1.1                          A bill for an act
  1.2             relating to health; providing an exemption from the 
  1.3             MinnesotaCare program four month uninsured 
  1.4             requirement; modifying MinnesotaCare eligibility 
  1.5             requirements for children who are part-time students; 
  1.6             amending Minnesota Statutes 1998, sections 256L.04, by 
  1.7             adding a subdivision; and 256L.07, subdivisions 2 and 
  1.8             3. 
  1.9   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.10     Section 1.  Minnesota Statutes 1998, section 256L.04, is 
  1.11  amended by adding a subdivision to read: 
  1.12     Subd. 14.  [CHILDREN WHO ARE PART-TIME STUDENTS.] (a) The 
  1.13  commissioner shall determine eligibility under subdivision 7 for 
  1.14  a child with a gross family income that exceeds the income 
  1.15  standard in subdivision 1 and who is: 
  1.16     (1) age 18 to 21; 
  1.17     (2) a student enrolled in at least six but fewer than 12 
  1.18  credits per quarter or semester, or the equivalent; 
  1.19     (3) working at least eight but less than 30 hours per week 
  1.20  on average; and 
  1.21     (4) residing with the child's parents or legal guardians.  
  1.22     (b) In determining eligibility under subdivision 7, the 
  1.23  commissioner shall count only the child's income.  The 
  1.24  commissioner shall require proof of school enrollment and 
  1.25  employment. 
  1.26     Sec. 2.  Minnesota Statutes 1998, section 256L.07, 
  1.27  subdivision 2, is amended to read: 
  2.1      Subd. 2.  [MUST NOT HAVE ACCESS TO EMPLOYER-SUBSIDIZED 
  2.2   COVERAGE.] (a) To be eligible for subsidized premium payments 
  2.3   based on a sliding scale, a family or individual must not have 
  2.4   access to subsidized health coverage through an employer.  A 
  2.5   family or individual whose employer-subsidized coverage is lost 
  2.6   due to an employer terminating health care coverage as an 
  2.7   employee benefit during the previous 18 months is not eligible.  
  2.8      (b) For purposes of this requirement, subsidized health 
  2.9   coverage means health coverage for which the employer pays at 
  2.10  least 50 percent of the cost of coverage for the employee or 
  2.11  dependent, or a higher percentage as specified by the 
  2.12  commissioner.  Children are eligible for employer-subsidized 
  2.13  coverage through either parent, including the noncustodial 
  2.14  parent.  The commissioner must treat employer contributions to 
  2.15  Internal Revenue Code Section 125 plans and any other employer 
  2.16  benefits intended to pay health care costs as qualified employer 
  2.17  subsidies toward the cost of health coverage for employees for 
  2.18  purposes of this subdivision. 
  2.19     Sec. 3.  Minnesota Statutes 1998, section 256L.07, 
  2.20  subdivision 3, is amended to read: 
  2.21     Subd. 3.  [OTHER HEALTH COVERAGE.] (a) Families and 
  2.22  individuals enrolled in the MinnesotaCare program must have no 
  2.23  health coverage while enrolled or for at least four months prior 
  2.24  to application and renewal.  Children enrolled in the original 
  2.25  children's health plan and children in families with income 
  2.26  equal to or less than 150 percent of the federal poverty 
  2.27  guidelines, who have other health insurance, are eligible if the 
  2.28  other health coverage meets the requirements of Minnesota Rules, 
  2.29  part 9506.0020, subpart 3, item B.  The commissioner may change 
  2.30  this eligibility criterion for sliding scale premiums in order 
  2.31  to remain within the limits of available appropriations.  The 
  2.32  requirement of no health coverage does not apply to newborns. 
  2.33     (b) For purposes of this section, medical assistance, 
  2.34  general assistance medical care, and civilian health and medical 
  2.35  program of the uniformed service, CHAMPUS, are not considered 
  2.36  insurance or health coverage. 
  3.1      (c) For purposes of this section, Medicare Part A or B 
  3.2   coverage under title XVIII of the Social Security Act, United 
  3.3   States Code, title 42, sections 1395c to 1395w-4, is considered 
  3.4   health coverage.  An applicant or enrollee may not refuse 
  3.5   Medicare coverage to establish eligibility for MinnesotaCare.  
  3.6      (d) The requirement of at least four months of no health 
  3.7   coverage prior to application does not apply to a family or 
  3.8   individual who: 
  3.9      (1) loses employer-subsidized coverage for reasons that 
  3.10  would not disqualify an individual for unemployment benefits 
  3.11  under section 268.09; and 
  3.12     (2) has not had access to employer-subsidized coverage 
  3.13  since the loss of coverage.