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SAA Opposes AB-219
By Wisconsin School Administrators Alliance staff | September 28, 2011
The SAA registered its opposition to Assembly Bill 219 at a public hearing held before the Assembly Committee on Urban and Local Affairs yesterday.
AB-219 would prohibit a local government (including a school district) from providing health care benefits to any employee hired on or after the bill’s effective date for use upon the employee’s retirement unless the cost of the benefit is fully funded on an actuarial basis.
The SAA and other organizations raised several areas of concern including:
- This is a complicated issue with the potential for unintended consequences;
- The impact on local budgeting as well as the ability of employers to recruit and retain qualified staff;
- Additional cost for extra actuarial work required under the bill; and
- The bill would impose restrictions before we even see how the new flexibility gained from Act 10 and Act 32 will change local government HR practices, benefit plan design and funding of OPEB liabilities.
The SAA will closely monitor the bill and inform members of any significant developments.
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