1. (a) The following are established to provide funding for a retiree health benefit plan developed under IC 5-10-8.5 , including to provide continued funding for a retiree health benefit plan for individuals described in IC 5-10-8.5-9.7 (a) and the individuals who elect to continue in the retiree health benefit trust fund pursuant to IC 5-10-8.5-9.7 (c):

   1. (1) Before January 1, 2027, the retiree health benefit trust fund.

   2. (2) After December 31, 2026, the 2027 retiree health benefit trust fund.

      The trust fund described in subdivision (1) will be terminated upon the completion of the action required under IC 5-10-8.5-9.7 .

2. (b) The trust funds shall be administered by the INPRS. The expenses of administering the trust funds shall be paid from money in the trust funds. Subject to section 8.6 of this chapter, the trust funds consist of cigarette tax revenues deposited in the funds under IC 6-7-1-28.1 (6) and other appropriations, revenues, or transfers to the trust funds under IC 4-12-1 .
3. (c) The INPRS shall invest the money in the trust funds not currently needed to meet the obligations of the trust funds in the same manner and with the same limitations described in IC 5-10.5-4-1 and IC 5-10.5-5-1 .
4. (d) The trust funds are considered a trust fund for purposes of IC 4-9.1-1-7 . Money may not be transferred, assigned, or otherwise removed from the trust funds by the state board of finance, the budget agency, or any other state agency, except as provided under IC 5-10-8.5-9.7 and IC 6-7-1-28.1 (6)(B).

5. (e) The trust funds shall be established and administered in a manner that complies with Internal Revenue Code requirements concerning health reimbursement arrangement (HRA) trusts. Contributions by the state to the trust funds are irrevocable. All assets held in the trust funds must be held for the exclusive benefit of participants of the retiree health benefit plan developed under IC 5-10-8.5 and their beneficiaries. Subject to IC 5-10-8.5-9.7 , all assets in the trust funds:

   1. (1) are dedicated exclusively to providing benefits to participants of the plan and their beneficiaries according to the terms of the plan; and
   2. (2) are exempt from levy, sale, garnishment, attachment, or other legal process.
6. (f) Money in the trust funds does not revert to the state general fund at the end of any state fiscal year.
7. (g) The money in the trust funds is appropriated to the INPRS for providing the retiree health benefit plan developed under IC 5-10-8.5 .
8. (h) The budget agency may transfer appropriations from federal or dedicated funds to the trust funds.

As added by P.L.182-2009(ss), SEC.68. Amended by P.L.108-2019, SEC.85; P.L.92-2021, SEC.4; P.L.201-2023, SEC.78; P.L.104-2026, SEC.4.