printer friendly

Budget Home › Administration & Finance › Group Insurance › - 1108-5200

Executive Office for Administration and Finance

---

Account	Description	FY07 GAA	FY08 House 1
1108-5200	Group Insurance Premium and Plan Costs For the commonwealth's share of the group insurance premium and plan costs incurred in fiscal year 2008; provided, that notwithstanding any general or special law to the contrary, funds in this item shall not be available during the accounts-payable period of fiscal year 2008, and any unexpended balance in this item shall revert to the General Fund on June 30, 2008; provided further, that the secretary of administration and finance shall charge all state agencies and authorities, as defined in section 1 of chapter 29 of the General Laws, which have federal or other funds allocated to them for that portion of insurance premium and plan costs as the secretary determines should be borne by such funds, and shall notify the comptroller of the amounts to be transferred from these funds, and amounts transferred or otherwise received in payment of all such charges shall be credited to the General Fund; provided further, that prior-year costs incurred by all self-insured plans shall be funded from this item; provided further, that the group insurance commission shall obtain reimbursement for premium and administrative expenses from other agencies and authorities not funded by state appropriation; provided further, that notwithstanding section 26 of chapter 29 of the General Laws, the commission may negotiate, purchase, and execute contracts before July 1 of each year for policies of group insurance as authorized by chapter 32A of the General Laws; provided further, that notwithstanding chapter 150E of the General Laws and as provided in section 8 of said chapter 32A and for the purposes of section 14 of said chapter 32A, the commonwealth's share of the group insurance premium for state employees who have retired on or before July 1, 1994 shall be 90 per cent; provided further, that the commonwealth's share of the group insurance premium for state employees who have retired after July 1, 1994, shall be 85 per cent; provided further, that the commonwealth's share of the group insurance premium for active employees upon retirement shall be 85 per cent; provided further, that the commonwealth's share of the premiums for active state employees and their dependents shall be 85 per cent; provided further, that the commonwealth's share of the premiums for active state employees hired after June 30, 2003 and their dependents shall be 80 per cent; and provided further, that the commission shall notify the house and senate committees on ways and means by April 1 of each year of the cost of the commonwealth's projected share of group insurance premiums for the next fiscal year; and provided further, that the group insurance commission may pay premium and plan costs for municipal employees and retirees who are enrolled in the group insurance commission's health plans pursuant to the commission's regulations	976,037,643	706,399,124

Reduced funding due to reform.

 
 

HISTORICAL SPENDING CATEGORIES ($000)

SPENDING CATEGORY	FY04 Expended	FY05 Expended	FY06 Expended	FY07 Projected Spending	FY08 House 1
Wages & Salaries	1,220	908	790	952	952
Pensions & Benefits	735,872	784,022	889,010	959,116	704,471
Operating Expenses	197	174	685	970	977
TOTAL	737,290	785,104	890,485	961,038	706,399

* FY07 Projected Spending includes the budget plus nearly $1 billion in spending from FY06 supplemental budgets.