This week, the Governor's Office of Planning and Budget released the Fiscal Year 2016 (FY16) budget. In the Department of Community Health's (DCH) budget, two provisions (number 11 and 12 on page 137 of the budget) will eliminate State Health Benefit Plan coverage for non-certified public school employees who work fewer than 30 hours a week after January 1, 2016. In the Joint Appropriations Committee meeting on Tuesday, January 20, DCH Commissioner Clyde Reese cited that the state currently incurs a deficit of close to $135 million for covering these employees. He also stated that he expects most of these employees will find coverage elsewhere including the Affordable Care Act (ACA) health exchange.

Currently, SHBP regulations state that local school systems must contribute to the health insurance fund a certain portion of costs as established by local boards of education.  However, local boards can opt out of participating in SHBP with the option of enrolling the schools in their system as a group with a private insurance company. With these two provisions that are included in the FY16 budget, systems will no longer cover non-certified employees thus allowing the districts to establish their own contracts with insurance companies or encouraging these employees to apply for coverage through the ACA health exchange.   

PAGE believes that this change will have a significant impact on keeping non-certified employees in their positions as well hindering the ability of local school districts to hire people without offering health benefits. We urge you to reach out to your legislators as well as members of the Health Appropriations subcommittees in both the House and Senate and express your concern with this provision. You will find their contact information and links to find your legislator's contact information below.

CLICK HERE for PAGE'S position letter to Senate Appropriations Chairman Jack Hill. A similar letter will also be sent to House Appropriations Chairman Terry England.