Sponsored by:
Senator CARMEN F. AMATO, JR.
District 9 (Ocean)
SYNOPSIS
Requires SHBP commission to use funds from 2025 False Claims Act settlement with Horizon to lower local public employee health care contribution costs.
CURRENT VERSION OF TEXT
As introduced.
An Act concerning funding for public employee health benefits and supplementing P.L.1961, c.49 (C.52:14-17.25 et seq.).
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. Notwithstanding any other law, rule, or regulation to the contrary, all monies received by the Division of Pensions and Benefits on behalf of the State Health Benefits Program from the 2025 New Jersey False Claims Act settlement between the State and Horizon Blue Cross Blue Shield of New Jersey shall be used to lower the contribution amount paid by public employees of employers other than the State for health care benefits coverage in the State Health Benefits Program for the employee and any dependents, except that employers other than the State shall not include independent State authorities.
2. This act shall take effect immediately.
STATEMENT
This bill requires the State Health Benefits Commission (SHBC) to use the proceeds of the 2025 New Jersey False Claims Act settlement between the State and Horizon Blue Cross Blue Shield of New Jersey to lower the cost of health care contributions for public employees and dependents of employers other than the State who receive health care coverage through the State Health Benefits Program. Under the bill, an employer other than the State does not include an independent State authority.
Under the settlement, Horizon is required to pay a lump sum of $100 million to the State within 25 calendar days of the effective date of the agreement. Of that amount, $78 million will be distributed to the Division of Pensions and Benefits in the Department of the Treasury on behalf of the SHBC and the School Employees’ Health Benefits Commission.