2024 Regular Session ENROLLED SENATE BILL NO. 367 BY SENATORS BASS AND MILLER 1 AN ACT 2 To amend and reenact R.S. 14:98(F)(4)(c), the heading of Part IV of Chapter 11 of Title 22 3 of the Louisiana Revised Statutes of 1950, and R.S. 22:2161 and 2242(A) and (B), 4 R.S. 36:694.1(C), and R.S. 40:1428(A)(4)(a) and (C) and to repeal Part II of Chapter 5 11 of Title 22 of the Louisiana Revised Statutes of 1950 comprised of R.S. 22:2131 6 through 2135, and Part V of Chapter 11 of Title 22 of the Louisiana Revised Statutes 7 of 1950, comprised of R.S. 22:2171, and R.S. 36:686(C)(1), (3), and (4), and R.S. 8 40:1421(12), relative to the boards and commissions; to authorize the commissioner 9 to create boards and commissions; to provide for duties; to provide for membership; 10 to provide for reporting; to repeal certain boards and commissions; and to provide 11 for related matters. 12 Be it enacted by the Legislature of Louisiana: 13 Section 1. R.S. 14:98(F)(4)(c) is hereby amended and reenacted to read as follows: 14 §98. Operating a vehicle while intoxicated 15 * * * 16 F.(1) * * * 17 (4) The proceeds of the sale shall first be used to pay court costs and towing 18 and storage costs, and the remainder shall be allocated as follows: 19 * * * 20 (c) Twenty percent of the funds shall go to the Louisiana Property and 21 Casualty Insurance Commission department for its use in studying ways to reduce ACT No. 339 Page 1 of 8 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 367 ENROLLED 1 drunk driving and insurance rates. 2 * * * 3 Section 2. The heading of Part IV of Chapter 11 of Title 22 of the Louisiana Revised 4 Statutes of 1950, and R.S. 22:2161 and 2242(A) and (B) are hereby amended and reenacted 5 to read as follows: 6 PART IV. LOUISIANA HEALTH CARE COMMISSION 7 DEPARTMENT ADVISORY BOARDS 8 §2161. Louisiana Health Care Commission; creation Powers of the commissioner; 9 creation of advisory boards 10 A. There is hereby created the Louisiana Health Care Commission within the 11 Department of Insurance. The commission shall be domiciled in Baton Rouge, and 12 its members shall serve for terms of two years. The functions, duties, and 13 responsibilities of the commission shall be to review and study the availability, 14 affordability, and delivery of quality health care in the state. The commission shall 15 specifically examine the rising costs of health care in the state, including but not 16 limited to the cost of administrative duplication, the costs associated with excess 17 capacity and duplication of medical services, and the costs of medical malpractice 18 and liability and shall examine the adequacy of consumer protections, as well as the 19 formation and implementation of insurance pools that better assure citizens the 20 ability to obtain health insurance at affordable costs and encourage employers to 21 obtain health care benefits for their employees by increased bargaining power and 22 economies of scale for better coverage and benefit options at reduced costs. Further, 23 the commission shall examine the implementation issues related to national health 24 care reform initiatives. Of the members of the commission, three members shall be 25 appointed from a list of nominees submitted by the governing boards of state 26 colleges and universities and by a dean from the business schools represented by the 27 Louisiana Association of Independent Colleges and Universities. One member of the 28 Senate Committee on Insurance shall be appointed by the president of the Senate and 29 one member of the House Committee on Insurance shall be appointed by the speaker 30 of the House of Representatives to the commission to act as ex officio, nonvoting Page 2 of 8 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 367 ENROLLED 1 members. One member of the commission shall be appointed by the secretary of the 2 Louisiana Department of Health. The commissioner of insurance shall appoint five 3 at-large members to the commission. The remainder of the members shall be 4 appointed by the commissioner of insurance from a list of nominees, one nominee 5 to be submitted by each of the following: 6 (1) The Louisiana Insurers' Conference. 7 (2) Louisiana Association of Health Plans. 8 (3) America's Health Insurance Plans. 9 (4) A domestic mutual, nonprofit health service and indemnity company. 10 (5) Louisiana State Medical Society. 11 (6) Louisiana Association for Justice. 12 (7) Health Agents for America. 13 (8) Agenda for Children. 14 (9) Independent Insurance Agents & Brokers of Louisiana. 15 (10) AARP Louisiana. 16 (11) The National Federation of Independent Businesses. 17 (12) Repealed by Acts 2012, No. 271, §2, eff. August 1, 2012. 18 (13) Louisiana Independent Pharmacies Association. 19 (14) AARP, the nominee of which shall be a volunteer representative. 20 (15) Louisiana Association of Business and Industry. 21 (16) Louisiana Health Plan. 22 (17) NAIFA Louisiana. 23 (18) League of Women Voters. 24 (19) Louisiana Hospital Association. 25 (20) Louisiana Primary Care Association. 26 (21) Repealed by Acts 2014, No. 90, §2, eff. August 1, 2014. 27 (22) A domestic commercial health insurance issuer. 28 (23) Chiropractic Association of Louisiana. 29 (24) Louisiana AFL-CIO. 30 (25) Louisiana Physical Therapy Association. Page 3 of 8 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 367 ENROLLED 1 (26) Louisiana State Nurses Association. 2 (27) Louisiana Dental Association. 3 (28) Louisiana Nursing Home Association. 4 (29) Louisiana's Medicare Peer Review Organization as designated by the 5 Health Care Financing Administration. 6 (30) Louisiana Business Group on Health. 7 (31) Louisiana Association of Health Underwriters. 8 (32) Louisiana Psychological Association. 9 (33) Optometry Association of Louisiana. 10 (34) Repealed by Acts 2012, No. 271, §2, eff. August 1, 2012. 11 (35) National Medical Association. 12 (36) National Association for the Advancement of Colored People. 13 (37) Repealed by Acts 2012, No. 271, §2, eff. August 1, 2012. 14 (38) Louisiana Council on Human Relations. 15 (39) National Dental Association. The commissioner may create one or 16 more advisory boards consisting of representatives of insurers, insurance 17 producers, consumers of insurance products not otherwise connected with the 18 insurance industry, and other appropriate persons. 19 B. The commissioner of insurance, or his designee, shall serve ex officio on 20 the commission and the commissioner shall appoint a chairman and vice chairman 21 to serve terms of two years. The commissioner shall appoint the members of any 22 advisory board created pursuant to this Section. The commissioner shall ensure 23 that his appointments demonstrate race, gender, ethnic, and geographical 24 diversity. The commissioner shall promulgate rules and regulations in 25 accordance with the Administrative Procedure Act providing for the creation, 26 governance, duties, and termination of any advisory board created pursuant to 27 this Section. 28 C. Each appointment by the commissioner shall be confirmed by the Senate. 29 Advisory boards created pursuant to this Section shall advise the commissioner 30 with respect to the availability and affordability of insurance and other matters Page 4 of 8 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 367 ENROLLED 1 as the commissioner may submit to the advisory board or commission. 2 D. The members of the commission shall serve without compensation. The 3 commissioner shall report on the activities of advisory boards created pursuant 4 to this Section as part of the annual report of the department. The 5 commissioner may submit special reports and recommendations to the 6 legislature on behalf of an advisory board created pursuant to this Section. 7 E. Vacancies in the offices of the members shall be filled in the same manner 8 as the original appointments for the unexpired portion of the term of the office 9 vacated. 10 F. A quorum for the transaction of business by the commission shall be forty 11 percent of the membership of the commission. All official actions of the commission 12 shall require the affirmative vote of a majority of a quorum of the commission 13 present and voting during meetings of the commission. 14 G. The commission shall meet twice in any one calendar year and may meet 15 on the call of the chairman or upon the request of any three members. 16 H. The commission shall serve as an advisory body to the commissioner and 17 shall submit to the commissioner its recommendations on all matters which it is 18 charged to examine pursuant to Subsection A of this Section. The commission may 19 conduct public hearings to receive testimony about the availability and affordability 20 of health care in the state. The commission shall also be permitted to receive further 21 information and testimony from regional and national experts on health care access 22 issues. 23 I. The commissioner shall submit a yearly report on health care and health 24 insurance, which takes into consideration the recommendations, actions, and studies 25 of the commission, to the legislature prior to each annual regular session. 26 J. The commissioner shall conduct the daily affairs of the commission as 27 specified in this Section. 28 * * * 29 §2242. Authorization to develop pilot programs 30 A. The Department of Insurance department is authorized to may establish Page 5 of 8 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 367 ENROLLED 1 pilot health insurance programs to increase access to affordable health insurance for 2 small employers and for individuals. In conjunction with the Louisiana Department 3 of Health and after consultation with the Louisiana Health Care Commission, the 4 department is authorized to may develop private health insurance coverage for small 5 employers and individuals, as further provided in R.S. 22:2243 and 2244. 6 B. In conjunction with the Louisiana Business Group on Health and the 7 Louisiana Health Care Commission, the The department is hereby authorized to may 8 establish employer purchasing cooperatives and other pilot programs that increase 9 access to affordable group and individual health insurance coverage that meets the 10 minimum requirements of R.S. 22:984 and 1061 through 1079 1080, as further 11 provided in R.S. 22:2245. 12 * * * 13 Section 3. R.S. 36:694.1(C) is hereby amended and reenacted to read as follows: 14 §694.1. Office of policy, innovation, and research; functions 15 * * * 16 C. In addition to the deputy commissioner of policy, innovation, and 17 research, the commissioner of insurance may also employ such persons, including 18 four unclassified employees, as necessary to carry out the provisions of this Section. 19 and to provide necessary staff support for the following entities: 20 (1) The Louisiana Health Care Commission. 21 (2) The Louisiana Automobile Theft and Insurance Fraud Prevention 22 Authority. 23 (3) The Louisiana Property and Casualty Insurance Commission. 24 Section 4. R.S. 40:1428(A)(4)(a) and (C) are hereby amended and reenacted to read 25 as follows: 26 §1428. Special assessment; creation of dedicated fund account 27 A.(1) * * * 28 (4)(a) Prior to making the allocations specified in Subparagraph (b) of this 29 Paragraph, the commissioner of insurance is authorized to may withhold the sum of 30 thirty thousand dollars per year from the fees collected pursuant to this Section to Page 6 of 8 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 367 ENROLLED 1 defray the expense of collection of the fees, enforcement of this Subpart, and 2 operation of the Department of Insurance and shall withhold one hundred eighty- 3 seven thousand dollars to fund the Louisiana Automobile Theft and Insurance Fraud 4 Prevention Authority pursuant to R.S. 22:2134. 5 * * * 6 C. After compliance with the requirements of Article VII, Section 9(B) of the 7 Constitution of Louisiana relative to the Bond Security and Redemption Fund, an 8 amount equal to that deposited as required by Subsection B of this Section shall be 9 credited to a special statutorily dedicated fund account hereby created in the state 10 treasury to be known as the Insurance Fraud Investigation Dedicated Fund Account, 11 hereafter referred to in this Subsection as the "account". The monies shall be 12 irrevocably dedicated and deposited in the account and shall be used solely as 13 provided in Subsection A of this Section and only in the amounts appropriated by the 14 legislature. Monies in the account shall be appropriated, administered, and used 15 solely and exclusively for purposes of the fraud unit, fraud support unit, insurance 16 fraud section, LATIFPA, and as further provided in this Section. All unexpended and 17 unencumbered monies in the account at the end of the fiscal year shall be refunded 18 to each insurer licensed by the Department of Insurance to conduct business in this 19 state assessed a fee pursuant to this Section on a pro-rata basis based on each 20 insurer's proportionate share of the total fees collected pursuant to this Section. 21 Monies deposited into the account shall be categorized as fees and self-generated 22 revenue for the sole purpose of reporting related to the executive budget, supporting 23 documents, and general appropriation bills and shall be available for annual 24 appropriation by the legislature. 25 * * * 26 Section 5. Part II of Chapter 11 of Title 22 of the Louisiana Revised Statutes of 1950, 27 comprised of R.S. 22:2131 through 2135, and Part V of Chapter 11 of Title 22 of the 28 Louisiana Revised Statutes of 1950, comprised of R.S. 22:2171, R.S. 36:686(C)(1), (3), and 29 (4) and R.S. 40:1421(12) are hereby repealed in their entirety. 30 Section 6. Upon the effective date of this Act, any remaining funds in the Automobile Page 7 of 8 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 367 ENROLLED 1 Theft and Insurance Fraud Prevention Authority Dedicated Fund Account repealed herein 2 shall be transferred to the Department of Insurance for the purpose of fraud prevention, 3 detection, and education. PRESIDENT OF THE SENATE SPEAKER OF THE HOUSE OF REPRESENTATIVES GOVERNOR OF THE STATE OF LOUISIANA APPROVED: Page 8 of 8 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions.