HB2449 Summary

• Amends the Retiree Health Care Trust for Chicago Transit Authority employees to become solely responsible for providing health care benefits upon exhaustion of the Section 401(h) account between January 1, 2009 and July 1, 2009.

• Establishes a 7-member Board of Trustees to govern the Retiree Health Care Trust, with representatives from the Chicago Transit Board, employee organizations, and the Regional Transportation Authority.

• Limits health care coverage to 90% for in-network services or 70% for out-of-network services, with an exception allowing 100% coverage through health maintenance organizations (HMOs).

• Requires employees hired on or before September 5, 2001 with 25 or more years of continuous service to be eligible for retiree health care benefits, and permits the Board to refund contributions for ineligible or waiving employees.

• Caps aggregate retiree, dependent, and survivor contributions at 45% of total benefit costs effective January 1, 2009, and requires all employees to contribute at least 3% of compensation to the Trust beginning January 18, 2008.