September 09, 2008
Paterson dumps Legislature's retiree health taskforce for his own
The Legislature will get what it says it wants--a taskforce to study health benefits for retired government workers. But the taskforce Governor David Paterson will name won't look like the one he vetoed Friday.
In rejecting a bill to create a 12-member taskforce, Paterson took issue with its failure to "sufficiently reflect a diversity of opinion."
The Governor is given two appointees; the Legislature eight. The New York State AFL-CIO would nominate three members of the taskforce (one more than the Governor); local governments and retirees directly impacted by the bill would choose none....I cannot approve a bill that leaves crucial interest unrepresented, or that grants the Chief Executive such a limited role in a taskforce who recommendations may impact the state's fisc.
The bill would have imposed a one-year moratorium while the taskforce deliberated. During that time, state and local governments could not make any changes to retire health benefits unless a union representing active employees agreed to the same changes for their members.
Paterson says that provision could make it impossible (or at least subject to legal challenge)
....to change retiree health benefits in ways that reflect their unique status, or reasonably improve efficiency. For example, an employee may seek to alter retiree benefits to reflect changes in Medicare which do that apply to most active employees.
By executive order, the governor plans to create taskforce "directed at finding the appropriate balance between protecting the important interests of retirees, and insuring adequate flexibility for state and local governments at this time of fiscal constraint."
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