1.1CONFERENCE COMMITTEE REPORT ON S.F. No. 19051.2A bill for an act1.3relating to insurance; establishing a small group market working group; requiring 1.4a report.1.5May 12, 20101.6The Honorable James P. Metzen1.7President of the Senate1.8The Honorable Margaret Anderson Kelliher1.9Speaker of the House of Representatives1.10We, the undersigned conferees for S.F. No. 1905 report that we have agreed upon 1.11the items in dispute and recommend as follows:1.12That the House recede from its amendment and that S.F. No. 1905 be further 1.13amended as follows:1.14Delete everything after the enacting clause and insert:1.15    "Section 1. SMALL GROUP HEALTH INSURANCE MARKET WORKING 1.16GROUP.1.17    Subdivision 1.Establishment.(a) The commissioner of commerce shall convene a 1.18working group to study and report on the options available to increase rate predictability 1.19and stability for groups of 100 or fewer employees. Members of the working group 1.20shall include:1.21(1) two representatives from the Minnesota Council of Health Plans;1.22(2) two representatives from the Minnesota Association of Health Underwriters;1.23(3) one representative from the Insurance Federation of Minnesota;1.24(4) one representative from the Minnesota Chamber of Commerce;1.25(5) one representative from the National Federation of Independent Businesses - 1.26Minnesota;1.27(6) two representatives from employers whose businesses employ 50 employees 1.28or fewer;2.1(7) two representatives from employers whose businesses employ between 51 and 2.275 full-time employees;2.3(8) two representatives from employers whose businesses employ between 76 and 2.4100 full-time employees;2.5(9) one representative from employees of businesses that employ 50 employees 2.6or fewer;2.7(10) one representative from employees of businesses that employ between 51 and 2.8100 full-time employees;2.9    (11) two senators, including one member from the majority party and one member 2.10from the minority party, appointed by the Subcommittee on Committees of the Committee 2.11on Rules and Administration of the senate;2.12    (12) two members of the house of representatives, including one member appointed 2.13by the speaker of the house and one member appointed by the minority leader; and2.14(13) the commissioner of commerce or the commissioner's designee.2.15(b) The organizations listed in paragraph (a), clauses (1) through (5), must name 2.16their representatives to the commissioner of commerce no later than July 1, 2010. The 2.17commissioner of commerce must appoint individuals as listed in paragraph (a), clauses 2.18(6) through (10), no later than July 15, 2010. The legislative appointing authorities 2.19must appoint individuals as listed in paragraph (a), clauses (11) and (12), no later than 2.20July 15, 2010.2.21    Subd. 2.Duties; report.(a) The working group shall conduct a study analyzing 2.22the implications of expanding the small employer market to 100 employees. Topics to 2.23be addressed in the study include, but are not limited to:2.24(1) analyzing implementation options in expanding the small group definition 2.25to 100 employees; 2.26(2) underwriting concerns and rating requirements and the implications of change in 2.27small group market size on the entire health insurance market, and limitations on renewal, 2.28enrollment methodologies, and processes;2.29(3) costs for employers, employees, brokers, and health plans;2.30(4) how to assist employers in understanding the implications of employers 2.31migrating from fully insured to self-insured and associated risks;2.32(5) a uniform application form;2.33(6) education and compliance issues related to the offering of Section 125 plans 2.34under Minnesota Statutes, section 62U.07; and2.35(7) assuring compliance with federal law, including expeditious implementation of 2.36federal health care reform requirements.3.1(b) By November 15, 2010, the working group shall submit a report on its findings, 3.2including proposed legislation, if any, to the Health Care Access Commission.3.3    Subd. 3.Administration.(a) The commissioner of commerce or the commissioner's 3.4designee shall convene the first meeting of the working group no later than August 1, 2010. 3.5(b) The commissioner shall provide assistance with research or background 3.6information and administrative support for the working group within the existing agency 3.7budget.3.8(c) The working group expires June 30, 2011."3.9Delete the title and insert:3.10"A bill for an act3.11relating to insurance; establishing a small group market working group; requiring 3.12a report."

4.1We request the adoption of this report and repassage of the bill.4.2Senate Conferees:4.3
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                     						4.4Linda ScheidDan Sparks4.5
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                     						4.6Amy Koch4.7House Conferees:4.8
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                     						4.9Diane LoefflerPatti Fritz4.10
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                     						4.11Gregory Davids