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Panel introduces RS32186 to allow limited outside competition for state insurance fund in special districts
Summary
Representative Tanner introduced RS32186 to permit a limited test allowing certain special-purpose districts to use carriers outside the State Insurance Fund for workers' compensation; the committee voted to introduce the resolution with a five‑year sunset provision included in sponsor language.
Representative Tanner presented RS32186, a request statute affecting the State Insurance Fund and public-employer participation in workers' compensation coverage. Tanner said the proposal would allow a narrow group of special-purpose districts (for example, fire, sewer or cemetery districts) to access private market options under certain conditions while excluding schools and other large public employers and including a five-year sunset to permit evaluation.
Tanner said the measure is a limited, test-market approach intended to give smaller districts more options without disrupting the broader pool. "I did put a 5 year sunset on this. So if for some reason it's just not working out, it will sunset back," he said. Tanner and other members said they met with the State Insurance Fund board and reached compromises on the proposal’s scope.
Representative Weber, who disclosed service on the State Insurance Fund board, moved to introduce RS32186. Representative McCann and other members discussed concerns about potential pool disruption and reserved positions for the public hearing stage. The motion to introduce RS32186 passed by voice vote.
The sponsor said the measure excludes schools from the pilot, targets single-purpose special districts and intends a limited trial to assess market impact; committee members said they would examine potential impacts on the insurance pool during the public hearing process.
