PEC Agreement Adopted

The final count for RTA’s ratification vote for the 9 year PEC agreement was 262 votes in favor, and 0 against.
Most other unions in the city already voted adoption, and with the size of RTA, this means the agreement will be going into force.
The MOA is available in the Documents section of this website for those who wish to reference the timeline of various changes. Please reach out to an officer or building rep if you have any further questions.

Health Insurance Agreement

Some members may have seen a change in health insurance billing on the first paycheck this year. This is related to an agreement reached in 2021 between the many city employee unions and the City of Revere, increasing the contribution rate for HMO plans from 20% of the premium to 22.5% of the premium.

Background

Under state law, municipalities can unilaterally opt into the Group Insurance Commission group plans (GIC), which limits plan benefits and widens the pool of insured members in order to reduce costs. Revere employees have always resisted this change and have worked hard to maintain access to our current plans (the Blue Cross PPO and HMO in particular). To this end, agreements have been reached between the Public Employee Committee (PEC) and the City at various points over the years.

The most recent such agreement was made in 2021 and went into effect at the start of this year. It increased all unit members’ salaries by 0.75%, but also increased the HMO plan contribution rate to 22.5%. (The Employee pays 22.5%, the city pays 77.5%). This was previously 20% for both HMO plans. Employees on the Blue Choice PPO continue to have a 25% contribution rate. The city dental plan (Dental Blue) has long been a 50/50 premium split.

New Proposal

The PEC recently concluded another round of negotiations with a focus on maintaining our excellent plan designs. This time, a tentative agreement has been reached which secures our excellent health insurance for nine years, and accepts only modest increases in premium shares. Overall, our health insurance costs remain better than typical school districts in Massachusetts, and our plan options are top tier. It is common to have GIC insurance and a 40% employee premium share. The PEC enthusiastically recommends ratification of the Memorandum of Agreement. We are proud to keep employee contributions under 30% and maintain our excellent plan designs for the next nine years.

The RTA Executive Board recommends adoption of the PEC Memorandum. A ratification vote will be held via secure online ballot the week of September 9.

Summary of proposed changes

In addition to barring the city from enrolling in GIC instead of the current plans, the following schedule of premium split changes would be adopted:

  • No changes for the first four years.
  • Increase employee HMO split by 2.5% starting July 1, 2028 (Resulting in 75/25 for all three plans).
  • Increase all splits an additional 2.5% July 1, 2030 (72.5/27.5).
  • No further changes until July 1, 2033.

Additionally, effective July 1, 2027 the limit on annual dental coverage rises $500 to a total of $1500 in covered expenses per year.

Additional changes are made for retirees benefiting from city health insurance, although most employees retiring before 2027 are grandfathered in at current rates based on their available plans. Please review the full MoA for details of retiree insurance costs.

Fair Contract for Newton Now!