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<br /> . > <br /> . <br /> Because of this, and other features of the contract, the administration itself expects the <br /> contract to result in a 4.44 % increase from this biennium to the next. <br /> Additionally, for 1994, each employee will receive $80, posted to the employee's pre-tax <br /> spending account, for medical or dental expenses. This one year only contribution amount <br /> will revert to the state if not used by the employee. <br /> Benefit changes also were made by the parties, particularly in the area of health and dental <br /> care. Both systems are converted to a primary care/preferred provider type system where <br /> the employee who chooses out-of-network care is required to pay a larger deductible. <br /> Employees who stay within the network, however, are rewarded under the contract by not <br /> having to pay any deductible at all! Under the state's new health plan, employees will also <br /> not have a 20 % co-payment for inpatient hospitalization. While impossible to predict with <br /> exact certainty, the potential avoidance of a $25.00 per year deductible for dental and a $100 <br /> single/$200 family deductible for health care for many employees is quite attractive, <br /> particularly since it is accompanied by the $80/employee of "med money." In exchange for <br /> these employee-favorable features, the state gained larger deductibles for out-of-network <br /> care, and an increase in the drug co-payment from $5.00 to $5.50 per year. <br /> While there are many other features of the contract which could be discussed (see <br /> . accompanying list), we believe that these facts alone should demonstrate that simply referring <br /> to the settlement as a 0/3.25% contract is wholly inaccurate and irresponsible given the <br /> importance of labor-management relations and recent media attention. <br /> On a related matter, the League staff is continuing to work with the state and other <br /> government associations (most notably the school and county associations) to create a <br /> workable settlement reporting form that would enable improved cost analysis and <br /> comparison. <br /> Please contact us with any reactions or advice on any of these issues. <br /> IFM/JJJ:rnjd <br /> . <br />