URGENT - Bill to restrict PEIP option nears final vote; act now

The House will vote soon on a bill to make it more difficult for school employees to gain control over health insurance costs by opting for insurance through the Public Employee Insurance Program.

Please contact your legislators now and urge them to vote against Senate File 247.

The bill passed the Senate last year, so unless changes are made on the House floor, the House vote will be final and SF 247 would go directly to Gov. Mark Dayton.

The bill removes the option for your union to unilaterally seek bids and enroll members in PEIP. If the measure becomes law, your school district would first have to agree to the change, and a majority of all eligible employees in your bargaining unit would have to approve it.

Education Minnesota opposes the bill. The Minnesota School Boards Association and service cooperatives, which operate health insurance pools for school districts, support the bill.

PEIP introduces competition that lowers health care costs even if a different insurance provider is chosen.

Mike McKenzie, president of the White Bear Lake Teachers Association, testified in committee last week that the PEIP bid provided leverage to negotiate lower premiums with the current provider, saving close to $2 million.

February 06, 2012