Upcoming Hearing on Retiree Health Care Subsidy

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Upcoming Hearing on Retiree Health Care Subsidy

To: Retired Members of SCERS
Date: June 3, 2009
Subject: Retiree Health Subsidy

On May 22, 2009, the County of Sacramento sent correspondence to all SCERS retirees and beneficiaries alerting them that on June 12, 2009 the Sacramento County Board of Supervisors will be discussing recommendations by the County Executive regarding funding for the County retiree health insurance subsidy for the health care plan year beginning January 1, 2010. The letter advised retirees and beneficiaries that it is anticipated the County Executive will be recommending that the County retiree health insurance subsidy be reduced by 50% through the elimination of the dental subsidy and the reduction of other funding support. The following letter provides information on how interested parties can obtain further information about the proposed actions.

The County retiree health insurance subsidy is not administered or funded by SCERS, and SCERS has no control over the terms of the retiree health insurance subsidy program. The proposed changes to the retiree health insurance subsidy will not alter the retirement benefits provided to retirees and beneficiaries by SCERS, but a lower retiree health insurance subsidy could increase the amount that must be taken out of the monthly SCERS benefit payment for those retirees and beneficiaries who pay their health insurance premium via payroll deduction.

If retirees or beneficiaries have any questions about the County retiree health insurance subsidy program, they should contact the Sacramento County Employee Benefits Office at (916) 874-2020.