2013 Arizona Revised Statutes
Title 36 - Public Health and Safety
§ 36-2912.01 Healthcare group fund; nonlapsing

36-2912.01. Healthcare group fund; nonlapsing

(Rpld. 1/1/15)

A. The healthcare group fund is established consisting of:

1. Premiums paid by small employers and eligible employees, including employee contributions, for the cost of providing hospitalization and medical care under the system.

2. Gifts, grants and donations.

3. Legislative appropriations.

B. The administration shall administer the fund.

C. Monies in the fund are continuously appropriated and are exempt from the provisions of section 35-190 relating to the lapsing of appropriations. Administrative costs to operate the program are subject to legislative appropriation.

D. On notice from the administration, the state treasurer shall invest and divest monies in the fund as provided by section 35-313, and monies earned from investment shall be credited to the fund.

E. The administration shall use fund monies to pay the administrative costs and the cost of providing hospitalization and medical care for small employers and eligible employees as defined in section 36-2912.

F. Subject to legislative appropriation, the administration may use fund monies from premiums to pay the administrative costs for the administration to operate the healthcare group program. For the purposes of this subsection, " administrative costs" :

1. Includes all costs to supervise the work done by private health plans and fee-for-service network providers.

2. Does not include commissions or fees paid by the healthcare program to insurance producers.