Utah House defers bill to maintain risk-management coverage for local health departments

Representative Fred R. Hunsaker, sponsor of House Bill 45, told the chamber the bill would repeal a sunset provision that otherwise would terminate local health departments’ ability to remain in the state risk-management fund after July 1. "House bill 45 that deals with risk management, for the local health department," Hunsaker said in introducing the measure, describing the change as necessary to maintain coverage for districts that carry out state-mandated public-health duties.

Hunsaker and other supporters told colleagues that the private insurance market does not provide an adequate or affordable alternative. "There is only 1 company that is covering this type of insurance," Hunsaker said, arguing private options either lack adequate coverage, have unacceptable deductibles or are prohibitively expensive. Representative Rob W. Bishop, who earlier sponsored the enabling legislation, added: "The simple reality of the situation is is there is no private coverage available." Bishop said the risk-management fund also promotes risk-reduction practices by participating entities.

Opponents and questioners pressed for safeguards and review mechanisms before removing the sunset. Representative Lewis urged preserving a mechanism for regular review, saying sunsets "help[] to make sure that there isn't a stable and dependable market" and guard against letting programs remain in place without scrutiny. Lewis said he was reluctant to permanently remove review and called for an ongoing oversight process if the sunset were repealed.

Lawmakers also questioned whether the same outcome could be achieved by alternative approaches, such as extending the sunset for a limited period or creating a study and review process. The sponsor responded that insurers often will not enter a market when a sunset remains in place and that, in the sponsor’s view, the state had not been able to identify a dependable private market over two years.

After extended debate and multiple members urging additional study or amendments, Representative Glenn Brown moved to 'circle' the bill — a procedural move to defer floor consideration. The motion to circle was adopted by voice vote and the clerk announced "House bill number 45 has been circled." The action pauses further House floor action on HB45 so sponsors and interested members can develop substitute language or a study approach.

Next steps: the bill is circled for further work; no final repeal of the sunset occurred during this floor session.