The bill proposes a comprehensive restructuring of the administration of the state employee health benefits plan and the state workers' compensation self-insurance fund in Kansas. It transfers all powers, duties, and functions of the division of the state employee health benefits plan from the Department of Administration to the Insurance Department, under the direction of the Commissioner of Insurance. This transfer includes relevant employees who will maintain their classified status, retirement benefits, and leave balances. The Insurance Department will also assume all liabilities for accrued compensation and salaries of these employees, while ensuring that existing rules and regulations remain effective until amended or repealed. The bill further establishes the state workplace health and safety program within the Insurance Department, replacing the previous administration by the Secretary of Health and Environment.

Additionally, the bill amends various sections of Kansas law to reflect these changes, including the designation of the Insurance Department as the successor to the powers previously held by the Department of Administration. It clarifies that ongoing legal actions involving the division of the state employee health benefits plan will continue under the Insurance Department. The Kansas State Employees Health Care Commission will now be chaired by the Commissioner of Insurance instead of the Governor, and it will consist of seven members, including state employees and representatives appointed by the Governor and legislative leaders. The bill also creates a technical administrator position for the state health care benefits program under the Commissioner of Insurance's direction. Several sections of existing law are repealed, and the act is set to take effect on July 1, 2027.

Statutes affected:
As introduced: 44-512, 44-575, 44-577, 44-578, 75-6502, 75-3223, 75-6503
As Amended by House Committee: 44-512, 44-575, 44-577, 44-578, 75-6502, 75-3223, 75-6503, 75-37