SB15-097 Summary

• Allows supplemental needs trusts (third-party special needs trusts) to be designated as cobeneficiaries and eligible survivors for Public Employees' Retirement Association (PERA) retirement benefits.

• Defines supplemental needs trust as a valid third-party special needs trust established for a PERA member's or retiree's disabled child that complies with Colorado's Medical Assistance Act and federal Social Security Act.

• Permits PERA retirees to change their cobeneficiary designation to a supplemental needs trust if the trust beneficiary is the same person as the previously named cobeneficiary and the retiree files required documents.

• Establishes a 90-day window after a member's or retiree's death to establish a supplemental needs trust to be treated as a valid cobeneficiary; if invalid or terminated, the trust's named beneficiary becomes the cobeneficiary.

• Allows beneficiaries of supplemental needs trusts to enroll in PERA health care programs and receive premium subsidies in the same manner as direct benefit recipients, provided eligibility does not disqualify them from public benefits.