Final
STAFF SUMMARY OF MEETING
HOUSE
COMMITTEE ON
BUSINESS AFFAIRS AND LABOR
Date:
03/23/2005
ATTENDANCE
Time:
09:44 AM
to
10:51 AM
Balmer
*
Borodkin
X
Place:
HCR 0107
Butcher
*
Carroll M.
X
This Meeting was called to order by
Coleman
X
Representative
Marshall
Knoedler
X
Liston
*
This Report was prepared by
Massey
X
Todd Jorgensen
McCluskey
X
Paccione
X
White
X
Cerbo
X
Marshall
X
X = Present, E = Excused, A = Absent, * = Present after roll call
Bills Addressed:
Action Taken:
SB05-103
HB05-1193
HB05-1204
HB05-1018
Amended, Referred to the Committee of the Whole
Laid Over
Postponed Indefinitely
Amended, Referred to the Committee of the Whole
09:46 AM -- Senate Bill 05-103
Representative Jahn presented SB05-103 to the committee. The bill exempts employers participating in a Multiple Employer Welfare Arrangement (MEWA) from being subject to premium adjustments up to 35 percent above the regular rate of small group insurance plans if the employer has been either self-funded or not insured through a small group plan. The committee took witness testimony on the bill on March 14. The committee is hearing the bill today for action only. Representative Jahn testified that the legislature and the general public have generally misunderstood MEWAs and that not enough time has passed to make a judgement regarding their success.
09:49 AM
BILL:
SB05-103
TIME:
09:49:25 AM
MOVED:
Paccione
MOTION:
Moved amendment L.005 (Attachment A). Amendment L.005 adds a legislative declaration to the bill in an attempt to clarify that the legislature's intent is to discourage employers from, based on the health status of employees, leaving the MEWA market for the small group market and then returning. Such a move is also called "gaming" the system. The motion passed without objection.
SECONDED:
Marshall
VOTE
Balmer
Excused
Borodkin
Butcher
Carroll M.
Coleman
Knoedler
Liston
Massey
McCluskey
Paccione
White
Cerbo
Marshall
Not Final YES:
0
NO:
0
EXC:
1
ABS:
0
FINAL ACTION:
Pass Without Objection
BILL:
SB05-103
TIME:
09:51:26 AM
MOVED:
Paccione
MOTION:
Moved that SB05-103 be referred, as amended, to the Committee of the Whole. The motion passed 11-2.
SECONDED:
Coleman
VOTE
Balmer
No
Borodkin
Yes
Butcher
Yes
Carroll M.
Yes
Coleman
Yes
Knoedler
Yes
Liston
Yes
Massey
Yes
McCluskey
Yes
Paccione
Yes
White
No
Cerbo
Yes
Marshall
Yes
Final YES:
11
NO:
2
EXC:
0
ABS:
0
FINAL ACTION:
PASS
09:53 AM -- House Bill 05-1193
Representative Green presented HB05-1193 which requires small group health insurance carriers to offer the same basic and standard health plans and premiums to Multiple Employer Welfare Arrangements (MEWA) as offered to small employers. The committee first heard the bill on February 21. The bill was scheduled for action only on March 14. The bill was laid over at that time in order for Representative Green to prepare an amendment. Today, Representative Green asked that the committee lay over HB05-1193 in order for her to continue to prepare potential amendments. Representative Marshall took the bill off the table.
09:55 AM -- House Bill 05-1204
Representative Judd presented HB05-1204 which specifies that a person who has a duty to pay wages on behalf of an insolvent employer, and does not, is liable to the employee for unpaid wages. Representative Judd responded to questions from the committee. The committee heard this bill on February 21 and it was referred to the Committee of the Whole with a favorable recommendation. The Committee of the Whole referred the bill back to this committee for further action.
Representative Judd presented amendment L.003 (Attachment B) which is a strike-below amendment that adds a legislative declaration in an attempt to clarify that it is the intent of the bill to establish a priority for employees over debtors when an insolvent employer is indebted to both. The amendment also clarifies that an agent of the employer is in violation of the article only if the agent is aware that the employer is insolvent and intentionally pays a creditor before meeting payroll obligations.
BILL:
HB05-1204
TIME:
10:03:48 AM
MOVED:
Marshall
MOTION:
Moved amendment L.003 (Attachment B). The amendment failed 6-7.
SECONDED:
Cerbo
VOTE
Balmer
No
Borodkin
No
Butcher
Yes
Carroll M.
Yes
Coleman
Yes
Knoedler
No
Liston
No
Massey
No
McCluskey
No
Paccione
Yes
White
No
Cerbo
Yes
Marshall
Yes
Not Final YES:
6
NO:
7
EXC:
0
ABS:
0
FINAL ACTION:
FAIL
BILL:
HB05-1204
TIME:
10:07:52 AM
MOVED:
Coleman
MOTION:
Moved that HB05-1204 be Postponed Indefinitely. The motion passed 8-5.
SECONDED:
Balmer
VOTE
Balmer
Yes
Borodkin
Yes
Butcher
No
Carroll M.
No
Coleman
Yes
Knoedler
Yes
Liston
Yes
Massey
Yes
McCluskey
Yes
Paccione
No
White
Yes
Cerbo
No
Marshall
No
Final YES:
8
NO:
5
EXC:
0
ABS:
0
FINAL ACTION:
PASS
10:12 AM -- House Bill 05-1018
Representative Carroll presented HB05-1018 which would allow injured employees to select their own medical professional. The committee heard witness testimony on the bill on January 31 and took action on the bill on February 9. The committee referred it, as amended, to the Committee of the Whole with a favorable recommendation. The Committee of the Whole referred the bill back to this committee for further action. The committee is hearing the bill today for action only.
BILL:
HB05-1018
TIME:
10:12:24 AM
MOVED:
Carroll M.
MOTION:
Moved amendment L.016 (Attachment C). The amendment repeals the bill on January 1, 2010. The amendment passed 10-3.
SECONDED:
Borodkin
VOTE
Balmer
Yes
Borodkin
Yes
Butcher
Yes
Carroll M.
Yes
Coleman
Yes
Knoedler
Yes
Liston
Yes
Massey
Yes
McCluskey
No
Paccione
No
White
Yes
Cerbo
Yes
Marshall
No
Not Final YES:
10
NO:
3
EXC:
0
ABS:
0
FINAL ACTION:
PASS
BILL:
HB05-1018
TIME:
10:17:42 AM
MOVED:
Carroll M.
MOTION:
Moved amendment L.017 (Attachment D). The amendment corrects a drafting error on page 3, lines 9 and 10, to replace the words "employee's residence" with "employer's place of business". The amendment passed without objection.
SECONDED:
Coleman
VOTE
Balmer
Borodkin
Butcher
Carroll M.
Coleman
Knoedler
Liston
Massey
McCluskey
Paccione
White
Cerbo
Marshall
Not Final YES:
0
NO:
0
EXC:
0
ABS:
0
FINAL ACTION:
Pass Without Objection
BILL:
HB05-1018
TIME:
10:18:51 AM
MOVED:
Carroll M.
MOTION:
Moved amendment L.018 (Attachment E). The amendment clarifies that the provisions of the bill in subparagraphs (I) through (V) are optional for employers located in rural areas. A rural area is defined as an area located within a county with a population of less than 60,000. Representative Paccione suggested that a more proper definition of a rural area should include counties with a population of less than 40,000. Representative Paccione suggested that L.018 be amended by striking on line 5 of the amendment the word "sixty" and replacing it with the word "forty". The committee agreed. The motion passed without objection.
SECONDED:
Coleman
VOTE
Balmer
Borodkin
Butcher
Carroll M.
Coleman
Knoedler
Liston
Massey
McCluskey
Paccione
White
Cerbo
Marshall
Not Final YES:
0
NO:
0
EXC:
0
ABS:
0
FINAL ACTION:
Pass Without Objection
BILL:
HB05-1018
TIME:
10:29:38 AM
MOVED:
White
MOTION:
Moved amendment L.015 (Attachment F). The amendment adds language that clarifies that if an employer designates three physicians or facilities from the insurer's preferred provider list, then the insurer shall provide the employer with a premium discount of at least 2.5%. The amendment passed 10-3.
SECONDED:
Paccione
VOTE
Balmer
No
Borodkin
Yes
Butcher
Yes
Carroll M.
Yes
Coleman
Yes
Knoedler
No
Liston
Yes
Massey
Yes
McCluskey
No
Paccione
Yes
White
Yes
Cerbo
Yes
Marshall
Yes
Not Final YES:
10
NO:
3
EXC:
0
ABS:
0
FINAL ACTION:
PASS
10:40 AM
Representative Carroll made closing remarks and responded to questions from the committee.
BILL:
HB05-1018
TIME:
10:50:25 AM
MOVED:
Carroll M.
MOTION:
Moved that HB05-1018 be referred, as amended, to the Committee of the Whole with a favorable recommendation. The motion passed 8-5.
SECONDED:
Paccione
VOTE
Balmer
No
Borodkin
Yes
Butcher
Yes
Carroll M.
Yes
Coleman
Yes
Knoedler
No
Liston
No
Massey
No
McCluskey
No
Paccione
Yes
White
Yes
Cerbo
Yes
Marshall
Yes
Final YES:
8
NO:
5
EXC:
0
ABS:
0
FINAL ACTION:
PASS