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MINUTES OF THE HOUSE BUSINESS AND LABOR
STANDING COMMITTEE
Room W010, West Office Building, State Capitol Complex
February 1, 2005


Members Present:    Rep. Stephen D. Clark, Chair
            Rep. Jim Dunnigan, Vice Chair            
            Rep. J. Stuart Adams
            Rep. Jackie Biskupski            
            Rep. Carl W. Duckworth
            Rep. Craig A. Frank
            Rep. Neil A Hansen
            Rep. Todd E. Kiser
            Rep. Michael T. Morley
            Rep. Curtis Oda
            Rep. Gordon E. Snow
            Rep. Scott L. Wyatt

Members Absent    
Rep. David Clark
    
Staff Present:    Mark Steinagel, Policy Analyst            
            Linda Error, Committee Secretary

Note:        List of visitors and a copy of handouts are filed with committee minutes .


Rep. Dunnigan called the meeting to order at 8:32 a.m.

MOTION:    Rep. Morley moved to approve the minutes of the January 28, 2005 meeting. The motion passed unanimously, with Rep. Adams, Rep. Biskupski, and Rep. S. Clark absent for the vote.

Rep. Dunnigan relinquished the chair to Rep. Snow.

H.B. 70    Health Discount Program Consumer Protection Act (Rep. J. Dunnigan)

Rep. Dunnigan explained the bill with the assistance of Suzette Green-Wright and Joe Christensen from the Utah Insurance Department.

Rep. Frank moved to amend the bill as follows:

1.    Page 6, Lines 166 through 169 :    

             166          For purposes of this chapter:
             167          (1)
  "Fee" means any periodic charge for use of a discount program.


    (2)  
    
"Health care provider" means        a health care provider as defined in Section 78-14-3 who:

    (a) is practicing within the scope of the provider's license; and
    (b)  
     {   any person that   } has agreed either directly or

             168      indirectly, by contract or any other arrangement with a health discount program operator, to
             169      provide a discount to enrollees of a health discount program.
RENUMBER REMAINING SUBSECTIONS

2.    Page 6, Line 172 :    

             172      access to health care providers who agree to provide a discount for
{   medical   }        health care       services.




3.    Page 6, Line 182 :    

             182          (d) place your name on and market or promote a health discount program in this state.
 

(4)"Value-added benefit" means a discount offering with no additional charge made by a health insurer or health maintenance organization that is licensed under this title, in connection with existing contracts with the health insurer or health maintenance organization.  


4.    Page 7, Lines 201 through 203 :    

             201          (m) Chapters 28 and 29;
  and      

             202          
{   (n) Chapter 33, Workers' Compensation Fund; and

             203          (o)  
}
  (n)       Chapters 35 through 38.



5.    Page 10, Line 278 :    

             278      "premium,"
{   "enrollment,"   } and "preferred provider";



6.    Page 10, Lines 290 through 291 :    

             290          (i) in writing in at least
{   12   }        10       -point type      {   or   }        and       no smaller than the largest type on the page      {   if


             291
     type appears on the page that is larger than 12-point type   } ; and

7.    Page 10, Line 294 :    

             294          (A) the program is not a
{   comprehensive   } health insurance policy;





8.    Page 10, Line 306 through Page 11, Line 307 :    

             306          (1)
  (a)       Health discount program operators must provide to each        purchaser or       potential      {   enrollee   }        purchaser       a copy

             307      of the terms of the discount program
{   prior to   }        at the time of       purchase.       

    (b) For purposes of this section "purchaser" means the employer in an employer sponsored plan, or an individual purchasing outside of an employer relationship.  


9.    Page 11, Line 310 :    

             310
{  
     methods for calculating discounts   }
, cancellation procedures and corresponding refund requests,

10.    Page 11, Lines 312 through 313 :    

             312          (3) A contract must be signed by the
{   enrollee   }        purchaser       acknowledging the terms before any fees

             313      are collected.

11.    Page 11, Lines 334 through 335 :    

             334          (b) The commissioner must approve any changes in forms that required approval under
             335      Section 31A-8a-203 .
 

    (3) A health insurer or health maintenance organization licensed under this title shall annually file with the Accident and Health Data Survey, a list of all value added benefits offered at no cost to its enrollees.  


The motion to amend passed unanimously, with Rep. S. Clark absent for the vote.

Spoke for the bill:    Gina Dalton, Utah Association of Health Underwriters


MOTION:    Rep. Kiser moved to pass the bill out favorably as amended. The motion passed unanimously, with Rep. Adams and Rep. S. Clark absent for the vote.

Rep. Dunnigan resumed the chair.

H.B. 209    Administrative Rules - Impact on Small Businesses (Rep. G. Hughes)

Rep. Hughes explained the bill with the assistance of Robin Riggs, Vice President, Salt Lake Chamber of Commerce.

MOTION:    Rep. Wyatt moved to amend the bill as follows:

12.    Page 3, Lines 83 through 84 :    

            
{   83
         (18) "Small business" means a business employing fewer than 100 persons or a
             84      business with less than $2,000,000 in annual gross receipts.  
}


renumber accordingly

13.    Page 4, Lines 108 through 109 :    

             108          (4) Prior to filing a rule with the division, the department head shall consider and
             109      comment on the fiscal impact a rule may have on businesses
  , including small businesses       .



14.    Page 4, Lines 116 through 119 :    

             116          (ii) local governments;
{   [and]   }

             117          (iii)
{   small   } businesses        , including small businesses       ;        and      

            
{   118
         (iv) business in general; and   }

             119     
{   [   }      {   (iii)   }      {   ]   }      {   (v)   }        (iv)       other persons;


SUBSTITUTE
MOTION:    Rep. Frank moved to amend the bill as follows:

1.    Page 3, Lines 83 through 84 :    

             83          (18) "Small business" means a business employing fewer than
{   100   }        50       persons      {   or a

             84      business with less than $2,000,000 in annual gross receipts  
}
.


The substitute motion to amend passed with Rep. Wyatt voting in opposition.

Spoke for the bill:    Ron Casper, National Federation of Independent Business
            Jim Olson, Utah Food Industry

MOTION:    Rep. Frank moved to pass the bill out favorably as amended. The motion passed unanimously.

S.B. 37    Motor Vehicle Business Regulation Act Amendments (Sen. D. Eastman)

Sen. Eastman explained the bill with the assistance of Wayne Jones, Executive Director, Independent Auto Dealers Association.

Spoke for the bill:    Craig Bickmore, Executive Director, Utah Automobile Dealers Association

Rep. Kiser distributed an email that he had received from David Hale, insurance agent.

MOTION:    Rep. Wyatt moved to adjourn the meeting. The motion passed unanimously.

Rep. Dunnigan adjourned the meeting at 9:46 a.m.
                            




                






                    _________________________
                     Rep. Stephen D. Clark, Chair