Omaha Public Radio News
Tue January 4, 2011
Judge approves agreement between city of Omaha, retirees on health insurance costs
By Katie Knapp Schubert
Omaha, NE – A federal judge has signed off on an agreement between the city of Omaha and retirees regarding health care premiums.
The ruling was announced Monday. It affects the civilian, police, and fire unions, as well as their retirees. The agreement, and subsequent court ruling, means the city's 34 health care plans will be consolidated in to four.
People who retired from their jobs with the city before May 18, 2010 won't pay for their health insurance if they weren't already doing so. Civilian employees who retired before August 2006 will move to a different health care plan but keep some of the benefits they currently have. All other retirees will move to the health care plans current civilian, police, and fire employees have.
John Corrigan represented the retirees and unions in court. He says the agreement and ruling are appropriate. The unions filed a lawsuit in May after the Omaha City Council voted to raise some health insurance premiums for retirees by up to 35 percent.
Omaha officials estimate the agreement will save the city one million dollars.