HOUSE 2nd Reading Unamended May 4, 2006 SENATE 3rd Reading Unamended April 21, 2006 SENATE Amended 2nd Reading April 20, 2006Second Regular Session Sixty-fifth General Assembly STATE OF COLORADO REVISED This Version Includes All Amendments Adopted on Second Reading in the Second House LLS NO. 06-0144.01 Jery Payne SENATE BILL 06-011 SENATE SPONSORSHIP Tapia, Hagedorn, Keller, and Shaffer HOUSE SPONSORSHIP Butcher, Boyd, and Green Senate Committees House Committees Health and Human Services Health and Human Services Appropriations Finance Appropriations A BILL FOR AN ACT Concerning a study to analyze factors that drive the cost of health care within Pueblo county, and making an appropriation in connection therewith. Bill Summary (Note: This summary applies to this bill as introduced and does not necessarily reflect any amendments that may be subsequently adopted.) Interim Committee on Health Insurance. Instructs the division of insurance to conduct a study of the factors that drive health insurance in the Pueblo area. Defines the parameters of the study and the data to be gathered and analyzed. Requires the commissioner of insurance to convene a meeting of all interested persons related to the study no later than June 15, 2006. Authorizes the division of insurance to contract with a nonprofit entity to analyze data collected by the division and prepare a report of the analysis of such data. Instructs the director of the division of registrations to conduct a survey of each health care professional concerning the charges billed in Pueblo county to health insurers. Instructs the department of public health and environment to survey all licensed health facilities in Pueblo county for charges billed to health insurers and consumers. Requires both sets of survey results to be forwarded to the division of insurance. Be it enacted by the General Assembly of the State of Colorado: SECTION 1. Part 1 of article 16 of title 10, Colorado Revised Statutes, is amended BY THE ADDITION OF A NEW SECTION to read: 10-16-131. Study of health insurance premiums charged in Pueblo county - repeal. (1) (a) The division shall conduct an independent and objective study pursuant to subsection (2) of this section to gather and analyze data to identify: (I) The factors that drive health insurance costs for individuals and groups in Pueblo county; (II) The statistical interaction, relationships, and dependencies of the factors; (III) The demographic, health services, and other cost components of health insurance premiums for individuals and groups in Pueblo county; (IV) The role of modified community rating for Pueblo county; and (V) Whether health coverage for individuals and groups in Pueblo county is reasonably available. (b) The division may contract with a nonprofit entity to analyze data collected by the division and prepare a report of the analysis of such data. (2) (a) The commissioner shall assure that the study parameters include the data to be gathered, the method and time frames for collection of the data, and the objectives and standards for the analysis thereof. (b) Upon completion of the analysis, the division shall present a draft of the report to the commissioner for review and transmission to the general assembly pursuant to paragraph (c) of this subsection (2). (c) The commissioner shall submit a report of the study containing conclusions and an analysis of the factors that drive the cost of health care, the cost of health insurance coverage on an individual and group basis, and the impact of modified community rating on Pueblo county to the president of the senate, majority leader of the senate, minority leader of the senate, speaker of the house of representatives, majority leader of the house of representatives, minority leader of the house of representatives, and chairs of the health and human services and business affairs committees of the senate and the house of representatives no later than January 15, 2008. (d) If the commissioner contracts with a nonprofit entity to analyze data collected pursuant to this section, such aggregated data may be transmitted to such nonprofit entity for analysis. (e) Nothing in this section shall waive any claim to privileged or confidential information pursuant to federal or state law. (3) The data to be collected shall include the amount of claims paid by health insurers in Pueblo county for the period beginning January 1, 2002, and ending December 31, 2005; the rates charged for health insurance during this period; the charges billed by licensed, certified, or registered health care providers during this same period; the charges billed by all licensed heath care facilities during this period; the number of licensed, certified, or registered health care providers in Pueblo county during this period; the number of health insurers conducting business in Pueblo county during this period; whether the practice patterns of health care providers in the Pueblo community differ from accepted standards and guidelines; whether the health status of the Pueblo community drives health insurance costs; and any other information determined necessary by the commissioner. (4) This section is repealed, effective January 15, 2008. SECTION 2. Appropriation. (1) In addition to any other appropriation, there is hereby appropriated, out of any moneys in the division of insurance cash fund created in section 10-1-103 (3), Colorado Revised Statutes, not otherwise appropriated, to the department of regulatory agencies, for allocation to the division of insurance, for the fiscal year beginning July 1, 2006, the sum of twenty-five thousand three hundred forty-nine dollars ($25,349), or so much thereof as may be necessary, for the implementation of this act. SECTION 3. Safety clause. The general assembly hereby finds, determines, and declares that this act is necessary for the immediate preservation of the public peace, health, and safety.