NYSUT leaders are praising a decision by the state Department of Civil Service to change its policy on reimbursing Medicare Part B recipients for premiums, retroactive to Jan. 1.

Earlier this month, Civil Service, after lawsuits filed by NYSUT and some of its affiliates and other public employee organizations, announced it will now require school districts and other agencies participating in the Empire Plan New York State Health Insurance Program to reimburse retired employees for income-related surcharges on Part B Medicare premiums.

The decision affects hundreds of NYSUT retirees.

"This is a major win for our state's retired educators, and we applaud the decision to reimburse them for this surcharge," said NYSUT President Dick Iannuzzi. "It's good news for our members enrolled in the Empire Plan, who have Medicare as their primary insurance."

The state had originally interpreted civil service law to mean that individuals had to pay income-related surcharges, beyond the standard Medicare Part B premium.

"We will continue our efforts to ensure all school districts meet their obligation to fully reimburse retirees for Medicare Part B," said NYSUT Vice President Kathleen Donahue.

This is an important issue for thousands of retirees, including those who had realized capital gains from the sale of assets. The Medicare Part B premium increased in 2007 for many retirees.

The state is mandating that participating agencies establish procedures to reimburse retirees who paid the premium surcharge.

NYSUT and the American Federation of Teachers, one of its national affiliates, will continue to advocate on this issue for all retirees.

NYSUT and the AFT are committed to fixing the flawed 2003 Medicare law," said Donahue, whose office oversees retiree issues for NYSUT. "It's time to repeal the income means test on Medicare Part B premiums."

— Bernie Mulligan