Interim committee finishes employee benefit report

Benton Alexander Smith//November 29, 2016//

Interim committee finishes employee benefit report

Benton Alexander Smith//November 29, 2016//

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The Legislature’s interim committee on employee benefits approved its final report to the Legislature with a unanimous vote Nov. 29, stating that the committee will not recommend a new employee healthcare plan, but will ask that an advising firm be hired in order to help choose a plan next year.

“This has mostly been an educational opportunity,” said Sen. Todd Lakey, R-Nampa. “Hopefully we can build off of this momentum next year.”

Sen. Todd Lakey
Sen. Todd Lakey

The committee examined state employee benefit options because the state’s health insurance plan managed through Blue Cross Idaho rises in cost 7 percent to 8 percent annually.

The committee looked into different type of insurance plans such as self and fully-funded, but decided it did not have the expertise required to choose a specific plan under either type. It is instead requesting that the Legislature hire an advising firm to research plans to find one that can lower costs without overly affecting employee benefits.

Rep. Fred Wood
Rep. Fred Wood

“Hopefully the Legislature will approve this committee again next year and we will be able to continue this work,” said Rep. Fred Wood, R-Burley.

A study commissioned by the Legislature in December 2015 found the state relies on its benefits package to retain employees because several state positions pay less than similar positions in the private market. The state is expected to pay its employees 16 percent below the private market in 2017, according to the Legislature’s Office of Performance Evaluation.