Re: S-2718, Senate President Sweeney’s Health Care Benefits Reform
We have recently reviewed S-2718, Senate President Sweeney’s bill to establish certain criteria for public employee health care benefits and require premium percentage based employee contribution.
To summarize, S-2718:
Requires current employees and new retirees to pay a percentage of health benefits premium
Payment is phased in over 4 years for single coverage and 7 years for all other coverages
Percentage of the payment is based on salary range
Employees hired after enacted will be required to pay percentage at the final year mark
New retirees with 25 years plus of service on the effective date will be exempt
Requires employees to participate in annual health appraisals and health wellness plans
After the effective date – no new towns can join the State Health Benefits Program
If a town is not in the State Health Benefits Program they must:
Provide 5 different contributory plans
Those that offer prescription coverage adopt policies and procedures to promote use of generic drugs
Enter into cooperative purchasing agreement for the purchase of prescription drugs and pharmacy benefits management service
Create a Employees Benefits Quality, Cost and Delivery Committee
Comprised of 2 elected officials
1 member of each labor and bargaining group
We support employees contributing to their health benefits. As employee health benefit costs are one of the driving factors of high personnel cost, something must be done. A special committee has been created to review various pension and health care benefits reform proposals. This committee will compile our comments and concerns with S-2718, and has requested a meeting with Senate President Sweeney to address our concerns.
If you have any questions or need additional information please contact Lori Buckelew at email@example.com or 609-695-3481 x112.
Very truly yours,
William G. Dressel, Jr.
New Jersey State League of Municipalities • 222 West State Street • Trenton, NJ 08608 • (609) 695-3481 •FAX: (609) 695-0151