DENVER (June 9, 2014) — The Connect for Health Colorado Board of Directors today approved the organization’s budget for the 2014-15 fiscal year.
Having enrolled more than 135,000 individuals in private insurance, the budget marks the next step in the development of the organization.
The budget, which covers the fiscal year from July 1, 2014 to June 30, 2015, was approved by a vote of 7-1, with one abstention.
“Connect for Health Colorado’s goal is to maintain a conservative financial approach and keep fees low for Coloradans while continuing to meet our mission of providing access, affordability and choice,” said CEO Patty Fontneau. “The diverse spending approach approved by the board moves us to become self-sustaining by January 2015, when our federal start-up grants supporting operations will be gone.”
Operations of the organization will be partly funded with federal grants for only the first 6 months of the fiscal year. Over the final six months of the fiscal year, the Marketplace will be financed through an existing broad market assessment, operational and other funding.
Other remaining federal grants will continue to support technology implementations and enhancements through the end of the fiscal year in June 2015.
The FY2014 budget includes transitional funding authorized through legislation passed in 2013. House Bill 1245 provided the authority for the board to set a $1.80 per member per month health insurance carrier assessment. The budget passed Monday reduced the assessment to $1.25 per member per month, which will help Connect for Health with its goal of maintaining a six-month operating reserve of $13 million.