In a previous post I wrote about the fact that the GOP Romney/Ryan attack on Medicare was as close as two coats of paint to what the Illinois Democrats are doing to retired state employees. Specifically to those depending on the Teacher Retirement Insurance Plan.
To check my numbers, I gave Will Lovett a call.
Will Lovett is an IEA Lobbyist and knows pensions.
I asked Will, “I just want to confirm that my understanding is correct. As a result of the forced choice between COLA and TRIP, teachers opting for the COLA would be denied access to a program in which they now pay the largest share of the premium. Active teachers pay roughly $92 million, districts pay roughly $69 million and the state pays $92 million. Is that right?”
Will answered, “Remember that retired teachers pay hundreds of millions of dollars in retiree health insurance premiums currently. For the current year retired teachers will pay hundreds of millions. Basically to pay for the program, our members contribute the majority to fund the program. Whether they are active, retired, or at the bargaining table.”
As a result of Govnernor Quinn’s proposal, the state would deny access to the Teacher Retirement Insurance Plan to teachers opting to keep their COLA payments even though teachers pay around 70% into TRIP and the state pays next to the smallest amount into TRIP.
Not only are they obligated to pay the relatively small amount, it amounts to less than 20% of the total cost of the plan.
It is positively Paul Ryanesque.
Fred Klonsky 