(1) "Contracting employer" means an employer who, as provided in 2-18-1310 , MCA, has contracted with the department to participate in the plan.

(2) "Department" means the department of administration established in 2-15-1001 , MCA.

(3) "Employee" means a person employed by an employer who is in a pay status at least 1040 hours each year, but does not include an independent contractor or person hired by the employer under a personal services contract.

(4) "Employer" means all offices, departments, boards, commissions, institutions, universities, colleges, and any other administrative unit of state government and political subdivision of the state, including a county, an incorporated city or town, or school district.

(5) "HRA" means health reimbursement account. This is a tax-exempt account established for the payment of qualified health care expenses through employer contributions and investment earnings. At any time after a member's account has been established, the member may access funds in the account in a manner prescribed by the department. The funds may be accessed only for the payment of qualified health care expenses, which are defined to include medical plan premiums, and until the funds have been exhausted.

(6) "Member" means a current or former employee for whom employer deposits have been received by Montana VEBA HRA and whose account has a positive balance.

(7) "VEBA group" means a collection of employees who are employed by the same employer who elect to form a voluntary employees' beneficiary association. A group may not be considered if the group would not meet requirements for nondiscrimination.

(8) "VEBA participant" means an employee who belongs to a VEBA group enrolled in the Montana VEBA HRA, established under 2-18-1310 , MCA.