By: Cook S.B. No. 2733
A BILL TO BE ENTITLED
AN ACT
relating to the election of certain participating entities to
participate in the uniform group coverage program for active school
employees.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subchapter D, Chapter 1579, Insurance Code, is
amended by adding Section 1579.1551 to read as follows:
Sec. 1579.1551. PARTICIPATING ENTITY PROGRAM
PARTICIPATION. (a) This section applies to a participating entity
that discontinued participation in the program effective on
September 1, 2022, in accordance with Section 1579.155(a).
(b) Notwithstanding Section 1579.155(b), a participating
entity to which this section applies may elect to participate in the
program before the fifth anniversary of the effective date of the
participating entity's election to discontinue participation in
the program if the participating entity:
(1) provides written notice to the trustee not later
than December 31, 2025, of the participating entity 's election to
participate in the program effective beginning September 1, 2026;
and
(2) complies with any other requirements established
by the trustee for program participation.
(c) For the plan year beginning September 1, 2026, the
trustee shall impose a risk stabilization fee in an amount
determined by the trustee on the premiums of a participating entity
to which this section applies.
(d) A participating entity that elects to participate in the
program in accordance with this section may not elect to
discontinue participation until September 1, 2031.
(e) The trustee by rule may impose additional requirements,
conditions, and deadlines with which a participating entity to
which this section applies must comply to elect to participate in
the program in accordance with this section.
(f) This section expires September 1, 2031.
SECTION 2. This Act takes effect September 1, 2025.