Bill > S04719

This bill allows municipalities, which are defined as cities, towns, villages, or other local government entities that are not part of the state, to join a county's self-funded or self-insured health plan, provided both the county and the municipality agree. A self-funded or self-insured health plan is a health plan that a county manages itself rather than purchasing from an insurance company. Before a municipality can join, the county must get certification from the superintendent of financial services, confirming that the plan meets several requirements, including mutual consent, maintaining a reserve fund of at least 12% of total annual claims, having a surplus account of at least 5% of current annual premiums for unexpected obligations, having a specific stop-loss coverage for individual claims (not aggregate) with a deductible between $200,000 and $250,000, and covering a minimum of 1,000 lives (excluding dependents). Importantly, the bill abolishes the joint and several liability of participating municipalities for the plan's obligations, meaning each municipality is no longer fully responsible for the debts of the entire plan. Instead, if the plan's assets fall short of its liabilities and required reserves, the governing board can order an assessment, and participating municipalities will pay a pro rata share based on their contributions during the period of the assessment. The county must use an actuary approved by the superintendent of financial services to certify that these requirements are met, creating a presumption of approval, though the superintendent can reject the certification within a year with stated reasons.

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https://www.nysenate.gov/legislation/bills/2025/S4719