CERS Health Insurance Proposal Vetted by PPOB
January 27, 2025The Public Pension Oversight Board heard testimony on Monday regarding a KLC initiative to increase County Employee Retirement System (CERS) career health benefits.
The legislation, which has not yet been filed, will be sponsored by Senator Robby Mills, R-Owensboro, who said he has worked with the Kentucky League of Cities and employee and employer groups the past year to develop a plan that enhances retiree health benefits in an affordable plan.
“We’re balancing the interests of retirees while also ensuring liabilities are addressed and employer cost risks are limited by including provisions in the bill that create a shared-cost structure between employers and employees to pay for the enhanced benefits,” Mills told members of the group. “Additionally, the bill includes triggers that adjust the employee contribution rates based on the level of funding in each respective health trust over time.”
Mills was joined in testifying by KLC Executive Director and CEO J.D. Chaney, Elizabethtown Police Department Chief Jeremy Thompson representing the Kentucky Chief’s Association, Kentucky Professional Firefighters Legislative Affairs Director Jeff Taylor, and Kentucky Sheriffs’ Association Director Jerry Wagner.
Wagner told the board that the bill would “immediately” help hire and retain employees.
“As it is now, folks can’t afford to come back to work for the amount they’re receiving in their insurance,” he said.
Thompson echoed the concerns in his testimony regarding recruitment and retention.
“We used to tell folks that this was something that is the light at the end of the tunnel – wait until you get to the end of your career you will see the fruits of the years of service because of health insurance,” he said. “This will provide more light at the end of the tunnel.”
Chaney added to the testimony, adding that KLC is supportive of the approach to this issue.
The bill is expected to be filed when lawmakers return to Frankfort for part two of the 30-day session which resumes Feb. 4.