Louisiana 2015 2015 Regular Session

Louisiana Senate Bill SB260 Comm Sub / Analysis

                    The original instrument and the following digest, which constitutes no part of the
legislative instrument, were prepared by Jay R. Lueckel.
DIGEST
SB 260 Original	2015 Regular Session	Broome
Present law provides for consensus estimating conferences and provides for their duties and
principals.
Proposed law retains present law and provides for the creation of the Group Benefits Estimating
Conference.
Proposed law provides for the duties and principals of the Group Benefits Estimating Conference.
Present law provides for the powers and duties of the Office of Group Benefits.
Proposed law retains present law and adds that the commissioner of administration shall use any
official information developed by the Group Benefits Estimating Conference in the development of
premium rates.
Proposed law also provides that any new plan of benefits or the annual plan of benefits submitted
by the commissioner of administration through the Office of Group Benefits or any contract
negotiated by the Office of Group Benefits shall be subject to review and approval by the appropriate
standing committees or subcommittees of the legislature having jurisdiction over agency rules by the
Office of Group Benefits and the office of state procurement of the division of administration.
Proposed law further provides that any adjustments to such contracts in the amount of one million
dollars shall require review and approval of the oversight committees before implementation. Such
adjustments shall show the fiscal impact to the plan of benefits as well as the rate structure, if any,
over the subsequent three years or maximum contract period.
Present law establishes the Group Benefits Policy and Planning Board and provides that it shall
review life and health benefit programs offered to eligible employees.
Proposed law retains present law and adds the board shall review and approve the proposed rate
structure that supports the life and health benefit plan.
Proposed law provides that the chief executive officer shall submit any proposed changes of the rate
structure to the board who shall approve prior to final adoption of the plan.
Proposed law provides the plan submitted by the commissioner of administration shall include an
estimate of the costs and an estimated rate structure for a five-year period.
Present law requires the board to submit a written report to the appropriate legislative oversight committees regarding modifications of the proposed benefit plans.
Proposed law retains present law and adds that the board shall submit a written report to the
commissioner of administration and the chief executive officer of the Office of Group Benefits in
addition to the appropriate legislative oversight committees, regarding modifications of the proposed
benefit plans.
Proposed law adds that the board shall use any official information provided by the Group Benefits
Estimating Conference as may be necessary in the review and approval of benefits plans and
proposed rate structures.
Present law provides for the composition of the board.
Proposed law changes present law in regards to board composition from sixteen members to eighteen
members, further providing that seventeen shall be voting members.
Proposed law also changes present law by increasing he number of voting members from two to four
members who shall be elected by retired participants of the health benefits programs offered by the
Office of Group Benefits.
Proposed law further provides that of the four members, two shall be elected from retired teachers
or other retired school employees and two shall be elected from retired state employees.
Effective January 1, 2016.
(Amends R.S. 42:802(B)(7), 881, 882(A)(intro para) and (A)(5); adds R.S. 39:21.3(G), R.S.
42:802(D), and 881(B))