Faced with a continued decline in revenues, local governments across the country are looking at employee health care costs to help balance budgets.
The study, "Health and OPEB Funding Strategies: 2011 National Survey of Local Governments", found the number of local governments settings aside funds to pay the long-term costs of retiree health care had fallen from 30 percent in 2010 to 21 percent in 2011. Strategies such as wellness programs and higher out-of-pocket costs are also being used to bring costs under control.
More than 1600 local units of government from across the country responded to the survey which was performed by Cobalt Community Research.
Arnold Weinfeld is Director of Strategic Initiatives and Federal Affairs for the Michigan Municipal League. He can be reached at 517-908-0304 or by e-mail.
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