Cayuga County lawmakers delayed a proposed overhaul of retiree health insurance Tuesday night after retirees and union representatives said they hadn’t been given enough information about how the change would affect coverage, prescription drugs and out-of-pocket costs.
The Legislature voted to table a resolution that would move Medicare-eligible county retirees and participating spouses from the county’s current Excellus BlueCross BlueShield coverage to Medicare Blue PPO, or a substantially comparable Medicare Advantage plan, beginning Jan. 1.
The proposal was one of the most consequential items on the September agenda. County officials have been looking for ways to control rapidly rising health insurance costs, and Legislature Chair Jonathan Anna said the Medicare Advantage switch could save the county roughly $3 million in the first year.
Anna characterized that amount as equivalent to roughly 5.5% to 6% of the county tax levy as officials begin working through the 2027 budget.
But retirees who attended the meeting said the county moved too quickly toward a decision without first explaining the practical effects.
Former county employee Joan Murphy told lawmakers retirees had received little or no direct communication about the proposed change before learning that a vote was scheduled.
She raised questions about prescription drug coverage, retiree contribution rates, what would happen to people who currently pay little or nothing toward their premiums and how the county would determine whether any future replacement plan was “substantially comparable” to existing coverage.
Murphy urged lawmakers to develop a more deliberate implementation process modeled after the approach Cayuga Community College used when introducing Medicare Advantage coverage.
The CSEA representative who addressed the Legislature also warned that the union has ongoing litigation involving previous changes to retiree prescription coverage and said another unilateral change could result in additional litigation.
That concern helped shift the tone of the discussion from whether the Medicare Advantage proposal could save money to whether the county had adequately prepared retirees for the change.
Several legislators said they remained supportive of the proposal itself but agreed the county needed to provide better information first.
One legislator said Cayuga Community College retirees already participating in the Medicare Advantage option had generally reported positive experiences and noted that prescription drug coverage is included. But she also acknowledged that lawmakers had access to information that retirees hadn’t seen.
Legislators suggested posting plan documents online, sending physical mailings to retirees and holding informational sessions before the issue returns for a vote.
The resolution itself says Medicare Blue PPO provides coverage comparable to the current Excellus plan and carries a substantially lower premium. Cayuga County has offered the Medicare Advantage option voluntarily since 2022.
Under the proposal, current Medicare-eligible retirees would be moved into the plan in January. Retirees who aren’t yet eligible for Medicare would transition when they become eligible, and future retirees would follow the same structure.
For non-bargaining retirees, the resolution would set the contribution at 5% of the individual premium, plus another 10% for an eligible spouse. Contribution rates for retirees covered by collective bargaining agreements would depend on the applicable contract and existing retiree contribution level.
Anna voted against tabling the proposal but said he continues to support the change and expects it to return.
The rest of the Legislature supported delaying action, leaving the resolution on hold until the October meeting.
The delay gives county officials roughly a month to answer questions that became central Tuesday night: not simply how much the county could save, but what retirees would actually experience if the change is approved.
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