HB 1454-FN - AS INTRODUCED

2024 SESSION

24-2645

05/10

HOUSE BILL 1454-FN

AN ACT relative to benefits for New Hampshire child care employees.

SPONSORS: Rep. McWilliams, Merr. 30; Rep. Wallner, Merr. 19; Rep. Toll, Ches. 15; Sen. Altschiller, Dist 24

COMMITTEE: Executive Departments and Administration

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ANALYSIS

This bill allows licensed child care providers to opt into the state health insurance plan.

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

24-2645

05/10

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Twenty Four

AN ACT relative to benefits for New Hampshire child care employees.

Be it Enacted by the Senate and House of Representatives in General Court convened:

1  New Subdivision; Child Care Provider Participation in State Employee Health Insurance Plan.  Amend RSA 21-I by inserting after section 111 the following new subdivision:

Child Care Provider Participation in State Employee Health Insurance Plan

21-I:112  Child Care Providers; Participation in State Employee Health Insurance Plan. Child care providers licensed under RSA 170-E shall be entitled to participate in the state of New Hampshire employee health insurance plan.  The child care provider shall reimburse the state for the cost of all insurance premiums for all participating employees.  The provider shall pay the same premium rates as those set for the majority of participating state employees.  The child care provider shall be permitted to opt into or out of the state health insurance plan in accordance with the state's applicable open enrollment cycles, except that if a child care provider opts into the state health insurance plan, it shall be for a minimum of 2 years.

2  Effective Date.  This act shall take effect upon its passage.

LBA

24-2645

11/29/23

HB 1454-FN- FISCAL NOTE

AS INTRODUCED

AN ACT relative to benefits for New Hampshire child care employees.

FISCAL IMPACT:      [ X ] State              [    ] County               [    ] Local              [    ] None

METHODOLOGY:

The Department of Administrative Services (DAS) states this bill authorizes licensed childcare providers and their employees to participate in the State of New Hampshire employee health insurance plan (Plan) by paying the same premium rates the State pays for the majority of participating state employees.  The licensed childcare provider shall reimburse the Plan for the full insurance premiums for all their participating employees.  

The Department states the fiscal impact of this bill is indeterminable due to the challenge of predicting health care needs for licensed childcare providers' employees.  The State Employee Health Benefit Plan (HBP) is self-funded, covering all health care expenses and administrative fees. Currently, for the plan year 2024 the premium rate set for the majority of the state employees based on past plan experience is $11,000/per plan year for a one-person HMO plan, $22,000/per plan for a two-person HMO plan, and $35,000/per plan year for a family HMO plan. However, projections for plan costs didn't include this new covered population. Integrating childcare providers and their employees might strain DAS resources and efforts to control costs, impacting overall plan experience.  Additionally, estimating administrative costs is difficult without knowing how many providers or employees would enroll, potentially requiring increased staffing across DAS divisions that support HBP administration.

It is assumed any fiscal impact from this bill will not occur until FY 2025.

AGENCIES CONTACTED:

Department of  Administrative Services