CHAPTER 604

An Act to amend and reenact §§ 51-111.10, 51-111.11, 51-111.16,
§1-111.29, 51-111.34, 51-111.88, 51-111.88:8, 51-111.46, 51-111.47,
§1-111.55, 51-111.56, 51-111.57, 51-111.58, 51-111.59, 51-111.62 and
§1-111.68 of the Code of Virginia as severally amended, and to amend
the Code of Virginia by adding in Chapter 3.2 of Title 51 an article
numbered 4.2 and sections numbered 51-111.88:10, 51-111.88:11,
§1-111.88:12, §1-111.88 213, 51-111.88:14, 51-111.88:15, 51-111.88 :16,
§1-111.41:1 and 51-111.58:1, the amended and new sections relating
to definitions in the Virginia Supplemental Retirement Act, estab-
lishment of Retirement System, revocation of rights by General As-
sembly and rights on dissolution, local pension systems, procedure
when employer in default, participation of certain employees of the
Departments of the Army and Air Force, United States Property and
Fiscal Office of Virginia, how certain members may obtain credit for
prior service, member contributions, employer contributions, service
retirement allowance and increase therein, disability retirement and
conditions therefor, disability retirement allowance and deductions
therefrom, withdrawal before death or retirement, and survivor
benefits; and to amend the Code of Virginia by adding in Chapter 3.2
of Title 51 an article numbered 9 containing sections numbered
51-111.67:1 through 51-111.67:18, so as to provide survivor benefits
for certain State and local employees and officers, and to this end to
authorize the Board of Trustees of the Virginia Supplemental Retvre-
ment System to effect certain contracts of insurance upon the lives
of certain officers and employees of the Commonwealth and of tts
political subdivisions; to authorize such officers and employees to
join in and contribute to the cost of such insurance; to set forth the
contributions which the Commonwealth and such political subdivi-
sions, officers and employees, shall pay; to provide the terms under
which such insurance may be effected and the amounts thereof; to
provide for the continuation of such insurance under certain condt-
tions; and to repeal certain acts and parts thereof inconsistent or in
conflict with the provisions of this act. Ho

Approved April 1, 1960

Be it enacted by the General Assembly of Virginia:

1. That §§ 51-111.10, 51-111.11, 51-111.16, 51-111.29, 51-111.34, 51-
111.88, 51-111.38:3, 51-111.46, 51-111.47, 51-111.55, 51-111.56, 51-
111.57, 51-111.58, 51-111.59, 51-111.62 and 51-111.63 of the Code of
Virginia as severally amended, be amended and reenacted and that the
Code of Virginia be amended by adding in Chapter 3.2 of Title 51 an
article numbered 4.2 and sections numbered 51-111.38:10, 51-111.38:11,
§1-111.388:12, 51-111.388:18, 51-111.38:14, 51-111.38:15, 51-111.38:16,
Scena and 51-111.58:1, the amended and new sections being as
ollows:

§ 51-111.10. As used in this chapter unless a different meaning is
plainly required by the context:

(1) “Retirement system” means the Virginia Supplemental Retire-
ment System provided for in § 51-111.11;

(2) “Board” means the board of trustees as provided by § 51-111.17;

(3) “Medical board” means the board of physicians as provided by
§ 51-111.26;

(4) “Teacher” means any person who is regularly employed on a
salary basis as a professional or clerical employee of a county, city or
other local public school board or of a corporation participating in the
retirement system as provided by Article 4.1;

(5) “State employee” means any person who is regularly employed
full time, on a salary basis, whose tenure is not restricted as to temporary
or provisional appointment, in the service of, and whose compensation is
payable, not oftener than semimonthly, in whole or in part, by the Com-
monwealth or any department, institution or agency thereof, except (a)
an officer elected by popular vote or, with the exception of the Auditor of
Public Accounts and the Director of the Division of Statutory Research
and Drafting, by the General Assembly or either House thereof, (b) a *
judge of a county court, county or city treasurer, commissioner of the
revenue, Commonwealth’s attorney, clerk, sheriff, sergeant or constable,
and, with the exception of employees of county courts, a deputy or em-
ployee of any such officer, and (c) any employee of a political subdivision
of the Commonwealth;

(6) “Employee” means any teacher, State employee, officer or em-
ployee of a locality participating in the retirement system as provided in
Article 4, or any employee of a corporation participating in the retire-
ment system as provided in Article 4.1 or any civilian employee of the
Army or Air National Guard participating in the retirement system as
provided in Article 4.2;
(7) “Employer” means Commonwealth, in the case of a State employee,
the local public school board in the case of a public school teacher, or the
locality, or corporation or Army or Air National Guard participating in
the retirement system as provided in Articles 4, 4.1 and 4.2;

_ (8) “Member” means any person included in the membership of the
retirement system as provided in this chapter;

(9) “Service” means service as an employee; ;

(10) “Prior service’ means service as an employee rendered prior
to the date of establishment of the retirement system for which credit is
allowable under §§ 51-111.39 to 51-111.41:1, 51-111.63 and 51-111.64 or
Service as an employee for such periods as provided in §§ 51-111.32 and
51-111.38:11;

_ (11) “Membership service” means service as an employee rendered
while a contributing member of the retirement system except as provided
in §§ 51-111.45, 51-111.57, 51-111.63 and 51-111.64;

_ (12) “Creditable service” means prior service plus membership serv-
ice for which credit is allowable under this chapter;

(13) “Beneficiary” means any person entitled to receive benefits
under this chapter;

(14) “Accumulated contributions’ means the sum of all amounts
deducted from the compensation of a member and credited to his indi-
vidual account in the members’ contribution account, together with inter-
est credited on such amounts and also any other amounts he shall have
contributed or transferred thereto including interest credited thereon as
provided in § 51-111.49;

(15) “Creditable compensation” means the full compensation payable
to an employee working the full working time for his covered position
which is in excess of twelve hundred dollars per annum, except when com-
puting a disability retirement allowance in which event no exclusion shall
apply; in cases where compensation includes maintenance or other per-
quisites, the Board shall fix the value of that part of the compensation not
paid in money;

(16) “Average final compensation” means the average annual cred-
itable compensation of a member during his five highest consecutive years
of creditable service or during the entire period of his creditable service
if less than five years; provided, that the retirement allowance of any
person who retired under this chapter between March one, nineteen hun-
dred fifty-two and June thirty, nineteen hundred fifty-four shall be recom-
puted in accordance with this section and such recomputation shall be
applicable only to allowances payable on and after July one, nineteen
hundred fifty-six;

(17) “Retirement allowance” means the retirement payments to
which a member is entitled as provided in this chapter;

(18) “Actuarial equivalent’ means a benefit of equal value when
computed upon the basis of such actuarial tables as are adopted by the

oard;
4 (19) “Normal retirement date” means a member’s sixty-fifth birth-
ay; an

(20) ‘Abolished system’ means the Virginia Retirement Act, §§
51-80 to 51-111, repealed by Chapter 1 of the Acts of Assembly of 1952
as of February one, nineteen hundred fifty-two.

§ 51-111.11. There is hereby established a retirement system for
teachers, State employees and employees of participating * political sub-
divisions and other qualifying employers to be known as the “Virginia
Supplemental Retirement System,” by and in which name it shall, pursuant
to the provisions of this chapter, transact all of its business, for which
purpose it shall constitute a body corporate.

§ 51-111.16. (a) The General Assembly reserves the right to alter,
amend or repeal any provision of this chapter or any application thereot
to any person; provided, however, that the amount of benefits which at the
time of any such alteration, amendment or repeal shall have accrued to the
extent provided under subsection (c) of this section for the members or
beneficiaries shall not be affected thereby. .

f the General Assembly repeals the provisions of this chapter,
the Board shall continue to administer the retirement system in accordance
with the provisions of this chapter for the sole benefit of the then members,
any beneficiaries then receiving retirement allowances, and any future
persons entitled to receive benefits in accordance with subsection (a) (2) of
§ 51-111.60 who are designated by any of said members.

(c) In the event of repeal as provided in subsection (b) of this section
the assets of the retirement system shall be allocated by the Board in an
equitable manner to provide benefits for the persons stated in subsection
(b) of this section in accordance with the provisions of this chapter but
based on years of creditable service and average final compensation as of
the date of repeal and in the following order: oo,

(1) For the benefit of then members to the extent of their individual
account in the members’ * contribution account. If any funds remain, then

(2) For the benefit of then beneficiaries and persons already desig-
nated by former members who are then beneficiaries in accordance with
subsection (a) (2) of § 51-111.60, to the extent of the then actuarial value
of their retirement allowances. If any funds remain, then

(3) For the benefit of members, and persons, if any, designated by
them in accordance with subsection (a) (2) of § 51-111.60, to the extent,
not provided under (1) above, of the then actuarial value of their accrued
future retirement allowances. The allocation under this paragraph (3)
shall be on the basis of the oldest ages first method.

In the event the assets at such date of repeal are insufficient to provide
all of the benefits of (1) and/or (2) above, then the employer will con-
tribute to the assets from time to time, as and when required, the amount
necessary to make up such insufficiency.

(d) The allocation of assets of the retirement system provided for in
subsection (c) of this section shall be carried out through the payment by
the Board of the benefits provided for in this section as they become due,
or by the transfer of such assets to any retirement system replacing this
retirement system provided that such vesting of benefits as provided by
this section shall be fully maintained under such new retirement system.
Any funds remaining in the assets of this retirement system after all of
the vested benefits provided by this section have been paid shall revert to
the general funds.

(e) Any allocation of assets made in accordance with the provisions
of this section shall be final and binding on all persons entitled to benefits
under said provisions.

§ 51-111.29. The membership of any person in the retirement system
shall cease * (a) upon the withdrawal of his accumulated contributions, or
* (b) upon retirement, or * (c) upon death.

§ 51-111.384. Should a majority of the members of any retirement
pension or annuity fund, benevolent association, or retirement system of
any employer, hereafter referred to as a local pension system, elect to
become members of the retirement system, by a petition duly signed by
such members, the participation of such members in the retirement system
may be approved as provided in § 51-111.31 as though such local pension
system were not in operation, and the provisions of this article shall there-
upon apply, except that the existing pensioners or annuitants of the local
pension system who were being paid pensions on the date of the approval
shall be continued and paid at their existing rates by the retirement
system *. Any cash and securities to the credit of the local pension system
shall be transferred to the retirement system as of the date of approval.
The trustees or other administrative head of the local pension system as
of the date of the approval shall certify the proportion if any of the funds
of the system that represents the accumulated contributions of the mem-
bers, and the relative shares of the members as of that date. Such shares
shall be credited to the respective accounts of such members in the
members’ contribution account. The operation of the local pension system
shall be discontinued as of the date of the approval.

§ 51-111.38. The agreement of any employer to contribute on account
of its employees who become members shall be irrevocable, but should an
employer for any reason become financially unable to make the * contri-
butions payable on account of such members, then such employer shall be
deemed to be in default. As of the date of such default, the actuary of the
retirement system shall determine by actuarial valuation the amount of the
reserves held on account of each then such member and each then bene-
ficiary and shall credit to each such member and each such beneficiary the
amount of reserve so held. The reserve so credited together with the amount
of the accumulated contributions of each such member, shall be used to
provide for him a retirement allowance beginning at age sixty-five, and the
reserve so credited to each beneficiary shall be used to provide such part of
his existing retirement allowance as such reserve is sufficient, which part
shall thereafter be payable to him. Each such member shall at any time
thereafter be entitled to discontinue membership in the retirement system
and to a refund of his previous contributions upon demand. If any such
member receives such a refund of contributions all rights to a retirement
allowance commencing at age sixty-five shall thereupon cease. The rights
and privileges of such members and such beneficiaries shall thereupon
terminate, except as to the payment of the retirement allowance or parts
thereof, or refunds of contributions provided for above.

§ 51-111.38:3. The employer contribution rate shall, unless otherwise
fixed by the Board, be the * contribution rate determined as provided in
§ 51-111.47 for members of the retirement system qualifying under
§ 51-111.10(4). The contributions so computed shall be certified by the
Board to the chief fiscal officer of the employer. The amounts so certified
shall be a charge against the employer. The chief fiscal officer of each such
employer shall pay to the State Treasurer the amount certified by the
Board as payable under this article, including such charges as the Board
may deem necessary to cover costs of administration, and the State Treas-
urer shall credit such amounts to the appropriate accounts of the retirement
system.

Article 4.2

§ 51-111.88:10. (a) The Departments of the Army and Air Force,
United States Property and Fiscal Office for Virginia, an employer, and the
successor thereto, may, by resolution legally adopted and approved by the
Board, elect to have its employees become eligible to participate in the
retirement system. Acceptance of the employees of such an employer for
membership in the retirement system shall be optional with the Board and
af it shall approve their participation, then such employees may become
members of the retirement system and participate therein as provided in
the provisions of this article. Notwithstanding anything to the contrary,
employees of such employer who are members of any retirement, pension
or benefit fund partially or wholly supported by public funds shall not be
entitled to become members of the retirement system on that part of
their compensation covered by such fund, provided that this limitation
shall not apply as to such employees covered by Old Age and Survivors
Insurance under the Social Security System.

§ 51-111.88:11. Membership in the retirement system for employees
who are eligible as provided in § 51-111.88:10 shall be optional with such
employees in the service on the date the approval is given, and any such
employee who elects to join the retirement system within one calendar
year thereafter shall be entitled to a prior service certificate covering such
periods of previous service as shall be certified as creditable service by his
employer for service rendered to such employer, or his predecessor, or in
any other capacity approved by the employer and the Board, for which
the employer is willing to make accrued liability contributions. Thereafter
service for such employer on account of which the employer and member
pay contributions, shall be considered also as creditable service.

§ 51-111.88:12. Membership in the retirement system shall be com-
pulsory for all employees who are eligible as provided in § 51-111.88:10
and who enter service of an employer after the date the approval ts given.

§ 51-111.88:18. The chief fiscal officer of the employer, and the
heads of its departments, shall submit to the Board such information and
shall cause to be performed in respect to the employees of the employer
such duties as shall be prescribed by the Board in order to carry out the
provisions of this chapter.

§ 51-111.88:14. The actuary of the retirement system shall compute,
at least once in each two-year period, the rates of contributions payable
annually by the employer on behalf of those employees who become mem-
bers under the provisions of this article, which shall be determined by an
actuarial valuation of the retirement allowances and other benefits which
wul be payable on account of the employees of such employer who become
members. Such contributions shall be payable in lieu of contributions
payable on account of other members in the system. The expense of making
such initial and subsequent valuations shall be assessed against and paid
by the employer on whose account it is necessary. The contributions so
computed together with a pro rata share of the cost of the administration
of the retirement system, based upon proportionate total membership,
shall be certified by the Board to the chief fiscal officer of the employer.
The amounts so certified shall be a charge against the employer. The chief
fiscal officer of each such employer shall pay to the State Treasurer the
amount certified by the Board as payable under the provisions of this
article, and the State Treasurer shall credit such amounts to the appro-
priate accounts of the retirement system.

§ 51-111.38:15. Employees who become members under this article
and on behalf of whom contributions are paid as provided in this article
shall be entitled to benefits under the retirement system.

Notwithstanding anything to the contrary, the retirement system
shall not be liable for the payment of any retirement allowances or other
benefits on account of the members or beneficiaries of any employer under
this article, for which reserves have not been previously created from
funds contributed by such employer or the members for such benefits.

§ 51-111.88:16. The agreement of any employer to contribute on
account of its employees who become members shall be irrevocable, but
should an employer for any reason become financially unable to make the
contributions payable on account of such members, then such employer
shall be deemed to be in default. As of the date of such default, the actuary
of the retirement system shall determine by actuarial valuation the amount
of the reserves held on account of each then such member and each then
beneficiary and shall credit to each such member and each such benefi-
ciary the amount of reserve so held. The reserve so credited together with
the amount of the accumulated contributions of each such member, shall
be used to provide for him a retirement allowance beginning at age sixty-
five, and the reserve so credited to each beneficiary shall be used to provide
such part of his existing retirement allowance as such reserve is sufficient,
which part shall thereafter be payable to him. Each such member shall at
any time thereafter be entitled to discontinue membership in the retirement
system and to a refund of his previous contributions upon demand. If any
such member receives such a refund of contributions all rights to a rettre-
ment allowance commencing at age sixty-five shall thereupon cease. The
rights and privileges of such members and such beneficiaries shall there-
upon terminate, except as to the payment of the retirement allowance or
parts thereof, or refunds of contributions provided for above.

§ 51-111.41:1. (a) Any State employee or teacher member of the
retirement system may be credited with prior and/or membership service
which might otherwise be credited, except for cessation of membershtp
under § 51-49 of the abolished system and/or under § 51-111.29 of this
chapter because of the withdrawal of his accumulated contributions, pro-
vided such member repays, while in service and a member of the rettre-
ment system, the amount, or amounts, so withdrawn, together with w-
terest thereon at the rate of 81%4% per annum compounded annually from
the date such funds were last credited with interest by the Board to the
first day of the month during which repayment is made. Four-sevenths of
such interest payment, and the amount previously withdrawn and so re-
paid, shall be credited to the account of the member in the members’ con-
tribution account.

(b) Any State employee or teacher member of the retirement system
who rejected membership in the abolished system may be credited with
service during the period of rejection upon payment of contributions,
based on the current contribution rate of the retirement system, on the
assumption that the salary received by such person on the date of payment

been received during the entire such period, plus 814% interest
thereon compounded annually from the end of each respective fiscal year
to which the contribution applies to the first day of the month during
which payment is made. Four-sevenths of such interest payment, and the
amount of contributions paid, shall be credited to the account of the mem-
ber in the members’ contribution account.

(c) In order for the additional service provided for in subsections

(a) and (b) of this section to be considered in the computation of any re-
tirement allowance payable in the event of a member’s retirement under
§ 51-111.56, the member shall have submitted at the time payment or
repayment is made, a medical report satisfactory to the Medical Board
showing that the member was at such time of sound mind and body.

(d) An administrative charge of five dollars shall be paid by the
member to the retirement system when requesting a cost estimate of the
amount of such payment or repayment under sub-section (a) or (b) of
this section.

(e) Any State employee or teacher member of the retirement system
with full time salaried service as a State employee, or teacher, prior to
July one, nineteen hundred forty-two and heretofore not credited there-
with, shall be credited with such prior service, provided, since becoming a
member of the retirement system, five or more years of membership serv-
ice has been credited such member, and, provided further, the member’s
contributions were not withdrawn under § 51-111.68 of the Code of
Virginia, and if withdrawn under either, or both § 51-109 of the abolished
system, or § 51-111.58, of this chapter, have been repaid under subsection
(a) of this section.

(f) Any State employee member elected to a covered position by a
joint vote of the two Houses of the General Assembly of Virginia and which
position was for a period excluded under the abolished system, may be
credited with service during such period by paying the member contribu-
tions which would have been payable, except for the exclusion.

Article 6
Contributions.
§ 51-111.46. (a) Each member shall contribute for each pay
period for which he receives compensation four and one half per centum
of his creditable compensation.

(b) The Comptroller, in the case of all State employees paid by war-
rants on the State Treasurer, or, in the case of any other State employee,
the department, institution or agency by which the salary is paid, or the
employer in the case of teachers and other employees shall cause to be
deducted from the salary of each member for each and every payroll period
subsequent to the date of establishment of the retirement system, the con-
tribution payable by such member as provided in this chapter, but in no
case shall any deduction be made from the compensation of a member after
his normal retirement date if such member elects not to contribute. _

(c) In determining the creditable compensation of a member in a
payroll period, whether semimonthly or monthly, the Board may consider
the rate of compensation payable to such member on the date of entry or
removal of name from payroll as having been received throughout the
month if service for the month is creditable. If service for the month is
not creditable, the Board may consider any compensation payable during
the month as not being creditable compensation.

(d) The deductions provided for herein shall be made notwith-
standing that the minimum compensation provided by law for any member
shall be reduced thereby. Every member shall be deemed to consent and
agree to the deductions made as provided herein; and payment of salary
or compensation less such deductions shall be a full and complete discharge
of all claims for services rendered by such person during the period covered
by such payment, except as to any benefits provided by this chapter.

(e) Notwithstanding any other provisions of this section, no deduc-
tions shall be made from any member’s compensation if the employer’s
contribution required hereunder is in default.

(f) Any member who was a former member of the abolished system
and who transferred his accumulated contributions to the retirement
system as provided in § 51-111.41 and who has not withdrawn such con-
tributions may at the time of filing his notice of retirement deposit in his
account in the members’ contribution account by a single payment such
amount as will increase his total retirement allowance to an amount not
greater than the largest amount obtainable under the applicable provi-
sions of subsection (e) of § 51-111.55.

(zg) The Board.may modify the method of collecting the contribu-
tions of members so that the employers, departments, institutions and
agencies required to remit to the State Treasurer as provided in sub-
section (b) of this section may retain the amounts deducted by them from
members’ salaries and have a corresponding amount deducted from State
funds otherwise payable to them.

§ 51-111.47. (a) Each employer shall contribute annually an amount
equal to * the “normal contribution”. The normal contribution shall be
determined as a percentage equal to the normal contribution rate of the
total covered compensation of the members employed by such employer *.

(b) * The normal contribution rate shall be determined as the per-
centage of the members’ compensation * payable during the members’
periods of membership required to provide the difference between the
total liabilities for retirement allowances not provided by the members’
contributions and the amount of the assets in the retirement allowance
account.

(d) * The normal contribution rate for each employer shall be de-
termined on actuarial bases adopted by the Board. Such * rates shall be
determined by the Board after each valuation and shall continue in force
until a new valuation is made.

(e) The Board shall certify to the Comptroller, and to each employer
contributor other than the State, the normal contribution * rate and every
change made therein from time to time.

(f{) The aggregate employer contributions payable into the retire-
ment allowance account shall be at least sufficient, when combined with
the applicable amount then held in the account, to provide the benefits
payable from the account during the current year.

(g) At least thirty days prior to each regular session of the General
Assembly, the Board shall certify to the Governor the respective amounts
which will become due and payable to the retirement system from the
State treasury during the biennium next following. The amounts so ascer-
tained shall be included in the appropriation bill which is submitted to
the General Assembly.

(h) In the case of all teachers whose compensation is. paid exclu-
sively out of funds derived from local revenues and appropriations from
the general fund of the State treasury, and in the case of all State
employees whose compensation is paid exclusively by the State out of the
general fund of the State treasury, the State shall be the sole contributor,
and all such contributions shall be paid out of the general fund. In the
case of any teacher whose compensation is paid out of funds derived in
whole or in part from any special fund, or from a contributor other than
the State or some political subdivision thereof, then in any year there shall
be paid out of the general fund only such proportion of the contributions
on behalf of such employee as that part of such employee’s compensation
paid out of local revenues and funds derived from the general fund for
that year bears to his total compensation for that year, and the remainder
of such contributions shall be paid out of such special fund or by such
other contributor in proportion to that part of the employee’s compensa-
tion derived therefrom. In the case of a State employee whose compensa-
tion is paid in whole or in part out of any special fund, or by any con-
tributor other than the State, then contributions on behalf of such
employee in any year shall be paid out of such special fund, or by such
other contributor, in proportion to that part of the employee’s compen-
sation derived therefrom for that year. The governing body of each
county, city and town is hereby authorized to make such appropriations
from the funds of such county, city or town as shall be necessary to pay
its proportionate share of contributions on account of every State em-
ployee whose compensation is paid in part by such county, city or town.

§ 51-111.55. Subject to paragraph (h), upon service retirement a
member shall receive an annual retirement allowance, payable monthly to
him for life, which shall consist in the case of :

(a) Normal retirement.—An amount equal to one and one-eighth
per centum of his average final compensation multiplied by his number
of years of creditable service subject, however, to the provisions of sub-
sections (c) and (d) of this section; provided, that in the case of any
member retired on or after March one, nineteen hundred fifty-two and
prior to July one, nineteen hundred sixty, the per centum rate herein pro-
vided shall be applicable in respect of all retirement allowances payable
on and after July one, nineteen hundred sixty.

(b) Early retirement.—An amount which shall be determined in the
same manner as for retirement at his normal retirement date with years
of creditable service and average final compensation being determined as
of the date of his actual retirement, and the amount of the retirement
allowance so determined being reduced on an actuarial equivalent basis
for the period that the actual retirement date precedes the normal retire-
ment date subject, however, to the provisions of subsections (c) and (e)
of this section.

(c) Normal or early retirement.—An amount additional to (a) or
(b) above which shall be the actuarial equivalent, for his attained age at
time of retirement, of the excess, if any, of his accumulated contribution:
transferred from the abolished system to the retirement system, includin;
interest credited since such transfer to the date of retirement, over th
amount obtained by accumulating at the rate of two per centum com
pounded annually, annual amounts equal to four per centum of his annua
creditable compensation at the date of abolition of the Virginia Retiremen
System for a period equal to his period of membership in the abolishec
system and with interest credited at two per centum annually from the
date of such transfer to the date of retirement.

(d) Normal retirement guarantee.—The retirement allowance pay:
able upon normal retirement to a former member of the abolished syster
who transferred his accumulated contributions to the retirement system
as provided in § 51-111.41 and who has not withdrawn such contributions
prior to retirement, shall be at least an amount which when added to the
primary social security benefits to which the member may become entitled
under the Federal Social Security Act in effect at his retirement date
would equal the service retirement allowance to which the member would
have been entitled under the provisions of the abolished system if he had
continued contributions at the amount in effect at the date of abolition

f the Virginia Retirement System.

° (e) Early retirement guarantee.—The retirement allowance payable
upon early retirement to a former member of the abolished system who
transferred his accumulated contributions to the retirement system as
provided in § 51-111.41 and who has not withdrawn such contributions
prior to retirement shall not be less than the service retirement allowance
determined in accordance with the provisions of the abolished system in
the case of any member who would have qualified prior to his normal retire-
ment date for such service retirement allowance if the Virginia Retirement
System had not been abolished; provided, however, that the total retirement
allowance payable in accordance with this subsection after any such mem-
ber attains his sixty-fifth birthday shall be reduced by the amount of any
primary social security benefits to which such member becomes entitled
under the Federal Social Security Act then in effect, but the retirement
allowance shall in no case be reduced below the amount that would be
payable to such member except for the provisions of this subsection. .

(f) Minimum service retirement allowance.—Anything in this section
to the contrary notwithstanding the amount of annual retirement allowance
as determined under subsection (a) or (e) of this section shall be at least
an amount which when added to the primary social security benefits to
which the member may become entitled under the Federal Social Security
Act in effect at his retirement date would equal twenty dollars times the
number of years of creditable service of the member subject to a maximum
of six hundred dollars. ;

(g) Determination of retirement allowance.—For the purposes of this
section the retirement allowance shall be determined on the assumption
that the retirement allowance is payable to the member alone and that no
optional retirement allowance is elected.

(h) Beneficiary serving in position covered by this chapter.—Should
a beneficiary of a service retirement allowance under this chapter or the
abolished system be at any time in service in a position covered under the
provisions of this chapter, his retirement allowance shall cease while so
employed.

§ 51-111.56. Any member in service who has * ten or more years of
creditable service may, at any time before his normal retirement date,
retire on account of disability upon written notification to the Board, made
by the member or his employer, setting forth at what time the retirement
ls to become effective; provided that such effective date shall be after his
last day of service but shall not be more than ninety days prior to the filing
of such notice; provided, however, that in the case of any member entering
service on or after July one, nineteen hundred sixty, the creditable service
requirement for disability retirement shall be fifteen years unless such
member, within ninety days after commencement of service, has submitted
a medical report satisfactory to the Medical Board showing that the mem-
ber was at such time of sound mind and body, in which case the ten-year
requirement shall apply; provided further that the Medical Board, after a
medical examination of * the member requesting disability retirement, shall
certify that such member is, and has been continuously since such effective
date if prior to the filing of such notice, mentally or physically incapacitated
for the further performance of duty and that such incapacity is likely to
be permanent and that such member should be retired.

§ 51-111.57. Upon retirement as provided in § 51-111.56, a member
shall receive an annual retirement allowance payable monthly during his
lifetime and continued disability which shall consist in the case of: _

(a) Any allowance payable prior to the member’s normal retirement
date.—An amount equal to one and one-quarter per centum of his average
final compensation multiplied by his number of years of creditable service.

(b) Any allowance payable on or after the member’s normal retire-
ment date-——An amount equal to the service retirement allowance for
normal retirement determined on the assumption that the member’s credit-
able compensation on the date of disability retirement continued in the
same amount up to his normal retirement date and on the assumption of
years of creditable service up to his normal retirement date including in
creditable service the period of disability retirement prior to normal
retirement date.

(c) Disability retirement guarantee.—The disability retirement allow-
ance payable on or after a member’s normal retirement date to a former
member of the abolished system who transferred his accumulated contri-
butions to the retirement system and who has not withdrawn such con-
tributions prior to such retirement, shall be at least an amount which,
when added to the primary social security benefits to which the member
may become entitled under the Federal Social Security Act in effect at his
retirement date, would equal the disability retirement allowance to which
the individual would have been entitled under the provisions of the
abolished system. The provisions of subsection (d) of § 51-111.55 shall
not be applicable in the determination of the benefits guaranteed under
this paragraph.

(d) Minimum disability retirement allowance.—Anything in this sec-
tion to the contrary notwithstanding the amount of annual retirement
allowance as determined under this section shall be at least an amount
which when added to the primary social security benefits to which the
member may become entitled under the Federal Social Security Act in
effect at his retirement date would equal * one thousand dollars or twenty-
five per centum of average final compensation whichever is larger, provided
further, effective July one, nineteen hundred * sixty, the minimum dis-
ability allowance herein provided shall be applicable in case of any member
retired or retiring subsequent to March one, nineteen hundred fifty-two.

(e) Determination of retirement allowance.—For the purposes of this
section the retirement allowance shall be determined on the assumption
that the retirement allowance is payable to the member alone and that no
optional retirement allowance is elected.

(f) Reduction of allowance by amount of payments under Workmen’s
Compensation Act.—Any allowance payable to a member under this section
shall be reduced by the amount of any payments finally awarded under the
Virginia Workmen’s Compensation Act and the excess of the allowance,
if any, shall be paid to such member. When the time for which payments of
the compensation finally awarded under such act has elapsed, the member
shall thereafter receive the full amount of such allowance payable monthly
during his lifetime and continued disability. .

§ 51-111.58. If a member has ceased to be an employee, otherwise
than by death, or by retirement under the provisions of this chapter, he
shall be paid, on demand, but not later than ninety days thereafter, the
amount of his accumulated contributions reduced by the amount of any
retirement allowances previously received by him under any of the pro-
visions of this chapter or the abolished system. *

§ 51-111.58:1. (a) Should a member die at any time before retvre-
ment, and before attaining his sixtieth birthday, the amount of his ac-
cumulated contributions, reduced by the amount of any retirement allow-
ance previously received by him under this chapter or the abolished system,
shall be paid to such person, if any, as he has nominated by written designo-
tion signed and acknowledged by such member before some person author-
ized to take acknowledgments and filed with the Board, otherwise to his
executors or administrators. Any such designation may be changed by the
member by the written designation of some other person, signed, acknowl-
edged and filed as aforesaid.

(b) Should a member die at any time before retirement and after
attaining his sixtieth birthday, there shall be paid a retirement allowance
to the first of the following listed persons, if any, alive at the death of the
member: wife, husband, mother, father; such retirement allowance shall
be continued during the lifetime of the first listed person qualifying there-
for and shall be, (1) in the case of a member who dies prior to attaining
his sixty-fifth birthday, an allowance equal to one-half of the decreased
retirement allowance that would have been payable to the member had the
member retired on the date of his death after having elected to have his
allowance payable under the joint and last survivor option described in
subsection (a)(2) of § 51-111.60 so that one-half thereof would be con-
tinued after his death to such first listed person; or, (2) in the case of a
member who dies after attaining his sixty-fifth birthday, an allowance
equal to the decreased retirement allowance that would have been payable
to the member had the member retired on the date of his death after having
elected to have his allowance payable under the joint and last survivor
option described in subsection (a)(2) of § 51-111.60 so that the same
amount would be continued after his death to such first listed person.
Provided that, in any case qualifying under (1) or (2) of this subsection,
an the determination of the allowance that would have been payable to the
member had the member retired on the date of his death, the provisions
of subsections (c), (d) and (e) of § 51-111.55 shall not apply; and provided
further that if no such listed person survives the member, or if the first
such listed person so qualifying so elects in writing under seal and duly
acknowledged, the amount of the member’s accumulated contributions,
reduced by the amount of any retirement allowance previously received by
him under this chapter or the abolished system, shall be paid to the person,
af any, currently designated by the member to have received any benefits
due under subsection (a) of this section upon the death of the member, or
to the estate, if none be so designated in lieu of any other benefits under
this subsection.

§ 51-111.59. If a member dies after the effective date of his retire-
ment under this chapter, the excess, if any of his accumulated contributions
as of the effective date of his retirement, over the total retirement allow-
ances received by him shall be paid in the same manner as provided in
* subsection (a) of § 51-111.58:1 in the case of death before retirement
unless the retirement allowance is then being paid in accordance with any
of the options of § 51-111.60.

§ 51-111.62. Whenever * a beneficiary of a disability retirement
allowance is prior to his normal retirement date engaged in, or is able to
engage in, gainful occupation or work paying more than the allference
between his disability retirement allowance and his average final compen-
sation, the Board may reduce such retirement allowance to an amount
which, together with the amount earnable by him equals the amount of
his average final compensation. The amount earnable by him under this
chapter or the abolished system may be reduced by the amount of any
medical expenses directly incurred by the beneficiary to reduce or eliminate
the cause of disability.

§ 51-111.63. (a) Should a beneficiary of a disability retirement
allowance be at any time prior to his normal retirement date in service,
his disability retirement allowance shall cease and he shall become a
member of the retirement system and shall thereafter contribute. Any
prior service certificate on the basis of which his disability retirement
allowance was computed shall be restored and, in addition, he shall be
credited with all his previous membership service which shall include the
period of disability retirement. (b) The balance of any contributions of
such beneficiary * in excess of the disability retirement allowances re-
ceived by him shall be transferred from the retirement allowance account
to the members’ contribution account.

2. That the Code of Virginia be amended by adding in Chapter 3.2 of
Title 51, an article numbered 9, containing sections numbered 51-111.67:1
through 51-111.67:138 as follows:

§ 51-111.67:1. The Board of Trustees of the Virginia Supplemental
Retirement System, said Board of Trustees being hereinafter referred to
as the Board, acting for and on behalf of the Commonwealth of Virginia,
may and 1s hereby specifically authorized to purchase a contract or con-
tracts of insurance with any life insurance company or companies incor-
porated or organized under the laws of and authorized to do business tn
this Commonwealth, with such reinsurance with a life insurance com-
pany or companies incorporated or organized under the laws of and
authorized to do business in this Commonwealth as the Board may re-
quire, insuring elected and appointed officers and employees, hereinafter
referred to as employees or individually as an employee, specified in
§ 51-111.67:2 who are eligible to participate in the group insurance
authorized by this act, or any group or groups or class or classes thereof,
including subsequently retired employees, under a policy or policies of
group insurance providing life and accidental death and dismemberment
insurance; and for such purposes the Board may agree to and pay from
funds provided for such purpose the premiums or charges for carrying
such contracts. Each policy so purchased shall contain a provision stipu-
lating the maximum expense and risk charges for at least the first policy
year, which charges shall have been determined by the Board to be ona
basis consistent with the general level of such charges made by life insur-
ance companies under policies of group life and accidental death and dis-
memberment insurance issued to large employers; in the event the Board
at any time cannot on such a basis secure from any life insurance com-
pany incorporated or organized under the laws of Virginia the insurance
herein provided for, then during the next succeeding two years the Board
may secure such insurance from any life insurance company or companies
authorized to do business in the Commonwealth.

§ 51-111.67:2. Elected and appointed employees who are eligible to
participate in the group insurance provided for by this act are the fol-
lowing, provided if first employed or reemployed after the effective date
of this act age sixty has not been attained:

(1) Teachers, meaning any persons regularly employed full time on
a salary basis as professional or clerical employees of a county, city, or
other local public school board;

(2) State employees, meaning any persons regularly employed full
time on a salary basis whose tenure is not restricted as to temporary or
provisional appointment, in the service of, and whose compensation 18 pay-
able not oftener than semimonthly in whole or in part by, the Common-
wealth or any department, division, institution, or agency thereof, except
the following:

(a) Officers, other than the Governor and the Attorney General of
the Commonwealth each of whom is eligible, elected by popular vote;

(b) County treasurers, city treasurers, commissioners of the revenue,
Commonwealth’s attorneys, clerks, sheriffs, sergeants, and constables, and
deputies and employees of any such officer; and

(c) Employees of a political subdivision of the Commonwealth.

(8) Employees of a political subdivision participating in the Virgina
Supplemental Retirement System as provided in Article 4, Chapter 3.2 of
Title 51 of the Code of Virginia, and any act amendatory thereof or re-
placing such statute; provided that any such subdivision may, at any time
prior to the effective date of the first group insurance authorized under
this act, decline to participate therein, in which event the employees of
such political subdivision shall not be deemed eligible for insurance under
this act; provided, further, that any such political subdivision so declin-
ing to participate therein may, at any time during the two year period
next succeeding the effective date of such first group insurance, elect to
participate therein, in which event employees of such political subdivision
shall thereafter become eligible to participate in such group insurance,
on and after the expiration of the two year period next succeeding the
effective date of such first group insurance, the election of any political
subdivision so declining to participate therein to thereafter participate
shall be subject to the approval of the Board and the employees of such
political subdivision shall become eligible to participate in such group
insurance on and after the date of such approval by the Board.

§ 51-111.67:38. Any department, division, institution or agency of
the Commonwealth and any county, city or town, and any political entity,
subdivision, branch or unit of the Commonwealth and any commission or
public authority or body corporate created by or under an act of the
General Assembly, which has group life insurance with any insurance
company or nonprofit association may continue such group life insurance,
but shall not, while such group life insurance is in effect, participate in
the group insurance otherwise provided for in this act; provided, how-
ever, that upon discontinuance of such other group life insurance and
within the two year period next succeeding the effective date of the first
group insurance authorized by this act, any such department, division,
institution or agency of the Commonwealth and any county, city or town,
and any political entity, subdivision, branch or unit of the Commonwealth
and any commission or public authority or body corporate created by or
under an act of the General Assembly, may elect to participate in the
group insurance authorized under this act, in which event the employees
thereof shall thereafter become eligible to participate in such group insur-
ance; on and after the expiration of the two year period next succeeding
the effective date of the first group insurance authorized by this act and
upon discontinuance of such other group life insurance, the election of any
such department, division, institution or agency of the Commonwealth and
any county, city or town, and any political entity, subdivision, branch or
unit of the Commonwealth and any commission or public authority or
body corporate created by or under an act of the General Assembly to
participate in the group insurance authorized by this act shall be subject
to the approval of the Board, and the employees thereof shall become
eligible to participate in such group insurance on and after the date of
such approval by the Board.

8 §1-111.67:4. (a) Each employee to whom this act applies shall,
subject to the terms and conditions thereof, be eligible to be insured for
an amount of group life insurance plus an equal amount of group acct-
dental death and dismemberment insurance, in accordance with the fol-

lowing schedule:
If annual compensation is—
I II Il IV

Greater But not Theamount The maximum amount

than— greater of grouplife of group accidental

than— insurance death and dismember-
shall be— ment insurance
shall be—
0 $1,000 $1,000 $1,000

$1,000 2,000 2,000 2,000

2,000 8,000 8,000 38,000

$,000 4,000 4,000 4,000

4,000 5,000 5,000 5,000

5,000 6,000 6,000 6,000

6,000 7,000 7,000 7,000

7,000 8,000 8,000 8,000

8,000 9,000 9,000 9,000

9,000 10,000 10,000 10,000
10,000 11,000 11,000 11,000
11,000 12,000 12,000 12,000
12,000 13,000 138,000 18,000
18,000 14,000 14,000 14,000
14,000 15,000 15,000 15,000
15,000 16,000 16,000 16,000
16,000 17,000 17,000 17,000
17,000 18,000 18,000 18,000
18,000 19,000 19,000 19,000
19,000 20,000 20,000 20,000
20,000 21,000 21,000 21,000
21,000 22,000 22,000 22,000
22,000 28,000 23,000 23,000
28,000 24,000 24,000 24,000
24,000 25,000 25,000 25,000
25,000 — aaceanasenneee 26,000 26,000

With respect to any employee who 1s reemployed and insured in
accordance with the provisions of this act, the foregoing otherwise appli-
cable amount of group life insurance shall be reduced by the amount of
insurance provided by any policy of insurance issued under the conver-
sion privilege of any policy issued pursuant to the provisions of this act.

Subject to the conditions and limitations of the policy or policies
purchased by the Board under this act, the group accidental death and
dismemberment insurance shall provide payments as follows:

Loss Amount Payable

Full amount shown in Column IV
of schedule shown in this section

For loss of life

Loss of one hand or of one foot or One-half of the amount shown in

loss of sight of one eye Column IV of schedule shown in
this section

Loss of two or more such members Full amount shown in Column IV

of schedule shown in this section

For any one accident the aggregate amount of group accidental death

and dismemberment insurance that may be paid shall not exceed the mazxt-

mum amount of group accidental death and dismemberment insurance
shown in Column IV of the schedule in paragraph (a) of this section.
(b) The amounts of life and accidental death and dismemberment
insurance on employees who remain employed after age sixty-five shall be
reduced by two per centum thereof at the end of each full calendar month
following the date the employee attains age sixty-five; but such reduction
shall not decrease the amount of insurance on an employee to less than
twenty-five per centum of the insurance in force immediately preceding
the first reduction therein; provided, that the amounts of life and acci-
dental death and dismemberment insurance in force from time to time on
an employee who becomes insured under this act after having attained
the age of sixty-five shall be the same as would be in force had he been
insured at age sixty-five and shall be based on the lesser of his annual
compensation (1) at the time he becomes so insured, or (2) at age sixty-
five provided he was eligible at that time to be insured under this act.

(c) The amount of life insurance on each employee who retires (for
service or because of disability) on an immediate annuity shall be reduced
by two per centum of the amount of insurance in force at such employee's
age sixty-five, or other lesser age if so retired prior to age sixty-five, at
the end of each full calendar month following the date the employee
attains age sixty-five or other lesser age if so retired prior to age sixty-
five; but such reduction shall not decrease the amount of life insurance
on an employee to less than twenty-five per centum of the insurance in
force immediately preceding the first reduction therein; provided, that the
amounts of life insurance in force from time to time on an employee who
becomes insured under this act after having attained the age of sixty-five
and later so retires shall be the same as would be in force had he been
insured and so retired at age sixty-five and shall be based on the lesser
of his annual compensation (1) at the time he becomes so insured, or (2)
at age sixty-five provided he was eligible at that time to be insured under
this act; provided that the Board may, in the case of a disabled retirant
who returns to service in a position covered by this act, provide for the
insuring of such person for an amount and in the same manner as if then
originally employed but the insurance applicable to such person shall be
deemed to have been issued as of the time such person was first insured
under the group insurance provided for in this act.

(d) All accidental death and dismemberment insurance on an em-
ployee shall cease upon his separation from service or twelve months (two
months in the case of any employee on leave of absence for military,
naval or air service) after discontinuance of his salary payments or upon
his retirement, whichever is earliest.

(e) Except in case of service or disability retirement, all life insur-
ance on an employee shall cease upon his separation from service or
twelve months (two months in the case of any employee on leave of
absence for military, naval or air service) after discontinuance of his
salary payments, whichever first occurs, subject to a temporary extension
of such life insurance for not more than thirty-one days and to the right
of the employee to convert, without evidence of insurability and within
such thirty-one days after such separation from service or end of such
twelve months after discontinuance of his salary payments, whichever
first occurs, and upon payment of the premium applicable to the class of
risk to which he belongs and to the form and amount of the policy at his
then attained age, his life insurance into a policy of life insurance with-
out disability or other supplementary benefits in any one of the forms
then customarily issued by the insuring company, except term insurance,
nan amount equal to the amount of his life insurance under such group
insurance policy at the time of such separation or discontinuance, which-
ever first occurs.

§ 51-111.67:5. Each employee so insured shall contribute to the cost
of such life wnsurance and accidental death and dismemberment insurance
an amount to be determined by the Board but not to exceed the sum of
seventy cents per month per each thousand dollars of such employee's life
insurance; provided, however, that employees retired for service or dts-
ability and employees in service who have attained age sixty-five shall not
be required to contribute to the cost of their life insurance.

§ 51-111.67:6. Notwithstanding any statute, law, regulation or rule
presently in force, during any period in which an employed employee 1s
insured under a policy of insurance purchased under the authority of thts
act, the Comptroller, in the case of all State officers and employees patd
by warrants on the State Treasurer, and, in the case of any other State
employee, the department, division, institution or agency by which the
salary 1s paid, and the employer in the case of teachers and other em-
ployees, shall, except as otherwise provided in § 51-111.67:5 of this act,
cause to be deducted from the salary of each employee for each and every
payroll period subsequent to the effective date of such insurance, an amount
determined by the Board, but not to exceed the rate of seventy cents per
month per each thousand dollars of his group life insurance; provided, that
an employee who is paid on other than a monthly basis shall have an
amount so deducted, determined at a proportionate rate, which rate shall be
adjusted to the nearest cent. All amounts so deducted shall be retained in
or paid into the Treasury of Virginia to the credit of the Board and shall
be available to the Board for the purpose of carrying out the provisions
of this act.

Any policy of insurance purchased under the authority of this act
shall provide that all employees eligible under the terms of this act will
be automatically insured thereunder commencing on the date they first
become so eligible; provided, that any employee desiring not to be so
insured shall, on an appropriate form to be prescribed by the Board, give
written notice to his employing office that he desires not to be insured.
If such notice is received before the employee shall have become insured
under such policy, he shall not be so insured; if it 1s received after he
shall have become insured, his insurance under the policy will cease effec-
tive with the end of the pay period during which the notice is received by
the employing office. Any such employee so notifying his employing office
that he desires not to be insured may thereafter become insured only upon
presentation at his own expense of evidence of insurability satisfactory to
the insuring company.

§ 51-111.67:7. Each policy purchased by the Board pursuant to the
provisions of this act shall provide for an accounting to the Board not
later than ninety days after the end of each policy year, which shall set
forth, in a form approved by the Board, (1) the amounts of premiums
actually accrued under the policy from its date of issue to the end of such
policy year, (2) the total amount of all mortality and other claim charges
incurred for that period, and (3) the amounts of the iwnsurer’s expenses
and risk charges for such period. Any excess, or portion of such excess,
of the total of item (1) over the sum of items (2) and (8) may, with the
approval of the Board, be held by the insurance company issuing the policy
as a special contingency reserve to be used by such insurance company
for charges under such policy only, such reserve to bear interest at a
rate to be determined in advance of each policy year by the insurance
company issuing the policy, which rate shall be approved by the Board as
being consistent with the rates generally used by such company for
similar funds held under other group life insurance policies; provided, that
af and when the Board determines that such special contingency reserve
has attained an amount estimated by it to make satisfactory provision for
adverse fluctuations in future charges under the policy any further such
excess shall inure to the benefit of the Commonwealth and other employers
participating in the insurance as determined by the Board.
§ 51-111.67:8. The insurance herein provided for and all proceeds
therefrom shall be exempt from levy, garnishment and other legal process.

§ 51-111.67:9. Employers under this act other than the Common-
wealth shall pay to the Board acting for the Commonwealth the percent-
age of the premiums, charges, or portions thereof not paid for by employee
contributions. Employees paid from special funds shall have their employer
contributions paid from such funds.

§ 51-111.67:10. Any amount of group life insurance and group acct-
dental death and dismemberment insurance in force on any employee at the
date of his death shall be paid, upon the establishment of a valid clam
therefor, to the beneficiary or beneficiaries designated by the officer or
employee under the provisions of the Virginia Supplemental Retirement
System or other retirement system administered by the Board, unless the
employee shall have designated and filed with the Board, on a form pre-
pared by the Board, a different beneficiary or beneficiaries of his group
life and accidental death and dismemberment insurance under the provi-
sions of this act. In event no such beneficiary or beneficiaries have been
so provided for or designated by any employee, then such proceeds shall
be paid to the person or persons surviving at the date of his death, in the
following order of precedence:

First, to the widow or widower of such employee;

Second, if none of the above, to the child or children of such employee
and descendants of deceased children, per stirpes;

Third, if none of the above, to the parents of such employee or the
survivor of them;

Fourth, if none of the above, to the duly appointed executor or admin-
istrator of the estate of such employee;

Fifth, if none of the above, to other next of kin of such employee
entitled under the laws of domicile of such employee at the time of his

eath.

§ 51-111.67:11. The insurance provided by this act and the with-
holdings and contributions for that purpose shall become effective when
directed by the Board.

§ 51-111.67:12. Each employer, whose employees are insured under
the provisions of this act, shall keep such records and from time to time
shall furnish such information as the Board shall require in the discharge
of its duties under this act.

§ 51-111.67:18. The Board is authorized to promulgate such regu-
lations as may be necessary and proper to give effect to the intent, pur-
poses and provisions of this act.

3. The provisions of this act shall be severable. It shall be conclusively
presumed that in the event any provision shall be held to be unconstitu-
tional the General Assembly would have enacted the remainder of this act
iar hal such invalid or unconstitutional clause, paragraph, subsection or
section.

4. All laws inconsistent or in conflict with the provisions of this act are
hereby repealed to the extent of such inconsistency or conflict. Provisions
of general law limiting or restricting groups or classes of employees
eligible for group insurance and the amount of contributions which may
be paid by employees for group insurance are specifically repealed as to
any policy or policies effected under the provisions of this act.