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Municipal health reform debate moves to the Senate
The House of Representatives voted 113-42 this week to give cities and towns the flexibility required to control skyrocketing health care costs and protect hundreds of municipal jobs. MBAE's report on the foundation budget, School Funding Reality: A Bargain Not Kept, was cited repeatedly and provided critical evidence that education funds were being diverted from classrooms to pay for insurance benefits.
The House language lets municipal officials choose plan designs and set co-pays and deductibles outside of collective bargaining. They would have to confer with labor representatives and share some savings, as well as negotiate the percentage of premiums paid by employees. The move has the potential to save $100 million statewide while maintaining high quality benefits for municipal employees that are at least equivalent to those state employees receive.
A recent study by the Massachusetts Taxpayers Foundation found that the average municipal family plan premium of $20,925 is $5,600 higher (37 %) than the average private sector family premium, 33 % more than the federal plan premium, and 21 % more than the state's Group Insurance Commission plans.
MBAE is working with a coalition of groups who applauded the House leadership and members for their action. The debate now moves to the Senate as it takes up the FY2012 budget. Make sure your Senator has the facts from our report about the impact of school employee health care costs on school budgets.
For more information about MBAE's position, read Board Member Joe Esposito's blog post and the release from the Massachusetts Municipal Association press conference where he spoke on this issue!
Read the Coalition Statement and Press
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