As Passed by the House 1
122nd General Assembly 4
Regular Session Am. Sub. H. B. No. 212 5
1997-1998 6
REPRESENTATIVES NETZLEY-TIBERI-BUCHY-LEWIS-HAINES-HOTTINGER- 8
MOTTLEY-SCHUCK-GARCIA-VESPER-OLMAN-WILLIAMS-BRADING-TERWILLEGER- 9
VAN VYVEN-CORBIN-GRENDELL-CATES-REID-CAREY-BATCHELDER-WISE- 10
KASPUTIS-MYERS-HARRIS-HOUSEHOLDER-THOMPSON-HOOD-HODGES- 11
COUGHLIN-KREBS-THOMAS-SCHURING-WACHTMANN-JORDAN 12
14
A B I L L
To enact section 124.823 of the Revised Code to 16
require the Department of Administrative Services 17
to establish a medical savings account program 18
available to certain state employees. 20
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO: 22
Section 1. That section 124.823 of the Revised Code be 24
enacted to read as follows: 25
Sec. 124.823. THE DEPARTMENT OF ADMINISTRATIVE SERVICES 27
SHALL ESTABLISH A PILOT PROGRAM UNDER WHICH IT INCLUDES MEDICAL 28
SAVINGS ACCOUNTS AS PART OF ANY PACKAGE OF HEALTH CARE BENEFIT 29
OPTIONS OFFERED TO STATE EMPLOYEES AND STATE ELECTED OFFICIALS 30
PAID BY WARRANT OF THE AUDITOR OF STATE. EXCEPT FOR THE 31
PROVISIONS IN DIVISIONS (A) AND (B) OF SECTION 3924.64 OF THE 33
REVISED CODE CONCERNING DESIGNATION OF AN ADMINISTRATOR, A 34
MEDICAL SAVINGS ACCOUNT ESTABLISHED AS PART OF THE PROGRAM IS
SUBJECT TO SECTIONS 3924.64 TO 3924.74 OF THE REVISED CODE. 35
THE DEPARTMENT IS NOT REQUIRED TO OFFER THE MEDICAL SAVINGS 39
ACCOUNT OPTION TO ANY STATE EMPLOYEE WHO IS COVERED UNDER A 40
COLLECTIVE BARGAINING AGREEMENT ENTERED INTO PURSUANT TO CHAPTER 41
4117. OF THE REVISED CODE, BUT A MEDICAL SAVINGS ACCOUNT OPTION
MAY BE PART OF A PACKAGE OF HEALTH CARE BENEFIT OPTIONS OFFERED 42
PURSUANT TO A COLLECTIVE BARGAINING AGREEMENT. THE DEPARTMENT 43
2
MAY LIMIT ENROLLMENT IN THE MEDICAL SAVINGS ACCOUNT PROGRAM AND 44
MAY REQUIRE STATE EMPLOYEES ENROLLED IN IT TO CONTRIBUTE TO THEIR 46
MEDICAL SAVINGS ACCOUNTS. THE DEPARTMENT SHALL MAKE BOTH 47
INDIVIDUAL AND FAMILY COVERAGE AVAILABLE THROUGH THE ACCOUNTS.
THE PROGRAM SHALL NOT INCREASE THE COST OF PROVIDING HEALTH 48
INSURANCE TO STATE EMPLOYEES. THE DEPARTMENT MAY END THE PROGRAM 49
AT ANY TIME NOT SOONER THAN TWO YEARS AFTER IT IS ESTABLISHED, 50
EXCEPT THAT THE DEPARTMENT MAY NOT END THE PROGRAM PRIOR TO 51
PROVIDING SIX MONTHS' NOTICE TO THE SPEAKER OF THE HOUSE OF 52
REPRESENTATIVES, PRESIDENT OF THE SENATE, MINORITY LEADER OF THE
HOUSE AND MINORITY LEADER OF THE SENATE, AND THE CHAIRS OF THE 53
STANDING COMMITTEES OF THE SENATE AND HOUSE OF REPRESENTATIVES 54
WITH PRIMARY RESPONSIBILITY FOR HEALTH AND INSURANCE LEGISLATION. 55
A STATE EMPLOYEE WHO CHOOSES THE MEDICAL SAVINGS ACCOUNT 58
OPTION SHALL HAVE ANY STATE HEALTH, MEDICAL, HOSPITAL, DENTAL, 59
SURGICAL, AND VISION BENEFITS FOR WHICH THE EMPLOYEE IS ELIGIBLE 60
PROVIDED THROUGH THE MEDICAL SAVINGS ACCOUNT. THE DEPARTMENT, 61
UNDER SECTION 124.81 OR 124.82 OF THE REVISED CODE, SHALL 63
CONTRACT FOR OR OTHERWISE PROVIDE A HIGH-DEDUCTIBLE POLICY OR 64
CONTRACT THROUGH WHICH THOSE BENEFITS CAN BE PAID. 65
THE EMPLOYEE FOR WHOM A MEDICAL SAVINGS ACCOUNT IS OPENED 68
SHALL AT THE TIME THE ACCOUNT IS OPENED CHOOSE AN ADMINISTRATOR 69
FROM A LIST OF ADMINISTRATORS DESIGNATED BY THE DEPARTMENT, ONE
OF WHICH MAY BE THE INSURER FROM WHICH THE DEPARTMENT PURCHASES 70
THE HIGH-DEDUCTIBLE POLICY OR CONTRACT. IF THE EMPLOYEE FAILS TO 72
CHOOSE AN ADMINISTRATOR, THE DEPARTMENT SHALL DESIGNATE AN 73
ADMINISTRATOR.
IF AN ELECTED STATE OFFICIAL WHOSE TERM COMMENCED PRIOR TO 75
THE ESTABLISHMENT OF THE PROGRAM ELECTS TO PARTICIPATE IN THE 76
MEDICAL SAVINGS ACCOUNT PROGRAM, PARTICIPATION SHALL COMMENCE AT 77
THE BEGINNING OF THE TERM FOLLOWING ESTABLISHMENT OF THE PROGRAM. 78