Relating to the establishment of a health insurance pool for municipal employees

This bill relates to the establishment of a health insurance pool for municipal employees. The bill requires the department of administrative services (department) to enter into a contract with a health carrier (carrier) for the administration of a municipal employee health insurance pool (insurance pool) in compliance with the bill. The department shall conduct a reverse auction to accept bids from carriers to provide health benefit plans (plans) for the insurance pool pursuant to the requirements of the bill. A municipality shall submit a letter of intent to opt in or opt out of participating in the insurance pool to the department before July 1, 2027. _____ to opt in to the insurance pool. If the required percentage of counties and cities submit a letter of intent to opt in to the insurance pool, the department shall establish the insurance pool on or before July 1, 2028. Once established, any municipality may participate in the insurance pool. The department shall establish and administer the insurance pool, including the plan selected through the reverse auction. Each municipality shall reimburse the department for all administrative costs in an amount proportional to the size of the municipality. Each municipality shall reimburse the department for the municipality’s actual costs of employee plans. The commissioner of insurance shall adopt rules to administer the bill.