Bill > SB002

This bill requires that a question be put before Colorado voters in the November 2016 election to approve a tax to fund the operations of the Colorado health benefit exchange, which is a marketplace for health insurance plans established under the federal Patient Protection and Affordable Care Act. The bill states that the exchange has been collecting an "administrative fee" from health insurance carriers since 2015, which is authorized by federal law and is also referred to as a "user fee." However, the bill argues that this fee is effectively a tax because it is applied to premiums for all health benefit plans sold by carriers, even those not sold through the exchange, meaning Coloradans who do not use the exchange are paying for its operations. Citing the state constitution, which requires voter approval for new taxes, the bill proposes that if voters do not approve this tax, the Colorado health benefit exchange will be prohibited from imposing this administrative fee or tax on carriers. The bill also includes provisions for the repeal of these sections by February 1, 2017, depending on the outcome of the voter approval.