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HB 4856

Requiring that all state agency P-card rebates received must go toward stabilizing the PEIA fund

2026 Regular Session Introduced by Stan Adkins and 8 co-sponsors

Bill directs all state agency P-card purchasing rebates to the PEIA health insurance fund instead of agencies or general revenue to stabilize employee insurance costs.

To House Finance
#financeandadministration
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Bill Summary · HB 4856

Legislative bill overview

HB 4856 requires that all rebates generated from state agency purchasing card (P-card) programs be directed toward the Public Employees Insurance Agency (PEIA) fund rather than retained by individual agencies or deposited into general revenue. The bill essentially redirects existing revenue streams to address PEIA's financial stability.

Why is this important

PEIA, which provides health insurance to West Virginia state employees and retirees, faces chronic funding challenges. This bill represents an attempt to shore up the fund's finances without requiring new appropriations or tax increases. The amount involved could be meaningful—state agencies collectively generate substantial P-card rebate revenue through volume purchasing discounts.

Potential points of contention

  • Agency budget impacts: Agencies that currently use P-card rebates for operational expenses or special projects would lose this discretionary funding source, potentially affecting their budgets or requiring compensatory appropriations
  • Incremental vs. systemic solution: Redirecting rebates addresses a symptom rather than PEIA's underlying cost structure, which includes rising healthcare expenses, an aging employee population, and potentially insufficient premium contributions
  • Revenue allocation fairness: Questions about whether purchase-based rebates represent the most equitable way to fund employee benefits versus general revenue or dedicated premiums

Compiled from official sources — confirm details with the bill’s official record.

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