Bill > S4999

This bill amends the Fiscal Year 2026 annual appropriations act by changing the language related to achieving cost savings for the State Health Benefits Plan (SHBP). Previously, the law outlined a detailed, multi-step process involving the SHBP Design Committee (SHBPDC), a plan actuary, and potential legislative or appointed representative intervention to achieve $100 million in cost savings for Plan Year 2026. This bill removes that extensive process and replaces it with a simpler provision stating that any cost-saving proposals from the SHBPDC that the plan actuary determines will not result in recurring and verifiable savings, or would increase costs, will be adjusted or eliminated. Crucially, the bill now mandates that the State will cover and reimburse any necessary and verifiable costs incurred by an insurance carrier (referred to as a "carrier") for developing, implementing, administering, or complying with approved cost-saving proposals, with carriers needing to submit documentation of these costs to the Division of Pensions and Benefits.

Budget and Finance

https://www.njleg.state.nj.us/bill-search/2024/S4999