Previous Page | Print this Document

Senate approves Moore’s bill to grant municipalities option to join state's Group Insurance Commission

June 26, 2007... Today, the Senate approved the much-anticipated legislation sponsored by Sen. Richard T. Moore, D-Uxbridge, that would grant municipalities, with the agreement of their employee organizations, the option of joining the State's Group Insurance Commission (GIC). Over 100 of his legislative colleagues supported the proposal.

“Such an option would provide a valuable tool for municipalities to preserve health care benefits and better control their health care costs,” Moore said during his testimony before the Committee on Public Service in March. “It would help to preserve the affordability of quality health insurance for thousands of local employees, free-up valuable resources for municipal services like education and perhaps reduce some of the more contentious debates between local leaders and their unions.” 

Analysis demonstrates that many communities have the potential to save money over the long term by joining the GIC, while at the same time providing the kinds of high quality health care options that state employees, including legislators, receive through the GIC. Some estimate that were all municipalities to join the GIC, the cost savings across the Commonwealth would be between $120 million to $180 million a year. 

Under this bill, the local option to join the GIC can only be triggered through a mutual decision between town officials and union and retiree representatives, so all stakeholders will have a voice in the decision. Additionally, decisions about contribution rates remain at the local level. Moore said that this proposal is the product of more than a year of dialogue between a coalition of legislative leaders, municipal officials, public employee union representatives and retiree representatives. 

During his remarks on the floor, Moore recognized the efforts of Sen. Benjamin Downing, D-Pittsfield, Chair of Committee on Public Service, John Hamill, Chairman of Sovereign Bank and the convener of the Municipal Health Insurance Working Group and Dolores Mitchell, Executive Director of the Group Insurance Commission for their hard work in helping put this bill together. 

Last week, the House of Representatives approved a similar bill. Following that vote, the coalition met regarding several issues that were included the House version that were not part of the original bill. The Senate bill passed today addresses those issues and Moore is hopeful that House will agree with the Senate changes so that the bill can be sent to the governor for his quick approval. Moore noted that once passed, cities and towns can begin the process of determining if the provisions of this bill are suitable for their community. To begin benefiting from membership in the GIC by FY 09, municipalities will have to begin negotiating with their employees shortly after passage of the bill. 

For more information on Sen. Moore’s work in the Senate, log onto this website at www.senatormoore.com

Previous Page | Print this Document