Specifies methods of calculating deposits and reserves for the aggregate trust fund and reserves of the state insurance fund

2025 Regular Session Introduced by Jessica Ramos

The bill specifies how deposits and reserves for the aggregate trust fund and the state insurance fund are calculated and maintained.

REFERRED TO LABOR

At a glance

Bill Number: S 3947

Title: Specifies methods of calculating deposits and reserves for the aggregate trust fund and reserves of the state insurance fund

Sponsor: Jessica Ramos (primary)

Status: REFERRED TO LABOR

Introduced: January 30, 2025

Committee referral: Labor (initial committee assignment)

Related bills: S 6266 (prior-session), S 6115 (prior-session); A 4969 (companion)

Version content / actions: 2025-01-30: REFERRED TO LABOR (listed twice in legislative actions)

Purpose and intent

The bill aims to establish or specify the methods used to calculate deposits and reserves for two state financial components:

The aggregate trust fund
The reserves of the state insurance fund

In essence, it would standardize or define how deposits to these funds are determined and how reserve levels are calculated and maintained.

Key provisions (as described by title)

Because the text of the bill is not provided here, the following is a high-level description based on the bill’s title:
- Diet of deposits: The bill would set or clarify formulas, criteria, and timing for deposits into the aggregate trust fund and for reserves held by the state insurance fund.
- Reserve calculations: It would define the method for calculating reserve levels, likely including valuation bases, actuarial assumptions, and any triggers or benchmarks.
- Consistency and governance: The provisions may address consistency across related funds and alignment with statutory or regulatory requirements.
- Administrative implementation: Provisions may outline who is responsible for applying the methods (e.g., state agencies, the fund administrator) and what records or reporting are required.

Note: Specific numeric formulas, percentages, dates, or procedural steps are not provided in the summary materials available here.

Who would be affected

State funds: The aggregate trust fund and the state insurance fund reserves would be directly impacted, as the methods for deposits and reserve calculations would be defined or revised.

State agencies and administrators: Entities responsible for managing, administering, or auditing these funds would implement the specified methods.

Employers and insured parties: Depending on how deposits and reserve requirements feed into premium rates, solvency, or funding levels, affected parties could experience indirect financial impacts.

Legislative oversight: The Legislature’s ongoing oversight of fund solvency and financial management would be influenced by the clarified methods.

Procedural and timeline aspects

Current stage: Introduction and assignment to the Labor Committee (as of January 30, 2025).

Next steps in typical process: After referral, the bill would advance to committee hearings, potential amendments, a vote by the committee, and then floor action in the Senate. If approved, it would move to the Assembly as appropriate or proceed through the regular conference/approval process.

Session context: Related bills exist in prior sessions (S 6266, S 6115) and a companion bill in the Assembly (A 4969), suggesting ongoing interest in this topic.

Additional notes

The bill’s precise text is not provided here, so the above reflects the scope implied by the title and the available summary information.

Interested readers should monitor bill text and committee materials for specific methodologies, formulas, effective dates, and transitional provisions if/when the bill progresses.

Bill