2013 -- S 0798 SUBSTITUTE A

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LC02202/SUB A/2

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STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2013

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A N A C T

RELATING TO HEALTH AND SAFETY - TAXATION RELIEF FROM PREMIUM-BASED

TAXATION OF HEALTHCARE SERVICES

     

     

     Introduced By: Senator Walter S. Felag

     Date Introduced: March 27, 2013

     Referred To: Senate Health & Human Services

It is enacted by the General Assembly as follows:

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     SECTION 1. Title 44 of the General Laws of the General Laws entitled “Taxation” is

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hereby amended by adding thereto the following chapter:

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     CHAPTER 44-65.1

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     METHODOLOGY TO FINANCE THE CHILDHOOD IMMUNIZATION ACCOUNT, THE

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ADULT IMMUNIZATION ACCOUNT AND THE CHILD HEALTH ACCOUNT

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     44-65.1-1. Legislative findings. - (a) Current funding for the childhood immunization

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account pursuant to subsection 23-1-4 (a), the adult immunization account pursuant to subsection

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23-1-45(c), and the child health account pursuant to subsection 42-12-29(a) comes from

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premium-based taxes on commercial health insurance;

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     (b) Self-funded and out-of-state employers do not pay into these accounts, yet their

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employees benefit from the services listed above; and

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     (c) The increasing costs of these programs are being shouldered by a smaller tax base as

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the number of commercially insured businesses in Rhode Island decreases.

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     44-65.1-2. Alternative methodology to finance the childhood immunization account,

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the adult immunization account and the child health account. -- In accordance with

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subsection 35-3-7, the governor shall submit to the general assembly a budget containing a

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complete plan of estimated revenues and proposed expenditures for the next fiscal year. Included

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in that budget for state fiscal year 2015 shall be a new, broad-based and sustainable methodology

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to finance the programs and accounts pursuant to subsections 42-12-29(a), 23-1-45(a), and 23-1-

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45(c).

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     SECTION 1. This act shall take effect upon passage.

     

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LC02202/SUB A/2

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N A C T

RELATING TO HEALTH AND SAFETY - TAXATION RELIEF FROM PREMIUM-BASED

TAXATION OF HEALTHCARE SERVICES

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     This act would require the governor to submit a budget in fiscal year 2015 that would

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establish a broad based and sustainable methodology to finance the childhood immunization

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account, the adult immunization account and the child health account.

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     The act would take effect upon passage.

     

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LC02202/SUB A/2

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S0798A