Several months ago, we provided an overview of Colorado’s new FAMLI Program which officially rolls out January 1, 2023. This new state-run paid family and medical leave insurance program ensures all Colorado workers have access to paid leave benefits in the event they must miss work in order to care for a loved one. While these benefits won’t be available to workers until January 1, 2024, the rollout and funding of the program begins January 1, 2023 in order to ensure the program has sufficient funds to pay out benefits once workers are eligible to file a claim.
As we approach the rollout date, the state of Colorado has released additional information regarding private plans that all employers must be aware of.
Updates to the Rules Governing Private Plans
The complete Private Plan rules were formally adopted on November 1, 2022 and have been published on the FAMIL Program’s rules page. Some notable updates have been made which impact employers who prefer to select a private plan instead of the state-run FAMLI plan:
Approved private plans must take effect no earlier than 60 days after the application date.
Private plan approvals are good for eight years, with more frequent data reporting and program attestation requirements.
Employers applying for private plan approval will be subject to an initial $500 administration fee. Employers with approved private plans will be responsible for an annual maintenance fee based on the administrative costs of their particular plan.
If an employer moves from a private plan to the state-run FAMLI plan, there will not be a fee to do so
In order to qualify for an approved private plan, the plan must provide all of the same rights, protections, and benefits as the FAMLI Program.
All Colorado employers will begin paying premiums in 2023. Those who secure an approved private plan effective on or before January 1, 2024 may apply for a refund of paid 2023 premiums, minus the private plan administration fee.
The private plan application process will most likely open up sometime between Q1 and Q3 2023. The state will provide how-to guides with step-by-step instructions to complete the process within My FAMLI+ Employer once the functionality is available.
The deadline to submit a private plan application in order to receive a refund for 2023 premium payments is October 31, 2023.
PassioHR Can Ensure Your Business Is FAMLI Compliant
At PassioHR, we’re your go-to source for all information associated with the new FAMLI Program. Our team of HR consultants is actively monitoring all updates to the FAMLI Program, and we know exactly what your business needs to do to remain compliant. In addition, all of our clients can reach out to their PassioHR benefits consultant anytime they have questions regarding the new program.
When you work with our team of HR consultants, you’ll have peace of mind that your business is adhering to all regulations for this new program. We’ll make sure you meet all deadlines during the rollout process. If you prefer to select a private plan, we can help you identify the best options which comply with FAMLI Program guidelines and also meet the specific needs of your business.
Roger Hays currently serves as President and CEO of PassioHR, Inc., based in Englewood Colorado. PassioHR was founded in 2021 by Roger after having spent over twenty years working in various positions in the Professional Employer Organization (PEO) market.
His areas of expertise are Human Resources management; Benefits Administration; Government Affairs; and Business Management.
Mr. Hays currently serves as the Chair the Leadership Council for NAPEO in Colorado and serves on their PAC committee, Federal Government Affairs and State Government Affairs Committees as well. In addition to NAPEO Roger is a past Leadership Council Chairman for the National Federation of Independent Business (NFIB) in Colorado and serves on their PAC committee as well (NFIB is the voice of small business, advocating on behalf of America’s small and independent business owners, both in Washington, D.C., and in all 50 state capitals). He is a past Board President for the Colorado Civil Justice League (Colorado Civil Justice League is the only organization in Colorado focused exclusively on limiting unreasonable lawsuits and preserving common sense in the courtroom). Roger has been appointed by the Governor of Colorado, three times, to serve as a Board member on the Colorado Uninsured Employers Board. (The CUE board was established by the CO legislature to provide financial assistance to individuals injured while working for employers who did not carry workers’ compensation insurance in violation of Colorado Statute.)
Roger spends many hours each Legislative session working with state Legislators in Colorado on behalf of the PEO industry as well as small business in general testifying in front of committees or just interacting with individual legislators on issues important to those groups. He also works with the Colorado Department of Labor and Employment, serving on a number of taskforces to help guide the department in dealing with Unemployment and Labor issues.
Mr. Hays Graduated from North Dakota State University with a BS Degree in Political Science and is an avid Bison supporter.
The complete Private Plan rules were formally adopted on November 1, 2022 and have been published on the FAMIL Program’s rules page. Some notable updates have been made which impact employers who prefer to select a private plan instead of the state-run FAMLI plan: