Governor Deval Patrick's Budget Recommendation - House 1 Fiscal Year 2010

Governor's Budget Recommendation FY 2010

Group Insurance Commission




Fiscal Year 2010 Resource Summary ($000)
DEPARTMENT FY2010
Budgetary
Recommendations
FY2010
Federal, Trust,
and ISF
FY2010
Total
Spending
FY2010
Budgetary
Non-Tax Revenue
Group Insurance Commission 1,035,335 396,073 1,431,409 389,198

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account description amount
GROUP INSURANCE COMMISSION 1,431,408,608
Budgetary Direct Appropriations 1,035,335,228
Direct Appropriations
1108-5100 Group Insurance Commission
For the operation of the group insurance commission
2,809,739
1108-5200 Group Insurance Premium and Plan Costs
For the commonwealth's share of the group insurance premium and plan costs incurred in fiscal year 2010; provided, that notwithstanding any general or special law to the contrary, funds in this item shall not be available during the accounts payable period of fiscal year 2010, and any unexpended balance in this item shall revert to the General Fund on June 30, 2010; provided further, that the secretary of administration and finance shall charge the division of unemployment assistance and other departments, authorities, agencies and divisions, which have federal or other funds allocated to them for this purpose, for that portion of insurance premiums and plan costs that the secretary determines should be borne by these funds, and shall notify the comptroller of the amounts to be transferred, after similar determination, from the several state or other funds and amounts received in payment of all these charges, and these transfers shall be credited to the General Fund; provided further, that funds may be expended from this item for the commonwealth's share of group insurance premium and plan costs provided to employees and retirees in prior fiscal years; provided further, that the group insurance commission shall report quarterly to the house and senate committees on ways and means the amounts expended from this item for prior year costs; provided further, that the group insurance commission shall obtain reimbursement for premium and administrative expenses from other agencies and authorities not funded by state appropriation; provided further, that the secretary of administration and finance may charge all agencies for the commonwealth's share of the health insurance costs incurred on behalf of any of those agencies' employees who are on leave of absence for a period of more than 1 year; provided further, that the amounts received in payment for the charges shall be credited to the General Fund; provided further, that notwithstanding section 26 of chapter 29 of the General Laws, the commission may negotiate, purchase and execute contracts before July 1 of each year for policies of group insurance as authorized by chapter 32A of the General Laws; provided further, that notwithstanding chapter 150E of the General Laws and as provided in section 8 of chapter 32A and for the purposes of section 14 of chapter 32A, the commonwealth's share of the group insurance premium for state employees who have retired on or before July 1, 1994, shall be 90 per cent and the commonwealth's share of the group insurance premium for state employees who have retired after July 1, 1994, shall be 85 per cent; provided further, that the commonwealth's share of the group insurance premium for active employees upon retirement shall be 85 per cent; provided further, that the commonwealth's share of premiums for active state employees and their dependents where the employees' annual salary is less than $35,000 shall be 85 per cent; provided further, that the commonwealth's share of premiums for active state employees and their dependents where the employees' annual salary is $35,000 or greater but less than $50,000 shall be 80 per cent; provided further, that the commonwealth's share of premiums for active state employees and their dependents where the employees' annual salary is $50,000 or greater shall be 75 per cent; provided further, that the commonwealth's share of premiums for active state employees and their dependents shall be determined annually by the active state employee's salary used or collected by the commission to calculate premiums for additional insurance established in section 10A of chapter 32A and disability insurance established in section 10D of chapter 32A; provided further, that the commission shall notify the house and senate committees on ways and means by April 1 of each year of the cost of the commonwealth's projected share of group insurance premiums for the next fiscal year; and provided further, that the group insurance commission may pay premium and plan costs for political subdivision employees, retirees and their dependents who are enrolled in the group insurance commission's health plans subject to the commission's regulations
932,668,551
1108-5350 Retired Governmental Employees Group Insurance Premiums
For the cost of group insurance premiums for elderly governmental retirees
676,096
1108-5400 Retired Municipal Teachers Group Insurance Premiums
For the costs of group insurance premiums for retired municipal teachers and the audit of those premiums
90,561,219
1108-5500 Group Insurance Dental and Vision Benefits
For the costs, notwithstanding chapter 32A of the General Laws to the contrary, of dental and vision benefits for those active employees of the commonwealth, not including employees of authorities and any other political subdivisions, who are not otherwise provided those benefits under a separate appropriation or the terms of a contract or collective bargaining agreement; provided, that the employees shall pay 15 per cent of the monthly premium established by the commission for the benefits
7,619,623

account description amount
Retained Revenues
1108-5201 Municipal Partnership Act Implementation Retained Revenue
The group insurance commission may expend for the purposes of administering a program for municipal health coverage as provided under section 19 of chapter 32B of the General Laws, an amount not to exceed $1,000,000 from revenues received from administrative fees associated with providing the coverage; provided, that notwithstanding any general or special law to the contrary, for the purpose of accommodating timing discrepancies between the receipt of revenues and related expenditures, the department may incur expenses and the comptroller may certify for payment the amounts not to exceed the lower of this authorization or the most recent revenue estimate, as reported in the state accounting system
1,000,000
account description amount
Trust and Other Spending 396,073,380
0612-7723 State Retiree Benefits Trust Fund 394,320,000
1120-2200 Optional Life and Accidental Death and Dismemberment Plans Insurance Rate 1,100,000
1120-3200 Elderly Government Retiree Catastrophic Insurance Coverage (CIC) and CIC-OME Rat 20,000
1120-3611 Group Insurance Trust Fund 58,240
1120-5611 Accumulated Net Interest from Employees' Premiums 575,140


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