Leelanau County Considers Retire Health Care Cuts

By: Associated Press
By: Associated Press

SUTTONS BAY, Mich. (AP) -- Leelanau County is facing a $5.8 million charge for unfunded retiree liabilities and is considering cutting health care payments for non-union employees who retire in the future.

The Traverse City Record-Eagle reports that county commission Chairman Tom Van Pelt says addressing unfunded debt obligations is important to long-term financial condition of the northwestern Lower Peninsula county.

At Monday's meeting in Suttons Bay, commissioners consider a proposal to end a practice of making $100 per-month payments toward health insurance premiums for non-union employees who retire after 10 years of service. In its place, the county would make one-time lump sum payments to non-union retirees' individual health savings accounts.

The current system costs about $33,576 for a 30-year employee. The proposed new system would cost $15,000.

Nineteen employees would be affected.

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