Bill > A5903

This bill makes significant changes to the State Health Benefits Program (SHBP) governance and plan offerings for employers other than the State. The bill expands the State Health Benefits Commission from five to eleven members, including ex officio members like the State Treasurer and representatives from various public employee organizations. The commission will now have full responsibility for establishing, modifying, and terminating health plans, replacing the previous State Health Benefits Plan Design Committee. The bill reduces the number of health plans offered from multiple options to five specific plans, including the SHBP Unity 2019 PPO plan and a new NJ Gold plan that requires no employee contributions. The legislation also establishes new contribution rates for employees based on their annual salary or retirement allowance, with varying percentages for different coverage types and income levels. Additionally, the bill provides guidelines for local government entities regarding health plan participation, negotiation processes, and the option to offer health care reimbursement arrangements. Public employers will be required to decide whether to participate in the SHBP within one year and, if they choose to join or leave the program, must remain in or stay out for at least two consecutive plan years. The goal appears to be standardizing health benefits, controlling costs, and providing more consistent healthcare coverage for public employees.

Budget and Finance

https://www.njleg.state.nj.us/bill-search/2024/A5903