OFFICE OF FISCAL ANALYSIS

Legislative Office Building, Room 5200

Hartford, CT 06106 (860) 240-0200

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

HB-6221

AN ACT CONCERNING RECOVERY OF PAYMENTS FROM COLLATERAL SOURCES BY A MUNICIPALITY WITH A SELF-INSURED HEALTH PLAN.

AMENDMENT

LCO No.: 8592

File Copy No.: 810

House Calendar No.: 359

Senate Calendar No.: 563


OFA Fiscal Note

State Impact: None

Municipal Impact:

Municipalities

Effect

FY 18 $

FY 19 $

Various Municipalities

Potential Revenue Gain

See Below

See Below

Explanation

The amendment will result in revenue in addition to the revenue reflected in the underlying bill, to self-insured municipalities to the extent that they are allowed to recover through subrogation any medical costs incurred on behalf of an injured employee or the employee's dependents from the proceeds of a settlement. The amendment is anticipated to result in a revenue gain as opposed to a savings, as any recovery is assumed to be a refund of expenditures already paid. Under current law self-insured health plans are not allowed to recover through subrogation any medical costs out of the proceeds of a settlement. The revenue gain will depend on the amount recovered.

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.