123rd MAINE LEGISLATURE
		LD 2247		LR 3143(10)
	An Act To Continue Maine's Leadership in Covering the Uninsured
	Fiscal Note for Senate Amendment "     " to Committee Amendment "B"
	Sponsor: Sen. Snowe-Mello of Androscoggin
	Fiscal Note Required: Yes
Fiscal Note
			2007-08	2008-09	Projections 2009-10	Projections 2010-11
Net Cost (Savings)
	General Fund		$0	($717,701)	($1,292,115)	($1,424,540)
Appropriations/Allocations
	Other Special Revenue Funds		$0	$0	($7,629,618)	($16,022,197)
	Dirigo Health Fund		$0	($31,166,667)	($32,960,000)	($31,827,000)
Revenue
	General Fund		$0	$717,701	$1,292,115	$1,424,540
	Other Special Revenue Funds		$0	$38,570	($7,558,743)	($15,944,058)
	Dirigo Health Fund		$0	($31,166,667)	($32,960,000)	($31,827,000)
Fiscal Detail and Notes
	The fiscal note reflects the incremental difference between the amendment and Committee Amendment B.
	The amendment eliminates the assumed corporate tax revenue loss associated with the health maintenance organization assessment which increases General Fund revenue by $717,701 in fiscal year 2008-09..
	The amendment eliminates the health maintenance organization assessment that was to be collected by the Superintendent of Insurance beginning in fiscal year 2009-10 and totaled approximately 7.6 million in fiscal year 2009-10 and $16 million in fiscal year 2010-11.  The amendment also eliminates the allocation of Other Special Revenue Funds that would have been required for the transfer (payment) of the assessment by the Superintendent of Insurance to the Maine Individual High-risk Reinsurance Pool, a nonprofit legal entity.
	The amendment would retain elimination of the Saving Offset Payment (SOP), one of the funding sources for the Dirigo Health Program, beginning with the assessment effective July 1, 2008, but would not replace the revenue loss.  For the purposes of this fiscal note, the baseline assumption for future year SOPs is the $32.8 million SOP assessed for the year beginning  July 1, 2008.
	The amendment establishes a reinsurance pool for the individual health insurance market financed with an assessment on member insurers with a maximum assessment of $2 per covered person.  Because this assessment would be assessed and collected by the Association, a non-profit legal entity, there is no direct fiscal impact on State programs or accounts.
Dirigo Health Fund Summary				2008-09	Projections 2009-10	Projections 2010-11
Revenue Changes:
	Elimination of the Savings Offset Payment			($32,900,000)	($32,800,000)	($32,800,000)
	Revenue Changes			($32,900,000)	($32,800,000)	($32,800,000)
Allocation Changes:
	Elimination of the Savings Offset Payment			($32,900,000)	($32,800,000)	($32,800,000)
	Allocation Changes			($32,900,000)	($32,800,000)	($32,800,000)