Bill Text: MN SF977 | 2013-2014 | 88th Legislature | Introduced


Bill Title: Public employees insurance program (PEIP) local government employees participation or withdrawal approval requirements; service cooperative health insurance refund regulation

Sponsorship: Bipartisan Bill

Status: (Introduced - Dead) 2013-03-04 - Referred to State and Local Government [SF977 Detail]

Download: Minnesota-2013-SF977-Introduced.html

1.1A bill for an act
1.2relating to insurance; regulating service cooperative refunds; requiring local
1.3government employees to approve participation in or withdrawal from the public
1.4employees insurance program;amending Minnesota Statutes 2012, sections
1.543A.316, subdivision 5; 123A.21, by adding a subdivision; 471.611, subdivision
1.62.
1.7BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.8    Section 1. Minnesota Statutes 2012, section 43A.316, subdivision 5, is amended to read:
1.9    Subd. 5. Public employee participation. (a) Participation in the program is subject
1.10to the conditions in this subdivision.
1.11(b) Each exclusive representative for an eligible employer determines whether the
1.12employees it represents will participate in the program. The exclusive representative shall
1.13give the employer notice of intent to participate at least 30 days before the expiration date
1.14of the collective bargaining agreement preceding the collective bargaining agreement that
1.15covers the date of entry into the program. The exclusive representative and the eligible
1.16employer shall give notice to the commissioner of the determination to participate in the
1.17program at least 30 days before entry into the program. Entry into the program is governed
1.18by a schedule established by the commissioner. If an exclusive representative of eligible
1.19employees gives notice to their eligible employer that the employees it represents desire to
1.20participate in the program, that determination does not become final for any insurance
1.21eligible employees unless (1) the eligible employer and the exclusive representative of
1.22the employees of an appropriate bargaining unit certified under section 179A.12 agree to
1.23the change, and (2) it is approved by a majority of all insurance eligible employees of the
1.24appropriate bargaining unit. If enrolling in the program is approved then either all or none
1.25of the insurance eligible employees of the appropriate bargaining unit must participate in
2.1the program, except as provided by section 471.611, subdivision 2. Entry into the program
2.2is governed by a schedule established by the commissioner.
2.3(c) Employees not represented by exclusive representatives, including retirees who
2.4continue insurance coverage through the eligible employer, may become members of the
2.5program upon a determination of an eligible employer to include these employees in the
2.6program. Either all or none of the employer's unrepresented employees must participate.
2.7The eligible employer shall give at least 30 days' notice to the commissioner before
2.8entering the program. Entry into the program is governed by a schedule established by
2.9the commissioner.
2.10(d) Participation in the program is for a two-year term. Participation is automatically
2.11renewed for an additional two-year term unless the exclusive representative, or the
2.12employer for unrepresented employees, gives the commissioner notice of withdrawal
2.13at least 30 days before expiration of the participation period. A group that withdraws
2.14must wait two years before rejoining. An exclusive representative, or employer for
2.15unrepresented employees, may also withdraw if premiums increase 50 percent or more from
2.16one insurance year to the next. Participation is automatically renewed for an additional
2.17one-year term unless the exclusive representative, or the employer for unrepresented
2.18employees, gives the commissioner notice of withdrawal at least 30 days before expiration
2.19of the participation period. The program must permit participating entities to solicit bids
2.20and other information from competing sources of health coverage without penalty. The
2.21program must provide each enrolled entity with the entity's monthly claims data upon
2.22request. The program may prohibit the entity from participating in program coverage for a
2.23period of up to one year, if the entity leaves the program and obtains other health coverage.
2.24(e) The exclusive representative shall give the employer notice of intent to withdraw
2.25to the commissioner at least 30 days before the expiration date of a collective bargaining
2.26agreement that includes the date on which the term of participation expires.
2.27(f) Each participating eligible employer shall notify the commissioner of names of
2.28individuals who will be participating within two weeks of the commissioner receiving
2.29notice of the parties' intent to participate. The employer shall also submit other information
2.30as required by the commissioner for administration of the program.
2.31EFFECTIVE DATE.This section is effective the day following final enactment.

2.32    Sec. 2. Minnesota Statutes 2012, section 123A.21, is amended by adding a subdivision
2.33to read:
2.34    Subd. 13. Insurance premium refunds. A service cooperative may not refund any
2.35portion of a health insurance premium paid by a member entity without first providing
3.1written notice of the refund to any applicable exclusive representative of employees of
3.2the member entity receiving the refund.
3.3EFFECTIVE DATE.This section is effective the day following final enactment.

3.4    Sec. 3. Minnesota Statutes 2012, section 471.611, subdivision 2, is amended to read:
3.5    Subd. 2. Coordination. A unit of local government that funds all or part of the
3.6cost of health care benefits for a retired employee, or that allows a retired employee to
3.7continue health insurance coverage through the unit of local government, must provide
3.8for coverage to be coordinated with applicable benefits provided through the federally
3.9sponsored Medicare program.
3.10EFFECTIVE DATE.This section is effective the day following final enactment.
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