This bill mandates that the State Health Benefits Commission (SHBC) utilize funds received from the 2025 New Jersey False Claims Act settlement with Horizon Blue Cross Blue Shield of New Jersey to reduce health care contribution costs for public employees and their dependents. Specifically, the bill stipulates that all funds received from this settlement must be allocated to lower the contribution amounts for public employees of employers other than the State, excluding independent State authorities.

The settlement requires Horizon to pay a total of $100 million to the State, with $78 million designated for the Division of Pensions and Benefits on behalf of the SHBC and the School Employees Health Benefits Commission. This legislation aims to provide financial relief to public employees by decreasing their health care costs through the effective use of settlement funds. The bill is set to take effect immediately upon enactment.