Last week, the State Health Benefits Commission adopted the rate increase as proposed in the AON Rate Renewal Report Local Government Employee/Retiree Group and State Employee/Retiree Group. Municipalities in the State Health Benefits Plan will see an overall rate increase of 22.8%.
The State’s health benefits plan will increase by 18.6%. However, based on a deal brokered between the State unions and the administration, State employees in the CWA Unity Plan and 2019 Direct Plan will only see a rate increase of 3%.
We suggest you review the rate increases with your professionals to determine the impact on your employees, your municipal budget, and property taxpayers. In addition to the Lunch & Learn Exploring Alternatives to the SHBP – How to Navigate within Existing Labor Contracts, we will be holding webinars in the coming weeks to brief you on alternatives to the SHBP.
We also suggest you reach out to the Governor's Office and your state legislators about providing relief to this steep hike that places a burden on property taxpayers and employees alike.
Contacts:
- Lori Buckelew, Deputy Executive Director & Director of Government Affairs, lbuckelew@njlm.org, 609-695-3481, x112.
- Paul Penna, Senior Legislative Analyst, ppenna@njlm.org, 609-695-3481, x110.