An Act relating to municipal and state group health insurance plans and policies, including self-insured plans and policies, and the administration and management of pharmacy benefits; and providing for an effective date.

SB 142 updates regulations for group health insurance plans used by Alaska municipalities and the state government, including how pharmacy benefits are managed. It requires municipal plans (including self-insured ones) and their pharmacy benefits managers to follow specific state laws (AS 21.27.901-21.27.975 and AS 21.36.520), unless covered by federal ERISA. For the state, it clarifies procurement rules, mandating that the Department of Administration must follow dual choice requirements, obtain bids from authorized insurers, and select the lowest responsible bid for group health insurance. This bill directly affects municipal and state employee health coverage, pharmacy benefit administration, and the process for selecting insurance providers.