Honorable Jim Murphy, Chair, House Committee on Pensions, Investments & Financial Services
FROM:
John McGeady, Assistant Director Sarah Keyton, Assistant Director Legislative Budget Board
IN RE:
HB4222 by Reynolds (Relating to health coverage for employees of a municipal school district.), As Introduced
No significant fiscal implication to the State is anticipated.
The Teacher Retirement System assumes that the provisions of the bill relating to health coverage for employees of a municipal school district could be implemented using existing resources. However, TRS assumes that to the extent that districts leaving the ActiveCare program pay more in contributions than they incur in claims costs, there could be additional costs to the program which may result in the need for higher contribution rates from the State, employers, or members to the program.
Local Government Impact
The fiscal implication to school districts cannot be determined at this time and would depend on the health claims and premiums paid by the district under ActiveCare compared to the proposed municipal health insurance program.