House File 221 - Introduced HOUSE FILE BY MASCHER Passed House, Date Passed Senate, Date Vote: Ayes Nays Vote: Ayes Nays Approved A BILL FOR 1 An Act providing for a feasibility study on creating a statewide 2 public employee health insurance system. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 2300HH 81 5 ec/pj/5 PAG LIN 1 1 Section 1. IOWA PUBLIC EMPLOYEE HEALTH INSURANCE SYSTEM == 1 2 FEASIBILITY STUDY. 1 3 1. The director of the department of administrative 1 4 services, in collaboration with the commissioner of insurance, 1 5 shall conduct a feasibility study on the creation of a 1 6 statewide public employee health benefit system. The study 1 7 shall examine whether a statewide public employee health 1 8 benefit system will minimize health insurance risk by 1 9 combining the numerous subgroups of public employees into a 1 10 single risk pool to stabilize health insurance costs. The 1 11 study shall include a cost=benefit analysis of the current 1 12 system of providing health benefits versus a single risk pool 1 13 envisioned with a statewide public employee health benefit 1 14 system. The director of the department of administrative 1 15 services and the commissioner of insurance shall involve state 1 16 and political subdivision representatives and representatives 1 17 of organizations representing state and political subdivision 1 18 employees subdivisions to advise the director and commissioner 1 19 in the development of the feasibility study. 1 20 2. The study shall examine the feasibility of all of the 1 21 following: 1 22 a. Establishing a premium rating system based on the 1 23 statewide health status, claim experience, and other 1 24 demographic characteristics of public employees. 1 25 b. Establishing basic or standard health benefit plans 1 26 with benefit levels, cost=sharing levels, exclusions, and 1 27 limitations available to the state and all political 1 28 subdivisions and their employees. 1 29 c. Establishing uniform coverage plans with benefit 1 30 coverage that may be added to the basic or standard plans at 1 31 the option of the state and political subdivisions. 1 32 d. Establishing restrictions on premium rates and rate 1 33 increases. 1 34 e. Establishing a statewide public employee health 1 35 reinsurance program. 2 1 3. The director of the department of administrative 2 2 services and the commissioner of insurance shall submit a 2 3 joint report concerning the results of the feasibility study, 2 4 including their findings and recommendations, to the general 2 5 assembly by January 15, 2006. 2 6 EXPLANATION 2 7 This bill requires the director of the department of 2 8 administrative services and the commissioner of insurance to 2 9 jointly conduct a feasibility study concerning the creation of 2 10 a statewide public employee health benefit system. The bill 2 11 provides that the study include a cost=benefit analysis of the 2 12 current system of providing health benefits versus a single 2 13 risk pool envisioned with a statewide public employee health 2 14 benefit system. The director of the department of 2 15 administrative services and the commissioner of insurance are 2 16 also required to involve representatives of the state and its 2 17 political subdivisions and organizations representing 2 18 employees of the state and these political subdivisions to 2 19 advise them regarding the feasibility study. The bill 2 20 requires that the director of the department of administrative 2 21 services and the commissioner of insurance submit a joint 2 22 report on the results of the study to the general assembly by 2 23 January 15, 2006. 2 24 LSB 2300HH 81 2 25 ec:nh/pj/5