Florida Senate - 2016 COMMITTEE AMENDMENT
Bill No. PCS (899852) for CS for SB 1170
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LEGISLATIVE ACTION
Senate . House
Comm: RCS .
02/25/2016 .
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The Committee on Appropriations (Richter) recommended the
following:
1 Senate Amendment (with title amendment)
2
3 Before line 69
4 insert:
5 Section 1. Paragraph (a) of subsection (2) of section
6 112.08, Florida Statutes, is amended to read:
7 112.08 Group insurance for public officers, employees, and
8 certain volunteers; physical examinations.—
9 (2)(a) Notwithstanding any general law or special act to
10 the contrary, every local governmental unit is authorized to
11 provide and pay out of its available funds for all or part of
12 the premium for life, health, accident, hospitalization, legal
13 expense, or annuity insurance, or all or any kinds of such
14 insurance, for the officers and employees of the local
15 governmental unit and for health, accident, hospitalization, and
16 legal expense insurance for the dependents of such officers and
17 employees upon a group insurance plan and, to that end, to enter
18 into contracts with insurance companies or professional
19 administrators to provide such insurance or with a corporation
20 not for profit whose membership consists entirely of local
21 governmental units authorized to enter into risk management
22 consortiums under this subsection. Before entering any contract
23 for insurance, the local governmental unit shall advertise for
24 competitive bids; and such contract shall be let upon the basis
25 of such bids. If a contracting health insurance provider becomes
26 financially impaired as determined by the Office of Insurance
27 Regulation of the Financial Services Commission or otherwise
28 fails or refuses to provide the contracted-for coverage or
29 coverages, the local government may purchase insurance, enter
30 into risk management programs, or contract with third-party
31 administrators and may make such acquisitions by advertising for
32 competitive bids or by direct negotiations and contract. The
33 local governmental unit may undertake simultaneous negotiations
34 with those companies which have submitted reasonable and timely
35 bids and are found by the local governmental unit to be fully
36 qualified and capable of meeting all servicing requirements.
37 Each local governmental unit may self-insure any plan for
38 health, accident, and hospitalization coverage or enter into a
39 risk management consortium to provide such coverage, subject to
40 approval based on actuarial soundness by the Office of Insurance
41 Regulation; and each shall contract with an insurance company or
42 professional administrator qualified and approved by the office
43 or with a corporation not for profit whose membership consists
44 entirely of local governmental units authorized to enter into a
45 risk management consortium under this subsection to administer
46 such a plan.
47 Between lines 118 and 119
48 insert:
49 Section 5. Paragraph (t) is added to subsection (1) of
50 section 626.88, Florida Statutes, to read:
51 626.88 Definitions.—For the purposes of this part, the
52 term:
53 (1) “Administrator” is any person who directly or
54 indirectly solicits or effects coverage of, collects charges or
55 premiums from, or adjusts or settles claims on residents of this
56 state in connection with authorized commercial self-insurance
57 funds or with insured or self-insured programs which provide
58 life or health insurance coverage or coverage of any other
59 expenses described in s. 624.33(1) or any person who, through a
60 health care risk contract as defined in s. 641.234 with an
61 insurer or health maintenance organization, provides billing and
62 collection services to health insurers and health maintenance
63 organizations on behalf of health care providers, other than any
64 of the following persons:
65 (t) A corporation not for profit whose membership consists
66 entirely of local governmental units authorized to enter into
67 risk management consortiums under s. 112.08.
68
69 A person who provides billing and collection services to health
70 insurers and health maintenance organizations on behalf of
71 health care providers shall comply with the provisions of ss.
72 627.6131, 641.3155, and 641.51(4).
73
74 ================= T I T L E A M E N D M E N T ================
75 And the title is amended as follows:
76 Delete lines 3 - 8
77 and insert:
78 administration; amending s. 112.08, F.S.; authorizing
79 local governmental units to contract for certain group
80 insurance with a corporation not for profit whose
81 membership consists of specified local governmental
82 units; adding such a corporation not for profit as an
83 alternative entity that a local governmental unit must
84 contract with to administer certain insurance plans;
85 amending s. 408.909, F.S.; redefining the terms
86 “health care coverage” and “health flex plan
87 coverage”; amending s. 409.817, F.S.; deleting a
88 provision authorizing group insurance plans to impose
89 a certain preexisting condition exclusion; amending s.
90 624.123, F.S.; conforming a cross-reference; amending
91 s. 626.88, F.S.; revising the definition of the term
92 “administrator”; amending