Bill > SB5

This bill establishes a comprehensive framework for health insurance coverage for school district employees, University of Alaska employees, and other governmental unit employees by allowing these entities to participate in a state-administered health insurance policy. Specifically, the bill enables school employers (including municipal school districts, regional educational attendance areas, and the University of Alaska) to elect participation in a group health insurance policy selected by the commissioner of administration, which can be either a group insurance policy or a self-insurance policy. Participating school employers will be required to contribute to the group health and life benefits fund at rates set by the commissioner and may potentially require employees to pay a portion of these contributions. The bill also allows for the Department of Administration to procure necessary excess loss insurance and allocate its costs across participating employers. Additionally, the legislation includes provisions for transferring existing self-funded insurance reserves to the state's group health and life benefits fund and sets a maximum expenditure of $100 million from the public education fund for this purpose. The bill is set to take effect on July 1, 2026, and will apply to contracts and collective bargaining agreements that become legally binding on or after that date, with the aim of providing more standardized and potentially more cost-effective health insurance options for educational employees.

Education

https://www.akleg.gov/basis/Bill/Detail/34?Root=SB5