for any condition for which medical advice, treatment or consultation was rendered within 12 months before reinstatement unless the reinstated insurance has been in effect more than 12 consecutive months.
3. The last public employer of a retired officer or employee who reinstates insurance, except life insurance, which was provided to him and his dependents at the time of his retirement pursuant to NRS 287.010 , 287.015 , 287.020 or paragraph (b), (c) or (d) of subsection 1 of NRS 287.025 , shall, for the purpose of establishing actuarial data to determine rates and coverage for such persons, commingle the claims experience of such persons with the claims experience of active and retired officers and employees and their dependents who participate in that group insurance, plan of benefits or medical and hospital service.
(Added to NRS by 1987, 503; A 1993, 482; 1999, 3037 ; 2001 Special Session, 98 ; 2003, 2740 , 3256 , 3271 )
1. Except as otherwise provided in subsection 4, the surviving spouse and any surviving child of a police officer or firefighter who was employed by a participating public agency and who was killed in the line of duty may join or continue coverage under the Public Employees’ Benefits Program or another insurer or employee benefit plan approved by the Board pursuant to NRS 287.0479 if the police officer or firefighter was a participant or would have been eligible to participate on the date of the death of the police officer or firefighter. If the surviving spouse or child elects to join or discontinue coverage under the Public Employees’ Benefits Program pursuant to this subsection, the spouse, child or legal guardian of the child must notify in writing the participating public agency that employed the police officer or firefighter within 60 days after the date of death of the police officer or firefighter.
2. Except as otherwise provided in subsection 4, the surviving spouse and any surviving child of a volunteer firefighter who was killed in the line of duty and who was officially a member of a volunteer fire department in this State is eligible to join the Public Employees’ Benefits Program. If such a spouse or child elects to join the Public Employees’ Benefits Program, the spouse, child or legal guardian of the child must notify in writing the Board within 60 days after the date of death of the volunteer firefighter.
3. The participating public agency that employed the police officer or firefighter shall pay the entire cost of the premiums or contributions for the Public Employees’ Benefits Program or another insurer or employee benefit plan approved by the Board pursuant to NRS 287.0479 for the surviving spouse or child who meets the requirements set forth in subsection 1. The State of Nevada shall pay the entire cost of the premiums or contributions for the Public Employees’ Benefits Program for the surviving spouse or child who elects to join the Public Employees’ Benefits Program pursuant to subsection 2.
4. A surviving spouse is eligible to receive coverage pursuant to this section for the duration of the life of the surviving spouse. A surviving child is eligible to receive coverage pursuant to this section until the child reaches:
(a) The age of 18 years; or
(b) The age of 23 years, if the child is enrolled as a full-time student in an accredited university, college or trade school.
5. As used in this section “police officer” has the meaning ascribed to it in NRS 617.135 .
(Added to NRS by 1999, 2608 ; A 1999, 3046 , 3047 ; 2003, 1613 ; 2005, 324 )
1. If approved by the Board pursuant to this section, a group of not less than 300 active state officers or employees or retired state officers or employees, or any combination thereof, that participate in the Program may leave the Program and secure life, accident or health insurance, or any combination thereof, for the group from an:
(a) Insurer that is authorized by the Commissioner of Insurance to provide such insurance; or
(b) Employee benefit plan, as defined in 29 U.S.C. § 1002(3), that has been approved by the Board. The Board may approve an employee benefit plan unless the Board finds that the plan is not operated pursuant to such sound accounting and financial management practices as to ensure that the group will continue to receive adequate benefits.
2. Before entering into a contract with the insurer or approved employee benefit plan, the group shall submit the proposed contract to the Board for approval. The Board may approve the contract unless the departure of the group from the Program would cause an increase of more than 5 percent in the costs of premiums or contributions for the remaining participants in the Program. In determining whether to approve a proposed contract, the Board shall follow the criteria set forth in the regulations adopted by the Board pursuant to subsection 4 and may consider the cumulative impact of groups that have left or are proposing to leave the Program. Except as otherwise provided in this section, the Board has discretion in determining whether to approve a contract. If the Board approves a proposed contract pursuant to this subsection, the group that submitted the proposed contract is not authorized to leave the Program until 120 days after the date on which the Board approves the proposed contract.
3. The Board shall disburse periodically to the insurer or employee benefit plan with which a group contracts pursuant to this section the total amount set forth in the contract for premiums or contributions for the members of the group for that period but not to exceed the amount appropriated to or authorized for the participating state agency that employs the members of the group for premiums or contributions for the members of the group for that period, after deducting any administrative costs related to the group.
4. The Board shall adopt regulations establishing the criteria pursuant to which the Board will approve proposed contracts pursuant to subsection 2.
(Added to NRS by 1999, 3025 ; A 2003, 3272 ) NRS 287.0402 to 287.047 , inclusive, do not require any officer or employee of the State of Nevada to accept or join the Program, or to assign his wages or salary in payment of premiums or contributions for the Program.
(Added to NRS by 1963, 1320; A 1965, 1027; 1969, 467; 1983, 1344; 1991, 251; 1999, 3038 ; 2003, 3273 )
The cost of premiums or contributions for the Program as provided in NRS 287.044 must be budgeted for as other expenditures of the State are budgeted for.
(Added to NRS by 1963, 1320; A 1967, 98; 1971, 509; 1983, 1345; 1999, 3038 )
PARTICIPATION OF EMPLOYEES OF STATE AND ITS POLITICAL SUBDIVISIONS IN FEDERAL OLD-AGE AND SURVIVORS’ INSURANCE In order to extend to employees of the State and its political subdivisions, and to the dependents and survivors of such employees, the basic protection accorded to others by the Old-Age and Survivors Insurance System embodied in the Social Security Act, it is hereby declared to be the policy of the Legislature, subject to the limitations of NRS 287.050 to 287.240 , inclusive, that such steps be taken as to provide such protection to employees of the State and its political subdivisions who are not eligible to participate in the Public Employees’ Retirement System (chapter 286 of NRS) on as broad a basis as is permitted under the Social Security Act.
[1:420:1955]—(NRS A 1977, 478) For the purposes of NRS 287.050 to 287.240 , inclusive, “employee” includes an officer of a state or political subdivision thereof.
[Part 2:420:1955] For the purposes of NRS 287.050 to 287.240 , inclusive, “employee tax” means the tax imposed by section 1400 of the Internal Revenue Code of 1939 and section 3101 of the Internal Revenue Code of 1954.
[Part 2:420:1955]
1. For the purposes of NRS 287.050 to 287.240 , inclusive, “employment” means any service performed by an employee in the employ of the State or any political subdivision thereof for such employer, except:
(a) Service which in the absence of an agreement entered into under NRS 287.050 to 287.240 , inclusive, would constitute “employment” as defined in the Social Security Act; or
(b) Service which under the Social Security Act may not be included in an agreement between the State and the Secretary entered into under NRS 287.050 to 287.240 , inclusive.
2. Civilian employees of the National Guard units of this state who are employed pursuant to section 90 of the National Defense Act of June 3, 1916 (32 U.S.C., sec. 42), and paid from funds allotted to such units by the Department of Defense, shall for the purposes of NRS 287.050 to 287.240 , inclusive, be deemed to be employees of the State and shall be deemed to be a separate coverage group.
3. Individuals employed pursuant to an agreement entered into pursuant to section 205 of the Agricultural Marketing Act of 1946 (7 U.S.C., sec. 1624) or section 14 of the Perishable Agricultural Commodities Act, 1930 (7 U.S.C., sec. 499n), between this state and the United States Department of Agriculture to perform services as inspectors of agricultural products shall be deemed by this state for the purposes of NRS 287.050 to 287.240 , inclusive, to be employees of this state and shall be deemed to be a separate coverage group.
[Part 2:420:1955] For the purposes of NRS 287.050 to 287.240 , inclusive, “Federal Insurance Contributions Act” means subchapter A of chapter 9 of the Internal Revenue Code of 1939 and subchapters A and B of chapter 21 of the Internal Revenue Code of 1954, as such codes have been and may from time to time be amended.
[Part 2:420:1955] For the purposes of NRS 287.050 to 287.240 , inclusive, “political subdivision” includes an instrumentality of a state, of one or more of its political subdivisions, or of this State and one or more of its political subdivisions, but only if such instrumentality is a juristic entity which is legally separate and distinct from the State or subdivision and only if its employees are not by virtue of their relation to such juristic entity employees of the State or subdivision.
[Part 2:420:1955] For the purposes of NRS 287.050 to 287.240 , inclusive, “Secretary” means the Secretary of Health and Human Services and includes:
1. Any person to whom the Secretary has delegated any of his functions under the Social Security Act with respect to coverage under such act of employees of states and their political subdivisions; and
2. With respect to any action taken prior to April 11, 1953, the Federal Security Administrator and any person to whom the Administrator had delegated any such function.
[Part 2:420:1955]—(NRS A 1983, 130) For the purposes of NRS 287.050 to 287.240 , inclusive, “Social Security Act” means the Act of Congress approved August 14, 1935, chapter 531, 49 Stat. 620, officially cited as the “Social Security Act” (including regulations and requirements issued pursuant thereto), as such Act has been and may from time to time be amended.
[Part 2:420:1955] For the purposes of NRS 287.050 to 287.240 , inclusive, “state agency” means the Employment Security Division of the Department of Employment, Training and Rehabilitation or such other agency as the Governor may appoint to administer NRS 287.050 to 287.240 , inclusive.
[Part 2:420:1955]—(NRS A 1993, 1552) For the purposes of NRS 287.050 to 287.240 , inclusive, “wages” means all remuneration for employment as defined in NRS 287.080 , including the cash value of all remuneration paid in any medium other than cash, except that the term shall not include that part of such remuneration which, even if it were for “employment” within the meaning of the Federal Insurance Contributions Act, would not constitute “wages” within the meaning of that Act.
[Part 2:420:1955] The state agency is hereby authorized on behalf of the State to maintain in full force and effect the agreement and modifications thereof entered into between the State and the Federal Security Administrator on and after November 24, 1953, and with the approval of the Governor to enter into modification thereof (hereafter included in the term “agreement”) with the Secretary, consistent with the terms and provisions of NRS 287.050 to 287.240 , inclusive, for the purpose of extending the benefits of the Federal Old-Age and Survivors Insurance System to employees of the State or any political subdivision thereof with respect to services specified in the agreement which constitute employment (as defined in NRS 287.080 ). The agreement may contain provisions relating to coverage, benefits, contributions, effective date, modification and termination of the agreement, administration and other appropriate provisions which the state agency and the Secretary agree upon, but, except as may be otherwise required by or under the Social Security Act as to the services to be covered, the agreement shall provide in effect that:
1. Benefits will be provided for employees whose services are covered by the agreement (and their dependents and survivors) on the same basis as though such services constituted employment within the meaning of Title II of the Social Security Act.
2. The state will pay to the Secretary of the Treasury, at the time or times prescribed under the Social Security Act, contributions with respect to wages (as defined in NRS 287.140 ), equal to the sum of the taxes which would be imposed by the Federal Insurance Contributions Act if the services covered by the agreement constituted employment within the meaning of that Act.
3. The agreement shall be effective with respect to services in employment covered by the agreement performed after a date specified therein but in no event may it be effective with respect to any services performed earlier than the last day of the sixth calendar year preceding the year in which the agreement is entered into or in which the modification of the agreement making it applicable to such services is entered into, except that:
(a) A modification entered into after December 31, 1954, and prior to January 1, 1958, may be effective with respect to services performed after December 31, 1954, or after a later date specified in the modification; and
(b) Where the State or a political subdivision of the State has attempted to secure the extension of the benefits provided by Title II of the Social Security Act to its employees, or to any of its employees constituting a coverage group as that term is defined in Section 218 of the Social Security Act, but through error has pursued improper procedures, or where any modification to the agreement heretofore or hereafter executed contains an error, a modification may be executed effective with respect to services performed by those employees of the State or of the political subdivision, as the case may be, as of that date as of which a modification could have been effective if proper procedures had been pursued or if no error had occurred in the modification by which benefits were sought to be secured.
4. All services which constitute employment (as defined in NRS 287.080 ) and are performed in the employ of the State by employees of the State may be covered by the agreement.
5. All services which:
(a) Constitute employment (as defined in NRS 287.080 );
(b) Are performed in the employ of a political subdivision of the State; and
(c) Are covered by a plan which is in conformity with the terms of the agreement and has been approved by the state agency under NRS 287.180 ,
Ê shall be covered by the agreement.
[Part 3:420:1955]—(NRS A 1957, 185; 1977, 479)
1. Any instrumentality jointly created by this state and any other state or states is authorized, upon the granting of like authority by such other state or states:
(a) To enter into an agreement with the Secretary whereby the benefits of the Federal Old-Age and Survivors Insurance System shall be extended to employees of such instrumentality.
(b) To require its employees to pay (and for that purpose to deduct from their wages) contributions equal to the amounts which they would be required to pay under subsection 1 of NRS 287.170 if they were covered by an agreement made pursuant to NRS 287.150 .
(c) To make payments to the Secretary of the Treasury in accordance with such agreement, including payments from its own funds, and otherwise to comply with such agreements.
2. Such agreement shall, to the extent practicable, be consistent with the terms and provisions of NRS 287.150 and other provisions of NRS 287.050 to 287.240 , inclusive.
[Part 3:420:1955]
1. Every employee of the State whose services are covered by an agreement entered into under NRS 287.150 shall be required to pay for the period of such coverage, into the Social Security Revolving Fund established by NRS 287.200 , contributions, with respect to wages (as defined in NRS 287.140 ), equal to the amount of the employee tax which would be imposed by the Federal Insurance Contributions Act if such services constituted employment within the meaning of that Act. Such liability shall arise in consideration of the employee’s retention in the service of the State, or his entry upon such service, after March 29, 1955.
2. The contribution imposed by this section shall be collected by deducting the amount of the contribution from wages as and when paid, but failure to make such deduction shall not relieve the employee from liability for such contribution.
3. If more or less than the correct amount of the contribution imposed by this section is paid or deducted with respect to any remuneration, proper adjustments, or refund if adjustment is impracticable, shall be made, without interest, in such manner and at such times as the state agency shall prescribe.
[4:420:1955]
1. Each political subdivision of the State is authorized to submit for approval by the state agency a plan for extending the benefits of Title II of the Social Security Act, in conformity with applicable provisions of such Act, to employees of such political subdivision. Each such plan and any amendment thereof shall be approved by the state agency if it finds that such plan, or such plan as amended, is in conformity with such requirements as are provided in regulations of the state agency, except that no such plan shall be approved unless:
(a) It is in conformity with the requirements of the Social Security Act and with the agreement entered into under NRS 287.150 or 287.160 .
(b) It provides that all services which constitute employment (as defined in NRS 287.080 ) and are performed in the employ of the political subdivision by employees thereof shall be covered by the plan, except that it may exclude services performed by individuals to whom section 218(c) (3) (c) of the Social Security Act is applicable.
(c) It specifies the source or sources from which the funds necessary to make the payments required by paragraph (a) of subsection 3 and by subsection 4 are expected to be derived and contains reasonable assurance that such sources will be adequate for such purpose.
(d) It provides for such methods of administration of the plan by the political subdivision as are found by the state agency to be necessary for the proper and efficient administration of the plan.
(e) It provides that the political subdivision will make such reports, in such form and containing such information, as the state agency may from time to time require, and comply with such provisions as the state agency or the Secretary may from time to time find necessary to assure the correctness and verification of such reports.
(f) It authorizes the state agency to terminate the plan in its entirety, in the discretion of the state agency, if it finds that there has been a failure to comply substantially with any provision contained in such plan, such termination to take effect at the expiration of such notice and on such conditions as may be provided by regulations of the state agency and may be consistent with the provisions of the Social Security Act.
2. The state agency shall not finally refuse to approve a plan submitted by a political subdivision under subsection 1, and shall not terminate an approved plan, without reasonable notice and opportunity for hearing to the political subdivision affected thereby.
3. Each political subdivision:
(a) As to which a plan has been approved under this section shall pay into the Social Security Revolving Fund, with respect to wages (as defined in NRS 287.140 ) at such time or times as the state agency may by regulation prescribe, contributions in the amounts and at the rates specified in the applicable agreement entered into by the state agency under NRS 287.150 or 287.160 .
(b) Required to make payments under paragraph (a) of this subsection is authorized, in consideration of the employee’s retention in, or entry upon, employment after March 29, 1955, to impose upon each of its employees, as to services which are covered by an approved plan, a contribution with respect to his wages (as defined in NRS 287.140 ), not exceeding the amount of the employee tax which would be imposed by the Federal Insurance Contributions Act if such services constituted employment within the meaning of that Act, and to deduct the amount of such contribution from his wages as and when paid. Contributions so collected shall be paid into the Social Security Revolving Fund in partial discharge of the liability of such political subdivision or instrumentality under paragraph (a) of this subsection. Failure to deduct such contribution shall not relieve the employee or employer of liability therefor.
4. Delinquent payments due under paragraph (a) of subsection 3 may, with interest at the rate of 6 percent per annum, be recovered by action in a court of competent jurisdiction against the political subdivision liable therefor or may, at the request of the state agency, be deducted from any other moneys payable to such subdivision by any department or agency of the State.
[5:420:1955]
1. Except as provided in subsection 2, service of employees of the State of Nevada or of any political subdivision thereof who are eligible to participate in the Retirement System established pursuant to chapter 286 of NRS is specifically excluded from NRS 287.050 to 287.240 , inclusive.
2. Any certified public school teacher receiving a service retirement allowance under the provisions of chapter 286 of NRS may, upon subsequent employment in the position of substitute teacher in any school district in the State, file a written request with the school district for coverage under the Social Security Act, pursuant to the provisions of NRS 287.050 to 287.240 , inclusive.
[6:420:1955]—(NRS A 1971, 18; 1977, 480)
1. There is hereby established a special fund to be known as the Social Security Revolving Fund. Such Fund shall consist of, and there shall be deposited in such Fund:
(a) All contributions, interest and penalties collected under NRS 287.170 and 287.180 .
(b) All moneys appropriated thereto under NRS 287.050 to 287.240 , inclusive.
(c) Any property or securities and earnings thereof acquired through the use of moneys belonging to the Fund.
(d) Interest earned upon any moneys in the Fund.
(e) All sums recovered upon the bond of the custodian or otherwise for losses sustained by the Fund.
(f) All other moneys received for the Fund from any other source.
Ê All moneys in the Fund shall be mingled and undivided. Subject to the provisions of NRS 287.050 to 287.240 , inclusive, the state agency is vested with full power, authority and jurisdiction over the Fund, including all moneys and property or securities belonging thereto, and may perform any and all acts, whether or not specifically designated, which are necessary to the administration thereof and are consistent with the provisions of NRS 287.050 to 287.240 , inclusive.
2. The Social Security Revolving Fund shall be established and held separate and apart from any other funds or moneys of the State and shall be used and administered exclusively for the purposes of NRS 287.050 to 287.240 , inclusive. Withdrawals from such Fund shall be made for:
(a) Payment of amounts required to be paid to the Secretary of the Treasury pursuant to the agreement entered into pursuant to section 218 of the Social Security Act.
(b) Payment of refunds provided for in subsection 3 of NRS 287.170 .
(c) Refunds of overpayments, not otherwise adjustable, made by a political subdivision or instrumentality.
3. From the Social Security Revolving Fund the State Treasurer shall pay to the Secretary of the Treasury such amounts and at such time or times as may be directed by the state agency in accordance with any agreement entered into under NRS 287.150 and the Social Security Act.
4. The State Treasurer shall be ex officio treasurer and custodian of the Social Security Revolving Fund and shall administer such Fund in accordance with the provisions of NRS 287.050 to 287.240 , inclusive, and the directions of the state agency and shall pay all warrants drawn upon it in accordance with the provisions of this section and with such regulations as the state agency may prescribe pursuant thereto.
5. All moneys in the Social Security Revolving Fund created under the provisions of chapter 103, Statutes of Nevada 1953, on March 29, 1955, including the sum of $750 transferred thereto by the State Treasurer from the General Fund pursuant to chapter 103, Statutes of Nevada 1953, shall remain in the Social Security Revolving Fund created by this section and shall not revert without further legislative enactment. These moneys, including the sum of $750, in addition to the contributions collected and paid into the Social Security Revolving Fund under NRS 287.170 and 287.180 , are to be made available for the purposes of subsections 2 and 3 of this section until expended, along with such additional sums as are found to be necessary to make the payments to the Secretary of the Treasury which this state is obligated to make pursuant to the agreement of November 24, 1953, and modifications thereof entered into under NRS 287.150 .
[7:420:1955]
1. There is hereby established a special fund to be known as the Social Security Administration Fund. The Fund consists of and there must be deposited in the Fund:
(a) All payments made by participating coverage groups for assessments established by regulations adopted pursuant to NRS 287.050 to 287.240 , inclusive, to provide for the costs incurred by the state agency in administering NRS 287.050 to 287.240 , inclusive.
(b) All money appropriated thereto under NRS 287.050 to 287.240 , inclusive.
(c) All remaining money collected for administration expense pursuant to chapter 103, Statutes of Nevada 1953, and regulations relating thereto.
2. The Social Security Administration Fund must not be commingled with other state funds but must be maintained in a separate account on the books of the depository. Withdrawals from the Fund are authorized and may be used for:
(a) The payment of administrative costs of NRS 287.050 to 287.240 , inclusive;
(b) The payment of advances to the administrative fund of the state agency covering estimated administrative costs of NRS 287.050 to 287.240 , inclusive;
(c) Refunds of assessments paid by participating coverage groups which are not otherwise adjustable; and
(d) Reimbursement of advances made by the Employment Security Division of the Department of Employment, Training and Rehabilitation for costs of administration of chapter 103, Statutes of Nevada 1953.
[8:420:1955]—(NRS A 1993, 1553) The state agency shall adopt such regulations, not inconsistent with the provisions of NRS 287.050 to 287.240 , inclusive, as it finds necessary or appropriate to the efficient administration of the functions with which it is charged under NRS 287.050 to 287.240 , inclusive.
[9:420:1955] The state agency shall:
1. Make studies concerning the problem of Old-Age and Survivors Insurance protection for employees of the State and local governments and their instrumentalities and concerning the operation of agreements made and plans approved under NRS 287.050 to 287.240 , inclusive.
2. Submit a report to the Legislature at the beginning of each regular session covering the administration and operation of NRS 287.050 to 287.240 , inclusive, during the preceding biennium, including such recommendations for amendments as it considers proper.
[10:420:1955] Chapter 103, Statutes of Nevada 1953, is repealed, but all liabilities and obligations created by chapter 103, Statutes of Nevada 1953, or by any agreements entered into under the authority thereof, shall continue in full force and effect as if chapter 103, Statutes of Nevada 1953, had not been repealed.
[12:420:1955]
PROGRAMS FOR REDUCTION OF TAXABLE INCOME FOR PUBLIC EMPLOYEES
1. The State may agree with any of its employees, and the Board of Regents of the University of Nevada may agree with any of its employees, to reduce the amount of taxable compensation due to an employee in accordance with a program established pursuant to 26 U.S.C. § 125 by the Board of the Public Employees’ Benefits Program.
2. Political subdivisions of this State may agree with any of their employees to reduce the amount of taxable compensation due to an employee in accordance with a program established pursuant to 26 U.S.C. § 125.
3. The employer shall deduct an amount from the taxable compensation of an employee pursuant to the agreement between the employer and the employee.
4. An employer shall not make any reduction in the taxable compensation of an employee pursuant to this section until the program established meets the requirements of 26 U.S.C. § 125 for eligibility.
5. The Board of the Public Employees’ Benefits Program may establish and administer a program pursuant to 26 U.S.C. § 125. The Board may:
(a) Create an appropriate fund for administration of money and other assets resulting from the money deducted pursuant to the program.
(b) Delegate to one or more state agencies or institutions of the Nevada System of Higher Education the responsibility for administering the program for their respective employees, including, without limitation:
(1) Collection of money deducted;
(2) Transmittal of money collected to depositories within the State designated by the Board; and
(3) Payment for eligible uses.
(c) Contract with a natural person, corporation, institution or other entity, directly or through a state agency or institution of the Nevada System of Higher Education, for services necessary to the administration of the plan, including, without limitation:
(1) Consolidated billing;
(2) The keeping of records for each participating employee and the program;
(3) The control and safeguarding of assets;
(4) Programs for communication with employees; and
(5) The administration and coordination of the program.
6. Each employee who participates in a program established by the Board of the Public Employees’ Benefits Program pursuant to this section shall pay a proportionate share of the cost to administer the program as determined by the Board.
7. The provisions of this section do not supersede, make inoperative or reduce the benefits provided by the Public Employees’ Retirement System or by any other retirement, pension or benefit program established by law.
(Added to NRS by 1989, 937; A 1991, 663; 1993, 385, 2509; 1999, 3038 )
DEFERRED COMPENSATION FOR STATE EMPLOYEES As used in NRS 287.250 to 287.370 , inclusive, unless the context otherwise requires, the words and terms defined in NRS 287.260 to 287.310 , inclusive, have the meanings ascribed to them in those sections.
(Added to NRS by 1977, 893; A 1995, 1868; 1999, 33 ) “Committee” means the Committee established to administer the Program.
(Added to NRS by 1977, 894) “Deferred compensation” means income which a state employee or employee of the Nevada System of Higher Education may legally set aside under the Program, which may consist of one or more plans authorized by 26 U.S.C. § 401(a), 401(k), 403(b), 457 or 3121, including, without limitation, a FICA alternative plan, or any other plan authorized by any federal law to reduce taxable compensation or other forms of compensation, and which income, while invested under the Program, is exempt from federal income taxes on the employee’s contributions and interest, dividends and capital gains.
(Added to NRS by 1977, 894; A 1979, 797; 1985, 1122; 1987, 1823; 1993, 386; 2001, 1004 ; 2003, 1408 ) “Investment” means a savings account, certificate of deposit, fixed or variable annuity contract, life insurance contract, mutual fund or other investment which the Committee has approved for the Program.
(Added to NRS by 1977, 894) “Program” means the Public Employees’ Deferred Compensation Program authorized by NRS 287.250 to 287.370 , inclusive.
(Added to NRS by 1977, 894)
1. The State may agree with any of its employees, and the Board of Regents of the University of Nevada may agree with any of its employees, to defer the compensation due to them in accordance with a program approved by the Committee which may consist of one or more plans authorized by 26 U.S.C. § 401(a), 401(k), 403(b), 457 or 3121, including, without limitation, a FICA alternative plan, or any other plan authorized by any federal law to reduce taxable compensation or other forms of compensation. The Board of Regents may agree with any of its employees to defer the compensation due to them as authorized by 26 U.S.C. § 403(b) without submitting the program to the Committee for its approval. An employee may defer compensation under one or more plans in the Program.
2. The employer shall withhold the amount of compensation which an employee has, by such an agreement, directed the employer to defer.
3. The employer may invest the withheld money in any investment approved by the Committee or, in the case of deferred compensation under 26 U.S.C. § 403(b) for employees of the Nevada System of Higher Education by the Board of Regents of the University of Nevada.
4. The investments must be underwritten and offered in compliance with all applicable federal and state laws and regulations, and may be offered only by persons who are authorized and licensed under all applicable state and federal regulations.
5. All amounts of compensation deferred pursuant to the Program, all property and all rights purchased with those amounts and all income attributable to those amounts, property or rights must, in accordance with 26 U.S.C. § 401(a), 401K, 403(b), 457(g) or 3121, including, without limitation, a FICA alternative plan, or any other federal law authorizing a plan to reduce taxable compensation or other forms of compensation, as applicable, be held in trust for the exclusive benefit of the participants in the Program and their beneficiaries.
(Added to NRS by 1977, 894; A 1979, 797; 1985, 1122; 1987, 1823; 1993, 386; 1999, 32 ; 2001, 1004 ; 2003, 1408 )
1. The Governor shall appoint a Committee to administer the Program. The Committee must consist of:
(a) Three members who are employed by state agencies whose payrolls are administered by the Department of Personnel;
(b) One member who is employed by a state agency whose payroll is administered by an entity other than the Department of Personnel; and
(c) One member who has retired from employment by the State of Nevada or the Nevada System of Higher Education.
Ê Each member of the Committee must be a participant in the Program, have participated in the Program for not less than 2 years and have been nominated for membership by five or more persons who have each participated in the Program for not less than 6 months.
2. After their initial terms, members of the Committee serve terms of 4 years or until their successors have been appointed and have qualified.
3. A vacancy on the Committee occurs when a member dies, resigns or becomes ineligible for membership on the Committee. A person becomes ineligible for membership on the Committee when:
(a) He ceases to be a participant in the Program; or
(b) Except as otherwise provided in this paragraph, he ceases to have the qualifications for membership required by the paragraph of subsection 1 under which he was appointed. A member of the Committee who ceases to have those qualifications may serve the remainder of his term if that period does not exceed 24 months.
4. The member appointed pursuant to paragraph (c) of subsection 1 must be compensated $80 per day from money appropriated from the Program pursuant to NRS 287.365 for attending a meeting of the Committee and for acting at the direction of or on behalf of the Committee.
5. For the purposes of this section, “participant in the Program” means a person who is:
(a) Deferring compensation pursuant to the Program;
(b) Maintaining deferred compensation in the Program; or
(c) Receiving payments of deferred compensation pursuant to the Program.
(Added to NRS by 1995, 1867; A 1997, 25)
1. The Committee shall:
(a) At its first meeting each year, designate one of its members to serve as Chairman of the Committee for a term of 1 year or until his successor has been designated.
(b) Act in such a manner as to promote the collective best interests of the participants in the Program.
2. The Committee may:
(a) Create an appropriate account for administration of money and other assets resulting from compensation deferred pursuant to the program.
(b) With the approval of the Governor, delegate to one or more state agencies or institutions of the Nevada System of Higher Education the responsibility for administering the Program for their respective employees, including:
(1) Collection of deferred compensation;
(2) Transmittal of money collected to depositories within the State designated by the Committee; and
(3) Payment of deferred compensation to participating employees.
(c) Contract with a private person, corporation, institution or other entity, directly or through a state agency or institution of the Nevada System of Higher Education, for services necessary to the administration of the plan, including, without limitation:
(1) Consolidated billing;
(2) The keeping of records for each participating employee and the Program;
(3) The purchase, control and safeguarding of assets;
(4) Programs for communication with employees; and
(5) The administration and coordination of the Program.
3. The Committee and its individual members are not liable for any decision relating to investments if the Committee has:
(a) Obtained the advice of qualified counsel on investments.
(b) Established proper objectives and policies relating to investments.
(c) Discharged its duties regarding the decision:
(1) Solely in the interest of the participants in the program; and
(2) With the care, skill, prudence and diligence that, under the circumstances existing at the time of the decision, a prudent person who is familiar with similar investments would use while acting in a similar capacity in conducting an enterprise of similar character and purpose.
(d) Selected at least two plans from separate and distinct providers from which the participants in the Program may choose.
(e) Solicited proposals from qualified providers of plans at least once every 5 years.
(Added to NRS by 1977, 894; A 1979, 797; 1985, 1122; 1991, 1759; 1993, 387; 1995, 1868; 1997, 278) The interest and income earned on the money in the deferred compensation account created pursuant to subsection 2 of NRS 287.330 in the State General Fund, after deducting any applicable charges, must be credited to the account.
(Added to NRS by 1999, 33 )
1. Deferrals of compensation may be withheld as deductions from the payroll in accordance with the agreement between the employer and a participating employee.
2. The amount of deferred compensation set aside by the employer to a plan under the Program during any calendar year may not exceed the amount authorized by 26 U.S.C. § 401(a), 401(k), 403(b), 457 or 3121, including, without limitation, a FICA alternative plan, or any other federal law authorizing a plan to reduce taxable compensation or other forms of compensation, as applicable.
(Added to NRS by 1977, 895; A 1979, 798; 1985, 1123; 1987, 1823; 2001, 1005 ; 2003, 1409 )
1. No plan in the Program becomes effective and no deferral may be made until the plan meets the requirements of 26 U.S.C. § 401(a), 401(k), 403(b), 457 or 3121, including, without limitation, a FICA alternative plan, or any other federal law authorizing a plan to reduce taxable compensation or other forms of compensation, as applicable, for eligibility.
2. Income deferred during a period in which no income tax is imposed by the State or a political subdivision may not be taxed when paid to the employee.
(Added to NRS by 1977, 895; A 1979, 798; 1987, 1824; 2001, 1005 ; 2003, 1409 ) The Program must be established in addition to other retirement, pension and benefit systems established by the State or the Nevada System of Higher Education, and does not supersede, make inoperative, or reduce benefits provided by the Public Employees’ Retirement System or by any other retirement, pension or benefit program established by law.
(Added to NRS by 1977, 895; A 1985, 1123; 1993, 387)
1. No money may be withdrawn or appropriated from the Program, except:
(a) For payment to a participant or beneficiary of a participant pursuant to the terms of the Program;
(b) In the amount required to pay the necessary expenses of administering the Program;
(c) As specifically authorized by federal law or regulation or by a special act of the Legislature; or
(d) To compensate the member of the Committee appointed pursuant to paragraph (c) of subsection 1 of NRS 287.325 .
2. All money withdrawn from the Program pursuant to paragraphs (b) and (d) of subsection 1 must be deposited in the State General Fund for credit to the deferred compensation account created pursuant to subsection 2 of NRS 287.330 .
(Added to NRS by 1995, 1867; A 1997, 26; 1999, 33 ) No appropriated money of the State may be spent in connection with the administration of the Program except as compensation for employees who participated in the administration as part of their regular duties, including without limitation:
1. Members and staff of the Committee; and
2. Employees of the state agency or the institution of the Nevada System of Higher Education selected to administer the Program.
(Added to NRS by 1977, 895; A 1985, 1123; 1993, 387)
DEFERRED COMPENSATION FOR EMPLOYEES OF POLITICAL SUBDIVISIONS As used in NRS 287.381 to 287.480 , inclusive, unless the context otherwise requires, the words and terms defined in NRS 287.391 to 287.411 , inclusive, have the meanings ascribed to them in those sections.
(Added to NRS by 1979, 799) “Committee” means the committee established to administer the program.
(Added to NRS by 1979, 799) “Deferred compensation” means income which an employee of a political subdivision may legally set aside under the program, which may consist of one or more plans authorized by 26 U.S.C. § 401(a), 401(k) or 457 and which income, while invested under the program, is exempt from federal income taxes on the employee’s contributions and interest, dividends and capital gains.
(Added to NRS by 1979, 799; A 1985, 1124; 2001, 1005 ) “Program” means the deferred compensation program for employees of political subdivisions authorized by NRS 287.381 to 287.480 , inclusive.
(Added to NRS by 1979, 799)
1. A political subdivision may agree with any of its employees to defer the compensation due to them in accordance with a program approved by the committee which may consist of one or more plans authorized by 26 U.S.C. § 401(a) or 457. An employee may defer compensation under one or more plans in the program.
2. The political subdivision shall withhold the amount of compensation which an employee has, by such an agreement, directed the political subdivision to defer.
3. The political subdivision may invest the withheld money in any investment permitted by law and approved by the committee.
4. The investments must be underwritten and offered in compliance with all applicable federal and state laws and regulations, and may be offered only by persons who are authorized and licensed under all applicable state and federal regulations.
(Added to NRS by 1979, 799; A 2001, 1005 )
1. The governing body of a political subdivision may create an appropriate fund for administration of money and other assets resulting from compensation deferred under the program.
2. All amounts of compensation deferred pursuant to the program, all property and rights purchased with those amounts, and all income attributable to those amounts, property or rights must, in accordance with 26 U.S.C. § 401(a) or 457(g), as applicable, be held in trust for the exclusive benefit of the participants in the program and their beneficiaries.
(Added to NRS by 1979, 799; A 1999, 161 ; 2001, 1005 )
1. The governing body of a political subdivision may appoint a committee to which it may delegate the responsibility for administering the program for its employees, including:
(a) Collection of deferred compensation;
(b) Transmittal of money collected to depositories within the State; and
(c) Payment of deferred compensation to participating employees.
2. The committee may contract with a private person, corporation, institution or other entity, directly or through an agency of the political subdivision, for services necessary to the administration of the plan, including without limitation:
(a) Consolidated billing;
(b) Recordkeeping for each participating employee and the program;
(c) Purchase, control and safeguarding of assets;
(d) Communication with its employees; and
(e) Administration and coordination of the program.
(Added to NRS by 1979, 799)
1. Deferrals of compensation may be withheld as payroll deductions in accordance with the agreement between the political subdivision and a participating employee.
2. The amount of deferred compensation set aside by the political subdivision to a plan under the program during any calendar year may not exceed the amount authorized by 26 U.S.C. § 401(a) or 457, as applicable.
(Added to NRS by 1979, 800; A 2001, 1005 )
1. No plan in the program becomes effective and no deferral may be made until the plan meets the requirements of 26 U.S.C. § 401(a) or 457, as applicable, for eligibility.
2. Income deferred during a period in which no income tax is imposed by the State or a political subdivision may not be taxed when paid to the employee.
(Added to NRS by 1979, 800, A 2001, 1006 ) The program is in addition to other retirement, pension and benefit systems available to employees of the political subdivision and does not supersede, make inoperative or reduce benefits provided by the Public Employees’ Retirement System or by any other retirement, pension or benefit program established by law.
(Added to NRS by 1979, 800) No appropriated money of the political subdivision may be spent in connection with the administration of the program except as compensation for employees who participated in the administration as part of their regular duties.
(Added to NRS by 1979, 800)
CONTRACTS FOR PREPAID PROFESSIONAL SERVICES As used in NRS 287.500 to 287.530 , inclusive, unless the context otherwise requires:
1. “Employee organization” means an organization of any kind whose members are governmental employees and has as one of its purposes the improvement of the terms and conditions of employment of governmental employees.
2. “Professional service” means any type of personal service which may be performed only pursuant to a license, certificate of registration or other authorization issued by this state, except services provided by any person licensed under chapter 630 or 633 of NRS or by any medical facility or facility for the dependent as defined in chapter 449 of NRS.
(Added to NRS by 1977, 993; A 1985, 514, 1758)
1. An employee organization may enter into a contract or other type of agreement with any person authorized in this state to provide professional services for the purpose of making the services available to members of the organization.
2. The contract or agreement shall provide that the organization will make periodic payments to the person rendering the professional services and such payments will be made only after the services have been performed.
(Added to NRS by 1977, 993)—(Substituted in revision for NRS 287.390) The employee organization shall:
1. Establish procedures for collecting assessments from its members for the professional services; and
2. Report to its members the amount of money collected and the types of professional services which are available.
(Added to NRS by 1977, 993)—(Substituted in revision for NRS 287.400)
1. The employee organization is trustee of any money collected from its members for the payment of professional services.
2. Any claim by a member on account of money paid in shall be made against the employee organization.
(Added to NRS by 1977, 994)—(Substituted in revision for NRS 287.410)
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