RI 2026 H7158: Public Officers and Employees - Insurance Benefits

Plain-English Summary

This legislation amends Rhode Island state law regarding insurance benefits for state employees. Specifically, it expands the definition of "employee" to include adjunct faculty members working at state colleges, universities, or community colleges. To qualify for these benefits, the adjunct faculty member must teach at least fifty percent (50%) of the course load typically worked by a regular full-time faculty member during an academic semester. This change allows these qualifying part-time educators to access the same hospital care and surgical-medical service benefits provided to other classified state employees.

For younger readers

Teachers at colleges who work part-time are called "adjuncts." Right now, these part-time teachers often don't get health insurance from their job like full-time teachers do. This new law says that if an adjunct teacher teaches enough classes—at least half as many as a full-time teacher—the state must help them pay for doctors and hospitals. This makes sure that these teachers can go to the doctor when they are sick, just like other workers at the college.

Who & Where It Applies

Impacted groups

Adjunct faculty membersState of Rhode Island (Employer)State college and university administratorsTaxpayersHigher education students

Impacted communities

All

Constitutional & Fiscal Check

None Likely

Estimated cost

Amount unknown

Estimated revenue

None

Bill Analysis

Both viewpoints

For Progressives

Significantly improves the social safety net for precarious workers in the "gig economy" of higher education, ensuring adjuncts have access to essential healthcare.
Promotes equity within public institutions by narrowing the benefits gap between full-time tenured faculty and part-time adjunct staff who perform similar teaching duties.
Strengthens the public higher education system by potentially retaining talented educators who might otherwise leave the field due to a lack of basic benefits.
May inadvertently encourage university administrators to cap adjunct teaching loads just below the 50% threshold to avoid paying for insurance, further reducing their income.
Does not provide universal coverage for all adjuncts, leaving those who teach less than the 50% threshold without employer-sponsored healthcare access.
Allocates state funds to private insurance carriers rather than investing directly in a single-payer system or increasing the base wages of low-paid education workers.

For Conservatives

Potentially reduces the burden on state-funded Medicaid or charity care by shifting healthcare costs to an employer-based model for these specific workers.
Enhances the competitiveness of state universities in the labor market, allowing them to attract better talent without necessarily offering tenure-track positions.
Maintains the principle that benefits should be tied to work output (requiring a 50% workload) rather than being a universal handout.
Increases government spending and taxpayer burden by adding more individuals to the state's expensive health benefits rolls.
Interferes with the free market and management rights of university administrators to negotiate contracts and manage personnel costs efficiently.
Expands the size and scope of the "administrative state" by broadening the definition of who qualifies as a government employee entitled to benefits.

Votes

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Full Bill Text

Changes to existing Rhode Island law · 9 additions

SECTION 1. Sections 36-12-1 and 36-12-2 of the General Laws in Chapter 36-12 entitled "Insurance Benefits" are hereby amended to read as follows: 36-12-1. Definitions. The following words, as used in §§ 36-12-1 — 36-12-14, shall have the following meanings:

(1) “Employer,” means the state of Rhode Island.

(2) “Employee,” means all persons who are classified employees as the term “classified employee” is defined under § 36-3-3, and all persons in the unclassified and non-classified service of the state, including adjunct facility members at any state community college, state college or state university who teach at least fifty percent (50%) of the faculty load worked by regular full- time faculty in an academic semester; provided, however, that the following shall not be included as “employees” under §§ 36-12-1 — 36-12-14:

(i) Part-time personnel whose work week is less than twenty (20) hours a week and limited period and seasonal personnel;

(ii) Members of the general assembly, its clerks, doorkeepers, and pages.

(3) “Dependents” means an employee’s spouse, domestic partner and unmarried children under nineteen (19) years of age. Domestic partners shall certify by affidavit to the benefits director of the division of personnel that the (i) partners are at least eighteen (18) years of age and are mentally competent to contract, (ii) partners are not married to anyone, (iii) partners are not related by blood to a degree which would prohibit marriage in the state of Rhode Island, (iv) partners reside together and have resided together for at least one year, (v) partners are financially interdependent as evidenced by at least two (2) of the following: (A) domestic partnership agreement or relationship contract; (B) joint mortgage or joint ownership of primary residence, (C) two (2) of:

(I) joint ownership of motor vehicle; (II) joint checking account; (III) joint credit account; (IV) joint lease; and/or (D) the domestic partner has been designated as a beneficiary for the employee’s will, retirement contract or life insurance. Misrepresentation of information in the affidavit will result in an obligation to repay the benefits received, and a civil fine not to exceed one thousand dollars ($1,000) enforceable by the attorney general and payable to the general fund. The employee will notify the benefits director of the division of personnel by completion of a form prescribed by the benefits director when the domestic partnership ends.

(4) “Retired employee,” means all persons retired from the active service of the state, who, immediately prior to retirement, were employees of the state as determined by the retirement board under § 36-8-1, and also all retired teachers who have elected to come under the employees’ retirement system of the state of Rhode Island.

(5) “State retiree,” means all persons retired from the active service of the state who, immediately prior to retirement, were employees of the state as determined by the retirement board under § 36-8-1.

(6) “Teacher retiree,” means all retired teachers who have elected to come under the employees’ retirement system of the state of Rhode Island.

(7) “Long-term healthcare insurance,” means any insurance policy or rider advertised, marketed, offered, or designed to provide coverage for not less than twelve (12) consecutive months for each covered person on an expense incurred, indemnity, prepaid, or other basis for one or more necessary or medically necessary diagnostic, preventive, therapeutic, rehabilitative, maintenance, or personal care services, provided in a setting other than an acute care unit of a hospital. The term includes: group and individual policies or riders whether issued by insurers, fraternal benefit societies, nonprofit health, hospital, and medical service corporations; prepaid health plans, health maintenance organizations; or any similar organization. Long-term healthcare insurance shall not include: any insurance policy which is offered primarily to provide basic medicare supplement coverage; basic hospital expense coverage; basic medical-surgical expense coverage; hospital confinement indemnity coverage; major medical expense coverage; disability income protection coverage; accident only coverage; specified disease or specified accident coverage; or limited benefit health coverage. This list of excluded coverages is illustrative and is not intended to be all inclusive.

(8) “Non-Medicare-eligible retiree healthcare insurance,” means the health benefit employees who retire from active service of the state (subsequent to July 1, 1989), who immediately prior to retirement were employees of the state as determined by the retirement board pursuant to § 36-8-1, shall be entitled to receive until attaining Medicare eligibility. This healthcare insurance shall be equal to semi-private hospital care, surgical/medical care and major medical with a one hundred seventy-five dollar ($175) calendar year deductible. The aforementioned program will be provided on a shared basis in accordance with § 36-12-4.

(9) “Medicare-eligible retiree healthcare insurance,” means the health benefit employees who retire from active service of the state (subsequent to July 1, 1989), who immediately prior to retirement were employees of the state as determined by the retirement board pursuant to § 36-8- 1, shall have access to when eligible for Medicare. This healthcare insurance shall include plans providing hospital care, surgical/medical services, rights and benefits which, when taken together with their federal Medicare program benefits, 42 U.S.C. § 1305 et seq., shall be comparable to those provided for retirees prior to the attainment of Medicare eligibility.

(10) “Health reimbursement arrangement,” or “HRA” means an account that:

(i) Is paid for and funded solely by state contributions;

(ii) Reimburses a Medicare-eligible state retiree for medical care expenses as defined in § 213(d) of the Internal Revenue Code of 1986, as amended, which includes reimbursements for healthcare insurance premiums;

(iii) Provides reimbursements up to a maximum dollar amount for a coverage period; and

(iv) Provides that any unused portion of the maximum dollar amount at the end of a coverage period is carried forward to increase the maximum reimbursement amount in subsequent coverage periods. 36-12-2. Hospital care and surgical-medical service benefits.

(a) Employees of the state of Rhode Island shall receive, in addition to wages, salaries, and any other remuneration or benefits, hospital care and surgical-medical services, rights, and benefits purchased by the director of administration pursuant to § 36-12-6, with the specific condition that the benefits and services provided by the carrier(s) will be substantially equivalent to those set forth in any collective bargaining agreement(s) executed between the state of Rhode Island and authorized representatives of the unions representing state employees or the health care coverage presently being provided. Adjunct faculty members at any state community college, state college or state university, who teach at least fifty percent (50%) of the faculty load hours worked by regular full-time faculty in any academic semester, shall be eligible for benefits as provided for in this section.

(b) The state will work diligently with leadership of organized labor in order to ensure competitive, cost effective health care services for all employees of the state who may be eligible for those benefits.

(d) Part-time employees whose work week is less than twenty (20) hours a week may purchase the benefits set forth above. The employees shall pay the same rate for the benefits as the group rate paid by the state for the benefits. Payments for the benefits may be deducted in accordance with the provisions of § 36-12-3.

SECTION 2. This act shall take effect upon passage.