SF 66

as introduced - 85th Legislature (2007 - 2008) Posted on 12/15/2009 12:00am

A bill for an act
relating to health care; creating a small employer buy-in option to MinnesotaCare;
proposing coding for new law in Minnesota Statutes, chapter 256L.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

new text begin [256L.20] MINNESOTACARE OPTION FOR SMALL EMPLOYERS.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) For the purposes of this section, the terms used
have the meanings given them.
new text end

new text begin (b) "Dependent" means an unmarried child under the age of 21.
new text end

new text begin (c) "Eligible employee" means an employee who works at least 20 hours per week
for an eligible employer. Eligible employee does not include an employee who works
on a temporary or substitute basis or who does not work more than 26 weeks annually.
Coverage of an eligible employee includes the employee's spouse.
new text end

new text begin (d) "Eligible employer" means a business that employs at least two, but not more
than 50, eligible employees, the majority of whom are employed in the state, and includes
a municipality that has 50 or fewer employees.
new text end

new text begin (e) "Maximum premium" has the meaning given under section 256L.15, subdivision
2, paragraph (b), clause (3).
new text end

new text begin (f) "Participating employer" means an eligible employer who meets the requirements
in subdivision 3 and applies to the commissioner to enroll its eligible employees and their
dependents in the MinnesotaCare program.
new text end

new text begin (g) "Program" means the MinnesotaCare program.
new text end

new text begin Subd. 2. new text end

new text begin Option. new text end

new text begin Eligible employees and their dependents may enroll in
MinnesotaCare if the eligible employer meets the requirements of subdivision 3. The
effective date of coverage is as defined in section 256L.05, subdivision 3.
new text end

new text begin Subd. 3. new text end

new text begin Employer requirements. new text end

new text begin The commissioner shall establish procedures for
an eligible employer to apply for coverage through the program. In order to participate, an
eligible employer must meet the following requirements:
new text end

new text begin (1) agree to contribute toward the cost of the premium for the employee, the
employee's spouse, and the employee's dependents according to subdivision 4;
new text end

new text begin (2) certify that at least 75 percent of its eligible employees who do not have other
creditable health coverage are enrolled in the program;
new text end

new text begin (3) offer coverage to all eligible employees, spouses, and dependents of eligible
employees; and
new text end

new text begin (4) have not provided employer-subsidized health coverage as an employee benefit
during the previous 12 months, as defined in section 256L.07, subdivision 2, paragraph (c).
new text end

new text begin Subd. 4. new text end

new text begin Premiums. new text end

new text begin (a) The premium for coverage provided under this section is
equal to the maximum premium regardless of the income of the eligible employee, as
defined in section 256L.15, subdivision 2, paragraph (b).
new text end

new text begin (b) For eligible employees without dependents with income equal to or less than 200
percent of the federal poverty guidelines and for eligible employees with dependents with
income equal to or less than 275 percent of the federal poverty guidelines, the participating
employer shall pay 50 percent of the premium established under paragraph (a) for the
eligible employee, the employee's spouse, and any dependents, if applicable.
new text end

new text begin (c) For eligible employees without dependents with income over 200 percent of the
federal poverty guidelines and for eligible employees with dependents with income over
275 percent of the federal poverty guidelines, the participating employer shall pay the
full cost of the premium established under paragraph (a) for the eligible employee, the
employee's spouse, and any dependents, if applicable. The participating employer may
require the employee to pay a portion of the cost of the premium so long as the employer
pays 50 percent. If the employer requires the employee to pay a portion of the premium,
the employee shall pay the portion of the cost to the employer.
new text end

new text begin (d) The commissioner shall collect premium payments from participating employers
for eligible employees, spouses, and dependents who are covered by the program as
provided under this section. All premiums collected shall be deposited in the health care
access fund.
new text end

new text begin Subd. 5. new text end

new text begin Coverage. new text end

new text begin The coverage offered to those enrolled in the program under
this section must include all health services described under section 256L.03 and all
co-payments and coinsurance requirements under section 256L.03, subdivision 5, apply.
new text end

new text begin Subd. 6. new text end

new text begin Enrollment. new text end

new text begin Upon payment of the premium, according to this section
and section 256L.06, eligible employees, spouses, and dependents shall be enrolled in
MinnesotaCare. For purposes of enrollment under this section, income eligibility limits
established under sections 256L.04 and 256L.07, subdivision 1, and asset limits established
under section 256L.17 do not apply. The barriers established under section 256L.07,
subdivision 2 or 3, do not apply to enrollees eligible under this section. The commissioner
may require eligible employees to provide income verification to determine premiums.
new text end