Bill Text: MI HB6587 | 2009-2010 | 95th Legislature | Introduced

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Bill Title: Insurance; health; health care reconciliation audit; require for certain public employers. Amends 1984 PA 431 (MCL 18.1101 - 18.1594) by adding sec. 280a.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2010-12-02 - Printed Bill Filed 12/02/2010 [HB6587 Detail]

Download: Michigan-2009-HB6587-Introduced.html

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HOUSE BILL No. 6587

 

December 2, 2010, Introduced by Rep. Melton and referred to the Committee on Public Employee Health Care Reform.

 

     A bill to amend 1984 PA 431, entitled

 

"The management and budget act,"

 

(MCL 18.1101 to 18.1594) by adding section 280a.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 280a. (1) By not later than 60 days after the effective

 

date of the amendatory act that added this section, the department

 

shall contract to have conducted a reconciliation audit of the

 

health benefits of covered public employees. The audit shall meet

 

all of the following:

 

     (a) Determine which individuals covered under a health benefit

 

plan provided by a public employer are enrolled in more than 1

 

health benefit plan and provide an amnesty period in which public

 

employees are informed of coverage eligibility rules and provided a

 

period of time to voluntarily correct dual coverage errors.

 

     (b) Provide a process that permits public employees to appeal

 

an ineligibility or nonrespondent decision.

 

     (c) Be completed by not later than 180 days after the

 

effective date of the amendatory act that added this section.

 

     (d) Be conducted in compliance with the health insurance

 

portability and accountability act of 1996, Public Law 104-191.

 

     (2) By not later than 210 days after the effective date of the

 

amendatory act that added this section, the department shall report

 

to the senate and house of representatives on the outcomes of the

 

audit conducted under this section and shall recommend from the

 

audit's findings any legislation as may be necessary to realize

 

additional cost savings.

 

     (3) The legislature shall appropriate sufficient funds to pay

 

for the reconciliation audit contracted for under this section.

 

     (4) As used in this section:

 

     (a) "Health benefits" means medical, surgical, or hospital

 

care benefits.

 

     (b) "Public employee" means an employee, officer, or elected

 

official of a public employer, or an employee retired from

 

employment with a public employer, who is receiving health benefits

 

coverage funded in whole or in part by a public employer.

 

     (c) "Public employer" means the following:

 

     (i) The state.

 

     (ii) Any of the following:

 

     (A) A city, village, township, county, or other political

 

subdivision of this state.

 

     (B) An intergovernmental, metropolitan, or local department,

 

agency, or authority or other local political subdivision.

 

     (C) A school district, a public school academy, or an

 

intermediate school district, as those terms are defined in the

 

revised school code, 1976 PA 451, MCL 380.1 to 380.1852.

 

     (D) A community college or junior college described in section

 

7 of article VIII of the state constitution of 1963.

 

     (E) A public university described in section 4, 5, or 6 of

 

article VIII of the state constitution of 1963.

 

     (F) A board or other administrator of a public employee or

 

officer retirement system.