Chair Talk

September 2009

Speaker Andy Dillon has formed a new committee: Public Employee Healthcare Reform Committee. The Committee Chair will be Pam Byrnes (D-Chelsea). The committee consists of 7 Democrats and 5 Republicans. The committee was formed to hold hearings on the proposal put forth by the Speaker that would establish one health care system for all public employees/retirees. A draft form of the legislation has been distributed by the Speaker last week. The Committee’s first meeting will be held on September 3. Alvin Whitfield and I will be attending that meeting. Speaker Dillon is on the agenda to present his proposal for the committee. We will monitor and/or attend the committee meetings as they are scheduled.

The budget for fiscal year 2010 has not been finalized as yet. In response to no firm budget, last Friday the Governor has issued a 30-day notice to state employee unions of possible state employee lay-offs. This situation is reminiscent of the 4-hour shutdown of state government that took place in 2007 for the same reason. The current deficit number being tossed around is $2.8 billion. Closed door discussions are being held between Republicans and Democrats in an attempt to resolve the issues.

HB 4072 (bill that would move health care benefits from Civil Service to the Office of Retirement Services) seems to be sitting quietly in the Senate Appropriations Committee. This bill seems to be way down on the list of priorities. The budget seems to be the largest issue at the present time. The health care proposal by Speaker Andy Dillon has also seemed to place itself ahead of 4072. We, of course, will keep tabs on the status of HB 4072 and will react appropriately.

There are no increases in co-pays/deductibles in health care and prescription drugs scheduled for October 1, 2009. The insurance premiums for the State Health Plan, Dental and Vision are unchanged. I am sure that if there are changes that may come because of the budget issues we will be contacted by Civil Service or the Office of the State Employer.

Editor’s note: Bob Kopasz is Chair of the Michigan SERA Council. He may be reached at P.O. Box 692, Mt. Morris, MI 48458; phone 810/240-8380

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