Salem, Ore. - Today, Senate Republican Leader Ted Ferrioli (R-John Day) submitted a letter to the Oregon Educators Benefit Board (OEBB) requesting the elimination of the new $100 fee per month per teacher or other public education employee who opts out of OEBB medical coverage. The fee reduces employee choice and further burdens school districts bearing the heavy burden of increased wage and benefit costs for employees.
"Many of our hard working teachers and other public servants choose to opt out of employer-provided health insurance for legitimate reasons," said Senator Ferrioli. "Some teachers would be double covered through a spouse's medical benefits or choose to purchase less expensive insurance through the health care exchange. By slapping them with a $100 fee, OEBB is punishing teachers and other school employees for making a sound financial decision for their family. This new fee must be abandoned immediately."
School districts have the option of absorbing the $100 fee per teacher or other employee that opts out of receiving OEBB health insurance, further strapping small and mid-sized school districts with tens of thousands of dollars in additional costs they cannot afford. Some districts claim they will face losses up to $100,000, forcing teacher layoffs. School districts could also choose to reduce other teacher benefits, unfairly punishing teachers for choosing to pursue other health insurance options.
"School districts strive to provide for their hard-working teachers, and should not be punished for making financially responsible health care decisions that benefit both their employees and their district," said Ferrioli. "By rejecting this $100 fee, OEBB can protect the right for teachers to make health insurance decisions that make sense for them and their family while protecting Oregon students from further cuts to teachers and programs in their schools."
A copy of the letter submitted by Senator Ferrioli to the Oregon Educators Benefit Board can be downloaded here.
New Rule Imposes $100 Fee on School Employees Choosing to Opt Out of Medical Benefits
June 2, 2016
