House Sponsors: MAY. Short description: STATE EMP INS TO SMALL BUSNESS Synopsis of Bill as introduced: Amends the State Employees Group Insurance Act of 1971. Provides that self-employed persons and small businesses may be provided group health coverage under the Act. Limits small businesses to those with 25 or fewer employees. Amends the State Finance Act to provide for payments made on behalf of the small business employees to be deposited into the Small Employers Health Insurance Reserve Fund. Effective January 1, 2003. FISCAL NOTE (Department of Insurance) House Bill 5963 will have no fiscal impact on the Department. FISCAL NOTE (Department of Central Management Services) Assuming 1 - 2% of the approximately 282,000 registered small businesses that would be eligible to apply did apply during the first year, estimated first year administrative costs would be $600,000, including 7 - 10 staff members. Subsequent fiscal year administrative costs would begin at approximately $500,000 and would likely increase with increased participa- tion. Since all Plan expenses are borne by the participating units, this legislation would have minimal fiscal impact to the State. However, expenditure authority for the Small Employers Health Insurance Reserve Fund would have to be appropriated to cover payments for medical claims and administrative costs. An initial GRF appropriation of $600,000 is needed for program start-up costs. STATE MANDATES NOTE (Illinois Department of Commerce and Community Affairs) In the opinion of DCCA, HB 5963 does not create a State mandate under the State Mandates Act. Last action on Bill: SESSION SINE DIE Last action date: JAN-07-2003 Location: House Amendments to Bill: AMENDMENTS ADOPTED: HOUSE - 0 SENATE - 0 END OF INQUIRY Full Text Bill Status