HOUSE BILL NO. 609
INTRODUCED BY HAMILTON, RASER, CORDIER, O'HARA, ARNTZEN
AN ACT REQUIRING A SCHOOL DISTRICT TO USE SELF-INSURED HEALTH BENEFIT PLAN RESERVE FUNDS TO PAY EMPLOYEE CLAIMS AND LIABILITIES OR TO PAY EMPLOYEE BENEFIT COSTS IF A DISTRICT'S SELF-INSURED HEALTH BENEFIT PLAN IS DISSOLVED; AND PROVIDING AN IMMEDIATE EFFECTIVE DATE AND AN APPLICABILITY DATE.
AN ACT REQUIRING A SCHOOL DISTRICT TO USE SELF-INSURED HEALTH BENEFIT PLAN RESERVE FUNDS TO PAY EMPLOYEE CLAIMS AND LIABILITIES OR TO PAY EMPLOYEE BENEFIT COSTS IF A DISTRICT'S SELF-INSURED HEALTH BENEFIT PLAN IS DISSOLVED; AND PROVIDING AN IMMEDIATE EFFECTIVE DATE AND AN APPLICABILITY DATE.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MONTANA:
Section 1. District self-funded health benefit plan reserve funds -- exception for dissolution of plan. (1) Except as provided in subsection (2), the trustees of a school district with a self-insured health benefit plan holding reserve funds shall use these funds to pay claims and other liabilities of the district's health benefit plan.
(2) Upon dissolution of a district's self-insured health benefit plan, all remaining reserves must be maintained by the district under the provisions of 20-3-331 and must be used to pay for employee benefit costs as determined by a collective bargaining agreement or an employer policy or as required by applicable state or federal law.
Section 2. Codification instruction. [Section 1] is intended to be codified as an integral part of Title 20, chapter 3, part 3, and the provisions of Title 20, chapter 3, part 3, apply to [section 1].
Section 3. Effective date -- applicability. [This act] is effective on passage and approval and applies to health benefit claims filed or self-insured health plans dissolved on or after [the effective date of this act].
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