Section 1. Section 2 of chapter 32A of the General Laws, as appearing in the 2012 Official Edition, is hereby amendment by inserting after the word "withheld", in line 126, the following words:-; provided, however, that the term "elderly governmental retiree" shall include any retired employee age 70 or over who has been retired for 5 years.

Section 2. Said chapter 32A, as so appearing, is hereby further amended by inserting after section 10B the following section:-

Section 10C. For any elderly governmental retiree of any municipality that provides prescription drug benefits, such retiree shall be entitled to reimbursement from the State Retirees Benefits Trust Fund to be used exclusively to reduce the cost of prescription drugs for such retiree. The reduction of the cost of such prescription drugs shall be no less than 25 per cent of any co-payment amount paid by an elderly governmental retiree for such prescription drugs. The trustee of the fund shall establish the reimbursement methodology for such payment in conjunction with any participating municipality.

Section 3. Section 24 of said chapter 32A, as so appearing, is hereby amended by inserting after the word "board", in line 29, the following words:-; provided that, a municipality providing prescription drug coverage to an elderly governmental retiree shall participate in the fund using the procedures set forth in section 10C