SB482: Bill Text

LRB-3870/1

DAK&RAC:kmg:jf

2003 - 2004 LEGISLATURE

2003 Senate BILL 482

February 24, 2004 - Introduced by Senator Carpenter. Referred to Committee on Agriculture, Financial Institutions and Insurance.

SB482,1,4 An Act to amend 40.51 (2) and 40.51 (6); and to create 16.07 and 40.51 (9m) of the statutes; relating to: health insurance coverage for the governor and members of the legislature, authorizing a statewide referendum, and providing additional funding for prescription drug assistance for the elderly.

Analysis by the Legislative Reference Bureau

The governor and members of the legislature are currently provided health care coverage under a plan offered by the Group Insurance Board. This bill, beginning in the 2005-06 legislative session, eliminates health care coverage for the governor and members of the legislature until the secretary of administration certifies to the secretary of employee trust funds that a majority of those voting in a statewide referendum have approved a question that asks if the legislature has enacted a law that provides affordable health care coverage for all residents of this state. Under the bill, during those fiscal years in which the governor and members of the legislature are not receiving health care coverage, the moneys that would otherwise have been used to pay for their health care coverage are to be used to increase funding for prescription assistance for the elderly.

For further information see the state fiscal estimate, which will be printed as an appendix to this bill.

The people of the state of Wisconsin, represented in senate and assembly, do enact as follows:

SB482, s. 1 Section 1. 16.07 of the statutes is created to read:

SB482,2,13 16.07 Health insurance coverage for the governor and members of the legislature; additional funding for prescription drug assistance for the elderly. (1) Statewide referendum. (a) Before September 29, 2006, if the secretary determines that a law has been enacted that relates to health care coverage for all residents of this state, the secretary shall certify the act number of the law to the elections board and a statewide referendum shall be conducted at the general election that next occurs. The ballot used for the referendum question shall be arranged under s. 5.60 (7) and shall ask: "The Legislature in Wisconsin has enacted 2005 Wisconsin Act ...., relating to health care coverage for state residents. Do you find that this act provides affordable health care coverage for all state residents?" The elections board shall insert into the question the act number certified by the secretary under this paragraph.

SB482,2,21 (b) If after 2006 the secretary determines that a law has been enacted that relates to health care coverage for all residents of this state, the secretary shall certify the act number of the law to the elections board before 45 days before the date scheduled for the next-occurring general election and a statewide referendum shall be conducted at that general election. The ballot used for the referendum question shall be arranged under s. 5.60 (7) and shall ask a question that is identical to that specified in subd. 1., except that the elections board shall insert into the question the act number certified by the secretary under this paragraph.

SB482,3,7 (2) Additional funding for prescription drug assistance for the elderly. In any fiscal year, if no referendum under sub. (1) has been held, or if a majority of those voting in a referendum under sub. (1) held in that fiscal year have not approved the question, the amount appropriated to the department of health and family services under s. 20.435 (4) (bv) in the succeeding fiscal year is increased by an amount equal to the cost that would have been incurred by the state in providing health care coverage to the governor and members of the legislature in that fiscal year, as determined by the secretary. When amending the schedule under s. 20.004 (2), the secretary shall adjust the amounts in the schedule under s. 20.005 (3) of the most recent biennial budget act or acts to reflect the increase in the appropriation amount under s. 20.435 (4) (bv).

SB482,3,12 (3) Certification. If a referendum under sub. (1) is held and if a majority of those voting in the referendum have approved the question, the secretary of administration shall certify to the secretary of employee trust funds that the governor and members of the legislature may receive health care coverage under subch. IV of ch. 40.

SB482,3,14 (4) Applicability. This section does not apply after the secretary makes the certification under sub. (3).

SB482, s. 2 Section 2. 40.51 (2) of the statutes is amended to read:

SB482,4,5 40.51 (2) Except as provided in subs. (9m), (10), (10m), (11) and (16), any eligible employee may become covered by group health insurance by electing coverage within 30 days of being hired, to be effective as of the first day of the month which begins on or after the date the application is received by the employer, or by electing coverage prior to becoming eligible for employer contribution towards the premium cost as provided in s. 40.05 (4) (a) to be effective upon becoming eligible for employer contributions. An eligible employee who is not insured, but who is eligible for an employer contribution under s. 40.05 (4) (ag) 1., may elect coverage prior to becoming eligible for an employer contribution under s. 40.05 (4) (ag) 2., with the coverage to be effective upon becoming eligible for the increase in the employer contribution. Any employee who does not so elect at one of these times, or who subsequently cancels the insurance, shall not thereafter become insured unless the employee furnishes evidence of insurability satisfactory to the insurer, at the employee's own expense or obtains coverage subject to contractual waiting periods. The method to be used shall be specified in the health insurance contract.

SB482, s. 3 Section 3. 40.51 (6) of the statutes, as affected by 2003 Wisconsin Act 33, is amended to read:

SB482,4,16 40.51 (6) This Except as provided in sub. (9m), the state shall offer to all of its employees at least 2 insured or uninsured health care coverage plans providing substantially equivalent hospital and medical benefits, including a health maintenance organization or a preferred provider plan, if those health care plans are determined by the group insurance board to be available in the area of the place of employment and are approved by the group insurance board. The group insurance board shall place each of the plans into one of 3 tiers established in accordance with standards adopted by the group insurance board. The tiers shall be separated according to the employee's share of premium costs.

SB482, s. 4 Section 4. 40.51 (9m) of the statutes is created to read:

SB482,4,20 40.51 (9m) The governor and members of the legislature may receive health care coverage under this subchapter only if the secretary of administration makes the certification under s. 16.07 (3) to the secretary of employee trust funds.

SB482, s. 5 Section 5. Initial applicability.

SB482,4,23 (1) This act first applies to a governor and members of the legislature on the first day of the 2005-07 biennial session.

SB482,4,24 (End)