The bill amends existing laws regarding state employee health benefits, specifically adjusting the contribution percentages for group insurance. It establishes that starting July 1, 2025, the state will contribute eighty percent of the cost of insurance for employees in executive, judicial, or legislative departments. Additionally, the bill authorizes the Secretary of Health Care Authority to utilize funds from the Health Care Affordability Fund to reduce or eliminate premiums for certain government employees, thereby enhancing the affordability of health benefits for those eligible.

Furthermore, the bill outlines the creation and administration of the Health Care Affordability Fund, which will consist of various financial sources and aims to reduce health care premiums for New Mexico residents, small businesses, and state employees who do not qualify for Medicaid. It also includes provisions for maintaining health coverage in the event of changes to federal health care laws. The Secretary of Health Care Authority is tasked with establishing a program to make health benefit premiums more affordable and must report annually on the effectiveness of cost-containment measures.

Statutes affected:
introduced version: 10-7-4, 59A-23F-11
FC substitute: 10-7-4, 59A-23F-11
Final Version: 10-7-4, 59A-23F-11