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Minutes for SB110 - Committee on Financial Institutions and Insurance

Short Title

Authorizing the board of regents to provide supplemental health insurance coverage for certain state employees.

Minutes Content for Tue, Feb 7, 2017

Blake Flanders testified in support of SB110.  He built upon Ms. Ma's explanation by telling the committee that these visiting researchers and scholars must provide proof of adequate insurance coverage to the U.S. State Department.  As previously mentioned, the benefits offered through the SEHP no longer meet the federal standards for such coverage.  KBOR supports the changes offered in this legislation and believes it would have negligible administrative costs, plus the $500 per individual.  KBOR acknowledged that the deductible costs, plus costs for dependents are not known.  (Attachment 2)    Mr. Flanders answered questions from Senators Suellentrop and Pyle.  At one point, Rachel Rolf, Associate General Counsel for the University of Kansas, rose to answer a question and confirmed that the universities risk penalties under the Affordable Care Act (ACA) if not in compliance with the federal regulations.

Douglas Girod, M.D., also provided supportive testimony for SB110.  Dr. Girod concurred that KUMC is in the same predicament as other parties appearing here today.  He added KUMC is home to 89 of those individuals who are highly educated clinical and non-clinical exchange visitors that are either physician residents and fellows or engaged in research.  Thirty-eight of them are medical residents in internal medicine, pediatrics, psychiatry, neurology, pathology, and family medicine.  He told the committee that if a solution is not found to bring about federal compliance, they risk losing these residents, researchers, and possibly ground-breaking research to other states, where they would not be in violation of their visas.   (Attachment 3)     Dr. Girod answered questions from Senators Suellentrop, Pyle, Rogers, and Olson.

When Chairperson Longbine asked if there were any other proponents who would like to speak, Clark Shultz, Deputy Commissioner, Kansas Insurance Department (KID), came forward and spoke in favor of SB110. He commented that KID had met with the interested parties and had looked at various ways to fix this problem.  He concurred that SB110 is the solution that was reached.  Mr. Shultz did not submit any written testimony.

The Chairperson pointed the committee's attention to the written-only proponent testimony of Amanda McDiffett, Director of Benefits, Kansas State University.    (Attachment 4)   

There being no further questions or discussion, and no other conferees or written-only testimony submitted, Chairperson Longbine closed the hearing on SB110

Chairperson Longbine reminded the committee that tomorrow, Wednesday, February 8, 2017, is On-Call of the Chair.  The meeting adjourned at 10:07 am.  The next scheduled meeting is Thursday, February 9, 2017.