Connecticut 2019 2019 Regular Session

Connecticut House Bill HB07360 Introduced / Bill

Filed 03/12/2019

                        
 
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General Assembly  Raised Bill No. 7360  
January Session, 2019  
LCO No. 5933 
 
 
Referred to Committee on PLANNING AND DEVELOPMENT  
 
 
Introduced by:  
(PD)  
 
 
 
 
AN ACT CONCERNING NO NSTATE PUBLIC EMPLOYER HEALTH 
CARE PLANS. 
Be it enacted by the Senate and House of Representatives in General 
Assembly convened: 
 
Section 1. Subsections (a) to (c), inclusive, of section 3-123sss of the 1 
general statutes are repealed and the following is substituted in lieu 2 
thereof (Effective July 1, 2019): 3 
(a) Notwithstanding any provision of title 38a, the Comptroller shall 4 
offer to nonstate public employers and their nonstate public 5 
employees, and their retirees, if applicable, coverage under the state 6 
employee plan or any group hospitalization, medical, pharmacy or 7 
surgical insurance plan developed by the Comptroller. Such nonstate 8 
public employees, or retirees, if applicable, shall be pooled with the 9 
state employee plan, provided the Comptroller receives an application 10 
from a nonstate public employer and the application is approved in 11 
accordance with this section or section 3-123ttt. Premium payments for 12 
such coverage shall be remitted by the nonstate public employer to the 13 
Comptroller and shall be the same as those paid by the state inclusive 14 
of any premiums paid by state employees, except (1) premium 15  Raised Bill No.  7360 
 
 
 
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payments may be adjusted to reflect the cost of health care in the 16 
geographic region in which the majority of a nonstate public 17 
employer's employees work, (2) premium payments may be adjusted 18 
to reflect coverage, or (3) as otherwise provided in this section or 19 
section 3-123uuu, as amended by this act. The Comptroller may charge 20 
each nonstate public employer participating in the state employee plan 21 
an administrative fee calculated on a per member, per month basis. 22 
(b) (1) The Comptroller shall offer participation in such plan for not 23 
less than three-year intervals. A nonstate public employer may apply 24 
for renewal prior to the expiration of each interval. 25 
(2) The Comptroller shall develop procedures by which nonstate 26 
public employers receiving coverage for nonstate public employees 27 
pursuant to the state employee plan may (A) apply for renewal, or (B) 28 
withdraw from such coverage, including, but not limited to, the terms 29 
and conditions under which such nonstate public employers may 30 
withdraw prior to the expiration of the interval. [and the procedure by 31 
which any premium payments such nonstate public employers may be 32 
entitled to or premium equivalent payments made in excess of 33 
incurred claims shall be refunded to such nonstate public employer.] 34 
Any such procedures shall provide that nonstate public employees 35 
covered by collective bargaining shall withdraw from such coverage in 36 
accordance with chapters 68, 113 and 166. 37 
(c) Nothing in sections 3-123rrr to 3-123vvv, inclusive, shall (1) 38 
require the Comptroller to offer coverage to every nonstate public 39 
employer seeking coverage under the state employee plan, [or] (2) 40 
prevent the Comptroller from procuring coverage for nonstate public 41 
employees from vendors other than those providing coverage to state 42 
employees, or (3) prevent the Comptroller from offering plans other 43 
than those available to state employees, except the Comptroller shall 44 
not offer a plan that would qualify as a high deductible health plan, as 45 
defined in Section 220(c) or 223(c) of the Internal Revenue Code of 46 
1986, or any subsequent corresponding internal revenue code of the 47 
United States, as amended from time to time, used to establish a 48  Raised Bill No.  7360 
 
 
 
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medical savings account or an Archer MSA pursuant to Section 220 of 49 
said Internal Revenue Code or a health savings account pursuant to 50 
Section 223 of said Internal Revenue Code. 51 
Sec. 2. Section 3-123uuu of the general statutes is repealed and the 52 
following is substituted in lieu thereof (Effective July 1, 2019): 53 
(a) [There is established an account to be known as the "state 54 
employee plan premium account", which shall be a separate, 55 
nonlapsing account within the General Fund. All premiums paid by 56 
nonstate public employers and nonstate public employees pursuant to 57 
participation in the state employee plan shall be deposited into said 58 
account. The account shall be administered by the Comptroller, with 59 
the advice of the Health Care Cost Containment Committee, for 60 
payment of claims and administrative fees to entities providing 61 
coverage or services under the state employee plan.] The Comptroller 62 
shall establish an accounting procedure to track claims and premiums 63 
paid by nonstate public employers. 64 
[(b) Each nonstate public employer shall pay monthly the amount 65 
determined by the Comptroller for coverage of its nonstate public 66 
employees or its nonstate public employees and retirees, as 67 
appropriate, under the state employee plan. A nonstate public 68 
employer may require each nonstate public employee to contribute a 69 
portion of the cost of his or her coverage under the plan, subject to any 70 
collective bargaining obligation applicable to such nonstate public 71 
employer.] 72 
[(c)] (b) If any payment due by a nonstate public employer [under 73 
this subsection] pursuant to the procedure established under 74 
subsection (a) of this section is not paid after the date such payment is 75 
due, interest to be paid by such nonstate public employer shall be 76 
added, retroactive to the date such payment was due, at the prevailing 77 
rate of interest as determined by the Comptroller. 78 
[(d)] (c) If a nonstate public employer fails to make premium 79 
payments, the Comptroller may direct the State Treasurer, or any other 80  Raised Bill No.  7360 
 
 
 
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officer of the state who is the custodian of any moneys made available 81 
by grant, allocation or appropriation payable to such nonstate public 82 
employer at any time subsequent to such failure, to withhold the 83 
payment of such moneys until the amount of the premium or interest 84 
due has been paid to the Comptroller, or until the State Treasurer or 85 
such custodial officer determines that arrangements have been made, 86 
to the satisfaction of the State Treasurer, for the payment of such 87 
premium and interest. Such moneys shall not be withheld if such 88 
withholding will adversely affect the receipt of any federal grant or aid 89 
in connection with such moneys. 90 
This act shall take effect as follows and shall amend the following 
sections: 
 
Section 1 July 1, 2019 3-123sss(a) to (c) 
Sec. 2 July 1, 2019 3-123uuu 
 
Statement of Purpose:   
To authorize the Comptroller to offer additional health insurance plans 
for nonstate public employers. 
[Proposed deletions are enclosed in brackets. Proposed additions are indicated by underline, 
except that when the entire text of a bill or resolution or a section of a bill or resolution is new, it is 
not underlined.]