Bill Text: FL S0364 | 2018 | Regular Session | Introduced
Bill Title: State Group Health Insurance and Prescription Drug Programs
Spectrum: Partisan Bill (Republican 2-0)
Status: (Failed) 2018-03-10 - Died in Appropriations [S0364 Detail]
Download: Florida-2018-S0364-Introduced.html
Florida Senate - 2018 SB 364 By Senator Grimsley 26-00394A-18 2018364__ 1 A bill to be entitled 2 An act relating to the state group health insurance 3 and prescription drug programs; amending s. 110.1228, 4 F.S.; defining the term “water management district”; 5 authorizing a water management district to participate 6 in the state group health insurance program and the 7 prescription drug coverage program upon the 8 affirmative vote of a district’s governing board; 9 establishing conditions and restrictions regarding 10 participation; providing that monthly premium amounts 11 be based on an actuarial analysis conducted by the 12 Department of Management Services; requiring small 13 counties, small municipalities, district school 14 boards, and water management districts participating 15 in the programs to bear the costs of the actuarial 16 analysis; conforming provisions to changes made by the 17 act; amending s. 373.605, F.S.; conforming a 18 provision; providing an effective date. 19 20 Be It Enacted by the Legislature of the State of Florida: 21 22 Section 1. Section 110.1228, Florida Statutes, is amended 23 to read: 24 110.1228 Participation by small counties, small 25 municipalities,anddistrict school boards, and water management 26 districtslocated in small counties.— 27 (1) As used in this section, the term: 28 (a) “District school board” means a district school board 29 located in a small county or a district school board that 30 receives funding pursuant to s. 1011.62(7). 31 (b) “Small municipality” means an incorporated municipality 32 that has a population of 12,500 or fewer according to the most 33 recent decennial census. 34 (c) “Small county” means a county that has a population of 35 100,000 or fewer according to the most recent decennial census. 36 (d) “Water management district” has the same meaning as in 37 s. 373.019. 38 (2) The governing body of a small county,orsmall 39 municipality, or water management district or a district school 40 board may apply for participation in the state group health 41 insurance program authorized in s. 110.123 and the prescription 42 drug coverage program authorized by s. 110.12315 by submitting 43 an application along with a $500 nonrefundable fee to the 44 department. 45 (3) Any costs or savings to the state group health 46 insurance program or the prescription drug coverage program 47 resulting from such participation shall be passed on to the 48 local government and water management district participants and 49 their employees. Such costs or savings shall be delineated based 50 on the impact to the state, state officers and employees,and51 local government employers and their employees, and water 52 management districts and their employees. 53 (4) As a prerequisite to the adoption of an ordinance or 54 resolution or the affirmative vote of a governing board, for 55 participation in the state group health insurance program and 56 prescription drug coverage program, a small county, small 57 municipality,ordistrict school board, or water management 58 district shall issue a request for proposals to provide health 59 insurance and prescription drug coverage. Such request for 60 proposals shall seek coverages equivalent to those offered 61 currently by the small county, small municipality,ordistrict 62 school board, or water management district and coverages 63 equivalent to the state group health insurance program and 64 prescription drug coverage program. Such request for proposals 65 must provide an opportunity for the receipt of competitive 66 proposals from all interested parties without restriction. The 67 small county, small municipality,anddistrict school board, and 68 water management district shall review and consider all 69 responsive proposals beforeprior tothe adoption of any 70 ordinance or resolution or the affirmative vote of any governing 71 board for participation in the state group health insurance 72 program and prescription drug coverage program. 73 (5) If the department determines that a small county, small 74 municipality,ordistrict school board, or water management 75 district is eligible to enroll, the small county, small 76 municipality,ordistrict school board, or water management 77 district must agree to the following terms and conditions: 78 (a) The minimum enrollment or contractual period will be 3 79 years. 80 (b) The small county, small municipality,ordistrict 81 school board, or water management district must pay to the 82 department an initial administrative fee of not less than $2.61 83 per enrollee per month, or such other amount established 84 annually to fully reimburse the department for its costs. 85 (c) Termination of participation of a small county, small 86 municipality,ordistrict school board, or water management 87 district requires written notice 1 year before the termination 88 date. 89 (d) If participation is terminated, a small county, small 90 municipality,ordistrict school board, or water management 91 district may not reapply for participation for a period of 2 92 years. 93 (e) Small counties, small municipalities,anddistrict 94 school boards, and water management districts shall reimburse 95 the state for 100 percent of its costs, including administrative 96 costs. 97 (f) If a small county, small municipality,ordistrict 98 school board employer, or water management district fails to 99 make the payments required by this section to fully reimburse 100 the state, the Department of Revenue or the Department of 101 Financial Services shall, upon the request of the Department of 102 Management Services, deduct the amount owed by the employer from 103 any funds not pledged to bond debt service satisfaction that are 104 to be distributed by it to the small county, small municipality, 105ordistrict school board, or water management district. The 106 amounts so deducted shall be transferred to the Department of 107 Management Services for further distribution to the trust funds 108 in accordance with this chapter. 109 (g) The small county, small municipality,ordistrict 110 school board, or water management district shall furnish the 111 department any information requested by the department which the 112 department considers necessary to administer the state group 113 health insurance program and the prescription drug coverage 114 program. 115 (h) The small county, small municipality,ordistrict 116 school board, or water management district shall adopt the 117 state’s eligibility rules. 118 (i) The small county, small municipality,ordistrict 119 school board, or water management district may not participate 120 in the state’s cafeteria plan that allows for pretax treatment 121 of premium contributions. If pretax treatment is desirable for 122 employees of these participating employers, each employee of a 123 participating employer shall execute a salary reduction 124 agreement with that employer, and each participating employer 125 shall establish its own cafeteria plan. 126 (j) The small county, small municipality,ordistrict 127 school board, or water management district shall pay monthly 128 premiums in amounts sufficient to cover claims costs, department 129 administrative costs, and third-party administrative costs and 130 provide for adequate reserves and cash flow by contributing 3 131 months’ premiums and costs in advance of the coverage effective 132 date. The premiums must be established by an actuarial analysis 133 conducted by the department in which the requesting party is 134 considered both a distinct health insurance risk pool and as 135 part of the state group health insurance program risk pool. The 136 actuarial analysis must be paid for by the participating small 137 county, small municipality, district school board, or water 138 management district. 139 (6) SectionsThe provisions of ss.624.436-624.446 do not 140 apply to the State Group Insurance Program or to this section. 141 Section 2. Section 373.605, Florida Statutes, is amended to 142 read: 143 373.605 Group insurance for water management districts.—The 144 governing board of a water management district may provide group 145 insurance for its employees, and the employees of another water 146 management district, in the same manner and with the same 147 provisions and limitations authorized for other public employees 148 under ss. 112.08, 112.09, 112.10, 112.11, and 112.14. 149 Alternatively, a water management district, after an affirmative 150 vote of its governing board, may participate in the state group 151 health insurance program and the prescription drug coverage 152 program under s. 110.1228. 153 Section 3. This act shall take effect July 1, 2018.