The bill amends existing laws related to wellness incentives for public and school employee health benefit plans in Washington State, replacing the term "wellness incentives" with "wellness initiatives." This change highlights a shift towards proven health strategies, including smoking cessation, injury prevention, and nutrition education. A significant provision of the bill states that the public employees' benefits board will discontinue the smart health program, which encompasses the wellness incentive and online portal, effective January 1, 2028. However, employees who qualify for the wellness incentive by December 31, 2027, will still receive it during the 2028 plan year, with no new wellness incentives being offered after that date.

Additionally, the bill outlines the responsibilities of both the public and school employees' benefits boards in developing comprehensive health care benefits and eligibility criteria for employees, emphasizing cost containment and access to quality care. It establishes the structure for the school employees' benefits board, including staggered terms for initial members and compensation regulations. The bill mandates that the boards focus on wellness and preventive care initiatives while detailing eligibility requirements and local negotiation options for organizations. A review of the benefit plans is also required by November 30, 2021, to evaluate potential cost savings for the state.

Statutes affected:
Original Bill: 41.05.065, 41.05.740
Bill as Passed Legislature: 41.05.065, 41.05.740
Session Law: 41.05.065, 41.05.740