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HB 346 · 2023-2024 · Senate

Reorganization & Economic Development Act.

Misleading 4/5signed

What It Actually Does

The bill creates a specific procedure for hospital service corporations (like Blue Cross Blue Shield) to reorganize by creating nonprofit holding companies, allowing them to move assets and subsidiaries out of regulated insurance entities.

This legislation establishes detailed rules for hospital service corporations to restructure themselves under nonprofit holding companies, permitting transfers of up to 25% of assets including cash, investments, and subsidiaries to these less-regulated entities. The bill includes specific provisions about executive compensation reporting, governance requirements, and exemptions from certain insurance conversion laws.

Why the name is misleading

The generic title 'Reorganization & Economic Development Act' completely obscures that this is highly specific legislation for hospital service corporations (insurance companies) and makes no mention of the healthcare/insurance industry focus, making it sound like broad economic policy.


Status

Signed into law

Governor action:signed

Votes

4/27/2023 12:38 PM · Reorganization & Economic Development Act. Second Reading · House

House Vote · Failed 8626

72 to override
R Yea (58)D Yea (28)R Nay (11)D Nay (15)Absent (1)

✓ 86 votes, crossed 72-vote threshold

Party Breakdown

R
58/72 (81%)
D
28/48 (58%)

5/30/2023 4:35 PM · Reorganization and Economic Development Act. Second Reading · Senate

Senate Vote · Failed 415

30 to override
R Yea (27)D Yea (14)D Nay (5)

✓ 41 votes, crossed 30-vote threshold

Party Breakdown

R
27/30 (90%)
D
14/20 (70%)

Roll Call

How They Voted

House · Reorganization & Economic Development Act. Second Reading · 4/27/2023 12:38 PM

120 legislators · House
Name Party Vote
AdamsRYea
ArpRYea
B. JonesRYea
BalkcomRYea
BellRYea
BiggsRNay
BlackwellRYea
BradfordRYea
BrissonRNay
BrodyRYea
CairnsRYea
Carson SmithRYea
ChesserRYea
ClampittRNay
ClevelandRNay
CothamRYea
CrutchfieldRYea
D. HallRYea
DavisRYea
DixonRExcused Absence
ElmoreRYea
FairclothRYea
FontenotRYea
GillespieRYea
GoodwinRYea
GreeneRYea
HardisterRYea
HastingsRYea
HowardRNay
HumphreyRYea
IlerRYea
JohnsonRYea
K. BakerRYea
K. HallRYea
KidwellRNay
LambethRYea
LoftisRNay
LoweryRYea
McNeelyRYea
MillerRYea
MillsRYea
Moore (Speaker)RYea
MossRExcused Absence
N. JacksonRYea
ParéRYea
PennyRYea
PickettRYea
PikeRYea
PlessRNay
PottsRYea
PyrtleRYea
ReederRExcused Absence
RiddellRYea
RossRYea
SaineRYea
SasserRYea
SaulsRYea
SetzerRYea
ShepardRNay
SossamonRYea
StevensRYea
StricklandRYea
TorbettRYea
TysonRYea
WardRNay
WarrenRYea
WatfordRYea
WheatleyRNay
WhiteRYea
WillisRYea
WinslowRYea
ZengerRYea
A. BakerDYea
A. JonesDNay
AgerDNay
AlexanderDExcused Absence
AlstonDYea
AutryDNay
BallDNay
BelkDNay
BrockmanDExcused Absence
BuansiDNay
BuddDYea
ButlerDNay
CarneyDYea
CervaniaDNay
Charles SmithDYea
ClemmonsDYea
CrawfordDYea
CunninghamDYea
DahleDYea
EverittDYea
F. JacksonDYea
G. BrownDYea
GillDYea
HarrisDYea
HarrisonDNay
HawkinsDYea
JeffersDYea
JohnDYea
K. BrownDYea
LiuDYea
LoftonDExcused Vote
LoganDYea
LongestDNay
LucasDExcused Absence
MajeedDYea
MoreyDNay
PierceDYea
PratherDNay
PriceDNay
QuickDYea
ReivesDYea
RobersonDYea
RudowDNay
Staton-WilliamsDNot Voting
T. BrownDYea
von HaefenDNay
WillinghamDYea
WrayDYea

Highlighted rows indicate crossover votes.

Senate · Reorganization and Economic Development Act. Second Reading · 5/30/2023 4:35 PM

50 legislators · Senate
Name Party Vote
AlexanderRYea
B. NewtonRYea
BarnesRYea
Berger (Chair)RYea
BrittRExcused Absence
BurginRExcused Vote
CorbinRExcused Vote
CravenRYea
DanielRYea
FordRYea
GaleyRYea
HanigRYea
HiseRYea
JacksonRYea
JarvisRYea
JohnsonRYea
KrawiecRYea
LazzaraRYea
LeeRYea
McInnisRYea
MoffittRYea
OvercashRYea
P. NewtonRYea
PerryRYea
ProctorRYea
RabonRYea
SandersonRYea
SawreyRYea
SawyerRYea
SettleRYea
AdcockDYea
ApplewhiteDYea
BatchDYea
BlueDYea
BodeDYea
ChaudhuriDExcused Absence
GarrettDYea
GrafsteinDNay
HuntDYea
LoweDYea
MarcusDNay
MayfieldDNay
MeyerDNay
MohammedDNay
MurdockDYea
RobinsonDYea
SalvadorDYea
SmithDYea
WaddellDYea
WoodardDYea

Highlighted rows indicate crossover votes.


Sources