Florida Senate - 2011                        COMMITTEE AMENDMENT
       Bill No. SPB 7096
       
       
       
       
       
       
                                Barcode 405496                          
       
                              LEGISLATIVE ACTION                        
                    Senate             .             House              
                  Comm: FAV            .                                
                  04/01/2011           .                                
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       The Committee on Budget (Alexander) recommended the following:
       
    1         Senate Amendment (with title amendment)
    2  
    3  
    4         Delete lines 474 - 771
    5  and insert:
    6         (a)1. A member participating in this health insurance plan
    7  option shall be eligible to receive an employer contribution
    8  into the employee’s health savings account from the State
    9  Employees Health Insurance Trust Fund in an amount to be
   10  determined by the Legislature. A member is not eligible for an
   11  employer contribution upon termination of employment. For the
   12  2011-2012 2010-2011 fiscal year, the state’s monthly
   13  contribution for employees having individual coverage shall be
   14  $41.66 and the monthly contribution for employees having family
   15  coverage shall be $83.33.
   16         2. A member participating in this health insurance plan
   17  option shall be eligible to deposit the member’s own funds into
   18  a health savings account.
   19         (b) The monthly premiums paid by the employer for a member
   20  participating in this health insurance plan option shall include
   21  an amount equal to the monthly employer contribution authorized
   22  by the Legislature for that fiscal year.
   23         (c) The health savings accounts shall be administered in
   24  accordance with the requirements and limitations of federal
   25  provisions relating to the Medicare Prescription Drug,
   26  Improvement, and Modernization Act of 2003.
   27         Section 2. Section 110.12302, Florida Statutes, is
   28  repealed.
   29         Section 3. Section 110.12303, Florida Statutes, is created
   30  to read:
   31         110.12303Health insurance risk pool.—
   32         (1) For the 2012 plan year, the department shall establish
   33  a single health insurance risk pool for the state group
   34  insurance plans. Contribution determinations made pursuant to s.
   35  110.123(5)(a) shall consider relative plan values; however, such
   36  determinations may encourage enrollment in consumer-directed
   37  plans.
   38         (2) For the 2013 plan year and for each plan year
   39  thereafter, the department shall establish a single health
   40  insurance risk pool for each of the following groups
   41  participating in the state group insurance plans:
   42         (a) Active employees;
   43         (b) Retirees not eligible for Medicare; and
   44         (c) Retirees eligible for Medicare.
   45  
   46  Contribution determinations made pursuant to s. 110.123(5)(a)
   47  shall consider relative plan values; however, such
   48  determinations may encourage enrollment in consumer-directed
   49  plans.
   50         Section 4. Subsections (1), (2), and (3) of section
   51  110.12315, Florida Statutes, are amended to read:
   52         110.12315 Prescription drug program.—The state employees’
   53  prescription drug program is established. This program shall be
   54  administered by the Department of Management Services, according
   55  to the terms and conditions of the plan as established by the
   56  relevant provisions of the annual General Appropriations Act and
   57  implementing legislation, subject to the following conditions:
   58         (1) The Department of Management Services shall allow
   59  prescriptions written by health care providers under the plan to
   60  be filled by any licensed pharmacy pursuant to contractual
   61  claims-processing provisions. Nothing in This section does not
   62  prohibit may be construed as prohibiting a mail order
   63  prescription drug program distinct from the service provided by
   64  retail pharmacies.
   65         (2) In providing for reimbursement of pharmacies for
   66  prescription medicines dispensed to members of the state group
   67  health insurance plan and their dependents under the state
   68  employees’ prescription drug program:
   69         (a) Retail pharmacies participating in the program must be
   70  reimbursed at a uniform rate and subject to uniform conditions,
   71  according to applicable network agreements and the terms and
   72  conditions of the plan.
   73         (b) There shall be a 30-day supply limit for prescription
   74  card purchases and 90-day supply limit for mail order or mail
   75  order prescription drug purchases. The Department of Management
   76  Services may implement a 90-day supply limit program at select
   77  retail pharmacies if the department finds that it is in the best
   78  financial interest of the program.
   79         (c) The current pharmacy dispensing fee shall be negotiated
   80  in accordance with best industry practices remains in effect.
   81         (3) The Department of Management Services shall establish
   82  the reimbursement schedule for prescription pharmaceuticals
   83  dispensed under the program. Reimbursement rates for a
   84  prescription pharmaceutical must be based on the cost of the
   85  generic equivalent drug if a generic equivalent exists, unless
   86  the physician prescribing the pharmaceutical clearly states on
   87  the prescription that the brand name drug is medically necessary
   88  or that the drug product is included on the formulary of drug
   89  products that may not be interchanged as provided in chapter
   90  465, in which case reimbursement must be based on the cost of
   91  the brand name drug as specified in the reimbursement schedule
   92  adopted by the Department of Management Services.
   93  Notwithstanding the any other provision of this subsection, the
   94  department may require that a generic or formulary brand
   95  prescription be filled before dispensing an alternative within
   96  any therapeutic class.
   97         Section 5. Subsection (1) of section 112.0801, Florida
   98  Statutes, is amended to read:
   99         112.0801 Group insurance; participation by retired
  100  employees.—
  101         (1) Any state agency, county, municipality, special
  102  district, community college, or district school board which
  103  provides life, health, accident, hospitalization, or annuity
  104  insurance, or all of any kinds of such insurance, for its
  105  officers and employees and their dependents upon a group
  106  insurance plan or self-insurance plan shall allow all former
  107  personnel who have retired prior to October 1, 1987, as well as
  108  those who retire on or after such date, and their eligible
  109  dependents, the option of continuing to participate in such
  110  group insurance plan or self-insurance plan. Retirees and their
  111  eligible dependents shall be offered the same health and
  112  hospitalization insurance coverage as is offered to active
  113  employees at a premium cost of no more than the premium cost
  114  applicable to active employees. For the retired employees and
  115  their eligible dependents, the cost of any such continued
  116  participation in any type of plan or any of the cost thereof may
  117  be paid by the employer or by the retired employees. To
  118  determine health and hospitalization plan costs, the employer
  119  shall commingle the claims experience of the retiree group with
  120  the claims experience of the active employees; and, for other
  121  types of coverage, the employer may commingle the claims
  122  experience of the retiree group with the claims experience of
  123  active employees. Retirees covered under Medicare may be
  124  experience-rated separately from the retirees not covered by
  125  Medicare and from active employees, provided that the total
  126  premium does not exceed that of the active group and coverage is
  127  basically the same as for the active group.
  128         Section 6. (1) For the period July 1, 2011, through
  129  December 31, 2012, the Department of Management Services shall
  130  administer the plans and benefits provided under the state group
  131  insurance program consistent with the following parameters:
  132         (a) The state group insurance program shall include a
  133  health insurance standard plan, a state group health insurance
  134  high-deductible plan, a state-contracted health maintenance
  135  organization standard plan, and a state-contracted health
  136  maintenance organization high-deductible plan. Beginning January
  137  1, 2012, the health insurance portion of the state group
  138  insurance program shall be self-insured for active employees and
  139  retirees not eligible for Medicare, and may be self-insured for
  140  retirees eligible for Medicare.
  141         (b) The benefits provided under each of the plans shall be
  142  those benefits as provided in the current State Employees’ PPO
  143  Plan Group Health Insurance Plan Booklet and Benefit Document,
  144  current health maintenance organization contracts, and other
  145  health insurance benefits that are approved by the Legislature.
  146         (c) The high-deductible plans shall continue to include an
  147  integrated health savings account. Such plans and accounts shall
  148  be administered in accordance with the requirements and
  149  limitations of federal provisions relating to the Medicare
  150  Prescription Drug, Improvement, and Modernization Act of 2003.
  151  The state shall make a monthly contribution to an employee’s
  152  health savings account to the extent authorized in s.
  153  110.123(12), Florida Statutes.
  154         (2)For the 2012 plan year and each plan year thereafter,
  155  the Department of Management Services shall develop a program of
  156  health insurance options and enrollee contribution requirements
  157  consistent with s. 110.123(5), Florida Statutes. Options shall
  158  encourage and promote enrollee health plan choices and positive
  159  behavior to promote the health and well-being of health plan
  160  members and to encourage appropriate plan utilization. The
  161  division shall determine the level of premiums necessary to
  162  fully fund the state group health insurance program for the next
  163  fiscal year. The Legislature shall provide in the General
  164  Appropriations Act a premium schedule.
  165         Section 7. The premiums charged under the state group
  166  insurance program for health insurance authorized in s. 110.123,
  167  Florida Statutes, shall be as follows:
  168         (1) STATE CONTRIBUTION.—
  169         (a) Effective July 1, 2011, for the coverage period
  170  beginning August 1, 2011, the state contribution toward the cost
  171  of any plan in the state group health insurance program which is
  172  paid by the executive, legislative, and judicial branches on
  173  behalf of participating employees, shall be, for individual
  174  coverage, the total actuarial cost for the lowest cost plan
  175  offered by the department for individual coverage and shall be,
  176  for family coverage, the total actuarial cost for the lowest
  177  cost plan offered by the department for family coverage, less
  178  the employee contribution in subsection (2).
  179         (b) Effective July 1, 2011, for the coverage period
  180  beginning August 1, 2011, the state contribution toward the cost
  181  of any plan in the state group health insurance program which is
  182  paid by the executive, legislative, and judicial branches on
  183  behalf of each employee enrolled in the spouse program shall be
  184  one-half the total actuarial cost for the lowest cost plan
  185  offered by the department for family coverage, less the employee
  186  contribution in subsection (2).
  187         (2) EMPLOYEE CONTRIBUTION.—
  188         (a) For employees not participating in the spouse program:
  189         1.Effective July 1, 2011, for the coverage period
  190  beginning August 1, 2011, the employee contribution toward the
  191  cost of a standard plan in the state group health insurance
  192  program shall be $50 per month for individual coverage, and $200
  193  per month for family coverage, plus the difference between the
  194  state contribution and the cost of the plan selected.
  195         2.Effective July 1, 2011, for the coverage period
  196  beginning August 1, 2011, the employee contribution toward the
  197  cost of a high-deductible plan in the state group health
  198  insurance program shall continue at $15 per month for individual
  199  coverage and $64.30 per month for family coverage, plus the
  200  difference between the state contribution and the cost of the
  201  plan selected.
  202         (b)For employees participating in the spouse program in
  203  accordance with section 60P-2.0036, Florida Administrative Code:
  204         1.Effective July 1, 2011, for the coverage period
  205  beginning August 1, 2011, the employee contribution toward the
  206  cost of a standard plan in the state group health insurance
  207  program shall be $100 per month for family coverage, plus the
  208  difference between the state contribution and the cost of the
  209  plan selected.
  210         2.Effective July 1, 2011, for the coverage period
  211  beginning August 1, 2011, the employee contribution toward the
  212  cost of a high-deductible health plan in the state group health
  213  insurance program shall be $32.15 per month for family coverage,
  214  plus the difference between the state contribution and the cost
  215  of the plan selected.
  216         (3) STATE RETIREE ELIGIBLE FOR MEDICARE.—Effective July 1,
  217  2011, for the coverage period beginning August 1, 2011, a
  218  Medicare participant who participates in the state group
  219  insurance program shall pay a monthly premium set in the General
  220  Appropriations Act.
  221         (4)STATE RETIREE NOT ELIGIBLE FOR MEDICARE.—Effective July
  222  1, 2011, for the coverage period beginning August 1, 2011, the
  223  monthly premium for a retiree who is not eligible for Medicare
  224  but who participates in any plan offered through the state group
  225  insurance program shall be set in the General Appropriations
  226  Act.
  227  
  228  ================= T I T L E  A M E N D M E N T ================
  229         And the title is amended as follows:
  230         Delete lines 11 - 13
  231  and insert:
  232         incentive programs; providing for state contributions
  233         to health insurance coverage for employees and their
  234         families for the 2011-2012 fiscal year; repealing s.