From Deseret News archives:

Legislator perk irks workers

State employees upset as retiree insurance tab rises

Published: Monday, April 18, 2005 1:45 p.m. MDT
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The Utah Public Employees Association, which represents 6,000 to 7,000 state workers, was "criticized for not attacking legislators" this past session over HB213, says Audry Wood, UPEA executive director.

"But legislators set our pay and benefit packages each year," she added, so UPEA didn't feel comfortable bashing the lawmakers.

The legislators' retirement health care "is a pretty nice benefit. We had a pretty good one, too," before the HB213 changes were adopted, she said. "We don't begrudge lawmakers their package. We hope if (lawmakers') benefits are changed, there will be a full hearing, all can participate. We were locked out of the process" last session, she complained.

Wood said she doesn't think it is unfair that the 100 percent retirement health insurance benefit can be earned by lawmakers (and their families) after the legislator has served just 10 years in a part-time office.

But if a retiring legislator qualifies, he gets it for life. His spouse gets it for life and any of their minor children are covered until they are adults.

Regular state workers get 100 percent of their post-retirement health insurance premiums paid for only several years, as their unused sick leave is converted, based on a formula, into health care premium payments.

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Pre-HB213, the average 30-year-plus state worker might get 10 years of free health insurance upon retirement, retirement office officials said. Post-HB213, a longtime retiring worker may get two years of free health insurance, experts told the newspaper.

After a retired worker's unused sick leave has been expended for premiums, the retiree must pay for his supplemental health care coverage. Premiums currently run between $87 and $250 a month, depending on how comprehensive a plan the worker picks, officials said.

Tough to manage

The legislative benefit, depending on how many older legislators retire each year, is a floating target for legislative budgeters.

One recently retired legislator has a wife 30 years his junior. Assuming he signed up for the state health care insurance (individual retirement records are not public), the state could be paying his wife's health care insurance for 40 or 50 years, until her death.

Senate President John Valentine, R-Orem, said he doesn't plan on staying in the Legislature until he retires and understands that the legislative retiree health insurance is growing. Informed that a spouse also gets the benefit for life, Valentine said: "That may be something we want to look at."

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