As Republicans and Democrats running for governor try to distance themselves from the packs that have developed, two Republican contenders are now part of an unusual controversy.
Insurance Commissioner Ken Selzer has sued Gov. Jeff Colyer, hoping to stop the transfer of some $8 million from the state’s insurance fund to the general fund for fiscal 2019.
Selzer says the transfer would force his office to collect additional fees from insurance companies and possibly pass those new costs on to customers. Selzer’s office says those fees would be unconstitutional because they would be an unauthorized tax and insurance companies could well sue to stop them.
The governor’s office, meanwhile, says this was part of an agreement with the Insurance Department dating back to 2016. Selzer took office the year before. Shawn Sullivan, the state’s chief operating officer, says the transfers have taken place now for several years.