New Jersey 2022-2023 Regular Session

New Jersey Senate Bill S246

Introduced
1/11/22  

Caption

Permits certain cities to transfer a portion of its public employees from a locally-administered health benefits program to SHBP.

Impact

This bill is expected to alter the landscape of employee health benefits by providing municipalities more flexibility in managing their employees' health coverage. Specifically, it enables larger municipalities the choice to transition specific employees rather than being forced into an all-or-nothing situation. This could lead to improved employee satisfaction and retention, alongside potential cost efficiencies for municipalities because they may opt for state health benefits that are possibly more affordable or provide better coverage options.

Summary

Senate Bill S246, introduced in the State of New Jersey, seeks to amend the participation procedures for municipalities in the State Health Benefits Program (SHBP). Currently, municipalities that have their own health benefits programs can only transition all public employees to SHBP, thereby adopting a blanket approach. However, this bill modifies that stance, allowing municipalities of the first class, defined as those with a population exceeding 150,000, to selectively transfer certain employees into SHBP while retaining other employees within their local programs.

Contention

The passage of S246 may bring about discussions regarding the intent and implications of allowing selective transitions. Proponents argue that providing more options to municipalities can tailor health benefits to better meet the needs of specific employee groups, thereby enhancing local governance. Conversely, there could be concerns regarding the consequences of fragmented health benefits plans that might complicate the administration of health programs and potentially lead to disparities among employees based on their classification within municipal jurisdictions.

Companion Bills

No companion bills found.

Previously Filed As

NJ A2210

Permits certain cities to transfer a portion of its public employees from a locally-administered health benefits program to SHBP.

NJ A412

Permits certain retirees to choose health care coverage under traditional Medicare or Medicare Advantage plan options offered by SHBP or SEHBP.

NJ S3851

Requires Division of Pensions and Benefits to provide report on available funds in local government part of SHBP prior to transferring funds from State part of SHBP; requires monthly reporting on certain assets in SHBP.

NJ A5039

Requires Division of Pensions and Benefits to provide report on available funds in local government part of SHBP prior to transferring funds from State part of SHBP; requires monthly reporting on certain assets in SHBP.

NJ S3756

Permits SHBP and SEHBP to award contracts for more claims administrators for each program plan; requires claims data and trend reports to be provided to certain persons.

NJ A963

Sets level for healthcare benefits; requires employee contributions; prohibits reimbursement of Medicare Part B; adds member to SHBP/SEHBP plan design committees; requires retirees to purchase health benefits through exchanges; provides subsidies for out-of-pocket costs.

NJ A240

Sets level for health care benefits; requires employee contributions; prohibits reimbursement of Medicare Part B; adds member to SHBP/SEHBP plan design committees; requires retirees to purchase health benefits through exchanges; provides subsides for out-of-pocket costs.

NJ S3177

Establishes fringe benefit rate for State public higher education institutions; requires employer pay for health care benefits for certain part-time faculty.

NJ S2963

Establishes fringe benefit rate for State public higher education institutions; requires employer pay for health care benefits for certain part-time faculty.

NJ A3118

Establishes fringe benefit rate for State public higher education institutions; requires employer pay for health care benefits for certain part-time faculty.

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