POLICY MAKERS VOTE TO FUND HEALTH INSURANCE PLAN, AEA WINS BIG VICTORY “Arkansas’s educators must have a seat at the table for decisions regarding their plan. It is imperative their health insurance plan be affordable and provide meaningful benefits.” Carol Fleming AEA President
In April, it became clear that the Public School Employee insurance plan was facing a projected $70 million shortfall for the 2022 plan year. To address this, the State Board of Finance considered proposals that would mean a significant increase in insurance premiums and significant decrease in benefits. However, after months of advocacy, the premium spikes were averted handing public school educators a huge victory. When the shortfall was announced, AEA leadership and staff sprang to action, working to determine the underlying causes and encouraging decision makers to keep educators top of mind while considering solutions. In April, the Association hosted a virtual and in-person townhall where members were able to ask questions and share
concerns with government officials and worked to share educator perspective in statewide media publications. After hearing of the shortfall, the state legislature abolished the State and Public School Life and Health Insurance Board and shifted that responsibility to the State Board of Finance, which was weighing the untenable proposal. The state also hired consultants to study the system and make recommendations about how to make long-term adjustments. “Educators risked their health over the last year to keep schools open and meet student needs during a global health crisis,” said AEA Executive Director Tracey-Ann Nelson. “It’s unthinkable that this devastating proposal is even on the table.” Worse still, Nelson said the proposals under consideration won’t solve the underlying issue. Health care costs are rising at an annual rate of 7%, but there is no built-in state funding mechanism to anticipate this, resulting in the state contributing a smaller percentage of the plan’s cost each year. Our public school employees already pay more than most surrounding states, and the government pays much less than all but one of our neighbors. “The broken funding mechanism in our health insurance plan means the state hasn’t held up its end of the bargain,” she said. “Who’s left holding the bag? Without help from our lawmakers, it will be our friends and family who work with our children.” AEA leaders, current and retired educators joined Senator Joyce Elliott ahead of an important vote June 17th to call on the Arkansas Legislative Council to
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ARKANSAS EDUCATOR
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