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School employee insurance bill sent to Pawlenty

Last update: May 16, 2008 - 5:38 AM

For the second straight year, the Legislature has sent Gov. Tim Pawlenty a bill that would create a statewide health insurance pool for public school employees.

Whether Pawlenty will veto it, as he did last year, remains to be seen.

Under the bill, which both houses passed Thursday, the program would offer at least six health plans for eligible school workers, ranging from coverage without a deductible to a high-deductible plan paired with a health savings account.

All districts would have to buy insurance through the pool rather than negotiate their own plans, and all school employees -- who number more than 200,000 in Minnesota -- would have to participate.

The bill provides a $4 million loan from the general fund to create the pool.

Proponents say such a pool would provide relief to smaller districts hit by sharply rising prices from year to year. On the other hand, some observers say larger districts ought to be allowed to opt out if they can save more money arranging for their own insurance.

KEVIN DUCHSCHERE

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