LD 1065 LR 2017(02)
An Act To Expand Health Insurance Coverage To Certain State Employees
Fiscal Note for Bill as Amended by Committee Amendment " "
Committee: State and Local Government
Fiscal Note Required: Yes
Fiscal Note
FY 2019-20 FY 2020-21 Projections  FY 2021-22 Projections  FY 2022-23
Net Cost (Savings)
General Fund $1,232,821 $1,592,468 $1,690,263 $1,592,468
Highway Fund $215,368 $287,158 $287,158 $287,158
General Fund $1,232,821 $1,592,468 $1,690,263 $1,592,468
Highway Fund $215,368 $287,158 $287,158 $287,158
Fiscal Detail and Notes
This bill requires the State to pay its share of individual premiums for the state employee health insurance plan for a seasonal or session-only employee regardless of whether the employee is in active work status. According to the Department of Administrative and Financial Services (DAFS), there are 351 seasonal executive branch employees, representing 9,105 additional weeks that state departments and agencies would need to pay health insurance premiums. Assuming an average cost of $270 per employee per week, executive branch departments and  agencies would pay an additional $2,458,350 in health premiums. The bill includes General Fund appropriations of $1,113,612 in fiscal year 2019-20 and $1,484,815 in fiscal year 2020-2021 and Highway Fund allocations of $215,368 in fiscal year 2019-20 and $287,158 in fiscal year 2020-21 for these costs. The remaining costs will be absorbed by multiple funds across state government. 
The bill also includes a General Fund appropriation to the Legislature of $64,960 in fiscal year 2019-20 and $32,122 in fiscal year 2020-21 for additional costs of providing health insurance coverage for session-only employees. Costs to the Legislature are slightly lower than to executive branch departments and agencies because the Legislature currently pays a share of health premiums for session only employees who are not in active work status.
DAFS has indicated that it will require $54,249 in fiscal year 2019-20 and $75,531 in fiscal year 2020-21 for an Office Associate II position to support the provisions of this bill.