SECTION 1. Chapter 32 is hereby amended by adding the following section:-

Section 106. Notwithstanding the provisions of section 4B of chapter 4, or chapter 32, or chapter 32B of the General laws, or of any other general or special law to the contrary, all municipalities within the Commonwealth shall have the option, at the discretion of the mayor and city council or board of selectmen, of providing a retirement or pension plan or health insurance benefits to employees hired after the effective date of this act, including health insurance to such employees upon retirement, on such terms and conditions as said mayor and city council or board of selectmen determines to be fair, reasonable and equitable, and in the best interests of the town. Prior to providing such plans or benefits, said governing body shall hold at least 1 public hearing, notice of which shall be provided in a newspaper of general circulation in the municipality in each of the 2 weeks immediately prior to said hearing. Said retirement, pension plan, or health insurance benefits shall be subject to bargaining under chapter 150E of the General Laws for employees represented by employee organizations that are covered by said chapter. The municipality may provide different premiums, contribution rates, plan designs, or retirement benefits to different groups or classes of employees.

This section shall not affect the health insurance or retirement benefits of employees or retirees that were employed for the town prior to the effective date of this act.

SECTION 2. This act shall take effect 90 days following its passage.