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JFAC splits on language to use reserve funds to avoid health‑insurance premium increases for state employees
Summary
Committee members debated and ultimately adopted substitute language broadening the reserve accounts the Department of Administration may use to prevent group insurance premium increases, after concerns that the packet language cited specific funds that may not be available.
A prolonged exchange at the Joint Finance‑Appropriations Committee addressed whether the Department of Administration should be authorized to use reserve balances to offset a 14.5% increase in group insurance premiums for state employees.
Frances Lippett, budget analyst, introduced a packet item directing the Department to use specific nonrequired reserve accounts to fund the change. Lawmakers raised concerns that those particular funds might carry restrictions or federal limits, and that the packet…
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