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General Assembly Substitute Bill No. 7360
January Session, 2019
AN ACT CONCERNING NO NSTATE PUBLIC EMPLOY ER 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general statutes are repealed and the following is substituted in lieu 2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, or group hospitalization, medical, pharmacy or 10
surgical insurance plan provided the Comptroller receives an 11
application from a nonstate public employer and the application is 12
approved in accordance with this section or section 3-123ttt. Premium 13
payments for such coverage shall be remitted by the nonstate public 14
employer to the Comptroller and shall be the same as those paid by the 15
state inclusive of any premiums paid by state employees, except (1) 16
premium payments may be adjusted to reflect the cost of health care in 17
the geographic region in which the majority of a nonstate public 18
employer's employees work, (2) premium payments may be adjusted 19
to reflect coverage, or (3) as otherwise provided in this section or 20 Substitute Bill No. 7360
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section 3-123uuu, as amended by this act. The Comptroller may charge 21
each nonstate public employer participating in the state employee plan 22
an administrative fee calculated on a per member, per month basis. 23
(b) (1) The Comptroller shall offer participation in any such plan for 24
not less than three-year intervals. A nonstate public employer may 25
apply for renewal prior to the expiration of each interval. 26
(2) The Comptroller shall develop procedures by which nonstate 27
public employers receiving coverage for nonstate public employees 28
pursuant to the state employee plan or group hospitalization, medical, 29
pharmacy or surgical insurance plan may (A) apply for renewal, or (B) 30
withdraw from such coverage, including, but not limited to, the terms 31
and conditions under which such nonstate public employers may 32
withdraw prior to the expiration of the interval. [and the procedure by 33
which any premium payments such nonstate public employers may be 34
entitled to or premium equivalent payments made in excess of 35
incurred claims shall be refunded to such nonstate public employer.] 36
Any such procedures shall provide that nonstate public employees 37
covered by collective bargaining shall withdraw from such coverage in 38
accordance with chapters 68, 113 and 166. 39
(c) Nothing in sections 3-123rrr to 3-123vvv, inclusive, shall (1) 40
require the Comptroller to offer coverage to every nonstate public 41
employer seeking coverage under the state employee plan, [or] (2) 42
prevent the Comptroller from procuring coverage for nonstate public 43
employees from vendors other than those providing coverage to state 44
employees, or (3) prevent the Comptroller from offering plans other 45
than those available to state employees, except the Comptroller shall 46
not offer a plan that would qualify as a high deductible health plan, as 47
defined in Section 220(c) or 223(c) of the Internal Revenue Code of 48
1986, or any subsequent corresponding internal revenue code of the 49
United States, as amended from time to time, used to establish a 50
medical savings account or an Archer MSA pursuant to Section 220 of 51
said Internal Revenue Code or a health savings account pursuant to 52
Section 223 of said Internal Revenue Code. 53 Substitute Bill No. 7360
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Sec. 2. Section 3-123uuu of the general statutes is repealed and the 54
following is substituted in lieu thereof (Effective July 1, 2019): 55
(a) [There is established an account to be known as the "state 56
employee plan premium account", which shall be a separate, 57
nonlapsing account within the General Fund. All premiums paid by 58
nonstate public employers and nonstate public employees pursuant to 59
participation in the state employee plan shall be deposited into said 60
account. The account shall be administered by the Comptroller, with 61
the advice of the Health Care Cost Containment Committee, for 62
payment of claims and administrative fees to entities providing 63
coverage or services under the state employee plan.] The Comptroller 64
shall establish an accounting procedure to track claims and premiums 65
paid by nonstate public employers. 66
[(b) Each nonstate public employer shall pay monthly the amount 67
determined by the Comptroller for coverage of its nonstate public 68
employees or its nonstate public employees and retirees, as 69
appropriate, under the state employee plan. A nonstate public 70
employer may require each nonstate public employee to contribute a 71
portion of the cost of his or her coverage under the plan, subject to any 72
collective bargaining obligation applicable to such nonstate public 73
employer.] 74
[(c)] (b) If any payment due by a nonstate public employer [under 75
this subsection] pursuant to the procedure established under 76
subsection (a) of this section is not paid after the date such payment is 77
due, interest to be paid by such nonstate public employer shall be 78
added, retroactive to the date such payment was due, at the prevailing 79
rate of interest as determined by the Comptroller. 80
[(d)] (c) If a nonstate public employer fails to make premium 81
payments, the Comptroller may direct the State Treasurer, or any other 82
officer of the state who is the custodian of any moneys made available 83
by grant, allocation or appropriation payable to such nonstate public 84
employer at any time subsequent to such failure, to withhold the 85 Substitute Bill No. 7360
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payment of such moneys until the amount of the premium or interest 86
due has been paid to the Comptroller, or until the State Treasurer or 87
such custodial officer determines that arrangements have been made, 88
to the satisfaction of the State Treasurer, for the payment of such 89
premium and interest. Such moneys shall not be withheld if such 90
withholding will adversely affect the receipt of any federal grant or aid 91
in connection with such moneys. 92
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 Legislative Commissioners:
In Section 1 (a) and (b), conforming changes were made for consistency
with the provisions of subsection (a).
PD Joint Favorable Subst. -LCO