“We would have to turn off the lights in Pleasantville and lock the door if this increase goes through,” said Pleasantville's mayor. It could cost local governments $350 million.
is under fire from local government leaders and some state lawmakers as municipalities and counties in New Jersey grapple with an unprecedented double-digit rate increase on premiums for state health benefit plans.of more than 20% on health plans that cover more than 800,000 state and local government workers, including a 22.8% rate increase on premiums for local and county governments.
Newark Mayor Ras Baraka said the rate hikes are expected to cost his city about $24 million, “and that does not include all of the other expenses that are growing here in the city.” Rate hikes are expected to cost Essex County about $21 million, County Executive Joseph DiVincenzo, Jr. said, adding that “it doesn’t look good for the people of this county.”
As part of the compromise, state employee co-pays for specialists will double from $15 to $30 and co-pays for urgent care will increase from $15 to $45. The deal with state employees and the way the Murphy administration handled the rate increases this year have left local government leaders and some state lawmakers angry and perplexed.
Local leaders also are asking Murphy to extend the open enrollment period for the State Health Benefits Program by at least 30 days. Open enrollment began on Oct. 1 and ends the last day of the month.
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