§ 31–3403.01. Premium tax.

(a) Effective January 1, 2009, all health maintenance organizations shall pay to the District of Columbia, for each calendar year, a sum of money as taxes equal to 2% of their policy and membership fees and net premium receipts or consideration received in such calendar year, excluding those fees, receipts, or consideration received pursuant to any federal employee health-benefit program or Medicare, on all policies or contracts in the District of Columbia. The premium tax shall be in lieu of all other taxes except:

(1) Taxes upon real estate; and

(2) Fees and charges provided for pursuant to this chapter.

(b) The certificate of authority of any health maintenance organization may be revoked for failure to pay the required premium tax.

(d) Any revenues generated from this section arising from contracts for services under the District’s Medicaid program, DC HealthCare Alliance program, or Healthy DC program shall be deposited in the Healthy DC and Health Care Expansion Fund, established by § 31-3514.02.

(e) Of all other revenues generated pursuant to this section, 75% shall be deposited in the Healthy DC and Health Care Expansion Fund and 25% shall be deposited in the General Fund of the District of Columbia.

(f) For the purposes of this section, the term, “health maintenance organization” shall include prepaid health plans.

(Apr. 9, 1997, D.C. Law 11-235, § 4a; as added Aug. 16, 2008, D.C. Law 17-219, § 5054, 55 DCR 7598; Feb. 4, 2010, D.C. Law 18-104, § 4(b), 56 DCR 9182; Sept. 24, 2010, D.C. Law 18-223, § 5022, 57 DCR 6242.)

Section References

This section is referenced in § 31-3514.02.

Effect of Amendments

D.C. Law 18-104, in subsec. (a-1), substituted “District Medicaid program, the Healthy DC Program,” for “District Medicaid program,”.

D.C. Law 18-223, in subsec. (a), deleted “the District Medicaid Program, the Healthy DC Program, the DC HealthCare Alliance,” following “pursuant to”; rewrote subsec. (d); and added subsecs. (e) and (f). Prior to amendment, subsec. (d) read as follows: “(d) Seventy-five percent of the revenue generated pursuant to this section shall be deposited in the Healthy DC Fund, established by § 31-3514.02. The remaining 25% shall be deposited in the General Fund of the District of Columbia.”

Emergency Legislation

For temporary (90 day) amendment of section, see § 4(b) of Hospital and Medical Services Corporation Regulatory Emergency Amendment Act of 2009 (D.C. Act 18-277, January 11, 2010, 57 DCR 935).

For temporary (90 day) amendment of section, see § 2 of Medicaid Resource Maximization Emergency Amendment Act of 2010 (D.C. Act 18-390, May 7, 2010, 57 DCR 4339).

For temporary (90 day) amendment of section, see § 5022 of Fiscal Year 2011 Budget Support Emergency Act of 2010 (D.C. Act 18-463, July 2, 2010, 57 DCR 6542).

Temporary Legislation

Section 4(b) of D.C. Law 18-134 substituted “District Medicaid program, the Healthy DC Program,” for “District Medicaid program,”.

Section 6(b) of D.C. Law 18-134 provided that the act shall expire after 225 days of its having taken effect.

Section 2 of D.C. Law 18-205, in subsec. (a), deleted “the District Medicaid Program, the Healthy DC Program, the DC HealthCare Alliance,”; rewrote subsec. (d) to read as follows:

“(d) Any revenues generated from this section arising from contracts for services under the District’s Medicaid program, DC HealthCare Alliance program, or Healthy DC program shall be deposited in the Healthy DC and Health Care Expansion Fund, established by section 15b of the Hospital and Medical Services Corporation Regulatory Act of 1996, effective March 2, 2007 (D.C. Law 16-192; D.C. Official Code § 31-3514.02).”; and added subsecs. (e) and (f) to read as follows:

“(e) Of all other revenues generated pursuant to this section, 75% shall be deposited in the Healthy DC and Health Care Expansion Fund and 25% shall be deposited in the General Fund of the District of Columbia.

“(f) For the purposes of this section, the term, ‘health maintenance organization’ shall include prepaid health plans.”.

Section 7(b) of D.C. Law 18-205 provided that the act shall expire after 225 days of its having taken effect.

Short Title

Short title: Section 5053 of D.C. Law 17-219 provided that subtitle U of title V of the act may be cited as the “Healthy DC Revenue Amendment Act of 2008”.

Short title: Section 5021 of D.C. Law 18-223 provided that subtitle C of title IV of the act may be cited as the “Medicaid Resource Maximization Amendment Act of 2010”.