community colleges; state
health insurance
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Committee on Public Institutions & Rural Affairs |
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Committee on Retirement & Government Operations |
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Caucus and COW |
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As Passed the House |
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SB 1039 allows any school district, community college district governing board, special taxing district, authority or any public entity organized pursuant to the laws of this state to access the state’s health and accident insurance coverage for their employees.
Currently, the governing board of a school district with five hundred or fewer full-time equivalent employees, the governing body of a city, town or a county board of supervisors have the option to include their employees in the state’s health and accident insurance coverage. Additionally, if these entities decide to participate in the state’s health and accident insurance coverage, they are required to comply by various conditions. They must notify ADOA by January 15 prior to the year in which the coverage would begin, and agree to accept the details of the contractual arrangements made with the providers and ADOA. Furthermore, participation requires a minimum of two years, and the entity must reimburse ADOA for administrative and operational costs associated with the participation in the state health and accident insurance, and requires the entity to pay the premium for its employees directly to the benefits provider. ADOA is required to allow any qualified entity to participate. Statute requires insurance providers contracting with the state to maintain records that delineate claims and other expenses attributable to each entity. Additionally, it requires insurance providers to submit an annual report to ADOA indicating the extent to which state costs are impacted by participation of qualified school districts, charter schools, cities, towns, and counties.