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The cost of providing free insurance rising for Iowa State staff

Iowa is one of only six free States to Health Insurance to government employees and provide for their families. $ 176,000,000 - - In 10 years, a Des Moines Register analysis shows, the state at the cost of health insurance has to offer more than 300 percent.

Iowa state employees pay substantially lower out-of-pocket health insurance costs such as deductibles and co-payments office, than private sector employees, according to an independent study of nearly 900 companies and government employers conducted this year by David P. Lind & Associates by Clive.

Government employees at all levels in Iowa, including those that pay for schools and local governments, maximum out-of-pocket costs, such as half the number of workers are paid in the private sector, see Lind survey. This represents a potential annual savings of $ 1,000 or more for each Employees.

The combination of high performance and lower government revenues has prompted calls for change.

Rep. Scott Raecke of Urbandale, the Top-ranking Republican on the House appropriations committee has proposed that state employees contribute $ 50 per month for health care premiums.

Since 1 July, 84 percent of the 28,522 state employees enrolled in health insurance through their work, participated in plans for which they paid no premiums to the Iowa Department of Management. This number includes employees in all branches of state government.

The five other states that at least some of their employees non-premium health insurance Offering are Arkansas, Delaware, North Dakota, Oklahoma and Oregon.

Iowa offers employees a variety of insurance plans. In general, the 16 percent pay the state workers who are part of their premium costs more comprehensive insurance chosen, which includes more diseases, including chronic diseases, or pays a larger Percentage of total claims.

"We ask the poor in Iowa and the people below the poverty line to contribute up to $ 40 a month for their state-sponsored Health care plan, but do not ask in many cases, government employees, contribute something, "said Raecke." It is not an easy thing to do, but I think most of them in Iowa would be the fact that state employees would her health care plan appreciate help. "

The proposal is unlikely to go anywhere in the next legislative period. Democrats occupy the governor's office and keep their majorities in both the Iowa House of Representatives and Senate.

House Majority Leader Kevin McCarthy, D-Des Moines, called the Republican push to cut welfare state "is a turkey."

Benefits were with unions negotiated in a legally binding contract and cuts it would be unfair, "said McCarthy.

He agreed that medical costs "out of control," but said the issue must be resolved through national reform.

Several other states are looking at how the cost of health insurance run.

Officials in Alabama, California, Hawaii, Illinois, Maine and Nevada are the face of increasing employee share of premiums and co-payments, according to the National Conference of the legislative bodies. At least 11 states are considering trimming reporting.

That the staff to pay some premiums not only the government would compensate the cost, but also help them to gain awareness of health costs that would ultimately help to keep rates, said Fred Buie, president of Keystone Electrical Manufacturing Co. Des Moines.

Keystone, which employs 60 full-time staff, has maintained insurance expense accounts in the past four years, largely through the establishment of to report to health reimbursement accounts that employees for some medical costs. Those accounts with a tax advantage that helps offset the cost of Keystone come.

Keystone employees pay on average about 18 percent of healthcare costs by monthly premiums.

"I do not know a private company to know where not pay the employee bonuses, "said Buie." If you wear, you'll appreciate it more and tend to make better use. "

Union officials, government workers have argued for a long time said that good performance is part of a trade-off state employees make for the adoption of low to . Pay

It depends on state workers' education level, following a review of payroll data conducted for the Register of Iowa State University economist David Swenson.

make well-trained workers in the state not less than the average in the private sector, of $ 15,000 or more per year, Swenson found. But state Workers as a group account for almost $ 5,400 more per year on average base salary and received $ 4,700 more benefits than their private counterparts.

Danny Homan, President AFSCME's Local 61, said that is received in the last month, the salary and benefits of information in the "either a lie or wrong."

Registering in return much of his data with Homan and spokesman Charlie Wishman divided and called them information or studies that dispute the newspaper's findings. You rejected even though Wishman, made in an e-mail in question Lind's method because it does not break out level of education.

Lind study focused on health insurance Costs, unlike salaries, do not correlate closely with level of education. Lind said the survey is accurate to plus or minus 3.3 percentage has.

Union officials members say accept smaller increases in recent years to maintain good performances. Across-the-board pay increases are 3 percent or less in the last 10 years, without increases in 2006 and the current financial year to year. Some employees are eligible for step increases each year in addition to increase across-the-board.

Susan Shields, a pharmacist with the state corrections department falls under the category of highly educated state workers paid less than private partners be. Eleven years ago she left a pharmacist job with a major retailer in the state workers to join. Last year she was paid about $ 4,000 less than the average pharmacist in Iowa.

Shields said she worked nearly 80 hours per week in the private sector and is now closer to a normal work week. While pay less to the government, the benefits are better, they paid tribute.

"I do not think of me as any better or worse (than) Most pharmacists "Said Shields." No, I do not want the same money as someone who works for a big-box retail chain. You make a lot of money, but also many working Hours and a lot of stress. I've been there. It is not worth the money. "

The state has in recent years taken steps to increase the stream flow Costs for employee health benefits. These efforts have created tension.

Since January this year, for example Iowa United HealthCare disposed of as Health insurance option for state employees, a move estimated to save $ 10,800,000 this year, according to a notice sent to state officials in September by Ed Holland, Division Administrator for the Iowa Department of Administrative Services.

Five-member Executive Council of Iowa Governor Chet Culver directed, made the decision. The opponents, including members of his own party said thousands of workers would have on plans to choose offer less flexibility, particularly to specialists seen in other states. They also have doubts about the savings.

Holland said last week that the decision is still out a few problems.

The state expanded education on wellness and prevention think the officials to help reduce long term costs.

State leaders, including Culver, have a working group of trade unions and government representatives to identify ways to reduce costs in health care. The next time the agreements are for negotiations 2011th

The process of negotiations, the agreements with the unions over wages and benefits out, is almost exclusively carried out in private. Typically is the governor, a handful of other state employees and union representatives. Although authorities make final agreements with the unions in public, union leaders, State legislators and negotiators usually do not discuss how the negotiators arrived at agreements.

The Department of Administrative Services denied a request for an interview with a member of the department involved in collective bargaining.

Senate Majority Leader Michael Gronstal, D-Council Bluffs, said the negotiations, much of the decision-making on employee benefits in the hands of the legislature.

Asked about the non-contributory health insurance offered to state employees, Gronstal said. "I do not think to characterize it as good or bad, because the bias is unfair collective bargaining, this is a task for the executive staff to negotiate with the unions, and I will not trade unions or state government down maxillary bones in this equation. I think it is as for us to comment on issues related to collective bargaining. "

Senate Republican Leader Paul McKinley said the union negotiating process should be transparent to allow more citizen input takes place as a negotiating partner.

"One of the things we know is that the total compensation of State employees who have exceeded the private employees, and it's getting to the point where we see billion-dollar deficits has, "said McKinley." The Negotiation process is simply not working to protect the taxpayers. "

When Governor wished to require employees of the insurance premiums pay or take other steps to reduce costs, such changes often take years to produce, "said Richard cauch, health program director for the National Conference the legislative bodies.

"Changes for public employees in general move slower," said cauch, given the complex trade agreements that bind the majority of countries. "It is in contrast to the private sector, which give a company known," In 60 days here's what we do for you. '"

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