SB1551 Summary

• Extends the flexible benefit allowance baseline period from January 1, 2013 to January 1, 2017, with future allowances based on the average between HealthChoice High Option plan premiums and lowest HMO plan premiums, tied to Consumer Price Index or healthcare inflation rates.

• Allows state employees who opt out of the basic plan and provide proof of other coverage (including military retirees with federal TRICARE coverage) to receive $150.00 monthly in lieu of flexible benefit dollars.

• Permits employees to purchase TRICARE Supplemental products under a cafeteria plan without state employer contributions, provided participation is completely voluntary and the employer provides only administrative support.

• Maintains the structure for flexible benefit dollars comprised of employer-credited allowances plus employee-elected pay conversion dollars (salary reductions) to purchase benefits in excess of their allowance.

• Effective July 1, 2016, with emergency clause allowing immediate implementation upon passage and approval.