HB 0157 2003
1	A bill to be entitled
2	An act relating to state group insurance programs;
3	amending s. 110.1228, F.S.; expanding eligibility for
4	participation in the state group health insurance program
5	and the prescription drug coverage program; providing for
6	participation by employees of all elected district school
7	boards rather than only district school boards located in
8	small counties; providing requirements for application and
9	enrollment; providing certain limitations; providing for
10	applicability; providing an effective date.
11
12	Be It Enacted by the Legislature of the State of Florida:
13
14	Section 1. Section 110.1228, Florida Statutes, is amended
15	to read:
16	110.1228 Participation by small counties, small
17	municipalities, and district school boardslocated in small
18	counties.--
19	(1) As used in this section, the term:
20	(a) "District school board" means a district school board
21	as defined in s. 1003.01(1)located in a small county or a
22	district school board that receives funding pursuant to s.
23	1011.62(6).
24	(b) "Small municipality" means an incorporated
25	municipality that has a population of 12,500 or fewer according
26	to the most recent decennial census.
27	(c) "Small county" means a county that has a population of
28	100,000 or fewer according to the most recent decennial census.
29	(2) The governing body of a small county or small
30	municipality or a district school board may apply for
31	participation in the state group health insurance program
32	authorized in s. 110.123 and the prescription drug coverage
33	program authorized by s. 110.12315 by submitting an application
34	along with a $500 nonrefundable fee to the department.
35	(3) Any costs or savings to the state group health
36	insurance program or the prescription drug coverage program
37	resulting from such participation shall be passed on to the
38	local government participants and their employees. Such costs or
39	savings shall be delineated based on the impact to the state,
40	state officers and employees, and local government employers and
41	their employees.
42	(4) As a prerequisite to the adoption of an ordinance or
43	resolution for participation in the state group health insurance
44	program and prescription drug coverage program, a small county,
45	small municipality, or district school board shall issue a
46	request for proposals to provide health insurance and
47	prescription drug coverage. Such request for proposals shall
48	seek coverages equivalent to those offered currently by the
49	small county, small municipality, or district school board and
50	coverages equivalent to the state group health insurance program
51	and prescription drug coverage program. Such request for
52	proposals must provide an opportunity for the receipt of
53	competitive proposals from all interested parties without
54	restriction. The small county, small municipality, and district
55	school board shall review and consider all responsive proposals
56	prior to the adoption of any ordinance or resolution for
57	participation in the state group health insurance program and
58	prescription drug coverage program.
59	(5) If the department determines that a small county,
60	small municipality, or district school board is eligible to
61	enroll, the small county, small municipality, or district school
62	board must agree to the following terms and conditions:
63	(a) The minimum enrollment or contractual period will be 3
64	years.
65	(b) The small county, small municipality, or district
66	school board must pay to the department an initial
67	administrative fee of not less than $2.61 per enrollee per
68	month, or such other amount established annually to fully
69	reimburse the department for its costs.
70	(c) Termination of participation of a small county, small
71	municipality, or district school board requires written notice 1
72	year before the termination date.
73	(d) If participation is terminated, a small county, small
74	municipality, or district school board may not reapply for
75	participation for a period of 2 years.
76	(e) Small counties, small municipalities, and district
77	school boards shall reimburse the state for 100 percent of its
78	costs, including administrative costs.
79	(f) If a small county, small municipality, or district
80	school board employer fails to make the payments required by
81	this section to fully reimburse the state, the Department of
82	Revenue or the Department of Banking and Finance shall, upon the
83	request of the Department of Management Services, deduct the
84	amount owed by the employer from any funds not pledged to bond
85	debt service satisfaction that are to be distributed by it to
86	the small county, small municipality, or district school board.
87	The amounts so deducted shall be transferred to the Department
88	of Management Services for further distribution to the trust
89	funds in accordance with this chapter.
90	(g) The small county, small municipality, or district
91	school board shall furnish the department any information
92	requested by the department which the department considers
93	necessary to administer the state group health insurance program
94	and the prescription drug coverage program.
95	(h) The small county, small municipality, or district
96	school board shall adopt the state's eligibility rules.
97	(i) The small county, small municipality, or district
98	school board may not participate in the state's cafeteria plan
99	that allows for pretax treatment of premium contributions. If
100	pretax treatment is desirable for employees of these
101	participating employers, each employee of a participating
102	employer shall execute a salary reduction agreement with that
103	employer, and each participating employer shall establish its
104	own cafeteria plan.
105	(j) The small county, small municipality, or district
106	school board shall pay monthly premiums in amounts sufficient to
107	cover claims costs, department administrative costs, and third-
108	party administrative costs and provide for adequate reserves and
109	cash flow by contributing 3 months' premiums and costs in
110	advance of the coverage effective date.
111	(6) The provisions of ss. 624.436-624.446 do not apply to
112	the State Group Insurance Program or to this section.
113	(7) The Department of Management Services may adopt rules
114	necessary to administer this section.
115	Section 2. This act shall take effect July 1, 2003, and
116	applies to enrollment participation for district school boards
117	on and after January 1, 2004.
118