2022 Session

Budget Amendments - SB30 (Floor Approved)

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State Share of Reinsurance Program

Item 493 #1s

Item 493 #1s

First Year - FY2023 Second Year - FY2024
Independent Agencies
State Corporation Commission FY2023 $0 FY2024 $68,600,000 GF

Page 516, line 1, strike "$29,010,485" and insert "$97,610,485".

Page 516, after line 20, insert:

"C. Out of this appropriation, $68,600,000 the second year from the general fund shall be transferred to the Commonwealth Health Reinsurance Program Special Fund State Corporation Commission, established pursuant to § 38.2-6604, Code of Virginia."


(This amendment provides $68.6 million to fund the state share of the Commonwealth Health Reinsurance Program, created in the 2021 Special Session I, for the purpose of increasing affordability in the individual market with a goal of decreasing premiums by up to 20 percent, depending on available revenue. The federal government is expected to contribute over $200 million to the program. Federal approval of the program is expected by the summer of 2022. The funding must be appropriated in fiscal year 2024 since the reinsurance program will begin in plan (calendar) year 2024 and the federal government requires the state funds to be appropriated prior to allowing the funds to be used for any state administrative costs. In addition, the insurance premium rate setting process occurs during calendar year 2023 and the funding provides assurance the reinsurance program will be fully funded.)