SB 1095

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AN ACT

RELATING TO PUBLIC SCHOOLS; PROVIDING FOR DUE PROCESS

REIMBURSEMENT COVERAGE THROUGH THE PUBLIC SCHOOL INSURANCE

AUTHORITY.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

Section 1. Section 22-29-3 NMSA 1978 (being Laws 1986,

Chapter 94, Section 3, as amended) is amended to read:

"22-29-3. DEFINITIONS.--As used in the Public School

Insurance Authority Act:

A. "authority" means the public school insurance

authority;

B. "board" means the board of directors of the

public school insurance authority;

C. "charter school" means a school organized as a

charter school pursuant to the provisions of the Charter

Schools Act;

D. "director" means the director of the public

school insurance authority;

E. "due process reimbursement" means the

reimbursement of a school district's or charter school's

expenses for attorney fees, hearing officer fees and other

reasonable expenses incurred as a result of a due process

hearing conducted pursuant to the federal Individuals with

Disabilities Education Improvement Act;

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F. "educational entities" means state educational

institutions as enumerated in Article 12, Section 11 of the

constitution of New Mexico and other state diploma,

degree-granting and certificate-granting post-secondary

educational institutions and regional education cooperatives;

G. "fund" means the public school insurance fund;

H. "group health insurance" means coverage that

includes life insurance, accidental death and dismemberment,

medical care and treatment, dental care, eye care and other

coverages as determined by the authority;

I. "risk-related coverage" means coverage that

includes property and casualty, general liability, auto and

fleet, workers' compensation and other casualty insurance;

and

J. "school district" means a school district as

defined in Subsection R of Section 22-1-2 NMSA 1978,

excluding any school district with a student enrollment in

excess of sixty thousand students."

Section 2. Section 22-29-4 NMSA 1978 (being Laws 1986,

Chapter 94, Section 4) is amended to read:

"22-29-4. AUTHORITY CREATED.--There is created the

"public school insurance authority", which is established to

provide for group health insurance, other risk-related

coverage and due process reimbursement with the exception of

the mandatory coverage provided by the risk management

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division on the effective date of the Public School Insurance

Authority Act."

Section 3. A new section of the Public School Insurance

Authority Act is enacted to read:

"DUE PROCESS REIMBURSEMENT.--The authority shall include

due process reimbursement in its self-insured retention risk

pool. Each year, the legislature shall authorize the board

to collect the due process reimbursement premium from school

districts and charter schools to cover the cost of due

process reimbursement. From the authorization, the board

shall allocate due process reimbursement premiums based on a

school district's or charter school's claims experience and

other criteria determined by the board. A single due process

reimbursement shall not exceed three hundred thousand dollars

($300,000)."

Section 4. EFFECTIVE DATE.--The effective date of the

provisions of this act is July 1, 2008.