COUNTY CONTROLLER WAGNER’S RESOLUTION TO RESTORE PROMISED LIFE INSURANCE BENEFITS TO COUNTY RETIREES CONSIDERED BY COUNCIL TODAY

Allegheny County Controller Chelsa Wagner’s resolution to restore promised life insurance benefits to County retirees will be considered by County Council today at its meeting at 5 p.m. The proposed legislation calls for the re-allocation of $200,000 of the $817.3 million County operating budget to bridge the gap that has left more than 1,000 retirees with an abrupt $6,000 reduction in life insurance coverage.
 
“Retirees remain in the dark,” Wagner said, “although Exec. Fitzgerald claimed a fix is done. If you have solved a problem, why not communicate it to these retirees, who are unnecessarily suffering, wondering what to do if benefits they worked for are being pulled out from under them? If this problem truly has been fixed, then the County Executive should be transparent and communicate that resolution to the retirees, me, Council (who has budgetary responsibility), the members of the Retirement Board, and to the taxpayers.”
 
As part of a provider switch to Lincoln Financial beginning in 2014, the County communicated to retirees earlier this year that their life insurance benefits would be reduced to $4,000, despite the fact that those retirees had previously been promised $10,000 in life insurance upon retirement by the County. The reduction affected more than 1,000 retirees. Earlier this month, Controller Wagner addressed Council to stress the importance and relevance of this issue, and vowed to remain committed to pursuing this issue to its final resolution.
 
“The uncertainty faced by these retirees must be resolved,” Wagner said.  “My resolution simply calls for these retirees to be made whole and for Allegheny County to abide by its promises. There’s no reason for delay or secrecy.”