Bill > S1300

Introduced Session

This bill establishes a loan program in the Department of Treasury for certain entities offering health benefits plans. Specifically, the bill requires the State Treasurer to establish a program providing loans to entities offering health benefits plans in the State that are faced with insolvency as a result of providing coverage for the coronavirus disease 2019 pandemic due to circumstances such as a large number of catastrophic claims or premium threshold issues. The bill requires the State Treasurer to evaluate applications from any entity offering a health benefits plan in this State. The loans are only to be made available to an applicant the State Treasurer determines would likely face insolvency without receiving the loan, and are limited to the amount needed by the entity to avoid becoming insolvent. The bill provides that no loan is to be awarded after the end of the ninth month following the effective date of the bill. An entity receiving a loan pursuant to the bill may not be charged interest or fees associated with the loan. The State Treasurer may extend the term or forgive repayment of the loan if the State Treasurer determines an extension or loan forgiveness is necessary for the continued solvency of the entity. The bill provides that the State Treasurer is to appropriate the funds from the General Fund that are necessary to effectuate the purposes of the bill.

Committee Categories

Nellie Pou (D)*,  Patrick Diegnan (D),  Vin Gopal (D),  Shirley Turner (D), 

Introduced in the Senate, Referred to Senate Commerce Committee (on 01/09/2024)

Official Document