Michigan Compiled Laws
Act 77 of 2010 - Public Employee Retirement Health Care Funding Act (38.2731 - 38.2747)
Section 38.2740a - Health Reimbursement Account; Vesting; Rights.

Sec. 10a.
(1) A member or participating member is 100% vested in mandatory contributions and voluntary contributions made to his or her health reimbursement account, subject to permissible use of the contributions under this act.
(2) A member or participating member is vested in employer contributions made to his or her health reimbursement account, subject to permissible use of the contributions under this act, according to the following schedule:
(a) Fifty percent vested after earning 2 years of service as determined by the applicable retirement act.
(b) Seventy-five percent vested after earning 3 years of service as determined by the applicable retirement act.
(c) One hundred percent vested after earning 4 years or more of service as determined by the applicable retirement act.
(3) A past member and his or her health reimbursement account dependents have the right to reimbursement of medical expenses under this act to the extent such funds exist in the past member's health reimbursement account.
History: Add. 2011, Act 265, Imd. Eff. Dec. 15, 2011

Structure Michigan Compiled Laws

Michigan Compiled Laws

Chapter 38 - Civil Service and Retirement

Act 77 of 2010 - Public Employee Retirement Health Care Funding Act (38.2731 - 38.2747)

Section 38.2731 - Short Title; Meanings of Words and Phrases.

Section 38.2732 - Definitions; D to H.

Section 38.2732a - Definitions; M to P.

Section 38.2732b - Definitions; R to V.

Section 38.2733 - Irrevocable Trust; Authorization; Creation; Establishment; Governing Board of Each Retirement System as Grantor; Members of Retirement System Board as Trustees; Deposits; Distributions; Funding Account; Preparation of Annual Financi...

Section 38.2734 - Assets as Irrevocable.

Section 38.2735 - Assets; Use; Limitation.

Section 38.2736 - Assets Not Subject to Certain Processes of Law.

Section 38.2737 - Assets; Diversion for Other Purposes Prohibited.

Section 38.2738 - Remaining Trust Assets; Dissolution; Distribution; Remaining Health Reimbursement Account Assets.

Section 38.2739 - Written Trust Agreement; Contents.

Section 38.2740 - Retirement Health Care Benefits; Prefunding; Credit to Funding Account; Contribution or Credit to Health Reimbursement Account.

Section 38.2740a - Health Reimbursement Account; Vesting; Rights.

Section 38.2741 - Written Plan Document; Terms and Conditions of Payments of Retirement Health Care Benefits and Reimbursements of Medical Expenses.

Section 38.2742 - Severability.

Section 38.2743 - Trusts; Validity.

Section 38.2744 - Taxation of Assets and Income; Exemption.

Section 38.2745 - Trustee; Exception From Certain Responsibilities; Indemnification.

Section 38.2747 - Correction of Error by Trustees.