Chapter 32A of the General Laws is hereby amended by adding the following section:

SECTION 28: (a) Notwithstanding any general or special law to the contrary, there shall be a special commission to study the Massachusetts public employees’ retiree benefits system.  The commission shall review the feasibility of allowing municipalities to offer their retirees individual policies funded by Health Reimbursement Arrangements (HRAs), and make recommendations for reform.  The commission shall consist of 13 members: 1 of whom shall be the secretary of administration and finance, or the secretary’s designee; 1 of whom shall be the treasurer, or the treasurer’s designee; 1 of whom shall be the executive director of the public employee retirement administration commission, of the director’s designee; 1 of whom shall be a private citizen, appointed by the governor, who shall serve as chair of the commission and shall not be a member of the 105 contributory retirement systems; 3 members of the house of representatives, 1 of whom shall be appointed by the minority leader; 3 of whom shall be members of the senate, 1 of whom shall be appointed by the minority leader; 1 of whom shall be selected by the governor from a list of 3 candidates submitted to the president of the Massachusetts AFL-CIO; 1 of whom shall be a member of the Massachusetts municipal association; and 1 of whom shall be a member of the retired state, county and municipal employees association of Massachusetts.

(b) The public employee retirement administration commission shall conduct an actuarial analysis to determine the costs of any recommendations made by the commission. The commission shall file a report of its recommendations, together with the actuarial analysis and proposed legislation, if any, with the clerks of the house and senate, the chairs of the house and senate committee on ways and means and the chairs of the joint committee on public service no later than April 15, 2015.