Retirees Call for Fairness and Equity at Budget Hearing

ALBANY, NY (02/11/2014)(readMedia)-- Paul D. Moore, President of the Retired Public Employees Association (RPEA), called upon the legislature to reject Governor Cuomo's proposal to impose additional health insurance costs upon state retirees who are enrolled in Medicare.

Moore noted, "The state is saving money by forcing retirees who are enrolled in the state health insurance program to enter the Medicare program upon turning sixty five. Since the state is reaping a savings by doing this, retirees have been reimbursed for their additional costs associated with paying their Medicare premium. This proposed budget cancels a portion that existing agreement contained in law and we call upon the legislature to reject the proposal".

In addition to the Medicare proposal, Moore also called upon the legislature to "right the wrong" that was inflicted upon retirees when their percent of premiums paid for health insurance was raised administratively pursuant to language inserted in the ratification of the CSEA contract in 2011. Moore stated "Retirees had no role in bargaining for that contract and it makes no sense to extend its provisions on us. When the prior increase in the contribution percent for health insurance was enacted, it was prospective in nature and applied only to workers who retired after it became effective. It is like a new tier in the retirement system – it applies only to new employees".

Moore concluded "The state's financial situation is rosier, with billion dollar surpluses projected. Why on earth would you want to give ten years of paying zero taxes to new employees who move here at the expense of retirees who have spent their entire careers living and working in New York, delivering essential services to the people of New York? It makes no sense and we urge the legislature to reject the proposal to ask retirees to help fund such a program".

There are more than 400,000 retirees of the New York State and Local Retirement System, eighty percent of whom remain in the state. Annually, these retirees generate more than $11 billion in economic activity, pay $1.4 billion in real estate taxes, and nearly $500 million in sales tax, according to the State Comptroller.

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