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50 express concerns, blame lawmakers for PEIA increases

BY MIKE NOLTING

About 50 people attended the Public Employees Insurance Agency Finance Board meeting regarding proposed premium increases in Morgantown Thursday evening.

Members of the public and Delegate Evan Hansen (D-Monongalia) blame actions taken during the last legislative session that resulted in a 24% premium increase this year to meet the legislative requirement of 80-20 cost sharing between the employer and employee.

For fiscal year 2025, those covered by PEIA will have a 10.5% premium increase and a 13% increase and a $147 surcharge for eligible spouses of non-state employees.

“Very soon after they voted to increase PEIA for working people, the same people turned around and voted for a legislative pay raise for themselves,” Hansen said.

Joey Garcia (D, Marion) also laid blame at the feet of lawmakers, adding that the management of PEIA does not encourage employment or retention.

“People have really been lied to if they think they’re going to be taken care of, and the state is moving this forward,” Garcia said. “This is what happens when you have flat budgets for five or six years without looking at the type of investment that needs to be made to create a state government that works.”

WVU Faculty Senate Chair Frankie Tack told board members that higher education is in crisis and state funding continues to be cut. She said the 10.5% premium increase would cost the university $5 million in increased employer costs, and the proposed raise to employees to cover the increase would total another
$16 million. The total of $21 million in additional costs she fears could cause another budget crisis at WVU and more layoffs.

President of the Monongalia Chapter of the West Virginia Education Association Heather Deluca-Nestor said this is one of many PEIA meetings she has attended recently. Many of her co-workers, with spouses who have insurance options, have left teaching and service jobs because of the increases. After 24 years on the job, Deluca-Nestor said staying is no longer an easy decision.

“We’ve got to have a market where teachers want to do this job and stay here,” Deluca-Nestor said. “I don’t see legislatively us making any great strides to make that happen — they’re leaving in droves.”

WVEA President Dale Lee also called on the legislature to find a long-term solution that eliminates constant increases. Lee also wants lawmakers to mandate that annual plan savings should go toward reducing employee premiums and increasing premiums for retirees.

“We’ve consistently said the state should put no less than 80% in and the employee should put no more than 20% in, and any savings to the plan should be applied to the employee portion.”

American Federation of Teachers President Fred Albert expressed frustration but also said now is the time to solve this problem for good.

“We need to sit down and find a long-term fix for PEIA once and for all,” Albert said. “We’ve been saying this for years, and nothing is happening the way we want it to, so let’s roll up our sleeves and work together to find a sustainable, long-term solution.”