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Health insurance benefit at risk in Senate Springfield bill

The Senate Thursday approved a bill placing the operations of the City of Springfield under a state-managed control board that will have extensive powers, including the power to propose a reduction in the city's share of public employee health insurance premiums.

The Senate bill differs from the Springfield bailout bill approved by the House last week in several respects, and must go back to the House next week for another vote. MTA members are urged to call or e-mail their representatives and ask them to reject the Senate bill in its current form.

The House bill would have given Springfield a $52 million no-interest loan and also would have established a control board. The Senate bill reduces that loan to $32 million. The House bill contains no reference to rescinding adoption of a state law that allows municipalities to pay more than 50 percent of employee health insurance premiums. Having adopted that law (Sections 7A and 9E of Chapter 32B), Springfield currently pays more than 50 percent of the premiums, though the level varies depending on the health care program an employee selects.

Springfield teachers already have paid a heavy price for the city's fiscal problems. They have not received a pay raise in two years and have not even received the "step" increases and increases for obtaining more education credits that had been required under the contract. That contract has expired and was not extended by the school committee. Senator Steven Tolman (D-Boston) attempted to add an amendment that would have extended the teachers' contract, but that amendment was not adopted.

If enacted, the Senate bill in its current form would allow the control board to propose legislation that would enable the city to reduce its share of health insurance premium costs. Such a bill would have to be approved by the Legislature before it could take effect.