Okla. Stat. tit. 74, § 74-1370

A. Subject to the requirement that a participant must elect the

default benefits, the basic plan, or is a person who has retired

from a branch of the United States military and has been provided

with health care through a federal plan, to the extent that it is

consistent with federal law, or is an active employee who is

eligible to participate and who is a participant who has opted out

of the state's basic plan according to the provisions of Section

1308.3 of this title, and provides proof of this coverage, flexible

benefit dollars may be used to purchase any of the benefits offered

by the Oklahoma Employees Insurance and Benefits Board under the

flexible benefits plan. A participant who has opted out of the

state's basic plan and provided proof of other coverage as described

in this subsection shall receive One Hundred Fifty Dollars ($150.00)

in lieu of the flexible benefit monthly. A participant's flexible

benefit dollars for a plan year shall consist of the sum of (1)

flexible benefit allowance credited to a participant by the

participating employer, and (2) pay conversion dollars elected by a

participant.

B. Each participant shall be credited annually with a specified

amount as a flexible benefit allowance which shall be available for

the purchase of benefits. For participants on a biweekly payroll

system the disbursement of the flexible benefit allowance shall be

Oklahoma Statutes - Title 74. State Government Page 847

credited over twenty-four pay periods resulting in two pay periods

that do not reflect a credit. The amount of the flexible benefit

allowance credited to each participant shall be communicated to him

or her prior to the enrollment period for each plan year.

C. Except as provided in subsection D of this section, for the

plan year beginning January 1, 2013, the benefit allowance shall not

be less than the Plan Year 2012 benefit allowance amounts, and each

plan year thereafter, the amount of a participant's benefit

allowance, which shall be the total amount the employer contributes

for the payment of insurance premiums or other benefits, shall be:

1. The greater of the amount of benefit which the participant

would have qualified for as of plan year 2021, or an amount equal to

the monthly premium of the HealthChoice High Option plan, the

average monthly premiums of the dental plans, the monthly premium of

the disability plan, and the monthly premium of the basic life

insurance plan offered to state employees or the amount determined

by the Council based on a formula for determining a participant's

benefit credits consistent with the requirements of 26 U.S.C.,

Section 125(g)(2) and regulations thereunder;

2. The greater of the amount of benefit which the participant

would have qualified for as of plan year 2021 or an amount equal to

the monthly premium of the HealthChoice High Option plan, the

average monthly premiums of the dental plans, the monthly premium of

the disability plan, and the monthly premium of the basic life

insurance plan offered to state employees plus one of the additional

amounts as follows for participants who elect to include one or more

dependents:

a. for a spouse, seventy-five percent (75%) of the

HealthChoice High Option plan, available for coverage

of a spouse,

b. for one child, seventy-five percent (75%) of the

HealthChoice High Option plan, for coverage of one

child,

c. for two or more children, seventy-five percent (75%)

of the HealthChoice High Option plan, for coverage of

two or more children,

d. for a spouse and one child, seventy-five percent (75%)

of the HealthChoice High Option plan, for coverage of

a spouse and one child, or

e. for a spouse and two or more children, seventy-five

percent (75%) of the HealthChoice High Option plan,

for coverage of a spouse and two or more children;

3. For the plan year beginning January 1, 2022, the amount of a

participant's benefit allowance shall be increased by two percent
venty-five percent (75%)

of the HealthChoice High Option plan, for coverage of

a spouse and one child, or

e. for a spouse and two or more children, seventy-five

percent (75%) of the HealthChoice High Option plan,

for coverage of a spouse and two or more children;

3. For the plan year beginning January 1, 2022, the amount of a

participant's benefit allowance shall be increased by two percent

(2%) from the amount provided in the previous year;

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4. For the plan year beginning January 1, 2023, the amount of a

participant's benefit allowance shall be increased by two percent

(2%) from the amount provided in the previous year; or

5. The greater of the amount of benefit which the participant

would have qualified for as of plan year 2023, or an amount equal to

the monthly premium of the HealthChoice High Option plan, the

average monthly premiums of the dental plans, the monthly premium of

the disability plan and the monthly premium of the basic life

insurance plan offered to state employees plus one of the additional

amounts as follows for participants who elect to include one or more

dependents:

a. for a spouse, seventy-five percent (75%) of the

HealthChoice High Option plan, available for coverage

of a spouse,

b. for one child, seventy-five percent (75%) of the

HealthChoice High Option plan, for coverage of one

child,

c. for two or more children, seventy-five percent (75%)

of the HealthChoice High Option plan, for coverage of

two or more children,

d. for a spouse and one child, seventy-five percent (75%)

of the HealthChoice High Option plan, for coverage of

a spouse and one child, or

e. for a spouse and two or more children, seventy-five

percent (75%) of the HealthChoice High Option plan,

for coverage of a spouse and two or more children.

D. To the extent that it is consistent with federal laws and

regulations, and in particular the regulations set forth by the

Secretary of Defense in 32 C.F.R. Section 199.8(d)(6), a benefit may

be provided to an employee who is an eligible TRICARE beneficiary

whereby he or she may purchase a group TRICARE Supplemental product

under a qualifying cafeteria plan consistent with the requirements

of 26 U.S.C., Section 125, provided that:

1. The state, as employer, may not provide any payment for nor

receive any consideration or compensation for offering the benefit;

2. The employer's only involvement is in providing the

administrative support for the benefit under the cafeteria plan; and

3. The employee's participation in the plan is completely

voluntary.

The benefit allowance under paragraph 2 of subsection C of this

section of an employee whose plan participation includes a group

TRICARE Supplemental benefit shall not include any allowance or

portion thereof for such TRICARE Supplemental benefit.

E. This section shall not prohibit payments for supplemental

health insurance coverage made pursuant to Section 1314.4 of this

title or payments for the cost of providing health insurance

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coverage for dependents of employees of the Grand River Dam

Authority.

F. If a participant desires to buy benefits whose sum total of

benefit prices is in excess of his or her flexible benefit

allowance, the participant may elect to use pay conversion dollars

to purchase such excess benefits. Pay conversion dollars may be

elected through a salary reduction agreement made pursuant to the

election procedures of Section 1371 of this title. The elected

amount shall be deducted from the participant's compensation in

equal amounts each pay period, with the exception of participants on

a biweekly payroll system, where such deduction shall occur over

twenty-four pay periods over the plan year. On termination of

employment during a plan year, a participant shall have no

obligation to pay the participating employer any pay conversion
The elected

amount shall be deducted from the participant's compensation in

equal amounts each pay period, with the exception of participants on

a biweekly payroll system, where such deduction shall occur over

twenty-four pay periods over the plan year. On termination of

employment during a plan year, a participant shall have no

obligation to pay the participating employer any pay conversion

dollars allocated to the portion of the plan year after the

participant's termination of employment.

G. If a participant elects benefits whose sum total of benefit

prices is less than his or her flexible benefit allowance, he or she

shall receive any excess flexible benefit allowance as taxable

compensation. Such taxable compensation will be paid in

substantially equal amounts each pay period, with the exception of

participants on a biweekly payroll system, where such deduction

shall occur over twenty-four pay periods over the plan year. On

termination during a plan year, a participant shall have no right to

receive any such taxable cash compensation allocated to the portion

of the plan year after the participant's termination. Nothing

herein shall affect a participant's obligation to elect the minimum

benefits or to accept the default benefits of the plan with

corresponding reduction in the sum of his or her flexible benefit

allowance equal to the sum total benefit price of such minimum

benefits or default benefits.