HOUSE AMENDMENT

    hbd-032                   Bill No. CS for CS for CS for SB 414

    Amendment No. ___ (for drafter's use only)

                            CHAMBER ACTION
              Senate                               House
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  5                                           ORIGINAL STAMP BELOW

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10  ______________________________________________________________

11  Representative(s) Spratt offered the following:

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13         Amendment (with title amendment) 

14         On page 1, line 18,

15  remove from the bill:  everything after the enacting clause,

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17  and insert in lieu thereof:

18         Section 1.  (1)  It is the intent of the Legislature to

19  consider legislation at the 2001 Regular Session to expand the

20  eligibility of the state group health insurance program and

21  the state employees' prescription drug coverage program to

22  include small municipalities, small counties, and district

23  school boards of small counties.  It is the intent of the

24  Legislature that any costs or savings to the state group

25  health insurance program or the state employees' prescription

26  drug coverage program resulting from such expansion shall be

27  passed on to the local government participants and their

28  employees.

29         (2)  The Department of Management Services shall

30  contract with a third party to conduct an actuarial study to

31  determine the cost of allowing small counties, small

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    File original & 9 copies    04/28/00
    hbd0022                     06:33 pm         00414-0077-435613




                                                   HOUSE AMENDMENT

    hbd-032                   Bill No. CS for CS for CS for SB 414

    Amendment No. ___ (for drafter's use only)





  1  municipalities, or eligible district school boards to

  2  participate in the state group health insurance program and

  3  the state employees' prescription drug program offering such

  4  coverage to officers, employees, dependents, and retirees of

  5  such entities.  Such costs shall be delineated based on the

  6  impact to the state, state officers and employees, and local

  7  government employers and their employees.  The department

  8  shall issue its report to the Governor, the President of the

  9  Senate, and the Speaker of the House of Representatives by

10  December 1, 2000.

11         (3)  For purposes of conducting the actuarial study,

12  criteria to be considered for eligibility to enroll include,

13  but are not limited to:

14         (a)  A minimum enrollment or contractual period of 3

15  years.

16         (b)  A requirement that written notice to withdraw from

17  the program must be given at least 12 months prior to the

18  termination date.

19         (4)  The Department of Management Services shall

20  request from the Internal Revenue Service, by October 1, 2000,

21  a written determination letter and a favorable private letter

22  ruling, stating that the State Group Self-Insurance Program is

23  a facially qualified plan.  The department shall notify the

24  President of the Senate and the Speaker of the House of

25  Representatives within 30 days after the receipt of the

26  favorable or unfavorable letters.

27         (5)  For the purposes of this section "small county"

28  means any county that has a population of 100,000 or less

29  according to the most recent decennial census and "small city"

30  means any incorporated municipality that has a population of

31  12,500 or less according to the most recent decennial census.

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    File original & 9 copies    04/28/00
    hbd0022                     06:33 pm         00414-0077-435613




                                                   HOUSE AMENDMENT

    hbd-032                   Bill No. CS for CS for CS for SB 414

    Amendment No. ___ (for drafter's use only)





  1         Section 2.  This act shall take effect upon becoming a

  2  law.

  3

  4

  5  ================ T I T L E   A M E N D M E N T ===============

  6  And the title is amended as follows:

  7         On page 1, lines 2 through 15,

  8  remove from the title of the bill:  all of said lines,

  9

10  and insert in lieu thereof:

11         An act relating to the state group health

12         insurance program and the state employees'

13         prescription drug program; providing

14         legislative intent; authorizing the Department

15         of Management Services to contract for an

16         actuarial study for certain purposes; providing

17         criteria; requiring the department to request a

18         private letter ruling from the Internal Revenue

19         Service; providing definitions; providing an

20         effective date.

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    File original & 9 copies    04/28/00
    hbd0022                     06:33 pm         00414-0077-435613