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JFAC deadlocks on health insurance rate; debate centers on reserves and contractual risk
Summary
Members of the Joint Finance and Appropriations Committee debated competing health insurance funding proposals for fiscal 2026 but did not adopt either the committee’s $13,960 recommendation or the governor’s $14,300 recommendation; the matter was left unresolved.
Members of the Joint Finance and Appropriations Committee debated personnel benefit cost decisions, including the health insurance per-eligible-full-time-position (FTP) rate for fiscal year 2026. The committee did not adopt either the Economic Outlook and Revenue Assessment Committee (CEC) recommendation of $13,960 per eligible FTP or the governor’s recommended $14,300 figure.
Analysts told the committee that under the CEC recommendation the plan’s contingency reserve was projected to fall to the statutory minimum of 10 percent of plan costs—approximately $51.6 million—while the governor’s $14,300 recommendation would leave roughly…
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