Employees Not on Payroll/Return to Payroll

DEPARTMENT OF MANAGEMENT SERVICES
Division of State Employees’ Insurance

RULE NO: RULE TITLE
60PER09-1: Employees Not on Payroll/Return to Payroll
SPECIFIC REASONS FOR FINDING AN IMMEDIATE DANGER TO THE PUBLIC HEALTH, SAFETY OR WELFARE: The American Economic Recovery and Reinvestment Act of 2009 (the Act), Pub. L. 111-5, includes a provision under which the federal government will pay a portion of COBRA premiums for certain individuals whose employer group health plan coverage would otherwise end due to an involuntary job loss between September 1, 2008, and December 31, 2009. Given the economic conditions, state employees may suffer layoffs. Those who are in layoff status and cannot afford regular COBRA premiums will lose their health insurance. Health care is a matter of great public concern.
REASON FOR CONCLUDING THAT THE PROCEDURE IS FAIR UNDER THE CIRCUMSTANCES: Emergency rulemaking is fair under the circumstances because without the amendment those persons involuntarily in layoff status may not be able to take advantage of the COBRA subsidy that is designed to help people afford the cost of continuing health care insurance. Immediate clarification is necessary to reduce the potential for ambiguity and to ensure that employees in layoff are eligible to receive the nine months of COBRA subsidy provided under the Act.
SUMMARY: This rule amendment clarifies that employees who are involuntarily put in layoff status between September 1, 2008, and December 31, 2009, are “assistance eligible individuals” eligible for 18 months of COBRA followed by an additional 6 months of coverage eligibility under Rule 60P-2.012, F.A.C. This clarification removes the potential for ambiguity and ensures that layoffs are eligible to receive the nine months of COBRA subsidy provided under the Act.
THE PERSON TO BE CONTACTED REGARDING THE EMERGENCY RULE IS: Michelle Robleto, Director, Division of State Group Insurance, Department of Management Services, 4050 Esplanade Way, Tallahassee, FL 32399-0905; telephone [phone]; telecopier [phone]

THE FULL TEXT OF THE EMERGENCY RULE IS:

60PER09-1 (60P-2.012) Employees Not on Payroll/ Return to Payroll.

(1) through (4) No change.

(5) Layoff. An employee who is laid off in accordance with the rules promulgated by the Department shall be eligible to continue coverage while laid off for a period not to exceed twenty-four (24) months two (2) years from the date of layoff, provided the employee pays their the full premiums obligation premiums. This coverage is comprised of eighteen (18) months of COBRA eligibility, after which the employee is eligible to participate in the state health insurance program for an additional six (6) months. An employee who does not continue coverage during such period, may only apply for reenrollment in the Health Program after returning to work and by submitting an application in accordance with subsection 60P-2.002(2), F.A.C., to the agency personnel office within thirty-one (31) calendar days after returning to work or during the open enrollment period.

(6) No change.

Rulemaking Specific Authority 110.123(5) FS. Law Implemented 110.123 FS. History–New 10-8-78, Amended 10-22-79, 7-1-80, 9-13-82, Formerly 22K-1.25, Amended 7-16-86, 9-25-86, Formerly 22K-1.212, Amended 8-22-96, Repromulgated 1-31-02, Amended ________.

THIS RULE TAKES EFFECT UPON BEING FILED WITH THE DEPARTMENT OF STATE UNLESS A LATER TIME AND DATE IS SPECIFIED IN THE RULE.
EFFECTIVE DATE: April 15, 2009