FISCAL NOTE

Date Requested: January 21, 2016
Time Requested: 02:04 PM
Agency: Public Employees Insurance Agency (PEIA)
CBD Number: Version: Bill Number: Resolution Number:
1985 Introduced SB353
CBD Subject: State Personnel


FUND(S):

2180

Sources of Revenue:

Special Fund

Legislation creates:

Neither Program nor Fund



Fiscal Note Summary


Effect this measure will have on costs and revenues of state government.


    The purpose of this bill is to adjust the allocation of contributions for health insurance premiums from eighty percent by employers and twenty percent by employees to seventy-five percent by employers and twenty-five percent by employees, beginning July 1, 2017. This bill impacts the ‘State Fund’ employers and employees (County Boards of Education, State Agencies and Colleges and Universities) only.
    
    This Fiscal Note assumes the employer portion will not decrease in adjusting the allocation and the employee premium will increase creating additional premium revenue. Passage of this bill will result in a 31% increase in employee premium worth $37 million based on current premium levels, and a 33% increase in employee premium worth $45 million if premiums increase in 2017 per the current Financial Plan. The final value is dependent upon the premium revenues for the 2017 plan year which are contingent upon new State employer revenue.
    



Fiscal Note Detail


Effect of Proposal Fiscal Year
2016
Increase/Decrease
(use"-")
2017
Increase/Decrease
(use"-")
Fiscal Year
(Upon Full
Implementation)
1. Estmated Total Cost 0 0 0
Personal Services 0 0 0
Current Expenses 0 0 0
Repairs and Alterations 0 0 0
Assets 0 0 0
Other 0 0 0
2. Estimated Total Revenues 0 0 0


Explanation of above estimates (including long-range effect):


    



Memorandum


    The amount of the increased revenue in '18 is dependent on revenue levels in FY '17.



    Person submitting Fiscal Note: Jason Haught
    Email Address: jason.a.haught@wv.gov