Notwithstanding the provisions of any other law to the contrary, a county, municipality
or any contracting unit as defined in section 2 of P.L.1971, c. 198 (C.40A:11-2) which enters into a contract providing group health care benefits to its employees
pursuant to N.J.S.40A:10-16 et seq., may allow any employee who is eligible for other health care coverage to waive coverage
under the county's, municipality's or contracting unit's plan to which the employee
is entitled by virtue of employment with the county, municipality or contracting unit. The waiver shall be in such form as the county, municipality or contracting unit
shall prescribe and shall be filed with the county, municipality or contracting unit. In consideration of filing such a waiver, a county, municipality or contracting
unit may pay to the employee annually an amount, to be established in the sole discretion
of the county, municipality or contracting unit, which shall not exceed 50% of the
amount saved by the county, municipality or contracting unit because of the employee's
waiver of coverage, and, for a waiver filed on or after the effective date of P.L.2010, c. 2, which shall not exceed 25%, or $5,000, whichever is less, of the amount saved by
the county, municipality or contracting unit because of the employee's waiver of coverage. An employee who waives coverage shall be permitted to resume coverage under the
same terms and conditions as apply to initial coverage if the employee ceases to be
covered through the employee's spouse for any reason, including, but not limited to,
the retirement or death of the spouse or divorce. An employee who resumes coverage shall repay, on a pro rata basis, any amount received
which represents an advance payment for a period of time during which coverage is
resumed. An employee who wishes to resume coverage shall file a declaration with the county,
municipality or contracting unit, in such form as the county, municipality or contracting
unit shall prescribe, that the waiver is revoked. The decision of a county, municipality or contracting unit to allow its employees
to waive coverage and the amount of consideration to be paid therefor shall not be
subject to the collective bargaining process.
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