North Carolina § 135-48 - 5. Health benefit trust funds created.

§ 135-48. 5. Health benefit trust funds created.

There are hereby established two health benefit trust funds, to be known as the Public Employee Health Benefit Fund and the Health Benefit Reserve Fund for the payment of hospital and medical benefits. As used in this section, the term "health benefit trust funds" refers to the fund type described under G.S. 143C-1-3(a)(10). First, to provide an actuarially determined Health Benefit Reserve Fund for incurred but unpresented claims. Second, an amount determined by the State Treasurer, subject to approval by the Board of Trustees, that does not exceed twenty-five percent (25%) of any unencumbered balance remaining after providing for incurred but unpresented claims may be transferred to the Retiree Health Benefit Fund, established under G.S. 135-7(f). Upon the direction and approval of, and in the amount specified by, the State Treasurer, the Office of State Budget Management shall transfer the amount in accordance with this subdivision. Third, to reduce the premiums required in providing the benefits of the health benefits programs. Fourth, to improve the plan, as may be provided by the State Treasurer, subject to approval by the Board of Trustees. Disbursement from the Public Employee Health Benefit Fund may be made by warrant drawn on the State Treasurer by the Executive Administrator, or the Executive Administrator and Board of Trustees may by contract authorize the Claims Processors to draw the warrant. Repealed by Session Laws 2012-173, s. 3(b), effective January 1, 2013. All premiums, fees, charges, rebates, refunds or any other receipts including, but not limited to, earnings on investments, occurring or arising in connection with health benefits programs established by this Article, shall be deposited into the Public Employee Health Benefit Fund. Disbursements from the Fund shall include any and all amounts required to pay the benefits and administrative costs of such programs as may be determined by the Executive Administrator and Board of Trustees. Any unencumbered balance in excess of prepaid premiums or charges in the Public Employee Health Benefit Fund at the end of each fiscal year shall be used in the following order: The balance in the Health Benefits Reserve Fund may be transferred from time to time to the Public Employee Health Benefit Fund to provide for any deficiency occurring therein. The Public Employee Health Benefit Fund and the Health Benefit Reserve Fund shall be deposited with the State Treasurer and invested as provided in G.S. 147-69.2 and G.S. 147-69.3 . History (1981 (Reg. Sess., 1982), c. 1398, s. 6; 1985, c. 732, ss. 43, 63; 1985 (Reg. Sess., 1986), c. 1020, s. 20; 1997-468, s. 3; 1998-1, s. 4(d); 2008-107, s. 10.13(a); 2008-168, ss. 1(a), 2(a), (l) ; 2011-85, s. 2.5(e); 2012-173, s. 3(b); 2020-48, s. 2.2(b).) Editor's Note. - Session Laws 2011-85, s. 2.5(e), effective January 1, 2012, recodified former G.S. 135-44.5 as G.S. 135-48.5 . Former G.S. 135-44.5 itself was formerly codified as G.S. 135-39.6. It was recodified as G.S. 135-38.8 under Part 2A of Article 3A of Chapter 135 by Session Laws 2008-168, s. 2( l ), effective July 1, 2008, but was renumbered as G.S. 135-44.5 at the direction of the Revisor of Statutes. Session Laws 2012-173, s. 3(f), effective January 1, 2013, provides: "Any unencumbered administrative fees collected by the Plan under Part 6 of Article 3B of Chapter 135 of the General Statutes are transferred to the Public Employee Health Benefit Fund created under G.S. 135-48.5(a) ." Session Laws 2020-48, s. 6.1, is a severability clause. Effect of Amendments. - Session Laws 2008-107, s. 10.13(a), effective July 1, 2008, deleted subsection (d) related to the Child Health Insurance Fund. Session Laws 2008-168, s. 2 (l) , effective July 1, 2008, substituted "Health benefit trust" for "Special" in the section heading; in subsection (a), substituted "health benefit trust" for "special" and added the second sentence; substituted "health benefit trust" for "special" in subsection (c). Session Laws 2012-173, s. 3(b), effective January 1, 2013, repealed subsection (c) which read: "Separate and apart from the health benefit trust funds authorized by subsections (a) and (b) of this section, there shall be a Public Employee Long-Term Care Benefit Fund if the long-term care benefits provided by Part 4 [Part 6] of this Article are administered on a self-insured basis." Session Laws 2020-48, s. 2.2(b), effective July 1, 2020, in subsection (a), rewrote the third paragraph, adding subdivisions (1) through (4), and substituted "G.S. 147-69.3" for "147-69.3" in the last paragraph. §§ 135-48.6, 135-48.7: Reserved for future codification purposes.