RELATING TO CAFETERIA PLANS.

Summary

The bill lets state and local leaders create cafeteria‑style wage‑reduction plans that let employees use pre‑tax dollars for eligible benefits. It requires the maximum contribution and carry‑over amounts for any flexible spending account to be set each year in line with the limits in the Internal Revenue Code. This keeps public‑sector benefit plans consistent with federal tax guidelines.

AI-generated summary — may be incomplete or inaccurate. Verify against the official bill text.

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