Connecticut Seal

General Assembly

 

Raised Bill No. 6916

January Session, 2005

 

LCO No. 4426

 

*04426_______INS*

Referred to Committee on Insurance and Real Estate

 

Introduced by:

 

(INS)

 

AN ACT CONCERNING ASSESSMENTS FOR THE HEALTH AND WELFARE FEE.

Be it enacted by the Senate and House of Representatives in General Assembly convened:

Section 1. Section 19a-7j of the general statutes is repealed and the following is substituted in lieu thereof (Effective October 1, 2005):

(a) Not later than September 1, 2003, and annually thereafter, the Secretary of the Office of Policy and Management, in consultation with the Commissioner of Public Health, shall (1) determine the amount appropriated for the following purposes: (A) To purchase, store and distribute vaccines for routine immunizations included in the schedule for active immunization required by section 19a-7f; (B) to purchase, store and distribute (i) vaccines to prevent hepatitis A and B in persons of all ages, as recommended by the schedule for immunizations published by the National Advisory Committee for Immunization Practices, (ii) antibiotics necessary for the treatment of tuberculosis and biologics and antibiotics necessary for the detection and treatment of tuberculosis infections, and (iii) antibiotics to support treatment of patients in communicable disease control clinics, as defined in section 19a-216a; and (C) to provide services needed to collect up-to-date information on childhood immunizations for all children enrolled in Medicaid who reach two years of age during the year preceding the current fiscal year, to incorporate such information into the childhood immunization registry, as defined in section 19a-7h, and (2) inform the Insurance Commissioner of such amount.

(b) (1) Each domestic insurer or health care center doing life insurance or health insurance business in this state shall annually pay to the Insurance Commissioner, for deposit in the General Fund, a health and welfare fee assessed by the Insurance Commissioner pursuant to this section. Each pharmaceutical company doing business in this state shall annually pay to the Secretary of the Office of Policy and Management, for deposit in the General Fund, a health and welfare fee assessed by the secretary pursuant to this section.

(2) Not later than October 1, 2003, the Insurance Commissioner shall determine the fee to be assessed against each such domestic insurer or health care center for the fiscal year ending June 30, 2004. Not later than October 1, 2003, and annually thereafter, the Insurance Commissioner shall determine the fee to be assessed against each such domestic insurer or health care center for the next fiscal year. Such fee shall be a percentage of the total amount appropriated, as identified in subsection (a) of this section, and shall be calculated on the basis of life insurance premiums and health insurance premiums and subscriber charges in the same manner as calculations under section 38a-48. Not later than November 1, 2003, and annually thereafter, the Insurance Commissioner shall submit a statement to each such insurer and health care center that includes the proposed fee for the insurer or health care center calculated in accordance with this section. As used in this section, "health insurance" means health insurance, as defined in subdivisions (1) to (13), inclusive, of section 38a-469.

(3) Not later than October 1, 2005, and annually thereafter, the Secretary of the Office of Policy and Management shall determine the fee to be assessed against each pharmaceutical company doing business in this state. Not later than November 1, 2005, and annually thereafter, the secretary shall submit a statement to each such pharmaceutical company that includes the proposed fee for the pharmaceutical company.

(c) Any domestic insurer, [or] health care center or pharmaceutical company aggrieved by an assessment levied under this section may appeal therefrom in the same manner as provided for appeals under section 38a-52.

(d) For the fiscal year ending June 30, 2004, the aggregate assessment under this section shall not exceed seven million one hundred thousand dollars. For the fiscal year ending June 30, 2005, the aggregate assessment under this section shall not exceed seven million one hundred thousand dollars.

This act shall take effect as follows and shall amend the following sections:

Section 1

October 1, 2005

19a-7j

Statement of Purpose:

To provide that pharmaceutical companies doing business in this state shall be assessed a health and welfare fee in a similar manner as is required for certain insurers.

[Proposed deletions are enclosed in brackets. Proposed additions are indicated by underline, except that when the entire text of a bill or resolution or a section of a bill or resolution is new, it is not underlined.]