OFFICE OF FISCAL ANALYSIS

Legislative Office Building, Room 5200

Hartford, CT 06106 (860) 240-0200

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

sHB-5435

AN ACT CONCERNING THE COMMISSION ON HEALTH EQUITY.

AMENDMENT

LCO No.: 9250

File Copy No.: 398

House Calendar No.: 256

Senate Calendar No.: 607


OFA Fiscal Note

State Impact: None

Municipal Impact: None

Explanation

The amendment does not result in a fiscal impact to the state or municipalities, as Connecticut's health insurance exchange, Access HealthCT, is a quasi-public state agency which does not currently receive state funding.1

There may be a fiscal impact to Access HealthCT which is dependent on the financial relationship between the subsidiary and the exchange, which may be established pursuant to the amendment, and the nature of the subsidiary's business. The amendment includes various provisions to protect the assets of the exchange, including (1) holding the exchange harmless from any adverse actions of a subsidiary by requiring a provision be included in contracts between subsidiaries and other entities which limit liability to the subsidiaries' own assets, revenue, and resources, and (2) specifies any loans issued to or bonds issued on behalf of the subsidiary be secured and repaid from the assets and revenues of the subsidiary. Lastly, the amendment requires the exchange to (1) submit to the General Assembly for approval any proposed changes to users fees or assessments great than 10% and (2) a report on the long term self-sustainability of the exchange.

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.

1 Pursuant to federal law, the state exchange is required to be financially self-sufficient and does so through an assessment on insurance carriers.