HBA-JEK H.B. 2785 77(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 2785
By: Farabee
Insurance
4/22/2001
Introduced



BACKGROUND AND PURPOSE 

Current law authorizes a school district to participate in the small
employer market for health insurance regardless of the number of district
employees.  However, the law does not authorize a community mental health
and mental retardation center (center) to participate in the small employer
market for health insurance if it has more than 50 employees.  Many centers
receive a limited number of bids from insurance companies.  House Bill 2785
authorizes a center to elect to participate in the small employer market
regardless of the number of eligible employees at the center. 

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

ANALYSIS

House Bill 2785 amends the Insurance Code to authorize a community mental
health and mental retardation center (center) to elect to participate in
the small employer market without regard to the number of eligible
employees of the center.  A center that elects to participate is treated as
a small employer for all purposes of the Health Insurance Portability and
Availability Act. 

EFFECTIVE DATE

The 91st day after adjournment.