BILL ANALYSIS

H.B. 2022

By: Darby

Pensions, Investments & Financial Services

Committee Report (Unamended)

BACKGROUND AND PURPOSE

The 85th Legislature made significant changes to the Texas Public School Employees Group Insurance Program, also known as TRS-Care. At the time, Teacher Retirement System of Texas (TRS) retirees faced higher premiums and moving from a multi-option plan to a plan with only one option, based on Medicare eligibility. Dependent premiums tripled under this new plan, and the Medicare insurance industry marketed its products heavily to TRS retirees and their spouses during this time. Many TRS-Care members were confused, and some retirees gave up TRS-Care health benefits to purchase a less expensive alternative, only to learn later that what they purchased to replace TRS-Care fell far short. H.B. 2022 seeks to allow Medicare-eligible TRS retirees who voluntarily terminated membership in TRS-Care on or after January 1, 2017, and on or before December 31, 2019, a one-time opportunity to reenroll in TRS-Care before a specified deadline.

CRIMINAL JUSTICE IMPACT

It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.

RULEMAKING AUTHORITY

It is the committee's opinion that rulemaking authority is expressly granted to the Teacher Retirement System of Texas in SECTION 1 of this bill.

ANALYSIS

H.B. 2022 amends the Insurance Code to require the Teacher Retirement System of Texas (TRS) by rule to provide one opportunity to reenroll in TRS-Care on or before December 31, 2023, for an otherwise eligible retiree who is Medicare eligible and whose initial enrollment was voluntarily terminated on or after January 1, 2017, and on or before December 31, 2019. The bill requires TRS, not later than November 1, 2021, to adopt rules necessary to implement this requirement. These provisions expire September 1, 2024.

EFFECTIVE DATE

On passage, or, if the bill does not receive the necessary vote, September 1, 2021.