MI-SERA

Chair Talk

June 2004

By Bob Kopasz

SERA representatives (John Bandies, Alvin Whitfield and myself) met with DOSE representatives (David Fink, Tom Hall and Jan Miller) on Wednesday, May 19, 2004. We discussed several items all issues relating to Health Care concerns of retirees. Those issues were:

The recent AUK rule change allowing employers to reduce/eliminate health care benefits for those retirees that are Medicare eligible. We were informed that the administration has no intent to reduce/eliminate health care benefits for retirees.
We asked if the state intended to reduce our prescription drug benefits for those retirees that are on Medicare. This question was asked in light of the recent Medicare Reform (?) legislation that has a prescription drug benefit. We were again informed that the state had no intent to reduce/eliminate drug coverage for retirees. However, the state is looking at ways to coordinate benefits between Medicare and the state’s prescription drug plan. We were given no details as to how this coordination would work, but I am sure that we will have discussions in the future regarding this issue.
We asked the state to continue Ant benefits for those retirees on Medicare that are currently enrolled in the Ant program. We were asked to submit our justifications to DOSE. Those justifications were sent to DOSE on May 28, 2004 copies will be sent to Chapter Presidents.

We were informed that the State was contemplating some changes for retirees in the future. DOSE has indicated that there has been no date set for implementation of these changes and if they are decided on they will give SERA, 90 days notice. These changes are:

If you recall an earlier Chair Talk I discussed third co-pay for prescription drugs. Currently the non-represented employees and a couple unions in concession agreements have agreed to this type of co-pay. Currently, co-pays for generic drugs are $7; brand name drugs are $15. The third co-pay of $30 would be for those brand name drugs that are not listed on the formulary list of drugs that has been provided to us by Express Scripts. I will send a copy of this formulary to all Chapter Presidents and will come to your Chapter meetings to explain this if you want me to.
Currently, Blue Cross offers a disease management plan (Coordinated Care Management) I don’t know how many retirees are involved in this benefit, but it is a costly program for the State. Blue Cross is introducing a new benefit called Blue Care Connection that will address more diseases and may save the State money. The program is strictly voluntary. If you want to know more about the Blue Care Connection, you can call Ronda Couther (517-322-4366) at Blue Cross to arrange a presentation to your Chapter.
The State is considering a “network” for durable medical equipment. Currently there is no network for this benefit. We were told that if you went to the network providers there would be no co-pays and if you went outside the network you would have a 20% co-pay.

OSE informed us that the rates for health care premiums (BC/BS, Aetna, HMO’s, vision & dental) had not been decided as yet, but when they are we will be notified.

The above are basically what we discussed at the meeting with OSE. I believe that it is in our best interests to discuss these changes and decide what responses SERA might give. I believe that health care issues will be our biggest problems in the future.

Editor’s note: Bob Kopasz is Chair of the Michigan SERA Council. He may be reached at P.O. Box 692, Mt. Morris, MI 48458; phone 810/240-8380

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June 2004 By Bob Kopasz SERA representatives (John Bandies, Alvin Whitfield and myself) met with DOSE representatives (David Fink, Tom Hall and Jan Miller) on Wednesday, May 19, 2004. We discussed several items all issues relating to Health Care concerns of retirees. Those issues were: The recent AUK rule change allowing employers to reduce/eliminate health care benefits for those retirees that are Medicare eligible. We were informed that the administration has no intent to reduce/eliminate health care benefits for retirees. We asked if the state intended to reduce our prescription drug benefits for those retirees that are on Medicare. This question was asked in light of the recent Medicare Reform (?) legislation that has a prescription drug benefit. We were again informed that the state had no intent to reduce/eliminate drug coverage for retirees. However, the state is looking at ways to coordinate benefits between Medicare and the state’s prescription drug plan. We were given no details as to how this coordination would work, but I am sure that we will have discussions in the future regarding this issue. We asked the state to continue Ant benefits for those retirees on Medicare that are currently enrolled in the Ant program. We were asked to submit our justifications to DOSE. Those justifications were sent to DOSE on May 28, 2004 copies will be sent to Chapter Presidents. We were informed that the State was contemplating some changes for retirees in the future. DOSE has indicated that there has been no date set for implementation of these changes and if they are decided on they will give SERA, 90 days notice. These changes are: If you recall an earlier Chair Talk I discussed third co-pay for prescription drugs. Currently the non-represented employees and a couple unions in concession agreements have agreed to this type of co-pay. Currently, co-pays for generic drugs are $7; brand name drugs are $15. The third co-pay of $30 would be for those brand name drugs that are not listed on the formulary list of drugs that has been provided to us by Express Scripts. I will send a copy of this formulary to all Chapter Presidents and will come to your Chapter meetings to explain this if you want me to. Currently, Blue Cross offers a disease management plan (Coordinated Care Management) I don’t know how many retirees are involved in this benefit, but it is a costly program for the State. Blue Cross is introducing a new benefit called Blue Care Connection that will address more diseases and may save the State money. The program is strictly voluntary. If you want to know more about the Blue Care Connection, you can call Ronda Couther (517-322-4366) at Blue Cross to arrange a presentation to your Chapter. The State is considering a “network” for durable medical equipment. Currently there is no network for this benefit. We were told that if you went to the network providers there would be no co-pays and if you went outside the network you would have a 20% co-pay. OSE informed us that the rates for health care premiums (BC/BS, Aetna, HMO’s, vision & dental) had not been decided as yet, but when they are we will be notified. The above are basically what we discussed at the meeting with OSE. I believe that it is in our best interests to discuss these changes and decide what responses SERA might give. I believe that health care issues will be our biggest problems in the future. Editor’s note: Bob Kopasz is Chair of the Michigan SERA Council. He may be reached at P.O. Box 692, Mt. Morris, MI 48458; phone 810/240-8380 Return to top of page
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