WSR 19-01-055
PERMANENT RULES
HEALTH CARE AUTHORITY
(School Employees Benefits Board)
[Admin #2018-01—Filed December 14, 2018, 10:04 a.m., effective January 14, 2019]
Effective Date of Rule: Thirty-one days after filing.
Purpose: The health care authority (HCA) is developing three new chapters of rules to implement legislation that created the new school employees' benefits board (SEBB) program. The SEBB program will provide health care related benefits to all eligible school employees within school districts, educational service districts, and charter schools across the state of Washington.
Citation of Rules Affected by this Order: New WAC 182-30-010, 182-30-020, 182-30-040, 182-30-050, 182-30-070, 182-30-075, 182-30-090, 182-30-100, 182-30-110, 182-30-120, 182-31-010, 182-31-020, 182-31-030, 182-31-040, 182-31-050, 182-31-060, 182-31-090, 182-31-110, 182-31-140, 182-31-150, 182-31-160, 182-32-010, 182-32-020, 182-32-055, 182-32-058, 182-32-064, 182-32-066, 182-32-120, 182-32-130, 182-32-2000, 182-32-2005, 182-32-2010, 182-32-2020, 182-32-2030, 182-32-2050, 182-32-2070, 182-32-2080, 182-32-2085, 182-32-2090, 182-32-2100, 182-32-2105, 182-32-2110, 182-32-2120, 182-32-2130, 182-32-2140, 182-32-2150, 182-32-2160, 182-32-3000, 182-32-3005, 182-32-3010, 182-32-3015, 182-32-3030, 182-32-3080, 182-32-3090, 182-32-3100, 182-32-3110, 182-32-3120, 182-32-3130, 182-32-3140, 182-32-3160, 182-32-3170, 182-32-3180, 182-32-3190, and 182-32-3200.
Statutory Authority for Adoption: RCW 41.05.021, 41.05.160.
Other Authority: SEBB policy resolutions.
Adopted under notice filed as WSR 18-22-064 on November 1, 2018.
Changes Other than Editing from Proposed to Adopted Version:
Proposed/
Adopted
WAC Subsection
Reason
Original WAC 182-31-140 Who are eligible dependents?
Proposed
The school employees benefits board (SEBB) program will verify the eligibility of all self-pay subscriber dependents and will request documents that provide evidence of a dependent's eligibility. The SEBB program reserves the right to review a dependent's eligibility at any time. All SEBB organizations will verify the eligibility of all school employee dependents and will request documents that provide evidence of a dependent's eligibility. Both the SEBB program and the SEBB organizations will maintain these documents. The SEBB program and SEBB organizations will not enroll dependents into a health plan if they are unable to verify a dependent's eligibility within the SEBB program enrollment timelines.
HCA decided, based on stakeholder feedback, to remove the requirement for SEBB organizations and the SEBB program to maintain dependent verification documents.
Adopted
The school employees benefits board (SEBB) program will verify the eligibility of all self-pay subscriber dependents and will request documents that provide evidence of a dependent's eligibility. The SEBB program reserves the right to review a dependent's eligibility at any time. All SEBB organizations will verify the eligibility of all school employee dependents and will request documents that provide evidence of a dependent's eligibility. Both the SEBB program and the SEBB organizations will maintain these documents. The SEBB program and SEBB organizations will not enroll dependents into a health plan if they are unable to verify a dependent's eligibility within the SEBB program enrollment timelines.
Number of Sections Adopted in Order to Comply with Federal Statute: New 0, Amended 0, Repealed 0; Federal Rules or Standards: New 0, Amended 0, Repealed 0; or Recently Enacted State Statutes: New 64, Amended 0, Repealed 0.
Number of Sections Adopted at the Request of a Nongovernmental Entity: New 0, Amended 0, Repealed 0.
Number of Sections Adopted on the Agency's own Initiative: New 0, Amended 0, Repealed 0.
Number of Sections Adopted in Order to Clarify, Streamline, or Reform Agency Procedures: New 0, Amended 0, Repealed 0.
Number of Sections Adopted using Negotiated Rule Making: New 0, Amended 0, Repealed 0; Pilot Rule Making: New 0, Amended 0, Repealed 0; or Other Alternative Rule Making: New 64, Amended 0, Repealed 0.
Date Adopted: December 14, 2018.
Wendy Barcus
Rules Coordinator
Chapter 182-30 WAC
ENROLLMENT PROCEDURES
NEW SECTION
WAC 182-30-010Purpose.
The purpose of this chapter is to establish school employees benefits board (SEBB) enrollment criteria and procedures for school employees eligible for SEBB benefits under RCW 41.05.740 (6)(d)(i). This chapter does not address where a SEBB organization has locally negotiated to offer SEBB benefits to school employees who are anticipated to work less than six hundred thirty hours in a school year as authorized in RCW 41.05.740 (6)(e).
NEW SECTION
WAC 182-30-020Definitions.
The following definitions apply throughout this chapter unless the context clearly indicates another meaning:
"Annual open enrollment" means a once yearly event set aside for a period of time by the HCA when subscribers may make changes to their health plan enrollment and salary reduction elections for the following plan year. During the annual open enrollment, subscribers may transfer from one health plan to another, enroll or remove dependents from coverage, or enroll or waive enrollment in SEBB medical. School employees participating in the salary reduction plan may enroll in or change their election under the dependent care assistance program (DCAP), and medical flexible spending arrangement (FSA). They may also enroll in or opt out of the premium payment plan.
"Authority" or "HCA" means the Washington state health care authority.
"Board" means the school employees benefits board established under provisions of RCW 41.05.740.
"Calendar days" or "days" means all days including Saturdays, Sundays, and holidays.
"Consolidated Omnibus Budget Reconciliation Act" or "COBRA" means continuation coverage as administered under 42 U.S.C. Secs. 300bb-1 through 300bb-8.
"Continuation coverage" means the temporary continuation of health plan coverage available to enrollees under the Consolidated Omnibus Budget Reconciliation Act (COBRA), 42 U.S.C. Secs. 300bb-1 through 300bb-8, the Uniformed Services Employment and Reemployment Rights Act (USERRA), 38 U.S.C. Secs. 4301 through 4335, or SEBB board policies.
"Contracted vendor" means any person, persons, or entity under contract or agreement with the HCA to provide goods or services for the provision or administration of SEBB benefits. The term "contracted vendor" includes subcontractors of the HCA and subcontractors of any person, persons, or entity under contract or agreement with the HCA that provide goods or services for the provision or administration of SEBB benefits.
"Dependent" means a person who meets eligibility requirements in WAC 182-31-140.
"Dependent care assistance program" or "DCAP" means a benefit plan whereby school employees may pay for certain employment related dependent care with pretax dollars as provided in the salary reduction plan pursuant to 26 U.S.C. Sec. 129 or other sections of the Internal Revenue Code.
"Director" means the director of the authority.
"Disability insurance" includes any basic long-term disability insurance paid for by the school employees benefits board (SEBB) organization and any supplemental long-term disability or supplemental short-term disability paid for by the employee.
"Employer contribution" means the funding amount paid to the HCA by a school employees benefits board (SEBB) organization for its eligible school employees as described under WAC 182-31-060.
"Enrollee" means a person who meets all eligibility requirements defined in chapter 182-31 WAC, who is enrolled in SEBB benefits, and for whom applicable premium payments have been made.
"Forms" means both paper forms and forms completed electronically.
"Health plan" means a plan offering medical, dental, or any combination of these coverages, developed by the SEBB and provided by a contracted vendor or self-insured plans administered by the HCA.
"Insignificant shortfall" means a premium balance owed that is less than or equal to the lesser of $50 or ten percent of the premium required by the health plan as described in Treasury Regulation 26 C.F.R. 54.4980B-8.
"Life insurance" for eligible school employees includes any basic life insurance and accidental death and dismemberment (AD&D) insurance paid for by the school employees benefits board (SEBB) organization, as well as supplemental life insurance and supplemental AD&D insurance offered to and paid for by school employees for themselves and their dependents.
"LTD insurance" or "long-term disability insurance" includes any basic long-term disability insurance paid for by the school employees benefits board (SEBB) organization and any supplemental long-term disability insurance offered to and paid for by the school employee.
"Medical flexible spending arrangement" or "medical FSA" means a benefit plan whereby school employees may reduce their salary before taxes to pay for medical expenses not reimbursed by insurance as provided in the salary reduction plan under this chapter pursuant to 26 U.S.C. Sec. 125 or other sections of the Internal Revenue Code.
"Premium payment plan" means a benefit plan whereby school employees may pay their share of group health plan premiums with pretax dollars as provided in the salary reduction plan under this chapter pursuant to 26 U.S.C. Sec. 125 or other sections of the Internal Revenue Code.
"Premium surcharge" means a payment required from a subscriber, in addition to the subscriber's medical premium contribution, due to an enrollee's tobacco use or an enrolled subscriber's spouse or state registered domestic partner choosing not to enroll in their employer-based group medical when:
• The spouse's or state registered domestic partner's share of the medical premium is less than ninety-five percent of the additional cost an employee would be required to pay to enroll a spouse or state registered domestic partner in the public employees benefits board (PEBB) Uniform Medical Plan (UMP) Classic; and
• The benefits have an actuarial value of at least ninety-five percent of the actuarial value of PEBB UMP Classic benefits.
"School employee" means all employees of school districts, educational service districts, and charter schools established under chapter 28A.710 RCW.
"School employees benefits board organization" or "SEBB organization" means a public school district or educational service district or charter school established under chapter 28A.710 RCW that is required to participate in benefit plans provided by the school employees benefits board.
"School year" means school year as defined in RCW 28A.150.203(11).
"SEBB" means the school employees benefits board established in RCW 41.05.740.
"SEBB benefits" means one or more insurance coverages or other school employee benefits administered by the SEBB program within the HCA.
"SEBB insurance coverage" means any health plan, life insurance, or disability insurance administered as a SEBB benefit.
"SEBB program" means the program within the HCA that administers insurance and other benefits for eligible school employees (as described in WAC 182-31-040) and eligible dependents (as described in 182-31-140).
"Short-term disability insurance" includes any basic short-term disability insurance paid for by the school employees benefits board (SEBB) organization and any supplemental short-term disability insurance offered to and paid for by the school employee.
"Special open enrollment" means a period of time when subscribers may make changes to their health plan enrollment and salary reduction elections outside of the annual open enrollment period when specific life events occur. During the special open enrollment subscribers may change health plans and enroll or remove dependents from coverage. Additionally, school employees may enroll in or waive enrollment in SEBB medical. School employees eligible to participate in the salary reductions plan may enroll in or revoke their election under the DCAP, medical FSA, or the premium payment plan and make a new election. For special open enrollment events related to specific SEBB benefits, see WAC 182-30-090, 182-30-100, and 182-31-150.
"State registered domestic partner" has the same meaning as defined in RCW 26.60.020(1) and substantially equivalent legal unions from other jurisdictions as defined in RCW 26.60.090.
"Subscriber" means the school employee or continuation coverage enrollee who has been determined eligible by the SEBB program or SEBB organization and is the individual to whom the SEBB program and contracted vendors will issue all notices, information, requests, and premium bills on behalf of an enrollee.
"Tobacco products" means any product made with or derived from tobacco that is intended for human consumption, including any component, part, or accessory of a tobacco product. This includes, but is not limited to, cigars, cigarettes, pipe tobacco, chewing tobacco, snuff, and other tobacco products. It does not include e-cigarettes or United States Food and Drug Administration (FDA) approved quit aids.
"Tobacco use" means any use of tobacco products within the past two months. Tobacco use, however, does not include the religious or ceremonial use of tobacco.
NEW SECTION
WAC 182-30-040Premium payments and premium refunds.
Premiums and applicable premium surcharges are due as described in this section.
(1) Premium payments. School employees benefits board (SEBB) insurance coverage premiums and applicable premium surcharges become due the first of the month in which SEBB insurance coverage is effective. Premiums and applicable premium surcharges are due from the subscriber for the entire month of PEBB insurance coverage and will not be prorated during any month.
(a) For school employees who are eligible for the employer contribution, the school employee's premiums and applicable premium surcharges are due to the SEBB organization. If a school employee elects supplemental coverage, the school employee is responsible for payment of premiums starting the month the supplemental coverage begins.
(b) Unpaid or underpaid premiums or applicable premium surcharges for all subscribers must be paid, and are due from the SEBB organization, subscriber, or a subscriber's legal representative to the health care authority (HCA). For subscribers not eligible for the employer contribution or school employees eligible for the employer contribution as described in WAC 182-31-110, monthly premiums or applicable premium surcharges that remain unpaid for thirty days will be considered delinquent. A subscriber is allowed a grace period of thirty days from the date the monthly premiums or applicable premium surcharges become delinquent to pay the unpaid premium balance or applicable surcharges. If a subscriber's monthly premiums or applicable premium surcharges remain unpaid for sixty days from the original due date, the subscriber's SEBB insurance coverage will be terminated retroactive to the last day of the month for which the monthly premiums and any applicable premium surcharges were paid. If it is determined by the HCA that payment of the unpaid balance in a lump sum would be considered a hardship, the HCA may develop a reasonable payment plan with the subscriber or the subscriber's legal representative upon request.
(c) Monthly premiums or applicable premium surcharges due from a subscriber who is not eligible for the employer contribution will be considered unpaid if one of the following occurs:
(i) No payment of premiums or applicable premium surcharges are received by the HCA and the monthly premiums or premium surcharges remain unpaid for thirty days; or
(ii) Premium payments or applicable premium surcharges received by the HCA are underpaid by an amount greater than an insignificant shortfall and the monthly premiums or applicable premium surcharges remain underpaid for thirty days past the date the monthly premiums or applicable premium surcharges were due.
(2) Premium refunds. SEBB premiums and applicable premium surcharges will be refunded using the following method:
(a) When a subscriber submits an enrollment change affecting subscriber or dependent eligibility, HCA may allow up to three months of accounting adjustments. HCA will refund to the individual or the SEBB organization any excess premiums and applicable premium surcharges paid during the three month adjustment period.
(b) If a SEBB subscriber, dependent, or beneficiary submits a written appeal as described in WAC 182-32-2010, showing proof of extraordinary circumstances beyond their control such that it was effectively impossible to submit the necessary information to accomplish an allowable enrollment change within sixty days after the event that created a change of premiums, the SEBB director, the SEBB director's designee, or the SEBB appeals unit may approve a refund of premiums and applicable premium surcharges that does not exceed twelve months of premiums.
(c) If a federal government entity determines that an enrollee is retroactively enrolled in coverage (for example, medicare) the subscriber or beneficiary may be eligible for a refund of premiums and applicable premium surcharges paid during the time if approved by SEBB director or the SEBB director's designee.
(d) HCA errors will be corrected by returning all excess premiums and applicable premium surcharges paid by the SEBB organization, subscriber, or beneficiary.
(e) SEBB organization errors will be corrected by returning all excess premiums and applicable premium surcharges paid by the school employee or beneficiary.
NEW SECTION
WAC 182-30-050What are the requirements regarding premium surcharges?
(1) A subscriber's account will incur a premium surcharge in addition to the subscriber's monthly premium, when any enrollee, thirteen years and older, engages in tobacco use.
(a) A subscriber must attest to whether any enrollee, thirteen years and older, enrolled in their school employees benefits board (SEBB) medical engages in tobacco use. The subscriber must attest as described in (a)(i) through (iv) of this subsection:
(i) A school employee who is newly eligible or regains eligibility for the employer contribution toward SEBB benefits must complete the required form to enroll in SEBB medical. The school employee must include their attestation on the required form. The school employee must submit the attestation to their SEBB organization. If the school employee's attestation results in a premium surcharge, it will take effect the same date as SEBB medical begins;
(ii) If there is a change in the tobacco use status of any enrollee, thirteen years and older on the subscriber's SEBB medical, the subscriber must update their attestation on the required form. A school employee must submit the form to their SEBB organization. All other subscribers must submit their updated attestation to the SEBB program;
• A change that results in a premium surcharge will begin the first day of the month following the status change. If that day is the first of the month, the change to the surcharge begins on that day.
• A change that results in removing the premium surcharge will begin the first day of the month following receipt of the attestation. If that day is the first of the month, the change to the surcharge begins on that day.
(iii) If a subscriber submits the required form to enroll a dependent, thirteen years and older, in SEBB medical, the subscriber must attest for their dependent on the required form. A school employee must submit the form to their SEBB organization. All other subscribers must submit their form to the SEBB program. A change that results in a premium surcharge will take effect the same date as SEBB medical begins; or
(iv) An enrollee, thirteen years and older, who elects to continue medical coverage as described in WAC 182-31-090, must provide an attestation on the required form if they have not previously attested as described in (a) of this subsection. The enrollee must submit their updated form to the SEBB program. An attestation that results in a premium surcharge will take effect the same date as SEBB medical begins.
(b) A subscriber's account will incur a premium surcharge when a subscriber fails to attest to the tobacco use status of all enrollees as described in (a) of this subsection.
(c) The SEBB program will provide a reasonable alternative for enrollees who use tobacco products. A subscriber can avoid the tobacco use premium surcharge if the subscriber attests on the required form that all enrollees who use tobacco products enrolled in or accessed the applicable reasonable alternative offered below:
(i) An enrollee who is eighteen years and older and uses tobacco products is currently enrolled in the free tobacco cessation program through their SEBB medical.
(ii) An enrollee who is thirteen through seventeen years old and uses tobacco products accessed the information and resources aimed at teens on the Washington state department of health's web site at https://teen.smokefree.gov.
(iii) A subscriber may contact the SEBB program to accommodate a physician's recommendation that addresses an enrollee's use of tobacco products or for information on how to avoid the tobacco use premium surcharge.
(2) A subscriber will incur a premium surcharge, in addition to the subscriber's monthly premium, if an enrolled spouse or state registered domestic partner elected not to enroll in another employer-based group medical where the spouse's or state registered domestic partner's share of the medical premium is less than ninety-five percent of the additional cost a school employee would be required to pay to enroll a spouse or state registered domestic partner in the public employees benefits board (PEBB) Uniform Medical Plan (UMP) Classic and the benefits have an actuarial value of at least ninety-five percent of the actuarial value of the PEBB UMP Classic's benefits.
(a) A subscriber who enrolled a spouse or state registered domestic partner under their SEBB medical may only attest during the following times:
(i) When a subscriber becomes eligible to enroll a spouse or state registered domestic partner in SEBB medical or during the annual open enrollment. The subscriber must complete the required form to enroll their spouse or state registered domestic partner, and include their attestation on that form. The school employee must submit the form to their SEBB organization. Any other subscriber must submit the form to the SEBB program. If the subscriber's attestation results in a premium surcharge it will take effect the same date as SEBB medical begins;
(ii) When a special open enrollment event occurs. The subscriber must submit the required form to enroll their spouse or state registered domestic partner in SEBB medical and include their attestation on the required form. A school employee must submit the form to their SEBB organization. Any other subscriber must submit the form to the SEBB program. If the subscriber's attestation results in a premium surcharge it will take effect the same date as SEBB medical begins;
(iii) During the annual open enrollment. A subscriber must attest if during the month prior to the annual open enrollment the subscriber was:
• Incurring the surcharge;
• Not incurring the surcharge because the spouse's or state registered domestic partner's share of the medical premium through their employer-based group medical was more than ninety-five percent of the additional cost a school employee would be required to pay to enroll a spouse or state registered domestic partner in the PEBB UMP Classic; or
• Not incurring the surcharge because the actuarial value of benefits provided through the spouse's or state registered domestic partner's employer-based group medical was less than ninety-five percent of the actuarial value of the PEBB UMP Classic's benefits.
A subscriber must update their attestation on the required form. A school employee must submit an updated attestation to their SEBB organization. Any other subscriber must submit the form to the SEBB program. The subscriber's attestation or any correction to a subscriber's attestation must be received no later than December 31st of the year in which the annual open enrollment occurs. If the subscriber's attestation results in a premium surcharge, being added or removed, the change to the surcharge will take effect January 1st of the following year; and
(iv) When there is a change in the spouse's or state registered domestic partner's employer-based group medical. A subscriber must update their attestation on the required form. A school employee must submit an updated attestation to their SEBB organization no later than sixty days after the spouse's or state registered domestic partner's employer-based group medical status changes. Any other subscriber must submit an updated attestation to the SEBB program no later than sixty days after the spouse's or state registered domestic partner's employer-based group medical status changes;
• A change that results in a premium surcharge will begin the first day of the month following the status change. If that day is the first day of the month, the change to the premium surcharge begins on that day;
• A change that results in removing the premium surcharge will begin the first day of the month following receipt of the attestation. If that day is the first day of the month, the change to the premium surcharge begins on that day.
(b) A premium surcharge will be applied to a subscriber who does not attest as described in (a) of this subsection.
NEW SECTION
WAC 182-30-070The employer contribution is set by the health care authority (HCA) and paid to the HCA for all eligible school employees.
School employees benefits board (SEBB) organizations must pay the employer contributions to the health care authority (HCA) for SEBB insurance coverage for all eligible school employees and their dependents.
(1) Employer contributions are set by the HCA, and are subject to the approval of the governor for availability of funds as specifically appropriated by the legislature for that purpose.
(2) Employer contributions must include an amount determined by the HCA to pay administrative costs to administer SEBB insurance coverage for school employees.
(3) Each eligible school employee of a SEBB organization on leave under the federal Family and Medical Leave Act (FMLA) is eligible for the employer contribution as described in WAC 182-31-110.
NEW SECTION
WAC 182-30-075Subscriber requirements as part of participation in school employees benefits board (SEBB) benefits.
All school employees must provide their SEBB organization with their correct mailing address and provide any updates as needed in the future. All other subscribers must provide the SEBB program with their correct mailing address and provide any updates to their mailing address if it changes.
NEW SECTION
WAC 182-30-090When may a subscriber change health plans?
Subscribers may change health plans at the following times:
(1) During annual open enrollment: Subscribers may change health plans during the school employees benefits board (SEBB) annual open enrollment period. The subscriber must submit the required enrollment forms to change their health plan. A school employee submits the enrollment forms to their SEBB organization. All other subscribers submit the enrollment forms to the SEBB program. The required enrollment forms must be received no later than the last day of the annual open enrollment. Enrollment in the new health plan will begin January 1st of the following year.
(2) During a special open enrollment: Subscribers may revoke their health plan election and make a new election outside of the annual open enrollment if a special open enrollment event occurs. The change in enrollment must be allowable under Internal Revenue Code (IRC) and Treasury Regulations, and correspond to and be consistent with the event that creates the special open enrollment for the subscriber, the subscriber's dependent, or both. To make a health plan change, the subscriber must submit the required enrollment forms. The forms must be received no later than sixty days after the event occurs. A school employee submits the enrollment forms to their SEBB organization. All other subscribers submit the enrollment forms to the SEBB program. Subscribers must provide evidence of the event that created the special open enrollment. New health plan coverage will begin the first day of the month following the latter of the event date or the date the form is received. If that day is the first of the month, the change in enrollment begins on that day. If the special open enrollment is due to the birth, adoption, or assumption of legal obligation for total or partial support in anticipation of adoption of a child, health plan coverage will begin the month in which the birth, adoption, or assumption of legal obligation for total or partial support in anticipation of adoption occurs. Any one of the following events may create a special open enrollment:
(a) Subscriber acquires a new dependent due to:
(i) Marriage or registering a state registered domestic partnership;
(ii) Birth, adoption, or when the subscriber has assumed a legal obligation for total or partial support in anticipation of adoption; or
(iii) A child becoming eligible as an extended dependent through legal custody or legal guardianship.
(b) Subscriber or a subscriber's dependent loses other coverage under a group health plan or through health insurance coverage, as defined by the Health Insurance Portability and Accountability Act (HIPAA);
(c) Subscriber has a change in employment status that affects the subscriber's eligibility for the employer contribution toward their employer-based group health plan;
(d) The subscriber's dependent has a change in their own employment status that affects their eligibility for the employer contribution under their employer-based group health plan;
Exception:
For the purposes of special open enrollment "employer contribution" means contributions made by the dependent's current or former employer toward health coverage as described in Treasury Regulation 26 C.F.R. 54.9801-6.
(e) Subscriber or a subscriber's dependent has a change in residence that affects health plan availability. If the subscriber moves and the subscriber's current health plan is not available in the new location the subscriber must select a new health plan;
(f) A court order requires the subscriber or any other individual to provide insurance coverage for an eligible dependent of the subscriber (a former spouse or former state registered domestic partner is not an eligible dependent);
(g) Subscriber or a subscriber's dependent becomes entitled to coverage under medicaid or a state children's health insurance program (CHIP), or the subscriber or a subscriber's dependent loses eligibility for coverage under medicaid or CHIP;
(h) Subscriber or a subscriber's dependent becomes eligible for state premium assistance subsidy for SEBB health plan coverage from medicaid or CHIP;
(i) Subscriber or a subscriber's dependent's current health plan becomes unavailable because the subscriber or enrolled dependent is no longer eligible for a health savings account (HSA). The authority may require evidence that the subscriber or subscriber's dependent is no longer eligible for an HSA;
(j) Subscriber or a subscriber's dependent experiences a disruption of care that could function as a reduction in benefits for the subscriber or the subscriber's dependent for a specific condition or ongoing course of treatment. The subscriber may not change their health plan election if the subscriber's or dependent's physician stops participation with the subscriber's health plan unless the SEBB program determines that a continuity of care issue exists. The SEBB program will consider but not limit its consideration to the following:
(i) Active cancer treatment such as chemotherapy or radiation therapy for up to ninety days or until medically stable;
(ii) Transplant within the last twelve months;
(iii) Scheduled surgery within the next sixty days (elective procedures within the next sixty days do not qualify for continuity of care);
(iv) Recent major surgery still within the postoperative period of up to eight weeks; or
(v) Third trimester of pregnancy.
If the school employee is having premiums taken from payroll on a pretax basis, a health plan change will not be approved if it would conflict with provisions of the salary reduction plan authorized under RCW 41.05.300.
NEW SECTION
WAC 182-30-100When may a subscriber enroll or revoke an election and make a new election under the premium payment plan, medical flexible spending arrangement (FSA), or dependent care assistance program (DCAP)?
A subscriber who is eligible to participate in the salary reduction plan as described in WAC 182-31-060 may enroll, or revoke their election and make a new election under the premium payment plan, medical flexible spending arrangement (FSA), or dependent care assistance program (DCAP) at the following times:
(1) When newly eligible under WAC 182-31-040.
(2) During annual open enrollment: An eligible subscriber may elect to enroll in or opt out of their participation under the premium payment plan during the annual open enrollment; school employees submit the required form to their school employees benefits board (SEBB) organization; all other subscribers submit the form to the health care authority (HCA). An eligible subscriber may elect to enroll or reenroll in the medical FSA, DCAP, or both during the annual open enrollment by submitting the required forms to their SEBB organization, the HCA or applicable contracted vendor. All required forms must be received no later than the last day of the annual open enrollment. The enrollment or new election becomes effective January 1st of the following year.
Note:
Subscribers enrolled in a consumer-directed health plan (CDHP) with a health savings account (HSA) cannot also enroll in a medical FSA in the same plan year. Subscribers who elect both will only be enrolled in the CDHP with a HSA.
(3) During a special open enrollment: A subscriber who is eligible to participate in the salary reduction plan may enroll or revoke their election and make a new election under the premium payment plan, medical FSA, or DCAP outside of the annual open enrollment if a special open enrollment event occurs. The enrollment or change in election must be allowable under Internal Revenue Code (IRC) and Treasury Regulations, and correspond to and be consistent with the event that creates the special open enrollment. To make a change or enroll, the school employee must submit the required forms to their SEBB organization, all other subscribers must submit the required forms to HCA. The SEBB organization or HCA must receive the required form and evidence of the event that created the special open enrollment no later than sixty days after the event occurs.
For purposes of this section, an eligible dependent includes any person who qualifies as a dependent of the school employee for tax purposes under IRC 26 U.S.C. Sec. 152 without regard to the income limitations of that section. It does not include a state registered domestic partner unless the state registered domestic partner otherwise qualifies as a dependent for tax purposes under IRC 26 U.S.C. Sec. 152.
(a) Premium payment plan. A subscriber may enroll or revoke their election and elect to opt out of the premium payment plan when any of the following special open enrollment events occur, if the requested change corresponds to and is consistent with the event. The enrollment or election to opt out will be effective the first day of the month following the latter of the event date or the date the required form is received. If that day is the first of the month, the enrollment or change in election begins on that day. If the special open enrollment is due to the birth, adoption, or assumption of legal obligation for total or partial support in anticipation of adoption of a child, the enrollment or change in election will begin the first of the month in which the event occurs.
(i) Subscriber acquires a new dependent due to:
• Marriage;
• Registering a domestic partnership when the dependent is a tax dependent of the subscriber;
• Birth, adoption, or when the subscriber has assumed a legal obligation for total or partial support in anticipation of adoption; or
• A child becoming eligible as an extended dependent through legal custody or legal guardianship.
(ii) Subscriber's dependent no longer meets SEBB eligibility criteria because:
• Subscriber has a change in marital status;
• Subscriber's domestic partnership with a state registered domestic partner who is a tax dependent is dissolved or terminated;
• An eligible dependent child turns age twenty-six or otherwise does not meet dependent child eligibility criteria;
• An eligible dependent ceases to be eligible as an extended dependent or as a dependent with a disability; or
• An eligible dependent dies.
(iii) Subscriber or a subscriber's dependent loses other coverage under a group health plan or through health insurance coverage, as defined by Health Insurance Portability and Accountability Act (HIPAA);
(iv) Subscriber has a change in employment status that affects the subscriber's eligibility for their employer contribution toward their employer's health plan;
(v) The subscriber's dependent has a change in their employment status that affects their eligibility for the employer contribution toward their employer-based group health plan;
Exception:
For the purposes of special open enrollment, "employer contribution" means contributions made by the dependent's current or former employer toward health coverage as described in Treasury Regulation 26 C.F.R. 54.9801-6.
(vi) Subscriber or a subscriber's dependent has a change in enrollment under an employer-based group health plan during its annual open enrollment that does not align with the SEBB annual open enrollment;
(vii) Subscriber or a subscriber's dependent has a change in residence that affects health plan availability;
(viii) Subscriber's dependent has a change in residence from outside of the United States to within the United States, or from within the United States to outside of the United States;
(ix) A court order requires the subscriber or any other individual to provide insurance coverage for an eligible dependent of the subscriber (a former spouse or former state registered domestic partner is not an eligible dependent);
(x) Subscriber or a subscriber's dependent becomes entitled to coverage under medicaid or a state children's health insurance program (CHIP), or the subscriber or a subscriber's dependent loses eligibility for coverage under medicaid or CHIP;
(xi) Subscriber or a subscriber's dependent becomes eligible for state premium assistance subsidy for SEBB health plan coverage from medicaid or CHIP;
(xii) Subscriber or a subscriber's dependent becomes entitled to coverage under medicare or the subscriber or a subscriber's dependent loses eligibility for coverage under medicare;
(xiii) Subscriber or a subscriber's dependent's current health plan becomes unavailable because the school employee or enrolled dependent is no longer eligible for a HSA. The HCA may require evidence that the subscriber or a subscriber's dependent is no longer eligible for a HSA;
(xiv) Subscriber or a subscriber's dependent experiences a disruption of care that could function as a reduction in benefits for the subscriber or a subscriber's dependent for a specific condition or ongoing course of treatment. The subscriber may not change their health plan election if the subscriber's or dependent's physician stops participation with the subscriber's health plan unless the SEBB program determines that a continuity of care issue exists. The SEBB program will consider but not limit its consideration to the following:
• Active cancer treatment such as chemotherapy or radiation therapy for up to ninety days or until medically stable;
• Transplant within the last twelve months;
• Scheduled surgery within the next sixty days (elective procedures within the next sixty days do not qualify for continuity of care);
• Recent major surgery still within the postoperative period of up to eight weeks; or
• Third trimester of pregnancy.
(xv) Subscriber or a subscriber's dependent becomes eligible and enrolls in a TRICARE plan, or loses eligibility for a TRICARE plan.
If the subscriber is having premiums taken from payroll on a pretax basis, a plan change will not be approved if it would conflict with provisions of the salary reduction plan authorized under RCW 41.05.300.
(b) Medical FSA. A subscriber may enroll or revoke their election and make a new election under the medical FSA when any one of the following special open enrollment events occur, if the requested change corresponds to and is consistent with the event. The enrollment or new election will be effective the first day of the month following the latter of the event date or the date the required form and evidence of the event that created the special open enrollment is received by the SEBB organization or the HCA. If that day is the first of the month, the enrollment or change in election begins on that day. If the special open enrollment is due to the birth, adoption, or assumption of legal obligation for total or partial support in anticipation of adoption of a child, the enrollment or change in election will begin the first of the month in which the event occurs.
(i) Subscriber acquires a new dependent due to:
• Marriage;
• Registering a domestic partnership if the state registered domestic partner qualifies as a tax dependent of the subscriber;
• Birth, adoption, or when the subscriber has assumed a legal obligation for total or partial support in anticipation of adoption; or
• A child becoming eligible as an extended dependent through legal custody or legal guardianship.
(ii) Subscriber's dependent no longer meets SEBB subscriber or has a change in marital status;
• Subscriber's domestic partnership with a state registered domestic partner who qualifies as a tax dependent is dissolved or terminated;
• An eligible dependent child turns age twenty-six or otherwise does not meet dependent child eligibility criteria;
• An eligible dependent ceases to be eligible as an extended dependent or as a dependent with a disability; or
• An eligible dependent dies.
(iii) Subscriber or a subscriber's dependent loses other coverage under a group health plan or through health insurance coverage, as defined by HIPAA;
(iv) Subscriber or a subscriber's dependent has a change in employment status that affects the employee's or a dependent's eligibility for the medical FSA;
(v) A court order requires the subscriber or any other individual to provide insurance coverage for an eligible dependent of the subscriber (a former spouse or former state registered domestic partner is not an eligible dependent);
(vi) Subscriber or a subscriber's dependent becomes entitled to coverage under medicaid or CHIP, or the school employee or a school employee's dependent loses eligibility for coverage under medicaid or CHIP;
(vii) Subscriber or a subscriber's dependent becomes entitled to coverage under medicare.
(c) DCAP. A subscriber may enroll or revoke their election and make a new election under the DCAP when any one of the following special open enrollment events occur, if the requested change corresponds to and is consistent with the event. The enrollment or new election will be effective the first day of the month following the latter of the event date or the date the required form and evidence of the event that created the special open enrollment is received by the SEBB organization or the HCA. If that day is the first of the month, the enrollment or change in election begins on that day. If the special open enrollment is due to the birth, adoption, or assumption of legal obligation for total or partial support in anticipation of adoption of a child, the enrollment or change in election will begin the first of the month in which the event occurs.
(i) Subscriber acquires a new dependent due to:
• Marriage;
• Registering a domestic partnership if the state registered domestic partner qualifies as a tax dependent of the subscriber;
• Birth, adoption, or when the subscriber has assumed a legal obligation for total or partial support in anticipation of adoption; or
• A child becoming eligible as an extended dependent through legal custody or legal guardianship.
(ii) Subscriber or a subscriber's dependent has a change in employment status that affects the school employee's or a dependent's eligibility for DCAP;
(iii) Subscriber or a subscriber's dependent has a change in enrollment under an employer-based group health plan during its annual open enrollment that does not align with the SEBB annual open enrollment;
(iv) Subscriber changes dependent care provider; the change to the DCAP election amount can reflect the cost of the new provider;
(v) Subscriber or a subscriber's spouse experiences a change in the number of qualifying individuals as defined in IRC 26 U.S.C. Sec. 21 (b)(1);
(vi) Subscriber dependent care provider imposes a change in the cost of dependent care; subscriber may make a change in the DCAP election amount to reflect the new cost if the dependent care provider is not a qualifying relative of the subscriber as defined in IRC 26 U.S.C. Sec. 152.
NEW SECTION
WAC 182-30-110Which school employees benefits board (SEBB) organization is responsible to pay the employer contribution for eligible school employees changing SEBB organizations?
When an eligible school employee's employment relationship terminates with a school employees benefits board (SEBB) organization at any time during the month for which a premium contribution is due and that school employee moves to another SEBB organization, the SEBB organization losing the school employee is responsible for the payment of the employer contribution for the school employee for that month. The SEBB organization the school employee is moving to is responsible for payment of the employer contribution for the school employee beginning the first day of the month following the move if the school employee is eligible.
NEW SECTION
WAC 182-30-120Advertising or promotion of school employees benefits board (SEBB) benefit plans.
(1) In order to assure equal and unbiased representation of school employees benefits board (SEBB) benefits, contracted vendors must comply with all of the following:
(a) All materials describing SEBB benefits must be prepared by or approved by the heath care authority (HCA) before use.
(b) Distribution or mailing of all benefit descriptions must be performed by or under the direction of the HCA.
(c) All media announcements or advertising by a contracted vendor which includes any mention of the "school employees benefits board," "SEBB," "health care authority," "HCA," any reference to benefits for "school employees," or any group of enrollees covered by SEBB benefits, must receive the advance written approval of the HCA.
(2) Failure to comply with any or all of these requirements by a SEBB contracted vendor or subcontractor may result in contract termination by the authority, refusal to continue or renew a contract with the noncomplying party, or both.
Chapter 182-31 WAC
ELIGIBLE SCHOOL EMPLOYEES
NEW SECTION
WAC 182-31-010Purpose.
The purpose of this chapter is to establish school employees benefits board (SEBB) eligibility criteria for and the effective date of enrollment in SEBB approved benefits for school employees eligible for SEBB benefits under RCW 41.05.740 (6)(d)(i). This chapter does not address where a SEBB organization has locally negotiated to offer SEBB benefits to school employees who are anticipated to work less than six hundred thirty hours in a school year as authorized in RCW 41.05.740 (6)(e).
NEW SECTION
WAC 182-31-020Definitions.
The following definitions apply throughout this chapter unless the context clearly indicates another meaning:
"Annual open enrollment" means a once yearly event set aside for a period of time by the HCA when subscribers may make changes to their health plan enrollment and salary reduction elections for the following plan year. During the annual open enrollment, subscribers may transfer from one health plan to another, enroll or remove dependents from coverage, or enroll or waive enrollment in SEBB medical. School employees participating in the salary reduction plan may enroll in or change their election under the dependent care assistance program (DCAP), and medical flexible spending arrangement (FSA). They may also enroll in or opt out of the premium payment plan.
"Authority" or "HCA" means the Washington state health care authority.
"Calendar days" or "days" means all days including Saturdays, Sundays, and holidays.
"Consolidated Omnibus Budget Reconciliation Act" or "COBRA" means continuation coverage as administered under 42 U.S.C. Secs. 300bb-1 through 300bb-8.
"Continuation coverage" means the temporary continuation of health plan coverage available to enrollees under the Consolidated Omnibus Budget Reconciliation Act (COBRA), 42 U.S.C. Secs. 300bb-1 through 300bb-8, the Uniformed Services Employment and Reemployment Rights Act (USERRA), 38 U.S.C. Secs. 4301 through 4335, or SEBB board policies.
"Contracted vendor" means any person, persons, or entity under contract or agreement with the HCA to provide goods or services for the provision or administration of SEBB benefits. The term "contracted vendor" includes subcontractors of the HCA and subcontractors of any person, persons, or entity under contract or agreement with the HCA that provide goods or services for the provision or administration of SEBB benefits.
"Dependent" means a person who meets eligibility requirements in WAC 182-31-140.
"Dependent care assistance program" or "DCAP" means a benefit plan whereby school employees may pay for certain employment related dependent care with pretax dollars as provided in the salary reduction plan pursuant to 26 U.S.C. Sec. 129 or other sections of the Internal Revenue Code.
"Director" means the director of the authority.
"Disability insurance" includes any basic long-term disability insurance paid for by the school employees benefits board (SEBB) organization and any supplemental long-term disability or supplemental short-term disability paid for by the employee.
"Documents" means papers, letters, writings, electronic mail, electronic files, or other printed or written items. Documents include evidence needed to verify eligibility for SEBB benefits and complete the enrollment process.
"Effective date of enrollment" means the first date when an enrollee is entitled to receive covered benefits.
"Employer contribution" means the funding amount paid to the HCA by a school employees benefits board (SEBB) organization for its eligible school employees as described under WAC 182-31-060.
"Enrollee" means a person who meets all eligibility requirements defined in chapter 182-31 WAC, who is enrolled in school employees benefits board (SEBB) benefits, and for whom applicable premium payments have been made.
"Forms" means both paper forms and forms completed electronically.
"Health plan" means a plan offering medical, dental, or any combination of these coverages, developed by the school employees benefits board and provided by a contracted vendor or self-insured plans administered by the HCA.
"Life insurance" for eligible school employees includes any basic life insurance and accidental death and dismemberment (AD&D) insurance paid for by the school employees benefits board (SEBB) organization, as well as supplemental life insurance and supplemental AD&D insurance offered to and paid for by school employees for themselves and their dependents.
"LTD insurance" or "long-term disability insurance" includes any basic long-term disability insurance paid for by the school employees benefits board (SEBB) organization and any supplemental long-term disability insurance offered to and paid for by the school employee.
"Medical flexible spending arrangement" or "medical FSA" means a benefit plan whereby school employees may reduce their salary before taxes to pay for medical expenses not reimbursed by insurance as provided in the salary reduction plan under this chapter pursuant to 26 U.S.C. Sec. 125 or other sections of the Internal Revenue Code.
"Premium payment plan" means a benefit plan whereby school employees may pay their share of group health plan premiums with pretax dollars as provided in the salary reduction plan. (Chapter 41.05 RCW)
"Premium surcharge" means a payment required from a subscriber, in addition to the subscriber's medical premium contribution, due to an enrollee's tobacco use or an enrolled subscriber's spouse or state registered domestic partner choosing not to enroll in their employer-based group medical when:
• The spouse's or state registered domestic partner's share of the medical premium is less than ninety-five percent of the additional cost an employee would be required to pay to enroll a spouse or state registered domestic partner in the public employees benefits board (PEBB) Uniform Medical Plan (UMP) Classic; and
• The benefits have an actuarial value of at least ninety-five percent of the actuarial value of PEBB UMP Classic benefits.
"Salary reduction plan" means a benefit plan whereby school employees may agree to a reduction of salary on a pretax basis to participate in the dependent care assistance program, medical flexible spending arrangement, or premium payment plan offered pursuant to 26 U.S.C. Sec. 125 or other sections of the Internal Revenue Code.
"School employee" means all employees of school districts, educational service districts, and charter schools established under chapter 28A.710 RCW.
"School employees benefits board organization" or "SEBB organization" means a public school district or educational service district or charter school established under chapter 28A.710 RCW that is required to participate in benefit plans provided by the school employees benefits board.
"School year" means school year as defined in RCW 28A.150.203(11).
"SEBB" means the school employees benefits board established in RCW 41.05.740.
"SEBB benefits" means one or more insurance coverages or other school employee benefits administered by the SEBB program within the HCA.
"SEBB insurance coverage" means any health plan, life insurance, or disability insurance administered as a SEBB benefit.
"SEBB program" means the program within the HCA that administers insurance and other benefits for eligible school employees (as described in WAC 182-31-040) and eligible dependents (as described in WAC 182-31-140).
"Special open enrollment" means a period of time when subscribers may make changes to their health plan enrollment and salary reduction elections outside of the annual open enrollment period when specific life events occur. During the special open enrollment subscribers may change health plans and enroll or remove dependents from coverage. Additionally, school employees may enroll in or waive enrollment in SEBB medical. School employees eligible to participate in the salary reductions plan may enroll in or revoke their election under the DCAP, medical FSA, or the premium payment plan and make a new election. For special open enrollment events related to specific SEBB benefits, see WAC 182-30-090, 182-30-100, and 182-31-150.
"State registered domestic partner" has the same meaning as defined in RCW 26.60.020(1) and substantially equivalent legal unions from other jurisdictions as defined in RCW 26.60.090.
"Subscriber" means the school employee or continuation coverage enrollee who has been determined eligible by the SEBB program or SEBB organizations and is the individual to whom the SEBB program and contracted vendors will issue all notices, information, requests, and premium bills on behalf of an enrollee.
"Tobacco products" means any product made with or derived from tobacco that is intended for human consumption, including any component, part, or accessory of a tobacco product. This includes, but is not limited to, cigars, cigarettes, pipe tobacco, chewing tobacco, snuff, and other tobacco products. It does not include e-cigarettes or United States Food and Drug Administration (FDA) approved quit aids.
"Tobacco use" means any use of tobacco products within the past two months. Tobacco use, however, does not include the religious or ceremonial use of tobacco.
NEW SECTION
WAC 182-31-030What are the obligations of a school employees benefits board (SEBB) organization in the application of school employee eligibility?
(1) All school employees benefits board (SEBB) organizations must carry out all actions, policies, and guidance issued by the SEBB program which are necessary for the operation of benefit plans, education about benefits for school employees, claims administration, and appeals processing including those described in chapters 182-30, 182-31, and 182-32 WAC. SEBB organizations must:
(a) Use the methods provided by the SEBB program to determine eligibility and enrollment in benefits;
(b) Provide eligibility determination reports with content and in a format designed and communicated by the SEBB program;
(c) Support SEBB program auditing of eligibility and enrollment decisions as needed; and
(d) Carry out corrective action and pay any penalties imposed by the health care authority (HCA) and established by the SEBB when the SEBB organization's eligibility determinations fail to comply with the criteria under these rules.
(2) SEBB organizations must determine school employee and their dependents eligibility for SEBB benefits and the employer contribution according to the criteria in WAC 182-31-040 and 182-31-050. SEBB organizations must:
(a) Notify newly hired school employees of SEBB program rules and guidance for eligibility and appeal rights;
(b) Inform a school employee in writing whether or not they are eligible for SEBB benefits upon employment. The written communication must include information about the school employee's right to appeal eligibility and enrollment decisions;
(c) Routinely monitor all school employees work hours to establish eligibility and maintain the employer contribution toward SEBB insurance coverage;
(d) Identify when a previously ineligible school employee becomes eligible or a previously eligible school employee loses eligibility; and
(e) Inform a school employee in writing whether or not they are eligible for benefits and the employer contribution whenever there is a change in work patterns such that the school employee's eligibility status changes. At the same time, SEBB organizations must inform school employees of the right to appeal eligibility and enrollment decisions.
(3) SEBB organizations must determine school employee's dependents eligibility for SEBB benefits according to the criteria in WAC 182-31-140.
NEW SECTION
WAC 182-31-040How do school employees establish eligibility for the employer contribution toward school employees benefits board (SEBB) benefits and when does SEBB insurance coverage begin?
(1) Eligibility shall be determined solely by the criteria that most closely describes the school employee's work circumstance.
(2) All hours worked by an employee in their capacity as a school employee must be included in the calculation of hours for determining eligibility.
(3) School employee eligibility criteria:
(a) A school employee is eligible for the employer contribution towards school employees benefits board (SEBB) benefits if they are anticipated to work at least six hundred thirty hours per school year. The eligibility effective date for a school employee eligible under this subsection shall be determined as follows:
(i) If the school employee's first day of work is on or after September 1st but not later than the first day of school for the current school year as established by the SEBB organization, they are eligible for the employer contribution on the first day of work; or
(ii) If the school employee's first day of work is at any other time during the school year, they are eligible for the employer contribution on that day.
(b) A school employee who is not anticipated to work at least six hundred thirty hours per school year becomes eligible for the employer contribution towards SEBB benefits on the date their work pattern is revised in such a way that they are now anticipated to work six hundred thirty hours in the school year.
(c) A school employee who is not anticipated to work at least six hundred thirty hours in the school year becomes eligible for the employer contribution towards SEBB benefits on the date they actually worked six hundred thirty hours in the school year.
(d) A school employee may establish eligibility for the employer contribution toward SEBB benefits by stacking of hours from multiple positions within one SEBB organization.
(4) When SEBB insurance coverage begins:
(a) For a school employee who establishes eligibility under subsection (3)(a)(i) of this section SEBB insurance coverage begins on the first day of work for the new school year.
(b) For a school employee who establishes eligibility under subsection (3)(a)(ii), (b), or (c) of this section SEBB insurance coverage begins on the first day of the month following the date the school employee becomes eligible for the employer contribution towards SEBB benefits.
NEW SECTION
WAC 182-31-050When does eligibility for the employer contribution for school employees benefits board (SEBB) benefits end?
(1) The employer contribution toward school employees benefits board (SEBB) benefits ends the last day of the month in which the school year ends. The employer contribution toward SEBB benefits will end earlier than the end of the school year if one of the following occurs:
(a) The SEBB organization terminates the employment relationship. In this case, eligibility for the employer contribution ends the last day of the month in which the employer-initiated termination notice is effective;
(b) The school employee terminates the employment relationship. In this case, eligibility for the employer contribution ends the last day of the month in which the school employee's resignation is effective; or
(c) The school employee's work pattern is revised such that the school employee is no longer anticipated to work six hundred thirty hours during the school year. In this case, eligibility for the employer contribution ends as of the last day of the month in which the change is effective.
(2) If the SEBB organization deducted the school employee's premium for SEBB insurance coverage after the school employee was no longer eligible for the employer contribution, SEBB insurance coverage ends the last day of the month for which school employee premiums were deducted.
NEW SECTION
WAC 182-31-060Who is eligible to participate in the salary reduction plan?
School employees are eligible to participate in the salary reduction plan provided they are eligible for school employees benefits board (SEBB) benefits as described in WAC 182-31-040 and they elect to participate within the time frames described in WAC 182-30-100.
NEW SECTION
WAC 182-31-090When is an enrollee eligible to continue school employees benefits board (SEBB) health plan coverage under Consolidated Omnibus Budget Reconciliation Act (COBRA) and where may school employee survivors go for additional coverage options?
(1) An enrollee may continue school employees benefits board (SEBB) health plan coverage under the federal Consolidated Omnibus Budget Reconciliation Act (COBRA) by self-paying the premium and applicable premium surcharge set by the health care authority (HCA):
Note:
Based on RCW 26.60.015 SEBB policy resolution SEBB 2018-01 a school employee's state registered domestic partner and the state registered domestic partner's children may continue SEBB insurance coverage on the same terms and conditions as a legal spouse or child under COBRA.
(a) The enrollee's election must be received by the SEBB program no later than sixty days from the date the enrollee's SEBB health plan coverage ended or from the postmark date on the election notice sent by the SEBB program, whichever is later;
(b) The enrollee's first premium payment and applicable premium surcharge are due to the HCA no later than forty-five days after the election period ends as described in (a) of this subsection. Following the enrollee's first premium payment, premiums and applicable premium surcharges must be paid as described in WAC 182-30-040;
(c) Enrollees who request to voluntarily terminate their COBRA coverage must do so in writing. The written termination request must be received by the SEBB program. Enrollees who terminate their COBRA coverage will not be eligible to reenroll in COBRA coverage unless they regain eligibility as described in WAC 182-31-040. COBRA coverage will end on the last day of the month in which the SEBB program receives the termination request. If the termination request is received on the first day of the month, COBRA coverage will end on the last day of the previous month; and
(d) Medical flexible spending arrangement (FSA) enrollees who on the date of the qualifying event, have a greater number of remaining benefits than remaining contribution payments for the current year, will have an opportunity to continue making contributions to their medical FSA by electing COBRA. The enrollee's first premium payment is due to the contracted vendor no later than forty-five days after the election period ends as described below. The enrollee's election must be received by the contracted vendor no later than sixty days from the date the enrollee's SEBB health plan coverage ended or from the postmark date on the election notice sent by the contracted vendor, whichever is later.
(2) A school employee or a school employee's dependent who loses eligibility for the employer contribution toward SEBB insurance coverage and who qualifies for continuation coverage under COBRA may continue medical, dental, or both.
(3) A school employee or a school employee's dependent who loses eligibility for continuation coverage described in WAC 182-31-110 but who has not used the maximum number of months allowed under COBRA may continue medical, dental, or both for the remaining difference in months.
(4) A school employee's spouse, state registered domestic partner, or child who loses eligibility due to the death of an eligible school employee may be eligible to enroll or defer enrollment as a survivor under PEBB retiree insurance coverage as described in WAC 182-12-265.
NEW SECTION
WAC 182-31-110What options are available if a school employee is approved for the federal Family and Medical Leave Act (FMLA)?
(1) A school employee on approved leave under the federal Family and Medical Leave Act (FMLA) may continue to receive the employer contribution toward school employees benefits board (SEBB) insurance coverage in accordance with the federal FMLA. The school employee may also continue current supplemental life and supplemental long-term disability insurance. The school employee's SEBB organization is responsible for determining if the school employee is eligible for leave under FMLA and the duration of such leave.
(2) If a school employee's monthly premium or any applicable premiums surcharge remains unpaid for sixty days from the original due date, the school employee's SEBB insurance coverage will be terminated retroactive to the last day of the month for which the monthly premium and applicable premium surcharge was paid.
(3) If a school employee exhausts the period of leave approved under FMLA, SEBB insurance coverage may be continued by self-paying the premium and applicable premium surcharges set by the health care authority (HCA), with no contribution from the SEBB organization.
NEW SECTION
WAC 182-31-140Who are eligible dependents?
To be enrolled in a health plan, a dependent must be eligible under this section and the subscriber must comply with enrollment procedures outlined in WAC 182-31-150.
The school employees benefits board (SEBB) program will verify the eligibility of all self-pay subscriber dependents and will request documents that provide evidence of a dependent's eligibility. The SEBB program reserves the right to review a dependent's eligibility at any time. All SEBB organizations will verify the eligibility of all school employee dependents and will request documents that provide evidence of a dependent's eligibility. The SEBB program and SEBB organizations will not enroll dependents into a health plan if they are unable to verify a dependent's eligibility within the SEBB program enrollment timelines.
A self-pay subscriber must notify the SEBB program, in writing, when their dependent is not eligible under this section. A school employee must notify their SEBB organization, in writing, when their dependent is not eligible under this section. The notification must be received no later than sixty days after the date their dependent is no longer eligible under this section. See WAC 182-31-150(2) for the consequences of not removing an ineligible dependent from SEBB insurance coverage.
The following are eligible as dependents:
(1) Legal spouse. Former spouses are not eligible dependents upon finalization of a divorce or annulment, even if a court order requires the subscriber to provide health insurance for the former spouse;
(2) State registered domestic partner. State registered domestic partner as defined in RCW 26.60.020(1) and substantially equivalent legal unions from other jurisdictions as defined in RCW 26.60.090. Former state registered domestic partners are not eligible dependents upon dissolution or termination of a partnership, even if a court order requires the subscriber to provide health insurance for the former partner;
(3) Children. Children are eligible through the last day of the month in which their twenty-sixth birthday occurred except as described in (f) of this subsection. Children are defined as the subscriber's:
(a) Children of the school subscriber based on establishment of a parent-child relationship as described in RCW 26.26.101, except when parental rights have been terminated;
(b) Children of the subscriber's spouse, based on the spouse's establishment of a parent-child relationship as described in RCW 26.26.101, except when parental rights have been terminated. The stepchild's relationship to the subscriber (and eligibility as a dependent) ends on the same date the marriage with the spouse ends through divorce, annulment, dissolution, termination, or death;
(c) Children of the subscriber's state registered domestic partner, based on the state registered domestic partner's establishment of a parent-child relationship as described in RCW 26.26.101, except when parental rights have been terminated. The child's relationship to the subscriber (and eligibility as a dependent) ends on the same date the subscriber's legal relationship with the state registered domestic partner ends through divorce, annulment, dissolution, termination, or death;
(d) Children for whom the subscriber has assumed a legal obligation for total or partial support in anticipation of adoption of the child;
(e) Children specified in a court order or divorce decree for whom the subscriber has a legal obligation to provide support or health care coverage;
(f) Children of any age with a developmental or physical disability that renders the child incapable of self-sustaining employment and chiefly dependent upon the subscriber for support and maintenance provided such conditions occurs before the age of twenty-six:
(i) The subscriber must provide proof of the disability and dependency within sixty days of the child's attainment of age twenty-six;
(ii) The subscriber must agree to notify the SEBB program, in writing, no later than sixty days after the date that the child is no longer eligible under this subsection;
(iii) A child with a developmental or physical disability who becomes self-supporting is not eligible under this subsection as of the last day of the month in which they become capable of self-support;
(iv) A child with a developmental or physical disability age twenty-six and older who becomes capable of self-support does not regain eligibility if they later become incapable of self-support; and
(v) The SEBB program with input from the applicable contracted vendor will periodically verify the eligibility of a dependent child with a disability beginning at age twenty-six, but no more frequently than annually after the two-year period following the child's twenty-sixth birthday, which may require renewed proof from the subscriber.
(g) Extended dependent in the legal custody or legal guardianship of the subscriber, the subscriber's spouse, or the subscriber's state registered domestic partner. The legal responsibility is demonstrated by a valid court order and the child's official residence with the custodian or guardian. Extended dependent child does not include a foster child unless the subscriber, the subscriber's spouse, or the subscriber's state registered domestic partner has assumed a legal obligation for total or partial support in anticipation of adoption.
NEW SECTION
WAC 182-31-150When may subscribers enroll or remove eligible dependents?
(1) Enrolling dependents in school employees benefits board (SEBB) benefits. A dependent must be enrolled in the same health plan coverage as the subscriber, and the subscriber must be enrolled in a medical plan to enroll their dependent. Subscribers must satisfy the enrollment requirements as described in subsection (5) of this section and may enroll eligible dependents at the following times:
(a) When the subscriber becomes eligible and enrolls in SEBB benefits. If eligibility is verified and the dependent is enrolled, the dependent's effective date will be the same as the subscriber's effective date, except if the subscriber enrolls a newborn child in supplemental dependent life insurance. The newborn child's dependent life insurance coverage will be effective on the date the child becomes fourteen days old;
(b) During the annual open enrollment. SEBB health plan coverage begins January 1st of the following year; or
(c) During special open enrollment. Subscribers may enroll dependents during a special open enrollment as described in subsections (3) and (5)(f) of this section.
(2) Removing dependents from a subscriber's health plan coverage.
(a) A dependent's eligibility for enrollment in health plan coverage ends the last day of the month the dependent fails to meet the eligibility criteria as described in WAC 182-31-140. Subscribers must notify their SEBB organization when a dependent is no longer eligible. Consequences for not submitting notice within sixty days of the last day of the month the dependent loses eligibility for health plan coverage may include, but are not limited to:
(i) The dependent may lose eligibility to continue health plan coverage under one of the continuation coverage options;
(ii) The subscriber may be billed for claims paid by the health plan for services that were rendered after the dependent lost eligibility;
(iii) The subscriber may not be able to recover subscriber-paid insurance premiums for dependents that lost their eligibility; and
(iv) The subscriber may be responsible for premiums paid by the SEBB organization for the dependent's health plan coverage after the dependent lost eligibility.
(b) School employees have the opportunity to remove eligible dependents:
(i) During the annual open enrollment. The dependent will be removed the last day of December; or
(ii) During a special open enrollment as described in subsections (3) and (5)(f) of this section.
(c) Enrollees with SEBB continuation coverage as described in WAC 182-31-090 may remove dependents from their SEBB insurance coverage outside of the annual open enrollment or a special open enrollment by providing written notice to the SEBB program. The dependent will be removed from the subscriber's SEBB insurance coverage prospectively. SEBB insurance coverage will end on the last day of the month in which the written notice is received by the SEBB program. If the written notice is received on the first day of the month, coverage will end on the last day of the previous month.
(3) Special open enrollment.
(a) Subscribers may enroll their eligible dependents or remove them outside of the annual open enrollment if a special open enrollment event occurs. The change in enrollment must be allowable under the Internal Revenue Code and Treasury Regulations, and correspond to and be consistent with the event that creates the special open enrollment for the subscriber, the subscriber's dependents, or both.
(i) Health plan coverage will begin the first of the month following the later of the event date or the date the required form is received. If that day is the first of the month, the change in enrollment begins on that day.
(ii) Enrollment of an extended dependent or a dependent with a disability will be the first day of the month following eligibility certification.
(iii) The dependent will be removed from the subscriber's health plan coverage the last day of the month following the later of the event date or the date the required form and proof of the event is received. If that day is the first of the month, the change in enrollment will be made the last day of the previous month.
(iv) If the special open enrollment is due to the birth or adoption of a child, or when the subscriber has assumed a legal obligation for total or partial support in anticipation of adoption of a child, health plan coverage will begin or end as follows:
• For the newly born child, health plan coverage will begin the date of birth;
• For a newly adopted child health plan coverage will begin on the date of placement or the date a legal obligation is assumed in anticipation of adoption, whichever is earlier;
• For a spouse or state registered domestic partner of a subscriber, health plan coverage will begin the first day of the month in which the event occurs. The spouse or state registered domestic partner will be removed from health plan coverage the last day of the month in which the event occurred;
A newly born child must be at least fourteen days old before supplemental dependent life insurance coverage purchased by the employee becomes effective.
Any one of the following events may create a special open enrollment:
(b) Subscriber acquires a new dependent due to:
(i) Marriage or registering a domestic partnership on a state registry when the dependent is a tax dependent of the subscriber;
(ii) Birth, adoption, or when a subscriber has assumed a legal obligation for total or partial support in anticipation of adoption; or
(iii) A child becoming eligible as an extended dependent through legal custody or legal guardianship.
(c) Subscriber or a subscriber's dependent loses other coverage under a group health plan or through health insurance coverage, as defined by the Health Insurance Portability and Accountability Act (HIPAA);
(d) Subscriber has a change in employment status that affects the subscriber's eligibility for their employer contribution toward their employer-based group health plan;
(e) The subscriber's dependent has a change in their own employment status that affects their eligibility for the employer contribution under their employer-based group health plan;
(f) Subscriber or a subscriber's dependent has a change in enrollment under an employer-based group health plan during its annual open enrollment that does not align with the SEBB program's annual open enrollment;
(g) Subscriber's dependent has a change in residence from outside of the United States to within the United States, or from within the United States to outside of the United States;
(h) A court order requires the subscriber or any other individual to provide insurance coverage for an eligible dependent of the subscriber (a former spouse or former state registered domestic partner is not an eligible dependent);
(i) Subscriber or a subscriber's dependent becomes entitled to coverage under medicaid or a state children's health insurance program (CHIP), or the subscriber or a subscriber's dependent loses eligibility for coverage under medicaid or CHIP;
(j) Subscriber or a subscriber's dependent becomes eligible for state premium assistance subsidy for SEBB health plan coverage from medicaid or a state CHIP.
(4) For the purposes of special open enrollment "employer contribution" means contributions made by the dependent's current or former employer toward health coverage as described in Treasury Regulation 54.9801-6.
(5) Enrollment requirements. A subscriber must submit the required forms within the time frames described in this subsection. A school employee must submit the required forms to their SEBB organization, all other subscribers must submit the required forms to the SEBB program. In addition to the required forms indicating dependent enrollment, the subscriber must provide the required documents as evidence of the dependent's eligibility; or as evidence of the event that created the special open enrollment. All required forms and documents must be received within the relevant time frames.
(a) If a subscriber wants to enroll their eligible dependents when the subscriber becomes eligible to enroll in SEBB benefits, the subscriber must include the dependent's enrollment information on the required forms and submit them within the relevant time frame.
(b) If a subscriber wants to enroll eligible dependents during the SEBB annual open enrollment period, the required forms must be received no later than the last day of the annual open enrollment.
(c) If a subscriber wants to enroll newly eligible dependents, the required forms must be received no later than sixty days after the dependent becomes eligible except as provided in (d) of this subsection.
(d) If a subscriber wants to enroll a newborn or child whom the subscriber has adopted or has assumed a legal obligation for total or partial support in anticipation of adoption, the subscriber should notify the SEBB program by submitting the required form as soon as possible to ensure timely payment of claims. If adding the child increases the premium, the required form must be received no later than sixty days after the date of the birth, adoption, or the date the legal obligation is assumed for total or partial support in anticipation of adoption.
(e) If the subscriber wants to enroll a child age twenty-six or older as a child with a disability, the required forms must be received no later than sixty days after the last day of the month in which the child reaches age twenty-six or within the relevant time frame described in WAC 182-31-140 (3)(f). To recertify an enrolled child with a disability, the required forms must be received by the SEBB program or the contracted vendor by the child's scheduled SEBB coverage termination date.
(f) If the subscriber wants to change a dependent's enrollment status during a special open enrollment, required forms must be received no later than sixty days after the event that creates the special open enrollment.
NEW SECTION
WAC 182-31-160National Medical Support Notice (NMSN).
When a National Medical Support Notice (NMSN) requires a subscriber to provide health plan coverage for a dependent child the following provisions apply:
(1) The subscriber may enroll their dependent child and request changes to their health plan coverage as described under subsection (3) of this section. School employees submit the required forms to their school employees benefits board (SEBB) organization. All other subscribers submit the required forms to the SEBB program;
(2) If the subscriber fails to request enrollment or health plan coverage changes as directed by the NMSN, the SEBB organization or the SEBB program may make enrollment or health plan coverage changes according to subsection (3) of this section upon request of:
(a) The child's other parent; or
(b) Child support enforcement program.
(3) Changes to health plan coverage or enrollment are allowed as directed by the NMSN:
(a) The dependent will be enrolled under the subscriber's health plan coverage as directed by the NMSN;
(b) A school employee who has waived SEBB medical as approved by the SEBB will be enrolled in medical as directed by the NMSN, in order to enroll the dependent;
(c) The subscriber's selected health plan will be changed if directed by the NMSN;
(d) If the dependent is already enrolled under another SEBB subscriber, the dependent will be removed from the other health plan coverage and enrolled as directed by the NMSN; or
(e) If the subscriber is eligible for and elects Consolidated Omnibus Budget Reconciliation Act (COBRA) or other continuation coverage, the NMSN will be enforced and the dependent must be covered in accordance with the NMSN.
(4) Changes to health plan coverage or enrollment as described in subsection (3)(a) through (c) of this section will begin the first day of the month following receipt of the NMSN. If the NMSN is received on the first day of the month, the change to health plan coverage or enrollment begins on that day. A dependent will be removed from the subscriber's health plan coverage as described in subsection (3)(d) of this section the last day of the month the NMSN is received. If that day is the first of the month, the change in enrollment will be made the last day of the previous month.
(5) The subscriber may be eligible to make changes to their health plan enrollment and salary reduction elections related to the NMSN as described in WAC 182-30-090 (1) and (2) or 182-31-150(3).
Chapter 182-32 WAC
APPEALS PRACTICES AND PROCEDURES
PART I
GENERAL PROVISIONS
NEW SECTION
WAC 182-32-010Purpose.
This chapter describes the general rules and procedures that apply to the health care authority's brief adjudicative proceedings and formal administrative hearings for the school employees benefits board (SEBB) program.
NEW SECTION
WAC 182-32-020Definitions.
The following definitions apply throughout this chapter unless the context clearly indicates another meaning:
"Appellant" means a person who requests a review by the SEBB appeals unit or a formal administrative hearing about the action of the SEBB organization, the HCA, or its contracted vendor.
"Authority" or "HCA" means the Washington state health care authority.
"Brief adjudicative proceeding" means the process described in RCW 34.05.482 through 34.05.494.
"Business days" means all days except Saturdays, Sundays, and all legal holidays as set forth in RCW 1.16.050.
"Calendar days" or "days" means all days including Saturdays, Sundays, and holidays.
"Continuance" means a change in the date or time of when a brief adjudicative proceeding or formal administrative hearing will occur.
"Contracted vendor" means any person, persons, or entity under contract or agreement with the HCA to provide goods or services for the provision or administration of SEBB benefits. The term contracted vendor includes subcontractors of the HCA and subcontractors of any person, persons, or entity under contract or agreement with the HCA that provide goods or services for the provision or administration of SEBB benefits.
"Denial" or "denial notice" means an action by, or communication from, either a school employees benefits board (SEBB) organization, contracted vendor, or the SEBB program that aggrieves a subscriber, a dependent, or an applicant, with regard to SEBB benefits including, but not limited to, actions or communications expressly designated as a "denial," "denial notice," or "cancellation notice."
"Dependent" means a person who meets eligibility requirements in WAC 182-31-140.
"Dependent care assistance program" or "DCAP" means a benefit plan whereby school employees may pay for certain employment related dependent care with pretax dollars as provided in the salary reduction plan pursuant to 26 U.S.C. Sec. 129 or other sections of the Internal Revenue Code.
"Director" means the director of the authority.
"Disability insurance" includes any basic long-term disability insurance paid for by the school employees benefits board (SEBB) organization and any supplemental long-term disability or supplemental short-term disability paid for by the employee.
"Documents" means papers, letters, writings, electronic mail, electronic files, or other printed or written items. Documents include evidence needed to verify eligibility for SEBB benefits and complete the enrollment process.
"Employer contribution" means the funding amount paid to the HCA by a school employees benefits board (SEBB) organization for its eligible school employees as described under WAC 182-31-060.
"Employer-paid coverage" means SEBB insurance coverage for which an employer contribution is made by a SEBB organization for school employees eligible in WAC 182-31-060.
"Enrollee" means a person who meets all eligibility requirements defined in chapter 182-31 WAC, who is enrolled in SEBB benefits, and for whom applicable premium payments have been made.
"File" or "filing" means the act of delivering documents to the office of the presiding officer, review officer, or hearing officer. A document is considered filed when it is received by the health care authority or its designee.
"Final order" means an order that is the final health care authority decision.
"Formal administrative hearing" means a proceeding before a hearing officer that gives an appellant an opportunity for an evidentiary hearing as described in RCW 34.05.413 through 34.05.479.
"HCA hearing representative" means a person who is authorized to represent the SEBB program in a formal administrative hearing. The person may be an assistant attorney general or authorized HCA employee.
"Health plan" means a plan offering medical, dental, or any combination of these coverages, developed by the school employees benefits board and provided by a contracted vendor or self-insured plans administered by the HCA.
"Hearing officer" means an impartial decision maker who presides at a formal administrative hearing, and is:
• A director-designated HCA employee; or
• When the director has designated the office of administrative hearings (OAH) as a hearing body, an administrative law judge employed by the OAH.
"Life insurance" for eligible school employees includes any basic life insurance and accidental death and dismemberment (AD&D) insurance paid for by the school employees benefits board (SEBB) organization, as well as supplemental life insurance and supplemental AD&D insurance offered to and paid for by school employees for themselves and their dependents.
"LTD insurance" or "long-term disability insurance" includes any basic long-term disability insurance paid for by the school employees benefits board (SEBB) organization and any supplemental long-term disability insurance offered to and paid for by the school employee.
"Medical flexible spending arrangement" or "medical FSA" means a benefit plan whereby school employees may reduce their salary before taxes to pay for medical expenses not reimbursed by insurance as provided in the salary reduction plan under this chapter pursuant to 26 U.S.C. Sec. 125 or other sections of the Internal Revenue Code.
"Prehearing conference" means a proceeding scheduled and conducted by a hearing officer to address issues in preparation for a formal administrative hearing.
"Premium payment plan" means a benefit plan whereby school employees may pay their share of group health plan premiums with pretax dollars as provided in the salary reduction plan.
"Premium surcharge" means a payment required from a subscriber, in addition to the subscriber's medical premium contribution, due to an enrollee's tobacco use or an enrolled subscriber's spouse or state registered domestic partner choosing not to enroll in their employer-based group medical when:
• The spouse's or state registered domestic partner's share of the medical premiums is less than ninety-five percent of the additional cost an employee would be required to pay to enroll a spouse or state registered domestic partner in the public employees benefits board (PEBB) Uniform Medical Plan (UMP) Classic; and
• The benefits have an actuarial value of at least ninety-five percent of the actuarial value of PEBB UMP Classic benefits.
"Presiding officer" means an impartial decision maker who conducts a brief adjudicative proceeding and is a director-designated HCA employee.
"Review officer or officers" means one or more delegates from the director that consider appeals relating to the administration of SEBB benefits by the SEBB program.
"Salary reduction plan" means a benefit plan whereby school employees may agree to a reduction of salary on a pretax basis to participate in the dependent care assistance program (DCAP), medical flexible spending arrangement (FSA), or premium payment plan offered pursuant to 26 U.S.C. Sec. 125 or other sections of the Internal Revenue Code.
"School employee" means all employees of school districts, educational service districts, and charter schools established under chapter 28A.710 RCW.
"School employees benefits board organization" or "SEBB organization" means a public school district or educational service district or charter school established under chapter 28A.710 RCW that is required to participate in benefit plans provided by the school employees benefit board.
"SEBB" means the school employees benefits board established in RCW 41.05.740.
"SEBB benefits" means one or more insurance coverages or other employee benefits administered by the SEBB program within the HCA.
"SEBB insurance coverage" means any health plan, life insurance, disability insurance administered as a SEBB benefit.
"SEBB program" means the program within the HCA that administers insurance and other benefits for eligible school employees (as described in WAC 182-31-040), and eligible dependents (as described in WAC 182-31-140).
"State registered domestic partner," has the same meaning as defined in RCW 26.60.020(1) and substantially equivalent legal unions from other jurisdictions as defined in RCW 26.60.090.
"Subscriber" means the school employee or continuation coverage enrollee who has been determined eligible by the SEBB program or SEBB organizations and is the individual to whom the SEBB program and contracted vendors will issue all notices, information, requests, and premium bills on behalf of an enrollee.
"Tobacco products" means any product made with or derived from tobacco that is intended for human consumption, including any component, part, or accessory of a tobacco product. This includes, but is not limited to, cigars, cigarettes, pipe tobacco, chewing tobacco, snuff, and other tobacco products. It does not include e-cigarettes or United States Food and Drug Administration (FDA) approved quit aids.
"Tobacco use" means any use of tobacco products within the past two months. Tobacco use, however, does not include the religious or ceremonial use of tobacco.
NEW SECTION
WAC 182-32-055Mailing address changes.
(1) During the appeal process, if the appellant's mailing address changes, the appellant must notify the school employees benefits board (SEBB) appeals unit as soon as possible.
(2) If the appellant does not notify the SEBB appeals unit of a change in the appellant's mailing address and the SEBB appeals unit continues to serve notices and other important documents to the appellant's last known mailing address, the documents will be deemed served on the appellant.
(3) This requirement to provide notice of an address change is in addition to WAC 182-30-075 that require a subscriber to update their address with the SEBB appeals unit.
NEW SECTION
WAC 182-32-058Service or serve.
(1) When the rules in this chapter or in other school employees benefits board (SEBB) program rules or statutes require a party to serve copies of documents on other parties, a party must send copies of the documents to all other parties or their representatives as described in this chapter. In this section, requirements for service or delivery by a party apply also when service is required by the presiding officer or review officer or officers, or hearing officer.
(2) Unless otherwise stated in applicable law, documents may be sent only as identified in this chapter to accomplish service. A party may serve someone by:
(a) Personal service (hand delivery);
(b) First class, registered, or certified mail sent via the United States Postal Service or Washington state consolidated mail services;
(c) Fax;
(d) Commercial delivery service; or
(e) Legal messenger service.
(3) A party must serve all other parties or their representatives whenever the party files a motion, pleading, brief, or other document with the presiding officer, review officer or officers, or hearing officer's office, or when required by law.
(4) Service is complete when:
(a) Personal service is made;
(b) Mail is properly stamped, addressed, and deposited in the United States Postal Service;
(c) Mail is properly addressed, and deposited in the Washington state consolidated mail services;
(d) Fax produces proof of transmission;
(e) A parcel is delivered to a commercial delivery service with charges prepaid; or
(f) A parcel is delivered to a legal messenger service with charges prepaid.
(5) A party may prove service by providing any of the following:
(a) A signed affidavit or certificate of mailing;
(b) The certified mail receipt signed by the person who received the parcel;
(c) A signed receipt from the person who accepted the commercial delivery service or legal messenger service parcel;
(d) Proof of fax transmission.
(6) Service cannot be made by electronic mail unless mutually agreed to in advance and in writing by the parties.
(7) If the document is a subpoena, follow the compliance procedure as described in WAC 182-32-3130.
NEW SECTION
WAC 182-32-064Applicable rules and laws.
A presiding officer, review officer or officers, or hearing officer must first apply the applicable school employees benefits board (SEBB) program rules adopted in the Washington Administrative Code (WAC). If no SEBB program rule applies, the presiding officer, review officer or officers, or hearing officer must decide the issue according to the best legal authority and reasoning available, including federal and Washington state constitutions, statutes, regulations, significant decisions indexed as described in WAC 182-32-130, and court decisions.
NEW SECTION
WAC 182-32-066Burden of proof, standard of proof, and presumptions.
(1) The burden of proof is a party's responsibility to provide evidence regarding disputed facts and persuade the presiding officer, review officer or officers, or hearing officer that a position is correct based on the standard of proof.
(2) Standard of proof refers to the amount of evidence needed to prove a party's position. Unless stated otherwise in rules or law, the standard of proof in a brief adjudicative proceeding or formal administrative hearing is a preponderance of the evidence, meaning that something is more likely to be true than not.
(3) Public officers and school employees benefits board (SEBB) organizations are presumed to have properly performed their duties and acted as described in the law, unless substantial evidence to the contrary is presented. A party challenging this presumption bears the burden of proof.
NEW SECTION
WAC 182-32-120Computation of time.
(1) In computing any period of time prescribed by this chapter, the day of the event from which the time begins to run is not included. (For example, if an initial order is served on Friday and the party has twenty-one days to request a review, start counting the days with Saturday.)
(2) Except as provided in subsection (3) of this section, the last day of the period so computed is included unless it is a Saturday, Sunday, or legal holiday as defined in RCW 1.16.050, in which case the period extends to the end of the next business day.
(3) When the period of time prescribed or allowed is less than ten days, intermediate Saturdays, Sundays and legal holidays shall be excluded in the computation.
(4) The deadline is 5:00 p.m. on the last day of the computed period.
NEW SECTION
WAC 182-32-130Index of significant decisions.
(1) A final decision may be relied upon, used, or cited as precedent by a party if the final order has been indexed in the authority's index of significant decisions in accordance with RCW 34.05.473 (1)(b).
(2) An index of significant decisions is available to the public on the health care authority's (HCA) web site. As decisions are indexed they will be available on the web site.
(3) A final decision published in the index of significant decisions may be removed from the index when:
(a) A published decision entered by the court of appeals or the supreme court reverses an indexed final decision; or
(b) HCA determines that the indexed final decision is no longer precedential due to changes in statute, rule, or policy.
PART II
BRIEF ADJUDICATIVE PROCEEDINGS
NEW SECTION
WAC 182-32-2000Brief adjudicative proceedings.
Pursuant to RCW 34.05.482, the authority will use brief adjudicative proceedings for issues identified in this chapter when doing so would not violate law, or when protection of the public interest does not require the authority to give notice and an opportunity to participate to persons other than the parties, or the issue and interests involved in the controversy do not warrant use of the procedures of RCW 34.05.413 through 34.05.479 which govern formal administrative hearings.
NEW SECTION
WAC 182-32-2005RecordBrief adjudicative proceeding.
The record in a brief adjudicative proceeding consists of any documents regarding the matter, considered or prepared by the presiding officer for the brief adjudicative proceeding or by the review officer or officers for any review. The authority's record does not have to constitute the exclusive basis for agency action, unless otherwise required by law.
NEW SECTION
WAC 182-32-2010Appealing a decision regarding eligibility, enrollment, premium payments, premium surcharges, or the administration of school employees benefits board (SEBB) benefits.
(1) Any current or former school employee of a school employees benefits board (SEBB) organization or their dependent aggrieved by a decision made by the SEBB organization with regard to SEBB eligibility, enrollment, or premium surcharges may appeal that decision to the SEBB organization by the process outlined in WAC 182-32-2020.
Note:
Eligibility decisions address whether a subscriber or a subscriber's dependent is entitled to SEBB insurance coverage, as described in SEBB rules and policies. Enrollment decisions address the application for SEBB benefits as described in SEBB rules and policies including, but not limited to, the submission of proper documentation and meeting enrollment deadlines.
(2) Any subscriber or dependent aggrieved by a decision made by the SEBB program with regard to SEBB eligibility, enrollment, premium payments, or premium surcharges may appeal that decision to the SEBB appeals unit by the process described in WAC 182-32-2030.
(3) Any enrollee aggrieved by a decision regarding the administration of a health plan, life insurance, disability insurance, or property and casualty insurance may appeal that decision by following the appeal provisions of those plans, with the exception of:
(a) Enrollment decisions;
(b) Premium payment decisions other than life insurance premium payment decisions; and
(c) Eligibility decisions.
(4) Any school employee aggrieved by a decision regarding the administration of a benefit offered under the salary reduction plan may appeal that decision by the process described in WAC 182-32-2050.
NEW SECTION
WAC 182-32-2020Appealing a decision made by a school employees benefits board (SEBB) organization about eligibility, premium surcharge, or enrollment in benefits.
(1) An eligibility, premium surcharge, or enrollment decision made by a school employees benefits board (SEBB) organization may be appealed by submitting a written request for administrative review to the SEBB organization. The SEBB organization must receive the request for administrative review no later than thirty days after the date of the denial notice. The contents of the request for administrative review are to be provided as described in WAC 182-32-2070.
(a) Upon receiving the request for administrative review, the SEBB organization shall perform a complete review of the denial by one or more staff who did not take part in the decision resulting in the denial.
(b) The SEBB organization shall render a written decision within thirty days of receiving the written request for administrative review. The written decision shall be sent to the school employee or school employee's dependent who submitted the request for administrative review and must include description of the appeal rights. The SEBB organization shall also send a copy of the SEBB organization's written decision to the SEBB organization's administrator (or designee) and to the SEBB appeals unit. If the SEBB organization fails to render a written decision within thirty days of receiving the written request for administrative review, the request for administrative review may be considered denied and the original underlying SEBB organization decision may be appealed to the SEBB appeals unit by following the process in this section.
(c) The SEBB organization may reverse eligibility, premium surcharge, or enrollment decisions based only on circumstances that arose due to delays caused by the SEBB organization or errors made by the SEBB organization.
(2) Any current or former school employee or school employee's dependent who disagrees with the SEBB organization's decision in response to a request for administrative review, as described in subsection (1) of this section, may request a brief adjudicative proceeding to be conducted by the authority by submitting a request to the SEBB appeals unit.
(a) The SEBB appeals unit must receive the request for a brief adjudicative proceeding no later than thirty days after the date of the SEBB organization's written decision on the request for administrative review. The contents of the request for a brief adjudicative proceeding are to be provided as described in WAC 182-32-2070.
(i) The SEBB appeals unit shall notify the appellant in writing when the request for a brief adjudicative proceeding has been received.
(ii) Once the SEBB appeals unit receives a request for a brief adjudicative proceeding, the SEBB appeals unit will send a request for documentation and information to the applicable SEBB organization. The SEBB organization will then have two business days to respond to the request and provide the requested documentation and information. The SEBB organization will also send a copy of the documentation and information to the employee, former employee, or the employee's dependent.
(iii) The brief adjudicative proceeding will be conducted by a presiding officer designated by the director.
(b) If a school employee fails to timely request a brief adjudicative proceeding to appeal the SEBB organization's written decision within thirty days by following the process in subsection (2) of this section, the SEBB organization's prior decision becomes the health care authority's final decision.
NEW SECTION
WAC 182-32-2030Appealing a school employees benefits board (SEBB) program decision regarding eligibility, enrollment, premium payments, and premium surcharges.
(1) A decision made by the school employees benefits board (SEBB) program regarding eligibility, enrollment, premium payments, or premium surcharges may be appealed by submitting a request to the SEBB appeals unit for a brief adjudicative proceeding to be conducted by the authority.
(2) The contents of the request for a brief adjudicative proceeding are to be provided as described in WAC 182-32-2070.
(3) The request for a brief adjudicative proceeding from a current or former school employee or school employee's dependent must be received by the SEBB appeals unit no later than thirty days after the date of the denial notice.
(4) The request for a brief adjudicative proceeding from a self-pay enrollee or dependent of self-pay enrollee must be received by the SEBB appeals unit no later than sixty days after the date of the denial notice.
(5) The SEBB appeals unit shall notify the appellant in writing when the request for a brief adjudicative proceeding has been received.
(6) The brief adjudicative proceeding will be conducted by a presiding officer designated by the director.
(7) Failing to timely request a brief adjudicative proceeding to appeal a decision made under this section within applicable time frames described in subsections (3) and (4) of this section, will result in the prior decision becoming the authority's final decision without further action.
NEW SECTION
WAC 182-32-2050How can a school employee appeal a decision regarding the administration of benefits offered under the salary reduction plan?
(1) Any school employee who disagrees with a decision that denies eligibility for, or enrollment in, a benefit offered under the salary reduction plan may appeal that decision by submitting a written request for administrative review to their school employees benefits board (SEBB) organization. The SEBB organization must receive the written request for administrative review no later than thirty days after the date of the decision resulting in denial. The contents of the written request for administrative review are to be provided as described in WAC 182-32-2070.
(a) Upon receiving the written request for administrative review, the SEBB organization shall perform a complete review of the denial by one or more staff who did not take part in the decision resulting in the denial.
(b) The SEBB organization shall render a written decision within thirty days of receiving the written request for administrative review. The written decision shall be sent to the school employee who submitted the written request for review and must include a description of appeal rights. The SEBB organization shall also send a copy of the SEBB organization's written decision to the SEBB organization's administrator (or designee) and to the SEBB appeals unit. If the SEBB organization fails to render a written decision within thirty days of receiving the written request for administrative review, the request for administrative review may be considered denied and the original underlying SEBB organization decision may be appealed to the SEBB appeals unit by following the process in this section.
(2) Any school employee who disagrees with the SEBB organization's decision in response to a written request for administrative review, as described in this section, may request a brief adjudicative proceeding to be conducted by the authority by submitting a written request to the SEBB appeals unit.
(a) The SEBB appeals unit must receive the request for a brief adjudicative proceeding no later than thirty days after the date of the SEBB organization's written decision on the request for administrative review. The contents of the request for a brief adjudicative proceeding are to be provided as described in WAC 182-32-2070.
(i) The SEBB appeals unit shall notify the appellant in writing when the request for a brief adjudicative proceeding has been received.
(ii) Once the SEBB appeals unit receives a request for a brief adjudicative proceeding, the SEBB appeals unit will send a request for documentation and information to the applicable SEBB organization. The SEBB organization will then have two business days to respond to the request. The SEBB organization will also send a copy of the documentation and information to the school employee.
(iii) The brief adjudicative proceeding will be conducted by a presiding officer designated by the director.
(b) If a school employee fails to timely request a brief adjudicative proceeding to appeal a decision made under this section within thirty days by following the process described in this subsection, the SEBB organization's prior written decision becomes the authority's final decision without further action by the authority.
(3) Any school employee aggrieved by a decision regarding a claim for benefits under the medical flexible spending arrangement (FSA) or dependent care assistance program (DCAP) offered under the salary reduction plan may appeal that decision to the HCA contracted vendor by following the appeal process of that contracted vendor.
(a) Any school employee who disagrees with a decision in response to an appeal filed with the contracted vendor that administers the medical FSA and DCAP under the salary reduction plan may request a brief adjudicative proceeding by submitting a written request to the SEBB appeals unit. The SEBB appeals unit must receive the request for a brief adjudicative proceeding no later than thirty days after the date of the contracted vendor's appeal decision. The contents of the request for a brief adjudicative proceeding are to be provided as described in WAC 182-32-2070.
(i) The SEBB appeals unit shall notify the appellant in writing when the request for a brief adjudicative proceeding has been received.
(ii) The brief adjudicative proceeding will be conducted by a presiding officer designated by the director.
(b) If a school employee fails to timely request a brief adjudicative proceeding to appeal a decision made under this section within thirty days by following the process described in this subsection, the contracted vendor's prior written decision becomes the health care authority (HCA) final decision.
(4) Any school employee aggrieved by a decision regarding the administration of the premium payment plan offered under the salary reduction plan may request a brief adjudicative proceeding to be conducted by the HCA by submitting a written request to the SEBB appeals unit for a brief adjudicative proceeding.
(a) The SEBB appeals unit must receive the request for a brief adjudicative proceeding no later than thirty days after the date of the denial notice by the SEBB program. The contents of the request for a brief adjudicative proceeding are to be provided as described in WAC 182-16-2070.
(i) The SEBB appeals unit shall notify the appellant in writing when the notice of appeal has been received.
(ii) The brief adjudicative proceeding will be conducted by a presiding officer designated by the director.
(b) If a school employee fails to timely request a brief adjudicative proceeding to appeal a decision made under this section within thirty days by following the process described in this subsection, the SEBB program's written decision becomes the authority's final decision.
NEW SECTION
WAC 182-32-2070What should a written request for administrative review and a request for brief adjudicative proceeding contain?
A written request for administrative review of the school employees benefits board (SEBB) organization's decision and a request for brief adjudicative proceeding should contain:
(1) The name and mailing address of the party requesting an administrative review or the brief adjudicative proceeding;
(2) The name and mailing address of the appealing party's representative, if any;
(3) Documentation, or reference to documentation, of decisions previously rendered through the appeal process, if any;
(4) A statement identifying the specific portion of the decision being appealed and clarifying what is believed to be unlawful or in error;
(5) A statement of facts in support of the appealing party's position;
(6) Any information or documentation that the appealing party would like considered;
(7) The type of relief sought; and
(8) The signature of the appealing party or the appealing party's representative.
NEW SECTION
WAC 182-32-2080Who can appeal or represent a party in a brief adjudicative proceeding?
(1) The appellant may act as their own representative or may choose to be represented by another person, except employees of the health care authority (HCA) or HCA's authorized agents.
(2) If the appellant is represented by a person who is not an attorney admitted to practice in Washington state, the representative must provide the presiding officer and other parties with the representative's name, address, and telephone number. In cases involving confidential information, the nonattorney representative must provide the school employees benefits board (SEBB) appeals unit and other parties with a signed, written consent permitting release to the nonattorney representative of the appellant's personal health information protected by state or federal law.
(3) An attorney admitted to practice law in Washington state representing the appellant must file a written notice of appearance containing the attorney's name, address, and telephone number with the presiding officer's office and serve all parties with the notice. In cases involving confidential information, the attorney must provide the SEBB appeals unit and other parties with a signed, written consent permitting release to the attorney of the appellant's personal health information protected by state or federal law. If the appellant's attorney representative no longer represents the appellant, then the attorney must file a written notice of withdrawal of representation with the presiding officer or review officer or officer's office and serve all parties with the notice.
NEW SECTION
WAC 182-32-2085Continuances.
The presiding officer, review officer or officers may grant in their sole discretion, a request for a continuance on motion of the appellant, the authority, or on its own motion. The continuance may be up to thirty calendar days.
NEW SECTION
WAC 182-32-2090Initial order.
Unless a continuance has been granted, within ten days after the school employees benefits board (SEBB) appeals unit receives a request for a brief adjudicative proceeding, the presiding officer shall render a written initial order that addresses the issue or issues raised by the appellant in their appeal. The presiding officer shall serve a copy of the initial order on all parties and the initial order shall contain information on how the appellant may request review of the initial order.
NEW SECTION
WAC 182-32-2100How to request a review of an initial order resulting from a brief adjudicative proceeding.
(1) An appellant who has received an initial order upholding a school employees benefits board (SEBB) organization decision, SEBB program decision, or a decision made by SEBB program contracted vendor, may request review of the initial order by the authority. The appellant must file a written request for review of the initial order or make an oral request for review of the initial order with the SEBB appeals unit within twenty-one days after service of the initial order. The written request for review of the initial order must be provided using the contact information included in the initial order. If the appellant fails to request review of the initial order within twenty-one days, the order becomes the final order without further action by the authority.
(2) Upon timely request by the appellant, a review of an initial order will be performed by one or more review officers designated by the director of the authority.
(3) If the appellant have not requested review, the authority may review an order resulting from a brief adjudicative proceeding on its own motion, and without notice to the parties, but it may not take action on review less favorable to any party than the initial order without giving that party notice and an opportunity to explain that party's view of the matter.
NEW SECTION
WAC 182-32-2105Withdrawing the request for a brief adjudicative proceeding or review of an initial order.
(1) The appellant may withdraw the request for a brief adjudicative proceeding or review of an initial order for any reason, and at any time, by contacting the school employees benefits board (SEBB) appeals unit. The SEBB appeals unit will present the withdrawal request to the presiding officer or review officer or officers.
(2) The request for withdrawal must be made in writing.
(3) After a withdrawal request is received, the presiding officer or review officer or officers must enter and serve a written order dismissing the appeal.
(4) If an appellant withdraws a request for a brief adjudicative proceeding or review of an initial order, the appellant may not reinstate the request for a brief adjudicative proceeding or review of an initial order unless time remains on their original appeal period.
NEW SECTION
WAC 182-32-2110Final order.
(1) A final order issued by the review officer or officers will be issued in writing and include a brief statement of the reasons for the decision.
(2) The final order must be rendered and served within twenty days of the date of the initial order or of the date the request for review of the initial order was received by the SEBB appeals unit, whichever is later.
(3) The final order will include a notice that reconsideration and judicial review may be available.
(4) A request for review of the initial order is deemed denied if the authority does not issue a final order within twenty days after the request for review of the initial order is filed.
NEW SECTION
WAC 182-32-2120Request for reconsideration.
(1) A request for reconsideration asks the review officer or officers to reconsider the final order because the party believes the review officer or officers made a mistake of law, mistake of fact, or clerical error.
(2) A request for reconsideration must state in writing why the party wants the final order to be reconsidered.
(3) Requests for reconsideration must be filed with the review officer or officers who entered the final order.
(4) If a party files a request for reconsideration:
(a) The review officer or officers must receive the request for reconsideration on or before the tenth business day after the service date of the final order;
(b) The party filing the request must send copies of the request to all other parties; and
(c) Within five business days of receiving a request for reconsideration, the review officer or officers must serve to all parties a notice that provides the date the request for reconsideration was received.
(5) The other parties may respond to the request for reconsideration. The response must state in writing why the final order should stand. Responses are optional. If a party chooses not to respond, that party will not be prejudiced because of that choice.
(a) Responses to a request for reconsideration must be received by the review officer or officers no later than seven business days after the service date of the review officer or officers' notice as described in subsection (4)(c) of this section, or the response will not be considered.
(b) Service of responses to a request for reconsideration must be made to all parties.
(6) If a party needs more time to file a request for reconsideration or respond to a request for reconsideration, the review officer or officers may extend the required time frame if the party makes a written request providing a good reason for the request within the required time frame.
(7) Unless the request for reconsideration is denied as untimely filed under subsection (4)(a) of this section, the same review officer or officers who entered the final order, if reasonably available, will also consider the request as well as any responses received.
(8) The decision on the request for reconsideration must be in the form of a written order denying the request, granting the request in whole or in part and issuing a new written final order, or granting the petition and setting the matter for further hearing.
(9) If the review officer or officers do not send an order on the request for reconsideration within twenty calendar days of the date of the notice described in subsection (4)(c) of this section, the request is deemed denied.
(10) If any party files a request for reconsideration of the final order, the reconsideration process must be completed before any judicial review may be requested. However, the filing of a petition for reconsideration is not required before requesting judicial review.
(11) An order denying a request for reconsideration is not subject to judicial review.
(12) No evidence may be offered in support of a motion for reconsideration, except newly discovered evidence that is material for the party moving for reconsideration and that the party could not with reasonable diligence have discovered and produced at the hearing or before the ruling on a dispositive motion.
NEW SECTION
WAC 182-32-2130Judicial review of final order.
(1) Judicial review is the process of appealing a final order to a court.
(2) The appellant may appeal a final order by filing a written petition for judicial review that meets the requirements of RCW 34.05.546. The school employees benefits board (SEBB) program may not request judicial review.
(3) The appellant should consult RCW 34.05.510 through 34.05.598 for further details and requirements of the judicial review process.
NEW SECTION
WAC 182-32-2140Presiding officerDesignation and authority.
The designation of a presiding officer shall be consistent with the requirements of RCW 34.05.485 and the presiding officer shall not have personally participated in the decision made by the school employees benefits board (SEBB) organization or SEBB program.
(1) The presiding officer will decide the issue based on the information provided by the parties during the presiding officer's review of the appeal.
(2) A presiding officer is limited to those powers granted by the state constitution, statutes, rules, or applicable case law.
(3) A presiding officer may not decide that a rule is invalid or unenforceable.
(4) In addition to the record, the presiding officer may employ the authority's expertise as a basis for the decision.
NEW SECTION
WAC 182-32-2150Review officer or officersDesignation and authority.
(1) The designation of a review officer or officers shall be consistent with the requirements of RCW 34.05.491 and the review officer or officers shall not have personally participated in the decision made by the school employees benefits board (SEBB) organization or SEBB program.
(2) The review officer or officers shall review the initial order and the record to determine if the initial order was correctly decided.
(3) The review officer or officers will issue a final order that will either:
(a) Affirm the initial order in whole or in part; or
(b) Reverse the initial order in whole or in part; or
(c) Refer the matter for a formal administrative hearing; or
(d) Remand to the presiding officer in whole or in part.
(4) A review officer or officers are limited to those powers granted by the state constitution, statutes, rules, or applicable case law.
(5) A review officer or officers may not decide that a rule is invalid or unenforceable.
(6) In addition to the record, the review officer or officers may employ the authority expertise as a basis for the decision.
NEW SECTION
WAC 182-32-2160Conversion of a brief adjudicative proceeding to a formal administrative hearing.
(1) The presiding officer or the review officer or officers, in their sole discretion, may convert a brief adjudicative proceeding to a formal administrative hearing at any time on motion by the subscriber or enrollee or their representative, the authority, or on the presiding officer or review officer or officers' own motion.
(2) The presiding or review officer or officers must convert the brief adjudicative proceeding to a formal administrative hearing when it is found that the use of the brief adjudicative proceeding violates any provision of law, when the protection of the public interest requires the authority to give notice and an opportunity to participate to persons other than the parties, or when the issues and interests involved in the controversy warrant the use of the procedures or RCW 34.05.413 through 34.05.479 that govern formal administrative hearings.
(3) When a brief adjudicative proceeding is converted to a formal administrative hearing, the director may become the hearing officer or may designate a replacement hearing officer to conduct the formal administrative hearing upon notice to the subscriber or enrollee and the authority.
(4) When a brief adjudicative proceeding is converted to a formal administrative hearing, WAC 182-32-010 through 182-32-130 and WAC 182-32-3000 through 182-32-3200 apply to the formal administrative hearing.
PART III
FORMAL ADMINISTRATIVE HEARINGS
NEW SECTION
WAC 182-32-3000Formal administrative hearings.
(1) When a brief adjudicative proceeding is converted to a formal administrative hearing consistent with WAC 182-32-3160, the director designates a hearing officer to conduct the formal administrative hearing.
(2) Formal administrative hearings are conducted consistent with the Administrative Procedure Act, RCW 34.05.413 through 34.05.479.
(3) Part III describes the general rules and procedures that apply to school employees benefits board (SEBB) benefits formal administrative hearings.
(a) This Part III supplements the Administrative Procedure Act (APA), chapter 34.05 RCW, and the model rules of procedure in chapter 10-08 WAC. The model rules of procedure adopted by the chief administrative law judge pursuant to RCW 34.05.250, as now or hereafter amended, are hereby adopted for use by the authority in SEBB benefits formal administrative hearings. Other procedural rules adopted in chapters 182-30, 182-31, and 182-32 WAC are supplementary to the model rules of procedure.
(b) In the case of a conflict between the model rules of procedure and this Part III, the procedural rules adopted in this Part III shall govern.
(c) If there is a conflict between this Part III and specific SEBB program rules, the specific SEBB program rules prevail. SEBB program rules are found in chapters 182-30 and 182-31 WAC.
(d) Nothing in this Part III is intended to affect the constitutional rights of any person or to limit or change additional requirements imposed by statute or other rule. Other laws or rules determine if a hearing right exists, including the APA and program rules or laws.
NEW SECTION
WAC 182-32-3005RecordFormal administrative hearings.
The record in a formal administrative hearing consists of the official documentation of the hearing process. The record includes, but is not limited to, recordings or transcripts, admitted exhibits, decisions, briefs, notices, orders, and other filed documents.
NEW SECTION
WAC 182-32-3010Requirements to appear and represent a party in the formal administrative hearing process.
(1) All parties must provide the hearing officer and all other parties with their name, address, and telephone number.
(2) The appellant may act as their own representative or have another person represent them, except employees of the health care authority (HCA) or HCA's authorized agents.
(3) If the appellant is represented by a person who is not an attorney admitted to practice in Washington state, the representative must provide the hearing officer and all other parties with the representative's name, address, and telephone number. In cases involving confidential information, the nonattorney representative must provide the HCA hearing representative with a signed, written consent permitting release to the nonattorney representative of personal health information protected by state or federal law.
(4) An attorney admitted to practice law in Washington state, who wishes to represent the appellant, must file a written notice of appearance containing the attorney's name, address, and telephone number with the hearing officer's office and serve all parties with the notice. In cases involving confidential information, the attorney representative must provide the HCA hearing representative with a signed, written consent permitting release to the attorney representative of the appellant's personal health information protected by state or federal law. If the appellant's attorney representative no longer represents the appellant, then the attorney must file a written notice of withdrawal of representation with the hearing officer's office and serve all parties with the notice.
NEW SECTION
WAC 182-32-3015Hearing officersAssignment, motions of prejudice, and disqualification.
(1) Assignment: A hearing officer will be assigned at least five business days before a hearing. A party may ask which hearing officer is assigned to a hearing by contacting the hearing officer's office listed on the notice of hearing. If requested by a party, the hearing officer's office must send the name of the assigned hearing officer to all parties, by electronic mail or in writing, at least five business days before the scheduled hearing date.
(2) Motion of prejudice: Any party requesting a different hearing officer may file a written motion of prejudice against the hearing officer assigned to the matter before the hearing officer rules on a discretionary issue in the case, admits evidence, or takes testimony.
(a) A motion of prejudice must include a declaration stating that a party does not believe the hearing officer can hear the case fairly. Service of copies of the motion must also be made to all parties listed on the notice of hearing.
(b) Any party's first motion of prejudice will be automatically granted. Any subsequent motion of prejudice made by a party may be granted or denied at the discretion of the hearing officer no later than seven days after receiving the motion.
(c) A party may make an oral motion of prejudice at the beginning of a hearing before the hearing officer rules on a discretionary issue in the matter, admits evidence, or takes testimony if:
(i) The hearing officer was not assigned at least five business days before the date of the hearing; or
(ii) The hearing officer was changed within five business days of the date of the hearing.
(3) Disqualification: A hearing officer may be disqualified from presiding over a hearing for bias, prejudice, conflict of interest, or ex parte contact with a party to the hearing.
(a) Any party may file a petition to disqualify a hearing officer as described in RCW 34.05.425. A petition to disqualify must be in writing and service promptly made to all parties and the hearing officer upon discovering facts of possible grounds for disqualification.
(b) The hearing officer whose disqualification is requested will determine whether to grant or deny the petition in a written order, stating facts and reasons for the determination. The officer must serve the order no later than seven days after receiving the petition for disqualification.
NEW SECTION
WAC 182-32-3030Authority of the hearing officer.
(1) A hearing officer must hear and decide the issues de novo (anew) based on the evidence and oral or written arguments presented during a formal administrative hearing and admitted into the record.
(2) A hearing officer has no inherent or common law powers, and is limited to those powers granted by the state constitution, statutes, or rules.
(3) A hearing officer may not decide that a rule is invalid or unenforceable. If the validity of a rule is raised during a formal administrative hearing, the hearing officer may allow argument only to preserve the record for judicial review.
NEW SECTION
WAC 182-32-3080Time requirements for service of notices made by the hearing officer.
(1) The hearing officer or their designee must serve a notice of a formal administrative hearing to all parties and their representatives at least twenty-one calendar days before the hearing date. The parties may agree to, but the hearing officer cannot impose, a shorter notice period.
(2) If a prehearing conference or dispositive motion hearing is scheduled, the hearing officer must serve a notice of the prehearing conference or dispositive motion hearing to the parties and their representatives at least seven business days before the date of the prehearing conference or dispositive motion hearing except:
(a) The hearing officer may change any scheduled formal administrative hearing into a prehearing conference or dispositive motion hearing and provide less than seven business days' notice of the prehearing conference or dispositive motion hearing; and
(b) The hearing officer may give less than seven business days' notice if the only purpose of the prehearing conference is to consider whether to grant a continuance.
(3) The hearing officer must reschedule a formal administrative hearing if necessary to comply with the notice requirements in this chapter.
NEW SECTION
WAC 182-32-3090Formal administrative hearing location.
(1) A hearing officer must be present at all hearings. Hearings may be held either in person or telephonically.
(a) A telephonic hearing is where all parties and the hearing officer are present by telephone.
(b) An in-person hearing is where the appellant appears face-to-face with the hearing officer. The other parties can choose to appear either in person or by telephone, but cannot be ordered to appear in person.
(2) Whether a hearing is held in person or telephonically, the parties have the right to see all documents, hear all testimony, and question all witnesses.
(3) If a hearing is originally scheduled to be held in-person, the appellant may ask the hearing officer to change the in-person hearing to a telephonic hearing. Once a telephonic hearing begins, the hearing officer may stop, reschedule, and change the telephonic hearing to an in-person hearing if any party makes such a request.
NEW SECTION
WAC 182-32-3100Rescheduling and continuances for formal administrative hearings.
(1) Any party may request the hearing officer to reschedule a formal administrative hearing if a rule requires notice of a hearing and the amount of notice required was not provided.
(a) The hearing officer must reschedule the formal administrative hearing under circumstances identified in this subsection if requested by any party.
(b) The parties may agree to shorten the amount of notice required by any rule.
(2) Any party may request a continuance of a formal administrative hearing either orally or in writing.
(a) In each formal administrative hearing, the hearing officer must grant each party's first request for a continuance. The continuance may be up to thirty calendar days.
(b) The hearing officer may grant each party up to one additional continuance of up to thirty calendar days because of extraordinary circumstances established at a proceeding.
(c) After granting a continuance, the hearing officer or their designee must:
(i) Immediately telephone all other parties to inform them the hearing was continued; and
(ii) Serve an order of continuance on the parties no later than fourteen days before the new hearing date. All orders of continuance must provide a new deadline for filing documents with the hearing officer. The new filing deadline can be no less than ten calendar days prior to the new formal administrative hearing date. If the continuance is granted pursuant to (b) of this subsection, then the order of continuance must also include findings of fact that state with specificity the extraordinary circumstances for which the hearing officer granted the continuance.
(3) Regardless of whether a party has been granted a continuance as described in subsection (1) of this section, the hearing officer must grant a continuance if a new material issue is raised during the formal administrative hearing and a party requests a continuance.
NEW SECTION
WAC 182-32-3110Prehearing conferences.
(1) A prehearing conference is a formal proceeding conducted on the record by a hearing officer to prepare for a formal administrative hearing.
(a) The hearing officer must record a prehearing conference using audio recording equipment.
(b) The hearing officer may conduct a prehearing conference in person, by telephone conference call, or in any other manner acceptable to the parties.
(2) Any party can request a prehearing conference. The hearing officer must grant each party's first request for a prehearing conference if it is filed with the hearing officer at least seven business days before the next scheduled hearing date. The hearing officer may grant requests for additional prehearing conferences.
(3) The appellant must attend or participate in any scheduled prehearing conference. If the appellant does not attend or participate in a scheduled prehearing conference, the hearing officer will enter an order of default dismissing the matter.
(4) During a prehearing conference the parties and the hearing officer may:
(a) Identify the issue or issues to be decided;
(b) Agree to the date, time, and place of any requested or necessary hearing or hearings;
(c) Identify accommodation and safety issues; or
(d) Establish a schedule for:
(i) The exchange and filing of briefs;
(ii) Providing a list of proposed witnesses;
(iii) Providing exhibit lists; and
(iv) Providing proposed exhibits before the hearing.
(5) After the prehearing conference ends, the hearing officer must enter a written order that recites the action taken at the prehearing conference, a case schedule outlining hearing dates and deadlines for exchanging witness lists and exhibits, and any other agreements reached by the parties.
(6) The hearing officer must serve the prehearing order to the parties at least fourteen calendar days before the next scheduled hearing.
(7) A party may object to the prehearing order by filing an objection with the hearing officer in writing no later than ten days after the service date of the order. The hearing officer must serve a written ruling on the objection.
(8) If no objection is made to the prehearing order, the order determines how the case will be conducted by the hearing officer, including whether a hearing will be in person or held by telephone conference, unless the hearing officer enters an amended prehearing conference order.
NEW SECTION
WAC 182-32-3120Dispositive motions.
(1) A dispositive motion could dispose of one or all the issues in a formal administrative hearing, such as a motion to dismiss or motion for summary judgment.
(2) To request a dispositive motion hearing a party must file a written dispositive motion with the hearing officer and serve a copy of the motion to all other parties. The hearing officer may also set a dispositive motion hearing, and request briefing from the parties, to address any possible dispositive issues the hearing officer believes must be addressed before the hearing.
(3) The deadline to file a timely dispositive motion shall be ten calendar days before the scheduled hearing.
(4) Upon receiving a dispositive motion, a hearing officer:
(a) Must convert the scheduled hearing to a dispositive motion hearing when:
(i) The dispositive motion is timely filed with the hearing officer at least ten calendar days before the date of the hearing; and
(ii) The party filing the dispositive motion has not previously filed a dispositive motion.
(b) May schedule a dispositive motion hearing in all instances other than described in (a) of this subsection.
(5) The hearing officer may conduct the dispositive motion hearing in person or by telephone conference. For dispositive motion hearings scheduled to be held in person, the health care authority (HCA) hearing representative may choose to attend and participate in person or by telephone conference call.
(6) The party requesting the dispositive motion hearing must attend and participate in the dispositive motion hearing in person or by telephone. If the party requesting the motion hearing does not attend and participate in the dispositive motion hearing, the hearing officer will enter an order of default.
(7) During a dispositive motion hearing, the hearing officer can only consider the filed dispositive motions, any response to the motions, evidence submitted to support or oppose the motions, and argument on the motions. Prior to rescheduling any necessary hearings, the hearing officer must serve a written order on the dispositive motions.
(8) The hearing officer must serve the written order on the dispositive motions to all parties no later than eighteen calendar days after the dispositive motion hearing is held. Orders on dispositive motions are subject to motions for reconsideration or petitions for judicial review as described in WAC 182-32-2120 and 182-32-2130.
NEW SECTION
WAC 182-32-3130Subpoenas.
(1) Hearing officers, the health care authority (HCA) hearing representative, and attorneys for the parties may prepare subpoenas as described in Washington state civil rule 45, unless otherwise prohibited by law. Any party may request the hearing officer prepare a subpoena on their behalf.
(2) The hearing officer may schedule a prehearing conference to decide whether to issue a subpoena.
(3) If a party requests the hearing officer prepare a subpoena on its behalf, the party is responsible for:
(a) Service of the subpoena; and
(b) Any costs associated with:
(i) Compliance with the subpoena; and
(ii) Witness fees as described in RCW 34.05.446(7).
(4) Service of a subpoena must be made by a person who is at least eighteen years old and not a party to the hearing. Service of the subpoena is complete when the person serving the subpoena:
(a) Gives the person or entity named in the subpoena a copy of the subpoena; or
(b) Leaves a copy of the subpoena with a person over the age of eighteen at the residence or place of business of the person or entity named in the subpoena.
(5) To prove service of a subpoena on a witness, the person serving the subpoena must file with the hearing officer's office a signed, written, and dated statement that includes:
(a) The name of the person to whom service of the subpoena occurred;
(b) The date of the service of the subpoena occurred;
(c) The address where the service of the subpoena occurred; and
(d) The name, age, and address of the person who provided service of the subpoena.
(6) A party may request the hearing officer quash (set aside) or change a subpoena request at any time before the deadline given in the subpoena.
(7) A hearing officer may quash (set aside) or change a subpoena if it is unreasonable.
NEW SECTION
WAC 182-32-3140Orders of dismissalReinstating a formal administrative hearing after an order of dismissal.
(1) An order of dismissal is an order from the hearing officer ending the matter. The order is entered because the party who made the appeal withdrew from the proceeding, the appellant is no longer aggrieved, the hearing officer granted a dispositive motion dismissing the matter, or the hearing officer entered an order of default because the party who made the appeal failed to attend or refused to participate in a prehearing conference or the formal administrative hearing.
(2) The order of dismissal becomes a final order if no party files a request to vacate the order as described in subsections (3) through (7) of this section.
(3) If the hearing officer enters and serves an order dismissing the formal administrative hearing, the appellant may file a written request to vacate (set aside) the order of dismissal. Upon receipt of a request to vacate an order of dismissal, the hearing officer must schedule and serve notice of a prehearing conference as described in WAC 182-32-3080. At the prehearing conference, the party asking that the order of dismissal be vacated has the burden to show good cause according to subsection (8) of this section for an order of dismissal to be vacated and the matter to be reinstated.
(4) The request to vacate an order of dismissal must be filed with the hearing officer and the other parties. The party requesting that an order of dismissal be vacated should specify in the request why the order of dismissal should be vacated.
(5) The request to vacate an order of dismissal must be filed with the hearing officer no later than twenty-one calendar days after the date the order of dismissal was entered. If no request is received within that deadline, the dismissal order becomes a final order and the final order will stand.
(6) If the hearing officer finds good cause, as described in subsection (8) of this section, for the order of dismissal to be vacated, the hearing officer must enter and serve a written order to the parties setting forth the findings of fact, conclusions of law, and reinstatement of the matter.
(7) If the order of dismissal is vacated, the hearing officer will conduct a formal administrative hearing at which the parties may present argument and evidence about issues raised in the original appeal. The formal administrative hearing may occur immediately following the prehearing conference on the request to vacate only if agreed to by the parties and the hearing officer, otherwise a formal administrative hearing date must be scheduled by the hearing officer.
(8) Good cause is a substantial reason or legal justification for failing to appear, act, or respond to an action using the provisions of superior court civil rule 60 as a guideline. This good cause exception applies only to this chapter. This good cause exception does not apply to any other chapter or chapters in Title 182 WAC.
NEW SECTION
WAC 182-32-3160Withdrawing a formal administrative hearing.
(1) The appellant may withdraw a formal administrative hearing for any reason, and at any time, by contacting the health care authority (HCA) hearing representative who will coordinate the withdrawal with the hearing officer.
(2) The request for withdrawal must generally be made in writing. An oral withdrawal by the appellant is permitted during a formal administrative hearing when both the hearing officer and HCA hearing representative are present.
(3) After a withdrawal request is received, the hearing officer must cancel any scheduled hearings and enter and serve a written order dismissing the case.
NEW SECTION
WAC 182-32-3170Final order deadlineRequired information.
(1) Within ninety days after the formal administrative hearing record is closed, the hearing officer shall serve a final order that shall be the final decision of the authority. The hearing officer shall serve a copy of the final order to all parties.
(2) The hearing officer must include the following information in the written final order:
(a) Identify the order as a final order of the school employees benefits board (SEBB) program;
(b) List the name and docket number of the case and the names of all parties and representatives;
(c) Enter findings of fact used to resolve the dispute based on the evidence admitted in the record;
(d) Explain why evidence is, or is not, credible when describing the weight given to evidence related to disputed facts;
(e) State the law that applies to the dispute;
(f) Apply the law to the facts of the case in the conclusions of law;
(g) Discuss the reasons for the decision based on the facts and the law;
(h) State the result and remedy ordered; and
(i) Include any other information required by law or program rules.
NEW SECTION
WAC 182-32-3180Request for reconsideration and response—Process.
(1) A request for reconsideration asks the hearing officer to reconsider the final order because the party believes the hearing officer made a mistake of law, mistake of fact, or clerical error.
(2) A request for reconsideration must state in writing why the party wants the final order to be reconsidered.
(3) Requests for reconsideration must be filed with the hearing officer who entered the final order.
(4) If a party files a request for reconsideration:
(a) The hearing officer must receive the request for reconsideration on or before the tenth business day after the service date of the final order;
(b) The party filing the request must serve copies of the request on to all other parties; and
(c) Within five business days of receiving a request for reconsideration, the hearing officer must serve to all parties a notice that provides the date the request for reconsideration was received.
(5) The other parties may respond to the request for reconsideration. The response must state in writing why the final order should stand. Responses are optional. If a party chooses not to respond, that party will not be prejudiced because of that choice.
(a) Responses to a request for reconsideration must be received by the hearing officer no later than seven business days after the service date of the hearing officer's notice as described in subsection (4)(c) of this section, or the response will not be considered.
(b) Service of responses to a request for reconsideration must be made to all parties.
(6) If a party needs more time to file a request for reconsideration or respond to a request for reconsideration, the hearing officer may extend the required time frame if the party makes a written request providing a good reason for the request within the required time frame.
(7) No evidence may be offered in support of a motion for reconsideration, except newly discovered evidence that is material for the party moving for reconsideration and that the party could not with reasonable diligence have discovered and produced at the hearing or before the ruling on a dispositive motion.
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WAC 182-32-3190Decisions on requests for reconsideration.
(1) Unless the request for reconsideration is denied as untimely filed under WAC 182-32-3180, the same hearing officer who entered the final order, if reasonably available, will also dispose of the request as well as any responses received.
(2) The decision on the request for reconsideration must be in the form of a written order denying or granting the request in whole or in part and issuing a new written final order.
(3) If the hearing officer does not send an order on the request for reconsideration within twenty calendar days of the date of the notice described in WAC 182-32-2120, the request is deemed denied.
(4) If any party files a request for reconsideration of the final order, the reconsideration process must be completed before any judicial review may be requested. However, the filing of a request for reconsideration is not required before requesting judicial review.
(5) An order denying a request for reconsideration is not subject to judicial review.
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WAC 182-32-3200Judicial review of final order.
(1) Judicial review is the process of appealing a final order to a court.
(2) The appellant may appeal a final order by filing a written petition for judicial review that meets the requirements of RCW 34.05.546. The school employees benefits board (SEBB) program may not request judicial review.
(3) The appellant should consult RCW 34.05.510 through 34.05.598 for further details and requirements of the judicial review process.