Bill Text - SB89 (2011)

(3rd New Title) relative to employee leasing companies and establishing a study committee on the procurement of health insurance by employee leasing companies.


Revision: June 30, 2011, midnight

SB 89 – VERSION ADOPTED BY BOTH BODIES

03/09/11 0720s

4May2011… 1479h

06/22/11 2310CofC

06/22/11 2527EBA

2011 SESSION

11-0422

01/10

SENATE BILL 89

AN ACT relative to employee leasing companies and establishing a study committee on the procurement of health insurance by employee leasing companies.

SPONSORS: Sen. Carson, Dist 14; Rep. Goley, Hills 8; Rep. Marshall Quandt, Rock 13; Rep. Matt Quandt, Rock 13; Rep. Jennifer Coffey, Merr 6

COMMITTEE: Commerce

AMENDED ANALYSIS

This bill clarifies the procedures for employee benefits and for employee leasing companies. This bill reestablishes the committee to study the procurement of health insurance by employee leasing companies. The bill also suspends insurance bulletin INS NO. 10-008-AB.

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

03/09/11 0720s

4May2011… 1479h

06/22/11 2310CofC

06/22/11 2527EBA

11-0422

01/10

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Eleven

AN ACT relative to employee leasing companies and establishing a study committee on the procurement of health insurance by employee leasing companies.

Be it Enacted by the Senate and House of Representatives in General Court convened:

1 Employee Leasing Deemed Co-Employment. Amend RSA 277-B:9, I (a) to read as follows:

(a) Paying wages to leased employees. The employee leasing company may rely on initial hiring documentation of wages, ongoing pay change documentation, and reported payroll documentation regarding hours worked or other measured unit of employee compensation received from the client company. [Notification shall be made in compliance with the signed notice as required by regulations issued by the department.] An employee leasing company shall not knowingly rely on materially inaccurate information provided under this paragraph.

2 Employee Leasing Deemed Co-Employment. Amend RSA 277-B:9, II(d)-(f) to read as follows:

(d) Providing accurate personnel and payroll information, and a record of hours and wages to the employee leasing company and department of labor when requested, as a co-employer on all leased employees as required of employers under RSA 279:27. Notification shall be made in compliance with the signed notice as required by rules adopted by the department.

(e) Complying with all wage and hour laws, including recordkeeping requirements and determinations of exempt and non-exempt status.

(f) Providing a safe workplace to the employees free of all hazards in compliance with the Occupational Safety and Health Act of 1970 and regulations or any similar law. This shall include sole responsibility for compliance with the requirements of RSA 281-A:64 and similar requirements or regulations.

3 Employee Leasing Deemed Co-Employment. Amend RSA 277-B:9, III to read as follows:

III. The employee leasing company shall notify the commissioner of employment security and the commissioner of the department of labor in writing of all new and terminated client companies within [10] 20 business days of engagement or termination.

4 Committee Established. There is established a committee to study the procurement of health insurance by employee leasing companies.

5 Membership and Compensation.

I. The members of the committee shall be as follows:

(a) Three members of the house of representatives, appointed by the speaker of the house of representatives.

(b) Three members of the senate, appointed by the president of the senate.

II. Members of the committee shall receive mileage at the legislative rate when attending to the duties of the committee.

6 Duties. The committee shall study the procurement of health insurance by employee leasing companies licensed under RSA 277-B, including whether policies sponsored by employee leasing companies should be exempt from the rating requirements and other standards for small employer coverage set forth in RSA 420-G.

7 Chairperson; Quorum. The members of the study committee shall elect a chairperson from among the members. The first meeting of the committee shall be called by the first-named house member. The first meeting of the committee shall be held within 45 days of the effective date of this section. Four members of the committee shall constitute a quorum.

8 Report. The committee shall report its findings and any recommendations for proposed legislation to the speaker of the house of representatives, the president of the senate, the house clerk, the senate clerk, the governor, and the state library on or before November 1, 2011.

9 Insurance Bulletin Suspended. The department of insurance bulletin INS NO. 10-008-AB is hereby suspended until December 31, 2013.

10 Effective Date.

I. Sections 1-3 of this act shall take effect 60 days after its passage.

II. The remainder of this act shall take effect upon its passage.