This bill amends the Fiscal Year 2026 annual appropriations act by removing the requirement for achieving $100 million in cost savings for the State Health Benefits Plan (SHBP). The current law mandates that representatives from the State Health Benefits Plan Design Committee (SHBPDC) submit cost savings proposals to the plan actuary, who must verify that these proposals will result in the required savings within the first six months of Plan Year 2026. If the SHBPDC fails to agree on the necessary proposals, the Legislature is obligated to revise the statutory framework to ensure the savings are achieved, or else a designated representative from the State and a public employees representative must select cost-saving changes.
By eliminating these provisions, the bill effectively removes the structured process for achieving the specified cost savings and the associated responsibilities of the SHBPDC and the Legislature. This change simplifies the appropriations act by removing the conditions tied to the Employee Benefits program classification, thereby allowing for more flexibility in managing the State's health benefits without the pressure of meeting a predetermined savings target.