This bill amends existing laws regarding state employee health benefits, specifically adjusting the contribution percentages for group insurance. It establishes that effective 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 mandates that the Secretary of Health Care Authority will 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 earning lower salaries.

Furthermore, the bill outlines the creation and administration of the Health Care Affordability Fund, which will be used to reduce health care premiums for New Mexico residents, small businesses, and state employees who do not qualify for Medicaid but earn below certain income thresholds. The fund will also support health care coverage initiatives for uninsured residents and ensure that state employees have access to a variety of health benefit plans. The Secretary of Health Care Authority is tasked with establishing eligibility criteria for the program and reporting on its effectiveness annually.

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