I read today in the Times that the O.C. Supervisors “approved new rates for retiree medical coverage that will pare down a $1.4-billion shortfall but nearly double monthly premiums for some former employees.”
Wow. And there is more to the story, “The county has taken the position that healthcare coverage for retirees is not a legally protected benefit; an association representing retired employees has hired a lawyer and plans to file a lawsuit.”
Here are a few more excerpts:
“I want to beg you not to do this,” said Rita Nicolosi of Orange, who receives a pension of $700 a month after working in the County Jail for 20 years. “As of 2008, I will no longer be able to afford medical insurance. I hope you can live with your conscience.”
Overall, costs for active employees — who are generally in better health and therefore better risks — are expected to dip 18%, but rates for retirees are expected to increase 34%. Their rates will increase much more if they are members of health maintenance organizations such as Kaiser and Cigna.
Of the county’s 6,000 former employees, about 2,000 enrolled in those plans will see rate increases of between 72% and 95%, according to a county staff report.
I am not going to rip the Supervisors for this vote. They are trying to deal with a massive shortfall. However, it is sad to see former county workers put into this situation.
For some, that could mean additional costs of as much as $7,000 a year — with most of the county’s retirees living on annual pensions of less than $25,000. One retiree, Norma Roberts of Costa Mesa, said her monthly out-of-pocket expense would increase from $286 to $783 under the new rates.
No matter how you slice it, this is going to hurt a lot of people. I wish the Supervisors could have found another way to do this. But consider this : Supervisor Bill Campbell said that the rate increases were painful but necessary to save the program, and that they were better than doing away with retiree medical care altogether, which had been under consideration.
How did this situation come about? It is astounding that the union and the county did not head this off at the pass. This really reflects poorly on previous Supervisors who apparently were asleep at the wheel while this crisis began to fester.
I wonder how other counties are dealing with this? It seems a shame to put our former county workers in such a bind.
This is very sad … How can the gov’t pan out for illegal immigrants’ medical/medicaid but they can’t even pan out for its own citizens! I say stop those “baby making machines” maybe for once, if they get held accountable on those healthcare bills and multiple kids, they’ll stop reproducing and we can finally get some decent health coverage for everyone that has paid its dues and for those who are paying their dues by working and I don’t mean “under the table” like most illegals like to do.
At the same time people in and out of government are championing the goal of getting everyone covered by health insurance and we see t.v. ads directed at legislators messaging that the people of California are waiting for health care reform, we have a decision like this that will cause some to be unable to keep/obtain health insurance. Schizophrenic public policy for sure.
This is what our republican supervisors wanted – local control – so they opted out of medicare – real smart (not) – now the county taxpayers get to pay the bills.
“How did this situation come about?”
The situation came about because the cost for health care rises at a rate far above inflation. This has been going on for … at least 30 years?
That is the problem.
While we get more efficient at pretty much everything, health care costs keep rising. This is wrong. Health care as a service is not efficient. Advancing technology should mean better health care at lower cost. If this is not true, then we know something is badly broken.
At this point the debate usually wanders off and starts mumbling about some form universal health care. While this might (or not) be a good idea – this does nothing to address the underlying problem. Treating the symptom will not make the problem go away.
“It is astounding that the union and the county did not head this off at the pass. This really reflects poorly on previous Supervisors …”
Every business in this country has the same problem. The problem is too big for the county or any one business to address. The problem has to be addressed on a national level. So far at least, the problem has proved too politically scary for Congress.
A couple weeks ago my son landed in the hospital (in Irvine). Once again I was amazed. Viewed as a service hospitals are amazingly inefficient, and the technology used in hospitals is surprisingly primitive.
Nothing we cannot solve, but this is a national problem that requires an effort on a national level.
Here’s a solution: Move to Mexico!
Hey Congress, you might want to hold off a minute on that wall. USA Today reports that a steadily growing number of Americans are moving across the border to nursing homes in Mexico, “where the sun is bright and the living is cheap.”
Take the case of Richard Slater. For $550 a month, less than on tenth the going rate in his hometown of Las Vegas, he lives in his own cottage in a retirement community, “surrounded by purple bougainvilla and pomegranate trees,” get 24-hour nursing care and three meals a day. He has satellite television, so he doesn’t miss American news or programs, and has American neighbors. When he wants to go downtown, a cab ride is $3.
Sounds pleasant enough, if you like Mexican food. But here’s the kicker: “For another $140 a year, he gets full medical coverage from the Mexican government, including all his medicine and insulin for diabetes.”
It’s enough to make you lightheaded and short of breath, no matter how old you are.
http://tinyurl.com/2hs7am