PEBB and SEBB Consolidation report stakeholder engagement

Legislature tasks HCA with report to consider combining PEBB and SEBB Programs.

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Background

In its 2024 supplemental operating budget, the Washington State Legislature tasked the Health Care Authority (HCA) with writing a report about the potential future consolidation of the Public Employees Benefits Board (PEBB) and School Employees Benefits Board (SEBB) Programs.

Specifically, Engrossed Substitute Senate Bill (ESSB) 5950, Section 212 directed HCA to provide insights and analysis, but not recommendations, on four topics:

  • Creating a single governing board. There are currently two governing boards, one for each program.
  • Developing a single risk pool for employees and non-Medicare retirees. There are currently two risk pools for non-Medicare members:
    • One for PEBB employees, non-Medicare retirees, and non-Medicare continuation coverage members.
    • One for SEBB employees and non-Medicare continuation coverage members.
  • Maintaining currently eligibility for all employees in the PEBB and SEBB Programs.
  • Providing a single portfolio of benefits to better align the plan and benefit offerings.

Note: There is no request for the report to analyze changes to the PEBB Medicare risk pool, PEBB retiree eligibility, or PEBB Medicare benefits.

The Legislature also requested that HCA provide the changes needed to laws or program rules to achieve consolidation.

What HCA is doing

As part of this legislative direction, HCA is:

  • Engaging with stakeholders between July 18 and August 15, 2024.
  • Providing stakeholders with materials from a general information session held on July 18. View the slides presented and watch the presentation.
  • Leveraging existing agency stakeholder meetings to answer questions as stakeholders prepare their written feedback for submitting to HCA.
  • Gathering written feedback from stakeholders on:
    • Single governing Board structures
    • Single risk pool for employees and non-Medicare retirees
    • Maintenance of current eligibility for all active employees.
    • A single portfolio of benefits

How do I provide feedback?

Written feedback is due to HCA by August 16, 2024, and should be submitted to Cade Walker.

When is the report due?

The report is due to the Legislature by December 1, 2024.