Section R2-6-204. Employee Flexible Benefit Plan

A.      The Director shall ensure that the premium paid by an employee or officer for participation in the insurance plans listed  in  R2-6-201(1)   through  (3)  and  for   a  maximum  of

$35,000 in supplemental life insurance and the amount set aside in a flexible spending account reduces the employee’s or officer’s compensation as allowed by Section 125 of the Inter- nal Revenue Code.

B.       The Director shall ensure that the premium paid by an employee or officer to enroll a pre-tax dependent in the insur- ance plans listed in R2-6-201(1) through (3) reduces the employee’s or officer’s compensation as allowed by Section 125 of the Internal Revenue Code.

C.      The Director shall ensure that the amount paid by the state to enable a post-tax dependent of an employee or officer to par- ticipate in the insurance plans listed in R2-6-201(1) through

(3) increases the employee’s or officer’s compensation and is taxed as required by law.

D.      If an employee or officer experiences a qualified life event during a plan year that adds or deletes a pre-tax or post-tax dependent, the Director shall ensure that the compensation of

the employee or officer is adjusted accordingly and taxed as required by law.

E.       The Director shall ensure that the method of adjusting an employee’s or officer’s compensation under this Section is not changed or canceled until the end of a plan year.

Historical Note

Adopted effective July 27, 1983 (Supp. 83-4). Former Section R2-6-204 repealed, new Section R2-6-204 renumbered from R2-6-104 effective September 16, 1997 (Supp. 97-3). Section repealed; new Section adopted by final rulemaking at 5 A.A.R. 2514, effective July 15,

1999 (Supp. 99-3). Section expired under A.R.S. § 41-

1056(E) at 8 A.A.R. 5017, effective September 30, 2002 (Supp. 02-4). New Section made by final rulemaking at 15 A.A.R. 258, effective March 7, 2009 (Supp. 09-1).