The Property Tax Relief Act introduces substantial reforms to the State Health Benefits Program (SHBP) and the School Employees' Health Benefits Program (SEHBP). Key provisions include the establishment of reimbursement limits for various medical procedures, such as knee and hip replacements, MRIs, and CT scans, which will be capped at the lesser of the contract price, billed price, or a defined reference price. The bill also prohibits carriers and hospitals from charging covered employees or retirees more than these established limits, with exceptions for certain rural hospitals and emergency situations. Additionally, the Department of the Treasury is tasked with assessing the financial impact of these changes within two years of the bill's enactment.

Moreover, the bill consolidates decision-making authority by eliminating the SHBP and SEHBP Plan Design Committees and transferring their responsibilities to the respective commissions. It mandates that any health plan offered must have an actuarial value of at least 85 percent and requires employers, other than the State, to decide on participation in the SHBP and SEHBP within one year of the bill's effective date, with specific enrollment and re-enrollment stipulations. These changes aim to streamline health benefits administration while ensuring adequate and cost-effective coverage for employees and retirees.

Statutes affected:
Introduced: 52:14-17.27, 52:14-17.29, 52:14-17.46.3, 52:14-17.46.4, 52:14-17.46.13