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Committee debates health insurance base for FY2026 amid reserve, risk concerns; no action taken
Summary
Lawmakers debated whether to adopt the governor's $14,300 per-FTE health insurance base or the CEC committee's $13,960 figure for FY2026; neither motion secured both-house majorities and no change was adopted. Staff and actuary testimony highlighted reserve balances and possible risk charges if contingency falls below contract minimums.
Members of the Joint Finance-Appropriations Committee debated two competing proposals to set the health insurance base for eligible full‑time positions for fiscal year 2026. The staff presented two options: a CEC recommendation to set the base at $13,960 per eligible FTE and the governor's recommendation of $14,300 per eligible FTE.
Keith Bybee, the Division Manager in the Budget and Policy Analysis Division, walked members through the cost and the linkage to the actuarial projections: the CEC figure would increase general fund costs by about $29.996 million (total $40.2612 million across funds),…
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