Retirees Await State Budget
ALBANY, NY (01/12/2017)(readMedia)-- Jack McPadden, President of the Retired Public Employees Association (RPEA) stated that he is "cautiously optimistic" about one aspect of the State budget, which is due to be released next Tuesday.
McPadden based his optimism on the fact that the Department of Civil Service recently sent a letter to Medicare eligible retirees who participate in the New York State Health Insurance Plan (NYSHIP) that the reimbursement rate will be at the new, higher, level which was recently announced by the federal Center for Medicare and Medicaid Services. In last year's Executive Budget, Governor Cuomo had proposed to cap Medicare reimbursements, which RPEA strongly opposed, and was ultimately rejected by the Legislature.
McPadden noted, "The fact that Civil Service has communicated it intent to reimburse at the higher rate leads one to conclude that the Governor will not be proposing to cap the reimbursement rate. This is indeed good news for State retirees participating in NYSHIP."
Under state law, NYSHIP Medicare eligible retirees are forced to enroll in Medicare as their primary insurer, and are reimbursed the cost of the premium. This requirement reduces the overall cost to NYSHIP.
RPEA is the only organization whose sole mission is to protect the benefits and interests of both State and local retirees. It has been in existence since 1969.