Florida Senate - 2026                                     SB 854
       
       
        
       By Senator DiCeglie
       
       
       
       
       
       18-00468-26                                            2026854__
    1                        A bill to be entitled                      
    2         An act relating to small independent special fire
    3         control districts; amending s. 110.1228, F.S.;
    4         defining the term “small independent special fire
    5         control district”; authorizing the governing body of a
    6         small independent special fire control district to
    7         apply for participation in the state group health
    8         insurance and prescription drug programs; revising
    9         eligibility requirements to include such districts;
   10         requiring the Department of Management Services to
   11         conduct a certain actuarial analysis; requiring that
   12         such analysis be paid for by the small independent
   13         special fire control district; providing that if such
   14         a district issued a request for proposals within a
   15         specified timeframe, such request satisfies specified
   16         requirements; requiring the department to conduct an
   17         actuarial analysis by a specified date under certain
   18         conditions; providing an effective date.
   19          
   20  Be It Enacted by the Legislature of the State of Florida:
   21  
   22         Section 1. Section 110.1228, Florida Statutes, is amended
   23  to read:
   24         110.1228 Participation by small counties, small
   25  municipalities, and district school boards located in small
   26  counties, and small independent special fire control districts.—
   27         (1) As used in this section, the term:
   28         (a) “District school board” means a district school board
   29  located in a small county or a district school board that
   30  receives funding pursuant to s. 1011.62(1)(f).
   31         (b) “Small county” means a county that has a population of
   32  100,000 or fewer according to the most recent decennial census.
   33         (c)“Small independent special fire control district” means
   34  an independent special fire control district as defined in s.
   35  191.003 which has fewer than 100 employees and is located within
   36  a county in which there is a countywide emergency medical
   37  services authority created by special act.
   38         (d) “Small municipality” means an incorporated municipality
   39  that has a population of 12,500 or fewer according to the most
   40  recent decennial census.
   41         (c) “Small county” means a county that has a population of
   42  100,000 or fewer according to the most recent decennial census.
   43         (2) The governing body of a small county, or small
   44  municipality, or a district school board, or small independent
   45  special fire control district may apply for participation in the
   46  state group health insurance program authorized in s. 110.123
   47  and the prescription drug coverage program authorized by s.
   48  110.12315 by submitting an application along with a $500
   49  nonrefundable fee to the department.
   50         (3) Any costs or savings to the state group health
   51  insurance program or the prescription drug coverage program
   52  resulting from such participation must shall be passed on to the
   53  local government participants and their employees. Such costs or
   54  savings must shall be delineated based on the impact to the
   55  state, state officers and employees, and local government
   56  employers and their employees.
   57         (4) As a prerequisite to the adoption of an ordinance or
   58  resolution for participation in the state group health insurance
   59  program and prescription drug coverage program, a small county,
   60  small municipality, or district school board, or small
   61  independent special fire control district shall issue a request
   62  for proposals to provide health insurance and prescription drug
   63  coverage. Such request for proposals must shall seek coverages
   64  equivalent to those offered currently by the small county, small
   65  municipality, or district school board, or small independent
   66  special fire control district and coverages equivalent to the
   67  state group health insurance program and prescription drug
   68  coverage program. Such request for proposals must provide an
   69  opportunity for the receipt of competitive proposals from all
   70  interested parties without restriction. The small county, small
   71  municipality, and district school board, and small independent
   72  special fire control district shall review and consider all
   73  responsive proposals before prior to the adoption of any
   74  ordinance or resolution for participation in the state group
   75  health insurance program and prescription drug coverage program.
   76         (5) If the department determines that a small county, small
   77  municipality, or district school board, or small independent
   78  special fire control district is eligible to enroll, the small
   79  county, small municipality, or district school board, or small
   80  independent special fire control district must agree to the
   81  following terms and conditions:
   82         (a) The minimum enrollment or contractual period will be 3
   83  years.
   84         (b) The small county, small municipality, or district
   85  school board, or small independent special fire control district
   86  must pay to the department an initial administrative fee of not
   87  less than $2.61 per enrollee per month, or such other amount
   88  established annually to fully reimburse the department for its
   89  costs.
   90         (c) Termination of participation of a small county, small
   91  municipality, or district school board, or small independent
   92  special fire control district requires written notice 1 year
   93  before the termination date.
   94         (d) If participation is terminated, a small county, small
   95  municipality, or district school board, or small independent
   96  special fire control district may not reapply for participation
   97  for a period of 2 years.
   98         (e) Small counties, small municipalities, and district
   99  school boards, and small independent special fire control
  100  districts shall reimburse the state for 100 percent of its
  101  costs, including administrative costs.
  102         (f) If a small county, small municipality, or district
  103  school board, or small independent special fire control district
  104  employer fails to make the payments required by this section to
  105  fully reimburse the state, the Department of Revenue or the
  106  Department of Financial Services shall, upon the request of the
  107  Department of Management Services, deduct the amount owed by the
  108  employer from any funds not pledged to bond debt service
  109  satisfaction that are to be distributed by it to the small
  110  county, small municipality, or district school board, or small
  111  independent special fire control district. The amounts so
  112  deducted must shall be transferred to the Department of
  113  Management Services for further distribution to the trust funds
  114  in accordance with this chapter.
  115         (g) The small county, small municipality, or district
  116  school board, or small independent special fire control district
  117  shall furnish the department any information requested by the
  118  department which the department considers necessary to
  119  administer the state group health insurance program and the
  120  prescription drug coverage program.
  121         (h) The small county, small municipality, or district
  122  school board, or small independent special fire control district
  123  shall adopt the state’s eligibility rules.
  124         (i) The small county, small municipality, or district
  125  school board, or small independent special fire control district
  126  may not participate in the state’s cafeteria plan that allows
  127  for pretax treatment of premium contributions. If pretax
  128  treatment is desirable for employees of these participating
  129  employers, each employee of a participating employer shall
  130  execute a salary reduction agreement with that employer, and
  131  each participating employer shall establish its own cafeteria
  132  plan.
  133         (j) The small county, small municipality, or district
  134  school board, or small independent special fire control district
  135  shall pay monthly premiums in amounts sufficient to cover claims
  136  costs, department administrative costs, and third-party
  137  administrative costs and provide for adequate reserves and cash
  138  flow by contributing 3 months’ premiums and costs in advance of
  139  the coverage effective date.
  140         (6) If a small independent special fire control district
  141  elects to participate in the state group health insurance
  142  program authorized in s. 110.123 and the prescription drug
  143  program authorized by s. 110.12315, the department must conduct
  144  an actuarial analysis to determine the small independent special
  145  fire control district’s health insurance premiums. Such analysis
  146  must be paid for by the small independent special fire control
  147  district.
  148         (7) The provisions of ss. 624.436-624.446 do not apply to
  149  the State Group Insurance Program or to this section.
  150         Section 2. Due to the potential cost savings to small
  151  independent special fire control districts which may be realized
  152  if such districts participate in open enrollment for the 2026
  153  2027 fiscal year for the state group health insurance and
  154  prescription drug programs, a request for proposals to provide
  155  health insurance and prescription drug coverage issued by such
  156  district no more than 1 year before the effective date of this
  157  act, satisfies the requirements of s. 110.1228(4), Florida
  158  Statutes, for such district.
  159         Section 3. To allow small independent special fire control
  160  districts to participate in the 2026-2027 fiscal year open
  161  enrollment for the state group health insurance program and
  162  prescription drug program, the Department of Management Services
  163  must conduct the applicable actuarial analysis for an eligible
  164  small independent special fire control district no later than
  165  June 1, 2026, if such district notifies the department of its
  166  choice to participate in the programs no later than May 5, 2026.
  167         Section 4. This act shall take effect May 1, 2026.