MAY-DELGADO-GARRETT-FLOWERS-COULSON, FEIGENHOLTZ, FRITCHEY,
RYAN, MCCARTHY, MILLER, KURTZ, ACEVEDO, BOLAND,
BRUNSVOLD, BUGIELSKI, BURKE, COLLINS, CROTTY, CURRY,JULIE,
DAVIS,MONIQUE, FORBY, FOWLER, FRANKS, HAMOS, HANNIG,
JONES,LOU, JONES,SHIRLEY, LANG, LYONS,JOSEPH, MCKEON,
MULLIGAN, NOVAK, O'BRIEN, SCHOENBERG, SCOTT, SLONE,
TURNER,ART AND YOUNGE.
STATE EMP INS TO SMALL BUSNESS
Synopsis of Bill as introduced:
Amends the State Employees Group Health Insurance Act of 1971.
Provides that self-employed persons and small businesses may be
provided group health coverage under the Act. Limits small businesses
to those with 25 or fewer employees.
FISCAL NOTE (Department of Central Management Services)
The Department estimates there would be approximately 282,000
registered small businesses eligible to apply under HB 521.
Since all Plan expenses are borne by the participating units,
HB 521 would have minimal fiscal impact on the State. However,
expenditure authority appropriations for the Local Government
Health Insurance Reserve Fund would have to be increased sig-
nificantly to cover payments for medical claims and administra-
tive costs. Assuming approximately 1%-2% of the eligible small
businesses would apply during the first year, the Department
estimates first year administrative costs of approximately
$600,000, including 7-10 staff. Subsequent fiscal year admini-
strative costs would increase with increased participation.
HOUSE AMENDMENT NO. 1.
Adds reference to:
5 ILCS 375/13.2 from Ch. 127, par. 533.2
30 ILCS 105/25 from Ch. 127, par. 161
Provides that the payments for insurance on behalf of
self-insureds and employees of qualified small businesses shall be
deposited into the Small Employers Health Insurance Reserve Fund
rather than the Local Government Health Insurance Reserve Fund.
HOUSE AMENDMENT NO. 2.
Adds an effective date of January 1, 2003.
STATE MANDATES NOTE, H-AM 1, 2
(Department of Commerce and Community Affairs)
In the opinion of DCCA, HB 521 (H-am 1, 2) does not create a
State mandate under the State Mandates Act.
Last action on Bill: SESSION SINE DIE
Last action date: JAN-07-2003
Amendments to Bill: AMENDMENTS ADOPTED: HOUSE - 2 SENATE - 0
END OF INQUIRY
Full Text Bill Status