122nd MAINE LEGISLATURE
		LD 1935		LR 2809(20)
	An Act To Protect Health Insurance Consumers
	Fiscal Note for Senate Amendment "   "
	Sponsor: Sen. Mayo
	Fiscal Note Required: Yes
Fiscal Note
					Projections	Projections
			2005-06	2006-07	2007-08	2008-09
Appropriations/Allocations
	Other Special Revenue Funds		$0	$50,000	$50,000	$50,000
Revenue
	Other Funds		$0	($8,700,000)	$0	$0
Fiscal Detail and Notes
	By prohibiting third party administrators from passing on the savings offset payment (SOP), this amendment could result in saving to the State Employee Health Plan from the $2.9 million budgeted to pay for the SOP for FY 2006-07.  The General Fund share of these savings would be approximately $1.2 million. The amendment provides for a review process that may still allow the third party administrator to pass on these costs.
	Assumes the Bureau of Insurance in the Department of Professional and Financial Regulation will require an additional Other Special Revenue Funds allocation of $50,000 for the additional costs related to the third party administrator provisions of this amendment.  The allocation is needed for the costs of contracted external expertise the Bureau anticipates it will need.
	Assumes the amendment's decrease in the 2006 savings offset payment (SOP) would reduce Dirigo Health program revenue by $8,700,000 for fiscal year 2006-07. While the amendment does not specify offsets to this revenue reduction, the program has existing authority to keep program spending within available resources.