(White Plains, NY) – The Westchester County Board of Legislators Special Committee on Health Insurance Savings presented their final recommendation for a health insurance proposal that would require all non-represented County employees make a contribution towards their care.  The recommendation has been sent to the Board’s Committee on Budget & Appropriations for a complete fiscal analysis prior to a vote by the full Board.  Chaired by the Board’s Vice-Chairman, Legislator Lyndon Williams (D-Mount Vernon) and the Board’s Majority Whip, Legislator Judy Myers (D-Larchmont), the Committee’s initial goal was to reach out to stakeholders who would be most affected by changes in the existing county plan as well as persons with knowledge and expertise on the proposed changes. If adopted, this proposal will take effect on July 1, 2010. “This legislation is intended to be a first step towards phasing-in the equitable contributions toward health care by all County employees,” said Vice-Chairman Williams. “The Committee moved expeditiously to provide a workable plan that considered all stakeholders in balancing the important need for taxpayer relief while allowing for fairness to county employees,” said Vice-Chairman Williams.

This compromise legislation presented at today’s meeting would require that all elected officials, County officers and officials appointed for a fixed term (flat-rate employees), certain non-represented County employees and retirees to contribute between five per cent (5%) and fifteen (15%) of the overall cost of the premium health insurance. Majority Whip Myers said that “given the scope an dcomplexity of the entire health benefit arena, as well as the need to develop a plan for increased savings now, this interim plan serves as a short-term solution.”  The proposal creates a tier-system of contribution based upon years of service:

Categories of County Employees

Amount of Contribution

All County elected officials (District Attorney, members of the Board of Legislators, County Clerk, County Executive), County officers and officials appointed for a fixed term (Commissioners, Department/Agency heads and flat rate employees)

Fifteen per cent (15%)

All non-represented County employees and retirees who have less than 0 – 5 years of County service

Fifteen per cent (15%)

All non-represented County employees and retirees who have between 5 – 10 years of County service

Ten per cent (10%)

All non-represented County employees and retirees who have between 10 – 20 years of County service

Five per cent (5%)

All non-represented County employees and retirees who have 20+ years of County service

Zero per cent (0%)

Beyond the near-term savings from a revised contributory plan, the committee intends to pursue permanent long-term savings by conducting a comprehensive analysis of all existing plans that would save Westchester taxpayers millions of dollars. Vice-Chairman Lyndon Williams said that the next phase is for the Committee to continue to meet with health insurance professionals and key industry experts to assess and develop a long-term health benefit plan that works best for Westchester County.  “We all agree that the county’s health plan should provide for employees contributions. However, changes to the plan should be implemented in a thoughtful and orderly manner with a view to best quality coverage at the lowest costs.  This cannot be achieved by simply pulling numbers out of a hat that might not materialize in the long run.”

COMMITTEE BACKGROUND

The Committee was established by Board Chairman Ken Jenkins (D-Yonkers) to analyze and make recommendations on the fairest and most cost-effective way for the County to provide quality and affordable health care access to its employees at reduced costs.  The first meeting was held on Saturday, February 6th when the committee agreed on a work plan for coming up with legislation for county employees’ contributions to their health insurance plan.

The committee held another meeting on February 16th, where they brought together Westchester County District Attorney Janet DiFiore, Finance Commissioner Anne Marie Berg and POMCO representatives for input on the fairest and most economically feasible manner the County could achieve some interim savings for taxpayers while continuing to provide its quality coverage to its employees.

The Westchester County District Attorney told the committee that her office will be disproportionately impacted by the County Executive’s proposed plan, which would require to all non-union employees pay 15% of the estimated costs of the County’s insurance expense. The DA pointed that of the 377 of employees affected by the proposed plan, 125 of them are county prosecutors, who have not received even a cost-of-living increase since 2005.  The District Attorney said that while her office was disproportionately impacted, she was not consulted on the County Executive’s proposal.  The District attorney made it clear that she was not opposed to a contributory plan being enacted, given the current economic climate, but would appreciate sensible thoughtful process that considers the unintended consequences that could result.

County Finance Commissioner Ann Marie Berg discussed the existing plan as administered currently by POMCO. She confirmed that contrary to the impression given to the public that county employees do not pay for health insurance coverage, some county employees do pay part of the costs for their health coverage. Berg also clarified on the record that the $22,000 costs of family coverage on which the County Executive’s savings were based is erroneous.  She said that the “$22,000 is the overall cumulative costs of the POMCO family plan, which includes HMO, Medicare Part B, dental and vision plans,” said Commissioner Berg.  According to records, the baseline cost of a family plan that the County pays for health coverage only under the POMCO contract for County employees is only $19,500.

Jennifer Zando, Director of Account Management and Vanessa Flynn, Vice President of Client Services of POMCO briefed the Committee on its current plan with the County.  They explained that Westchester County used to have a fully insured plan with Empire Blue Cross Blue Shield as its insurance carrier. The County determined that it would be more cost-effective for the County to be self-insured. It then changed from Empire to a self-insured plan administered by POMCO as the 3rd party administrator. They informed the Committee that the current plan already contained a ‘working spouse’ exclusion, which prevents a working spouse from using the POMCO plan as a primary source of insurance.

POMCO representatives indicated that they provide the County regular reports on ways to save money on health insurance. The Committee requested copies of the reports be forwarded to the Legislature on a regular basis.  The Committee also requested that POMCO provide a various plan comparisons and recommendations for alternative for non-represented employees.

Click here to view Draft Legislation

Board Chairman Jenkins on Astorino Sick Day Proposal

2/11/2010 6:17:37 PM

Westchester County Board Chairman Ken Jenkins today issued the following statement in response to Westchester County Executive Rob Astorino’s proposal calling for new limits of payouts for unused sick and vacation pay for County employees. 

 

“It’s somewhat strange that the County Executive would craft legislation for a policy that he can implement today through an executive order.  All of the commissioners, department heads and supervisors appointed by the County Executive have ultimate control in managing their agencies and departments as they see fit.  It’s a bit disingenuous that he would make this a matter of legislation, rather than a simple policy change under his Administration.” 

 

“The current policy, which was implemented under County Executive Andrew O’Rourke, encourages exemplary attendance of our full-time employees. The current policy provided an incentive for employees to not use sick time and encourage consistent attendance, by compensating employees half of the amount accrued with a cap on the amount of hours.” 

 

“The County Board would strongly recommend that a policy change of this magnitude should be phased in and implemented immediately for new employees. There are significant productivity issues that the Administration might want to considered.  Again, this is a management issue and we encourage the County Executive to issue an executive order today.”  

 

 

 

 

 

 

 

 

2/11/2010 6:20:25 PM

Westchester County Board Chairman Ken Jenkins today issued the following statement in response to the news of the rejection of the County’s implementation plan by the U.S. Department of Housing and Urban Development and to the federal monitor overseeing the county’s compliance with last year’s settlement of the fair and affordable housing lawsuit.  The settlement was in response to a lawsuit brought against Westchester County by the Anti-Discrimination Center (ADC), accusing the county of making false statements on federal applications about its efforts to integrate housing. 

“We have received notification regarding the implementation plan.  The federal monitor found some discrepancies in the submitted plan. The monitor identified some items that must be resolved”.  

“We are confident that the Administration will be able to work out these issues.”

(White Plains, NY) – Westchester County Board of Legislators Chairman Ken Jenkins (D-Yonkers) today issued the following statement after learning that Starwood Hotel’s relocation to Connecticut, which was contingent on a $90 million economic incentive package, maybe halted. Starwood, which operates 982 hotels in nearly 100 countries under nine brands, announced in November that it was moving its headquarters in White Plains and 800 jobs in 2012 to Stamford.

 

“Given the new circumstances involving the Starwoods deal, I would call upon government -- at all levels -- and representatives of our business community to work together towards creating an incentive package that would convince Starwoods to remain in Westchester County.”

 

“For many years, Westchester has played a prominent role in job retention and economic development through effective relationships with our state and local leaders, private industry and public partners.  Governor Paterson’s proposed Excelsior Jobs Program, along with his office of Economic Development, may also provide the financial support needed to collaborate on infrastructure and joint development projects, which could end up being far less expensive than playing games with taxpayer dollars.”

 

“We still believe that Westchester County is a more receptive environment for both large firms looking for new space and home-grown small businesses. Westchester County offers the right mix of business resources, financial assistance and economic incentives to help businesses prosper. We look forward to rebuilding our relationship with Starwood and hope that they reconsider their position.”

 

 

 

Westchester County Board Chairman Ken Jenkins today issued the following statement after the Westchester County Association press conference, calling for the Legislature to enact County Executive Astorino’s proposal seeking all non-union/non-represented managers within the County government to make a 15% contribution to their health care costs.  Over the past several weeks, the Board has raised reasonable questions on enacting employee health insurance contributions.  Yesterday, Chairman Jenkins announced the creation of a special committee of the Board to analyze and make recommendations on the fairest and most cost-effective way for the County to provide quality and affordable health care access to its employees at reduced costs.   Today, he vowed to continue working in partnership with his colleagues, citizens and officials in finding real tax savings for residents.

 

“My colleagues and I appreciate the continued advocacy of the Westchester County Association and look forward to their continued partnership in resolving our county’s economic issues. As we face another year of fiscal challenges, we must do everything necessary to immediately achieve optimal savings for the county’s taxpayers.  The Legislature fully supports the concept of employee contributions. However, in the search to pass off much-needed tax relief to residents, the County Board is required to act responsibly by reviewing every possible angle of such a complex issue. The taxpayers in this county want real savings, real innovation, real service improvement, and more value for their tax dollar. Now is the time to think critically about how we spend our money within county government and this Legislature takes that responsibility seriously. It’s the Board’s fiduciary responsibility to conduct the due diligence necessary to deliver real savings to our residents without exposing them to potentially damaging legal concerns.  We have a legitimate opportunity to create a comprehensive and thorough plan and it must be done expeditiously.”

 

“I’ve created this Special Committee on County Health Insurance Contributions, which will have its first meeting on Saturday morning, and they will aggressively be reviewing, analyzing and making final recommendations on the fairest and most economic way that the County can provide taxpayers long-term savings, while continuing to provide its employees with quality health care coverage.  The goal of this committee will be to have a proposal in front of the Board for a full vote by June. The time we are taking now will not impact the proposed timeline of the County Executive’s plan. It is important during these difficult economic times that we consider all viable options, including employee contribution, putting out a request for proposal for additional & less expensive health plans, pre-tax savings accounts, contribution tiers, and incentives for workers to opt out.”

 

“However, we in government can ill afford to work in a vacuum.  We’d like to ask the community to get involved and help with solutions.  The need to find sustainable tax relief is a countywide problem that will require countywide engagement.  That’s why I invite members of the WCA and others throughout the county to join us in developing new strategies on health insurance delivery in our county by visiting our website, www.westchesterlegislators.com, and send us your suggestions.   Now is the time to work together with our partners throughout the broader Westchester community to reduce costs responsibly and provide real relief to our county’s taxpayers.”