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Oklahoma Legislature· SB 1342Referred to Appropriations

An act relating to school district employees, the official text

Shown verbatim: the complete text as captured from the official PDF posted by the Oklahoma Legislature, fetched 2026-07-23. Page and line markers are part of the official record; nothing is edited or removed. The official bill page.
1                   STATE OF OKLAHOMA

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2                  2nd Session of the 60th Legislature (2026)

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3 SENATE BILL 1342              By: Hamilton
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6                   AS INTRODUCED

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7   An Act relating to school district employees;

7   amending 70 O.S. 2021, Section 26-105, as amended by

8   Section 3, Chapter 245, O.S.L. 2024 (70 O.S. Supp.

8   2025, Section 26-105), which relates to use of

9   flexible benefit allowance; increasing amount in lieu

9   of flexible benefit allowance for certain personnel;

10  updating statutory reference; updating statutory

10  language; and providing an effective date.

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13 BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
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14  SECTION 1.      AMENDATORY  70 O.S. 2021, Section 26-105, as

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15 amended by Section 3, Chapter 245, O.S.L. 2024 (70 O.S. Supp. 2025,
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16 Section 26-105), is amended to read as follows:
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17  Section 26-105. A. 1. The flexible benefit allowance shall be

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18 used by a school district employee who is participating in the
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19 cafeteria plan to purchase major medical health care plan coverage
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20 offered by the school district through a cafeteria plan. Any excess
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21 flexible benefit allowance over the cost of the major medical
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22 coverage purchased by the employee who is participating in the
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23 cafeteria plan may be used to purchase any of the additional
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    Req. No. 2514                                              Page 1
1 benefits offered by the school district or may be taken as taxable
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2 compensation as provided in subsection C of this section.
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3   2. Certified personnel who choose not to participate in the

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4 school-district-sponsored cafeteria plan prior to the effective date
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5 of this act shall receive Sixty-nine Dollars and seventy-one cents
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6 ($69.71) per month as taxable compensation in lieu of the flexible
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7 benefit allowance amount provided in subsection B of this section.
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8   3. Support personnel who choose not to participate in the

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9 school-district-sponsored cafeteria plan prior to the effective date
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10 of this act shall receive One Hundred Eighty-nine Dollars and sixty-
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11 nine cents ($189.69) per month as taxable compensation in lieu of
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12 the flexible benefit allowance amount provided in subsection B of
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13 this section.
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14  4. On and after the effective date of this act, certified and

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15 support personnel who choose not to participate in the school-
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16 district-sponsored cafeteria plan shall receive Five Hundred Dollars
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17 ($500.00) per month as taxable compensation in lieu of the flexible
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18 benefit allowance amount provided in subsection B of this section.
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19  B. Each eligible school district employee shall be credited

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20 annually with a specified amount as a flexible benefit allowance
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21 which shall be available for the purchase of benefits. The amount
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22 of the flexible benefit allowance credited to each eligible school
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23 district employee shall be communicated to the employee prior to the
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24 enrollment period for each plan year.
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    Req. No. 2514                                            Page 2
1   1. For the fiscal year ending June 30, 2002, the flexible

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2 benefit allowance amount for certified personnel shall be no less
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3 than Sixty-nine Dollars and seventy-one cents ($69.71) per month.
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4 For the fiscal year ending June 30, 2002, the flexible benefit
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5 allowance amount for support personnel shall be no less than One
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6 Hundred Eighty-nine Dollars and sixty-nine cents ($189.69) per
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7 month.
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8   2. For the fiscal year ending June 30, 2004, the flexible

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9 benefit allowance amount for certified personnel shall be no less
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10 than fifty-eight percent (58%) of the premium amount for the
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11 HealthChoice (Hi) option plan for an individual offered by the
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12 Oklahoma Employees Insurance and Benefits Board. For the fiscal
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13 year ending June 30, 2003, and each fiscal year thereafter, the
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14 flexible benefit allowance amount for support personnel shall be no
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15 less than one hundred percent (100%) of the premium amount for the
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16 HealthChoice (Hi) option plan for an individual offered by the
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17 Oklahoma Employees Insurance and Benefits Board.
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18  3. For the fiscal year ending June 30, 2005, and each fiscal

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19 year thereafter, the flexible benefit allowance amount for certified
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20 personnel shall be no less than one hundred percent (100%) of the
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21 premium amount for the HealthChoice (Hi) option plan for an
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22 individual offered by the Oklahoma Employees Insurance and Benefits
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23 Board.
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    Req. No. 2514                                               Page 3
1   C. If a school district employee who is participating in the

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2 cafeteria plan elects benefits whose sum total is less than the
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3 flexible benefit allowance, the employee shall receive any excess
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4 flexible benefit allowance as taxable compensation. Such taxable
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5 compensation shall be paid in substantially equal amounts each pay
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6 period over the plan year. Except as otherwise provided for in
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7 subsection D of this section, on termination during a plan year, a
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8 participating school district employee shall have no right to
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9 receive any taxable cash compensation allocated to the portion of
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10 the plan year after the termination of the employee.
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11  D. In cases where the employee of a school district fulfills

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12 the terms of their his or her contract and terminates employment for
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13 the subsequent year, the employee shall be entitled to the flexible
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14 benefit allowance for the remainder of the current benefit term.
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15 For purposes of this subsection, "benefit term" shall mean the
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16 twelve-month period after the initiation of benefits for the
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17 position held by the employee.
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18  E. Each school district employee shall make an annual election

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19 of benefits under the plan during an enrollment period to be held
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20 prior to the beginning of each plan year. The enrollment period
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21 dates will be determined annually and will be announced by the
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22 school district, providing provided the enrollment period shall end
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23 no later than thirty (30) days before the beginning of the plan
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24 year. Each school district employee shall make an irrevocable
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    Req. No. 2514                                        Page 4
1 advance election for the plan year or the remainder of the plan year
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2 pursuant to procedures the school district shall prescribe.
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3   F. The school district shall prescribe the forms that school

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4 district employees shall be required to use in making their
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5 elections, and may prescribe deadlines and other procedures for
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6 filing the elections.
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7   G. School district employees hired after the closing of the

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8 enrollment period shall be allowed to make an election as provided
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9 in this act Section 26-101 et seq. of this title.
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10  H. A school district board of education shall have the option

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11 of providing a flexible benefit allowance to the superintendent of
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12 the school district in an amount not more than the amount of the
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13 flexible benefit allowance established for certified personnel in
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14 subsection B of this section. Funding for the flexible benefit
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15 allowance for a superintendent shall be provided through local
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16 revenue.
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17  SECTION 2. This act shall become effective November 1, 2026.

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19  60-2-2514      EB    12/30/2025 9:14:37 AM

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    Req. No. 2514                                              Page 5
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