Did You Know? Healthcare Contributions

Do school district/municipal government retirees contribute to the cost of healthcare?

Local government employees are entitled to benefits (health, dental, life insurance premiums, etc.) when they retire based on the contractual provisions of a collective bargaining agreement.  Since healthcare contributions are not part of a pension benefit, they are not constitutionally guaranteed and therefore can be adjusted for retirees and current employees as long as they are adjusted at the same rate.

As has been discussed, the Taylor Law and Triborough Amendment make it difficult for local government to negotiate better rates thus raising the cost to taxpayers for both retired and active employee benefits.

When a school district/municipal government’s rates increase, do the retirees pay a portion of that increase?

Retirees do not contribute to changes in the pension system contribution rate, since those terms are defined by the pension tier system, but retirees may contribute to healthcare rate increases, depending on the collective bargaining agreement.

About these ads

About Mike Durant

Mike Durant was named New York State Director of NFIB in May 2011. Prior to joining NFIB as the Assistant State Director in May 2010, Durant began his career in the New York Senate working in the Office of Member Services. From there, he served in a number of positions during former New York Governor George E. Pataki’s administration. As a Research Specialist in the New York State Office of Demographic Policy, Mike was responsible for drafting a redistricting proposal for Governor Pataki. In addition, Mike served as a Research Specialist for the Empire State Development Corporation, as well as the Associate Commissioner of Human Resource Management with the New York Department of Labor. Durant also spent four years working at the Questar III BOCES as a specialist focusing on the complex formulas that drive aid to school districts across the state while also taking a lead role in the state legislative/budget process as it related to education policy. These past positions have given Mike a deep understanding of the complex political economics of the State of New York. Active in the community, Durant has served on a number of boards in both the village of Ballston Spa and Town of Milton. Durant received his bachelor’s degree from Siena College in Loudonville, New York and resides in Ballston Spa with his wife and two children.
This entry was posted in New York, Small Business and tagged . Bookmark the permalink.

Leave a Reply

Please log in using one of these methods to post your comment:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s