title
PROPOSED RESOLUTION
Title:
Containing Cost for Annuitant Healthcare
Text:
WHEREAS, the Cook County Annuity and Benefit Fund bears the majority of costs for providing healthcare to Cook County Annuitants; and
WHEREAS, many pension funds around the State face the same problems with funding shortfalls; and
WHEREAS, healthcare costs have risen at unprecedented rates adding to the Cook County Annuity and Benefit Fund's further financial uncertainty with current estimates of the funds insolvency by 2038; and
WHEREAS, the Cook County Annuity and Benefit Fund currently pays between 49-55% of retiree's healthcare premiums and Cook County contributes 0%; and
WHEREAS, other similar government agencies fund a large portion of their annuitants healthcare such as: Police 55%; Fire 55%, Municipal 55%, and the MWRD 75%; and
WHEREAS, the Illinois State Statute does not require that healthcare be provided to annuitants; and
WHEREAS, the Cook County Annuity and Benefit Fund has implemented many changes in annuitant's healthcare plan to help control costs but more must be done to keep the Fund solvent; and
NOW, THEREFORE, BE IT RESOLVED, that the Cook County Board of Commissioners requests the Board of the Cook County Annuity and Benefit Fund to investigate the annual cost savings for several scenarios for changes to the healthcare benefit including: both elimination and gradual reduction of benefits to annuitants; both reduction and elimination for future annuitants; and both reduction and elimination of benefits for annuitant's spouse or partner opting into healthcare; and
BE IT FURTHER RESOLVED, that the Board of the Cook County Annuity and Benefit Fund provide a report to the Cook County Board with the results of the investigation by the end of the first quarter, 2014.
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