OFFICE OF FISCAL ANALYSIS

Legislative Office Building, Room 5200

Hartford, CT 06106 (860) 240-0200

http: //www.cga.ct.gov/ofa

sSB-923

AN ACT CONCERNING THE AMERICAN COLLEGE OF RADIOLOGY AND COLORECTAL CANCER SCREENING RECOMMENDATIONS.

AMENDMENT

LCO No.: 5323

File Copy No.: 221

Senate Calendar No.: 165

OFA Fiscal Note

State Impact:

Agency Affected

Fund-Effect

FY 12 $

FY 13 $

Comptroller Misc. Accounts (Fringe Benefits)

GF & TF- Cost or Savings

Indeterminate

Indeterminate

Note: GF=General Fund and TF = Transportation Fund

Municipal Impact:

Municipalities

Effect

FY 12 $

FY 13 $

Various Municipalities

Cost or Savings

Indeterminate

Indeterminate

Explanation

As of July 1, 2010, the State Employees' Health Plan went self insured. Pursuant to current federal law, the state's self-insured plan would be exempt from state health insurance benefit mandates. However, in previous self-funded arrangements the state has traditionally adopted all state mandates. To the extent that the state continues this practice of voluntary mandate adoption the following impact would be anticipated

The amendment may result in a cost or a savings to the state and fully insured municipalities. The amendment to the bill adds a new section which would require the rate paid for a physician's services related to colonoscopies to be the same regardless of what type of facility the service is performed in (e.g. an outpatient surgical facility versus a hospital) .

In general, insurance companies negotiate rates directly with providers. To the extent that the rates paid for services at certain facilities are greater as a result of the amendment's provisions, there may be a cost to the state and fully insured municipalities. Conversely, to the extent that the rates paid for services at certain facilities are less as a result of the amendment's provisions, there may be a savings to the state and fully insured municipalities. The rates paid for physician services related to colonoscopies at various facilities are unknown.

The coverage requirements may result in increased or reduced premium costs when municipalities enter into new health coverage contracts after October 1, 2011. Due to federal law, municipalities with self-insured health plans are exempt from state health insurance benefit mandates.

The preceding Fiscal Impact statement is prepared for the benefit of the members of the General Assembly, solely for the purposes of information, summarization and explanation and does not represent the intent of the General Assembly or either chamber thereof for any purpose. In general, fiscal impacts are based upon a variety of informational sources, including the analyst's professional knowledge. Whenever applicable, agency data is consulted as part of the analysis, however final products do not necessarily reflect an assessment from any specific department.