"UUP, NYSUT score a Medicare win in court." January 06, 2007. NYSUT: A Union of Professionals. www.nysut.org
NYSUT - A Union of Professionals
  
 

UUP, NYSUT score a Medicare win in court

 

United University Professions scored a major victory with a November court ruling that reversed an increase in health premiums for thousands of public employees.

The Appellate Division of state Supreme Court unanimously struck down a lower court ruling that had allowed New York to force thousands of state employees and retirees to pay more for their health insurance.

UUP, NYSUT's affiliate representing faculty and other professionals at the State University of New York, was represented by Robert T. Reilly of the NYSUT General Counsel's Office.

Since 1966, many state employees and retirees have been covered under the New York State Health Insurance Plan.

Since 1983, the state has paid 90 percent of the cost for individual coverage, and 75 percent of the cost for dependents.

However, the state required employees and retirees who qualified for the federal Medicare Part B to use that as their primary insurance and NYSHIP as a secondary plan, with the state paying the full cost of Medicare Part B premiums.

In January, the state changed its interpretation of its obligations and essentially began requiring all employees, regardless of Medicare eligibility, to pay a "Medicare Part B enrollee reimbursement rate " to help the state recover some of the money it was paying for premiums.

UUP brought the lawsuit, along with the Public Employees Federation; the state Correctional Officers & Police Benevolent Association; the American Federation of State, County, and Municipal Employees; and the Civil Service Employees Association.

In overturning a lower court's ruling that the state's new method was equitable, Appellate Division justices wrote that New York's new interpretation of its obligations was "arbitrary, capricious and contrary to law. "

The money was ordered returned to employees, pending any appeals, but details are not yet complete.

"UUP members work hard to deliver quality public higher education to the students of New York, and they deserve decent, reasonably priced health insurance," said UUP President William Scheuerman.

The union's 32,000 members were pleased, he said, that the court "defied attempts by the state to force its financial obligation upon hard-working New York families."

NYSUT General Counsel James Sandner noted the judicial consensus. "All five justices of the Appellate Division agreed with our view of the law, " he said.

— Kevin Hart