Governor Jim Justice’s newly appointed Public Employee Insurance Agency Task Force has had its first meeting. It was largely an organizational gathering—a challenge itself since the panel has 29 members.
Some panel members already appear to be focused on how and where to find more tax dollars to dedicate to the state’s health insurance plan for 220,000 active and retired school teachers and state workers.
Let’s not get the cart before the horse. The delivery of health care in the state operated insurance program is immensely complicated and already very expensive. PEIA will pay out close to $1 billion in claims this year.
The next task force meeting is April 10 and Chairman Mike Hall has wisely scheduled a tutorial on PEIA. “You’ll see how all the different things work, what drives costs, what the reserves are. I think that’ll be very critical as we go forward.”
Hall is right. At some point there will be a discussion of what, if any, additional funding for PEIA is needed and where it should come from, but first the task force needs facts on what PEIA is and is not.
The task force is also expected to divide into smaller groups that will hold public hearings across the state so PEIA members can tell their personal stories, share their concerns and make suggestions. Task force members will hear firsthand how the health insurance program is working.
The health insurance issue was a primary driver behind the teacher and service worker strike that closed schools for nine days. Most of the picketers were worried about rising premiums and out-of-pocket costs, but many also had more specific complaints about PEIA.
Their mantra has been for a “dedicated funding source” for PEIA, which would translate into a new or higher tax in addition to the annual allocation of 80 percent of the cost from the General Fund. (The employees absorb the other 20 percent.)
That may be necessary, but that decision should be made at the end of the process. It is better to have an understanding of where the $1 billion in claims is going this year before hastily committing more money for the program next year.
West Virginia taxpayers have skin in this game as well, many of whom are struggling with their own health care cost issues. They also deserve the due diligence of the task force to come up with well-researched, practical proposals for PEIA.