HCS HB 303 -- CAFETERIA PLANS FOR STATE EMPLOYEES

SPONSOR:  Bearden

COMMITTEE ACTION:  Voted "do pass" by the Committee on Budget by
a vote of 16 to 9.

This substitute revises the operation of the Cafeteria Plan for
state employees.  The Commissioner of Administration is required
to include in the Cafeteria Plan products not subject to
selection based on the competitive bid process from venders if
the product is eligible under the United States Code, is approved
by the Office of Administration, and the vender is receiving at
least $500,000 annually from state employees through voluntary
payroll deductions.

The provisions of the substitute are to apply to all plans which
become effective on or after January 1, 2004.

FISCAL NOTE:  Not available at time of printing.

PROPONENTS:  Supporters say that the bill allows state employees
to purchase supplemental insurance with pre-tax dollars.

Testifying for the bill were Representative Rupp; and American
Family Life Assurance Company.

OPPONENTS:  Those who oppose the bill say that the bill exempts
certain venders from the competitive bid process, allows access
to state workers on state facilities on state time, and does not
allow the Office of Administration the time to fulfill the
statutory requirement to rewrite the summary plan description 120
days prior to the effective date of the plan.

Testifying against the bill was Office of Administration.

Roland Tackett, Legislative Analyst

Missouri House of Representatives
Last Updated July 25, 2003 at 10:11 am