[{"_1":2,"_112":-5,"_113":-5},"loaderData",{"_3":4,"_26":27},"root",{"_5":6,"_17":10,"_18":19,"_20":21,"_22":10,"_23":-5,"_24":-5,"_25":10},"user",{"_7":8,"_9":10,"_11":10,"_12":-5,"_13":-5,"_14":15,"_16":-5},"roles",[],"isAuthenticated",false,"isPremium","planName","subscriptionStatus","featureFlags",{},"insightsBudget","isDevelopmentHost","userPreferences",{},"recaptchaSiteKey","6LcvOJcUAAAAAHsB-gPGfGktcRlKpH7OTIU_dMTD","isImpersonating","impersonation","affiliateStatus","isFreedomPortal","routes/v2/article/layout",{"_28":29,"_30":31},"notFound",true,"relatedArticles",[32,76,88,100],{"_33":34,"_35":36,"_37":38,"_39":40,"_41":42,"_43":44,"_45":46,"_47":48,"_49":50,"_51":52,"_53":54,"_55":56,"_57":58,"_59":60,"_61":62,"_63":64,"_65":66,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},"mediaId",6361299,"mediaKeyId","2170859-ea83f1ce87bf8c5f16e604402fc3adc2","parentId",2170859,"title","Administrative Services credits Medicare Advantage, plan changes for major retiree health savings; PFML rollout under way","audioSeconds",516,"startMs",474000,"endMs",990000,"viewUrl","/Search/View?dp=1&key=2170859-ea83f1ce87bf8c5f16e604402fc3adc2&start=474&end=990","thumbnailUrl","https://assets.pipeline.soar.com/2170859-ea83f1ce87bf8c5f16e604402fc3adc2/thumbnail_474000.jpg","articleUrl","/articles/6361299/New-Hampshire/Administrative-Services-credits-Medicare-Advantage-plan-changes-for-major-retiree-health-savings-PFML-rollout-under-way","mediaUrl","https://secure.pipeline.soar.com/6361299-19c4a9769df3b90f67593d0aa8588908/orig.mp4?Expires=1774682837&Signature=W6gtnCz6QjRLTJbKLi4HYjHdHcYJvuN87qq8Lb2nSu-3dxQKQDJ-C6u-BxzyZ0Q3FPeJL2PjG01uYdhaEaEtH2ynM-0T~eg0PYoaZnVax3RQ7FCJC5FiUgvHLtnDyslK185zrjvf8l63KFfF0UU1Piag9moVJHcQIPhXRCzDmQCgxrmydnZIQWrcNqdgJV5lRQjwEFq8GTMDAbWgwtnyh4r40OectOeJTj5wHufUH8lGKhrzz~ceVV58VXbrNlekGiUiWGlMl9JQ4XNx~5tKaCf7mrBfxvYlyIJiOSk4dRU8m4QN~3gzAPbwGV-3IUdGLezVkxFYfANZzoH5AhR70A__&Key-Pair-Id=KUT5TJCACFTXG","author","NH House of Representatives Committee","date","2025-01-29T00:00:00Z","article","Commissioner Charlie Arlinghaus told the House Finance Division I on Feb. 12 that the Department of Administrative Services’ (DAS) general-fund allocation is down from 2019 levels even as most state agencies’ budgets rose, and that a large portion of DAS’s recent budget reduction stems from retiree health savings achieved through changes to how Medicare-eligible retirees are insured.

Nut Graf: DAS officials described a multi-year strategy that moved Medicare-eligible retirees onto fully or partially insured Medicare Advantage plans and introduced premium contributions for retirees; they said the changes produced large budget reductions but warned federal reimbursement uncertainty could reduce future savings. Officials also reviewed the state’s new paid family and medical leave (PFML) program, which the department helps administer for state employees.

The savings story centers on shifting Medicare retirees’ medical coverage into Medicare Advantage contracts. Deputy Commissioner Cassie Keene said the department’s retiree health population includes about 12,486 retirees and spouses, of whom roughly 10,906 are Medicare-eligible and about 1,580 are not. Keene told the committee that the state procured Medicare Advantage coverage beginning in 2019, first with Anthem and later with Aetna; the 2022 procurement produced a $0 premium for medical coverage because the carrier expected to offset costs with federal reimbursements. Keene said the state kept pharmacy coverage self-insured through a vendor while contracting medical coverage, and later asked bidders to price both options (medical only and medical plus pharmacy) in competitive bids.

Keene and Assistant Commissioner Sherry Rockburn explained additional steps that reduced costs: extending premium contributions to Medicare retirees (a 10% contribution now applies to many Medicare retirees, with age-based grandfathering for the earliest retirees), changing eligibility rules over the years to limit access, and moving large portions of the Medicare population to fully insured arrangements in which carriers rely on federal money to offset premiums.

DAS officials cautioned that those savings may not continue automatically. Keene said the department is watching federal policy closely and called Medicare Advantage “our last rabbit to pull out of the hat.” She said federal reimbursement changes could tighten payments to insurers and make the current premium-free medical coverage or the $0-rate outcomes harder to sustain in future procurements.

On pharmacy and vendor transitions, Rockburn summarized last year’s disruption after a new vendor moved retirees onto an in-house pharmacy benefit manager (PBM). Rockburn said the contract start led to customer-service failures and medication-delivery problems that required the department to suspend payments, assess performance guarantees and collect more than $2 million, and use a third-party auditor to review the PBM’s operations. She described an extended intervention that restored most services but said customer service remains an ongoing management issue.

Paid family and medical leave: Keene described the PFML program that the 2021 law established and that DAS and the Division of Employment Security implemented. The statute required the state to purchase PFML insurance for state employees and to stand up a voluntary market for other employers. Keene said the basic benefit is six weeks of wage replacement at 60% of salary (employers may buy up to 100% replacement or extend the number of weeks), that the law creates a 50% business enterprise tax credit (BET) incentive for employers that contribute, and that the state’s procurement selected MetLife as carrier for the state-employee plan. She told the committee the state’s portion of the employer charge is small (about 0.2% of payroll, roughly under $4 per week for a $100 weekly wage example) and that as of September 2024 about 6,964 employees were covered through employers while 1,152 individuals had purchased coverage in the individual market (individual open enrollment had just ended and numbers were rising).

Keene said the program used consultants, a marketing vendor and a website vendor to implement outreach, and that an annual report is required by statute. She said outreach included mass-media advertising, radio and digital campaigns and employer engagement with chambers and business groups. She described the program as voluntary for employers and noted the law permits individuals to purchase coverage on their own if an employer declines to participate.

What the committee asked and what DAS confirmed: Committee members pressed on who pays retiree Part B premiums, what happens to co‑pays and out‑of‑pocket maximums under Medicare Advantage (Keene said copays and maximums were not changed without legislative action), and procurement cadence (DAS told the committee major health-purchase contracts are typically bid for three-year terms, commonly with extension options). Rockburn explained the enterprise frequently centralizes procurement for commodities and contracts but that agencies may retain single‑agency procurement authority for limited classes of work.

Ending: DAS officials asked the legislature to note that some savings are one‑time or contingent on federal policy, and that labor‑market and vendor risks remain (for example, pharmacy PBM transitions). They also said plant-and-property costs, enterprise system upgrades and other non‑health obligations remain part of DAS’s operating picture. The department said it will continue monitoring federal policy affecting Medicare Advantage and will report to the committee if anticipated federal changes threaten projected retiree health savings.","mediaType","Video","parentTitle","House Finance Division I (01/29/2025)","oneSentenceSummary","Commissioner Charlie Arlinghaus told the House Finance Division I on Feb. 12 that the Department of Administrative Services’ general‑fund allocation is down from 2019 levels largely due to retiree health savings achieved by moving Medicare‑eligible retirees into Medicare Advantage contracts and introducing premium contributions for retirees.","taxTitle","Finance - Division I, House of Representatives, Committees\t, Legislative, New Hampshire","taxId",17750,"location","New Hampshire","headline","","shortSummary",{"_33":77,"_35":36,"_37":38,"_39":78,"_41":79,"_43":80,"_45":81,"_47":82,"_49":83,"_51":84,"_53":85,"_55":56,"_57":58,"_59":86,"_61":62,"_63":64,"_65":87,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6361284,"Judicial branch warns youth‑development claims and courthouse security strains could delay other cases",5564,9704000,15268000,"/Search/View?dp=1&key=2170859-ea83f1ce87bf8c5f16e604402fc3adc2&start=9704&end=15268","https://assets.pipeline.soar.com/2170859-ea83f1ce87bf8c5f16e604402fc3adc2/thumbnail_9704000.jpg","/articles/6361284/New-Hampshire/Judicial-branch-warns-youthdevelopment-claims-and-courthouse-security-strains-could-delay-other-cases","https://secure.pipeline.soar.com/6361284-9210447d5b1b48af4eea5278dcb100af/orig.mp4?Expires=1774682837&Signature=lALNOhVAyHxmt5VlCviWgCbqWOjR71jYvtubps~QA0sB6V~DDnCCbEXNQVdms7LDqUv7XWkEUHmETNti1dOYSXw0WM1j-LI48Q-Q24QhMdK95zX56WdxHUOBCYOX-6u53vjK6rIlL5SqQ3rqgpbmGSxusP~sa0jR040ivZWUqFVyRjMeC0nDhwJMvaQ3qz7rMOqbh4na0ILqlrIWC8P~2I-o7apEs25b61qboVQRsSg0UEQYN3VEIbrxXC5cAy1-1QHEsIlM0hvo4I3bOCP3P2xPEmiCnnSZVsmlFOYZuHk4EUYjSHQedrayay2qedCL3mEJeSQdCmguNWZsimSDIA__&Key-Pair-Id=KUT5TJCACFTXG","Senior judicial officials told the House Finance Division I on Feb. 12 that a surge of litigation related to state youth‑care facilities (the YDC litigation) and rising court‑security needs are creating operational strain across superior and circuit court dockets.

Nut Graf: The administrative office and presiding judges described thousands of YDC‑related civil filings in superior court and a sizable subset of claims still progressing in court, even where a separate claims process exists. Judges said complex, multi‑party cases are consuming courtroom time and staff resources while the branch also faces growing security needs at courthouses and continuing demands to serve self‑represented litigants.

Chief Justice (Superior Court) Mark Howard, administrative judges of the circuit court and the administrative office director Diane Martin explained the judicial branch’s position. They said the YDC litigation includes both claims submitted to the statutorily created claims process and many actions still filed in superior court; roughly 800 cases have used the claims process while more than 1,300 related suits remain in superior court, the judges said. The complexity of those cases — multiple defendants, voluminous filings, and constitutional and evidentiary questions — requires extended judicial attention. Committee members asked about the fiscal exposure and whether settlement caps, sovereign‑immunity changes or other legislative options could limit total payouts; judicial officials said legal limits and the Attorney General’s office govern those determinations and that some questions are already in active litigation.

Judicial leaders also urged the legislature to consider sustained support for courthouse safety and security. The branch said court security officer staffing is heavily reliant on per‑diem officers and county sheriff reimbursement; cutbacks to per‑diem reimbursement would reduce courtroom security coverage and shift costs or staffing needs to counties. The judicial administrative office said it used grants and other one‑time funding for some improvements, but said a stable approach to funding security and deferred maintenance is a legislative priority.

Officials highlighted other operational pressures: the growing number of self‑represented litigants in circuit court (in some case types the share of pro se litigants approaches 90%), the need for more interpreters as the state becomes more linguistically diverse, and the workload associated with electronic filing and case management. Judges also described innovations in the branch — greater use of magistrates to cover arraignments and bail reviews, text‑message reminders to reduce failure‑to‑appear rates, digital evidence CaseCenter for non‑jury trials and pilot expansions of drug, mental‑health and family‑treatment dockets — while noting those programs often depend on grants and non‑recurring funds.

Ending: The judicial branch presented an efficiency budget that met the governor’s 4% general‑fund‑reduction target but warned the reduction would necessitate service changes including circuit courthouse consolidations, restricted jury months in superior court, and reduced funded non‑judge positions. The branch prioritized additional staff to process complex YDC filings, sustained courthouse security funding, interpreter resources and court staff to serve pro se litigants.","Judges and court managers briefed the House Finance subcommittee that the Youth Development Center (YDC) litigation volume and security demands strain court resources; judges described a backlog of complex civil and criminal matters and said security and additional staff are top priorities.",{"_33":89,"_35":36,"_37":38,"_39":90,"_41":91,"_43":92,"_45":93,"_47":94,"_49":95,"_51":96,"_53":97,"_55":56,"_57":58,"_59":98,"_61":62,"_63":64,"_65":99,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6361289,"Environmental Services outlines $340M budget dominated by SRF loans; PFAS and ARPA funds drive new programs",58,12889000,12947000,"/Search/View?dp=1&key=2170859-ea83f1ce87bf8c5f16e604402fc3adc2&start=12889&end=12947","https://assets.pipeline.soar.com/2170859-ea83f1ce87bf8c5f16e604402fc3adc2/thumbnail_12889000.jpg","/articles/6361289/New-Hampshire/Environmental-Services-outlines-340M-budget-dominated-by-SRF-loans-PFAS-and-ARPA-funds-drive-new-programs","https://secure.pipeline.soar.com/6361289-7a87d8f5ae2e57d27f3bd3d705e385a7/orig.mp4?Expires=1774682837&Signature=P5pV9eHcswTJoLpjfj7CKNeIezUJUUkSUpGLfxtYR2AjYmHmyTOfCmWkidFa-8QX0nS-SpUZ9kJV-CEeQzOP3NeuZdEk-1dzzsCFQ4lL3Us2gA2j~tnG9xVZRSR1~eGw6MEIruvwvuzFKbZeHl7dsLIFhM4s2p4meRq3-VF2Zfg--jzUS5GtPLo4Y64hi1fAZNYaNXCZSGb22NMWKDQJTGO~ehLo0rU9l06ZkmvIBy7Ycj8y06ctMbNArWZA15fX-QgewoVUCIvNGtESObm53wFngreJGUF04qMp4BFMXbRF~Vs71Wgjhvugzb~CtMhf8DLZVhO5k1o5Di1x0~~Jvg__&Key-Pair-Id=KUT5TJCACFTXG","DES Commissioner Bob Scott and agency leaders told the House Finance Division I that the Department of Environmental Services’ 2026–27 efficiency budget centers on large federal grants and revolving loan programs, not general‑fund spending.

Nut Graf: The department said roughly 69% of its operating budget moves out the door as loans, grants, rebates or reimbursements and that the Clean Water and Drinking Water State Revolving Funds (SRFs) constitute the single largest share of spending. DES also described a sizable portfolio of ARPA capital allocations, a drinking‑water trust fund (from prior litigation), and new PFAS response funding that municipal water systems can access.

Commissioner Scott and Susan Carlson, DES’s chief operating officer, told the panel the agency’s proposed efficiency budget totals about $340 million across funds but only about $29.5 million per year in general funds (roughly 8% of the operating budget). Carlson emphasized the SRF programs — clean water SRF and drinking water SRF — comprise roughly 43% of the department’s operating budget and function primarily as federal‑capital grants matched by state capital with repayments that are re‑loaned to communities.

Key details from testimony:

- SRF and ARPA: DES said its SRF portfolio has been augmented by one‑time federal infrastructure funding (for example, from the federal infrastructure bill) and by $15 million of ARPA funding for the state’s New Hampshire First (ERP) upgrade implementation. Carlson said most ARPA funds for the agency were designated for HVAC and building deferred maintenance projects and that those ARPA appropriations were fully committed and obligated prior to the program deadline.

- PFAS and trust fund: DES discussed a variety of PFAS response activities, including a PFAS loan and grant program that has allocated roughly $71 million to public drinking water systems and a homeowner rebate program for point‑of‑entry treatment (up to $5,000) or connection assistance (up to $10,000). Commissioner Scott said the state has received settlement funds (including a large recent settlement referenced as part of Multi‑state litigations) that will be allocated to impacted public systems and that the drinking water groundwater trust fund — capitalized by prior litigation proceeds — has lent roughly $30 million annually to water projects.

- Loans and other funds: Carlson added DES operates five loan programs overall (clean water SRF, drinking water SRF, drinking water groundwater trust fund, PFAS response fund, and a small Brownfields loan program) and that loan repayments fuel additional lending. The department told the committee it plans to spend down ARPA dollars for capital projects by late 2026 following federal deadlines.

- Plant and property / energy management: DAS‑related maintenance and building operations were described more broadly in the earlier portion of the joint hearing, but DES noted it manages environmental and permitting functions related to wells, wastewater, dams and stormwater, and that it will target one‑time capital monies for deferred maintenance and HVAC projects.

Ending: DES said the agency’s budget is dominated by pass‑throughs: loans, reimbursements and grants that are individually large but do not represent ongoing general‑fund commitments. The department asked lawmakers to consider sustained capital support for aging state‑owned dams and to note that PFAS response funding and SRF capacity remain key to municipal water system funding.","Department of Environmental Services (DES) managers told lawmakers the agency’s operating budget is driven by pass‑through loans and federal grants, including the state revolving funds (SRF) for wastewater and drinking water and recent PFAS, ARPA and settlement monies used for remediation and grants.",{"_33":101,"_35":36,"_37":38,"_39":102,"_41":103,"_43":104,"_45":105,"_47":106,"_49":107,"_51":108,"_53":109,"_55":56,"_57":58,"_59":110,"_61":62,"_63":64,"_65":111,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6361293,"New Hampshire Retirement System reports progress toward funding target but warns on return assumptions",3451,6195000,9646000,"/Search/View?dp=1&key=2170859-ea83f1ce87bf8c5f16e604402fc3adc2&start=6195&end=9646","https://assets.pipeline.soar.com/2170859-ea83f1ce87bf8c5f16e604402fc3adc2/thumbnail_6195000.jpg","/articles/6361293/New-Hampshire/New-Hampshire-Retirement-System-reports-progress-toward-funding-target-but-warns-on-return-assumptions","https://secure.pipeline.soar.com/6361293-ff69a9c745bb0a194c99575757b0b41a/orig.mp4?Expires=1774682837&Signature=O4lKoAshjDDeVW1wAgtuMk594zCrCcEPjQ~p-TnEWGowVWXREdX2E8Of-vUgeKUuvEqahBkx60JvVQI4OPwYjhMoIxSg3hf~O-xHtCUO~l4hVRFBOm9HDKeNnmbBw7jmqthsGd664RGUk0Cc~toJejLgrJ0RMYCjWe-ViBMXHX8P33BCKqipWGoTPO0SV1oZPoqQD0~otM4zGnEC-RUwbHm9YAXzGl-kIHLrwyBmhOxn5pX9APel~fmVgQYOZDETIkvgNyXPJfU1Og~JKelOSlQvQ~yVmhMP7gRDfcUtjraaMILca6E8xP1MdlOmOF92EC8320bSyR8oZLnva-IsvA__&Key-Pair-Id=KUT5TJCACFTXG","Jan Goodwin, executive director of the New Hampshire Retirement System, told the House Finance Division I on Feb. 12 that NHRS’s funded ratio has climbed to 68.6% as of the June 30, 2024 valuation and that the system is on a scheduled path to extinguish its unfunded liability by 2039 under current projections.

Nut Graf: NHRS leadership said the system’s funded ratio improved after recent investment returns and policy choices, but trustees reduced the plan’s assumed rate of return in several steps over the past decade; lower discount rates push liabilities higher and increase employer contribution requirements. NHRS officials urged steady employer contributions and said the board favors reaching 100% funding even though that will require continued payments to amortize past deficits.

NHRS Chief Investment Officer Reynald Levesque and Chief Financial Officer Marie Mullen summarized the system’s asset performance and actuarial basis. Goodwin said assets were roughly $12.3 billion as of June 30 and $12.9 billion as of Nov. 30, 2024. Levesque reported net investment returns that exceed many peers over longer horizons — a 25‑year net return near 6.3% — and reiterated that the board and the system’s actuary set a forward‑looking assumed return of 6.75% after polling consultants and modeling asset‑class expectations. Levesque told the committee that the assumed return is a forward estimate, not a historical average, and that the board uses consultant input to set expectations consistent with the portfolio’s allocation.

Goodwin walked lawmakers through changes since 2010: the board reduced the assumed investment return in multiple steps (the actuarial discount rate affects present‑value liability calculations), and the 2011 actuarial methodology change (entry‑age normal) increased measured liabilities relative to the previous method. She summarized benefit changes enacted in recent years, including ad hoc cost‑of‑living adjustments the legislature has funded when passed and statutory changes affecting eligibility and benefit multipliers. NHRS said a 2017 policy moved new additions to unfunded liability onto a 20‑year closed amortization schedule while pre‑2017 liabilities remain on a longer schedule, producing the projected path to 2039 for full funding if actuarial assumptions hold.

On contribution rates, NHRS staff explained employer rates contain three elements: normal cost (the ongoing cost of benefits), amortization of the unfunded liability (the largest share), and any post‑retirement medical subsidy contribution. Goodwin and Mullen said the board certified lower employer rates for the 2026–27 biennium because recent investment performance improved the actuarial results and because the actuary’s experience study did not require additional reductions in discount assumptions this cycle.

NHRS reported ongoing operational projects including a pension application upgrade, enhanced fee transparency for investment managers, and a five‑year strategic plan for the investment office focused on talent retention and systems upgrades. Mullen described employer reporting improvements implemented after the pension administration system upgrade, including employer relationship managers and listening sessions to smooth reporting and payments.

Ending: NHRS officials said the system’s path to 100% funding is deliberate and long term. Goodwin told the committee trustees view 100% funding as the prudent target despite the cost of accelerating amortization: reaching full funding reduces future employer contribution volatility and long‑term taxpayer exposure, NHRS said.","NH Retirement System (NHRS) officials told lawmakers the system is on a multi‑decade path to full funding and credited recent investment performance, but noted lower assumed rates of return raised liabilities and stressed the need for continued contribution discipline.","actionData","errors"]

Article not found

Administrative Services credits Medicare Advantage, plan changes for major retiree health savings; PFML rollout under way

Judicial branch warns youth‑development claims and courthouse security strains could delay other cases

Environmental Services outlines $340M budget dominated by SRF loans; PFAS and ARPA funds drive new programs

New Hampshire Retirement System reports progress toward funding target but warns on return assumptions