Washington State School Retirees' Political Action Committee

Result:
Thanks our collective efforts we were able to keep the PUC legislation from being assigned a bill number; Plans 2 and 3 pension funds were not depleted by $385 million dollars! Thanks for helping us make this happen.

Background:
WSSRA has consistently opposed manipulation of pension funding at the expense of benefit improvements for current and future retirees. A long-time legislative goal of WSSRA has been "Full funding of Washington State's pension systems." WSSRA has emphasized this goal with the specific objective of the Legislature's, "Adherence to RCW 41.45.010 which calls for dependable and systematic pension funding processes and pension contribution rates which will remain a relatively predictable proportion of future state budgets."

Under current statute, only Plan 1 is permitted to accrue an Unfunded Liability. According to the 2007 Actuarial Valuation (produced in September 2008), the Unfunded Actuarial Accrued Liability for the Teachers Retirement System (TRS) and Public Employees Retirement System (PERS) Plan 1, which must be paid off by 2024, amounted to $5.897 billion. This number has since increased due to recent declines in the value of pension fund investment.

Proposal:
Governor Gregoire's 2009-11 Operating Budget (HB 1244 /SB 5600) proposes cuts in employer contribution rates amounting to a State-General Fund savings of approximately $385 million. In order to accomplish this savings, the Legislature must pass the Governor's proposal to change the Plan 2/3 pension funding method to the Projected Unit Credit (PUC) method of funding which will allow Plans 2/3 to accrue an unfunded liability.

WSSRA Position: OPPOSE
As recently as the 2008 Interim, policy makers have touted the positive funding status of Plans 2/3. WSSRA encourages legislators to be mindful of ongoing burdens caused by the Plan 1 unfunded liability before they rush to permit Plans 2/3 to generate an unfunded liability.

• Employers are burdened by having to pay extra contributions toward the Plan 1 Unfunded Liability that are higher than they would have been had previous funding manipulations not occurred.
• Retirees bear the burden of the Plan 1 Unfunded Liability with the Legislature's unwillingness to improve Plan 1 pension benefits which have been shown by the Office of the State Actuary to have reduced in value by approximately 50% for long-time school retirees.

Result:
Thanks to your phone calls, letters and emails and our lobbying efforts, we did get Access to Mailings ESSB 5238 passed.

Background:
Organizations such as WSSRA provide important services to members of the Washington State retirement systems. Over the years, access to blind mailings through the Department of Retirement Systems (DRS) has varied according to the pleasure of the Director of DRS.

Proposal:
ESSB 5238 allows any organization that exclusively provides representation or services to retired members of the Washington state retirement systems and has membership dues deducted through the Department of Retirement Systems to request the Department of Retirement Systems to assist in doing blind mailings to retirees twice each year. SHB 1219 was amended in the House State Government & Tribal Affairs Committee to clarify provision of access to blind mailings to members of the retirement systems and that the retiree organizations bear the entire cost of the mailings, thus "no fiscal impact."

WSSRA Position: SUPPORT
WSSRA requests support for this legislation which will advance our membership recruitment efforts.

Background:
Under the federal Health Insurance Portability and Privacy Act (HIPPA) it is not considered "marketing" for a doctor to make a prescription refill reminder even if a third party pays for the communication. The prescription refill reminder is considered treatment. The communication is therefore excluded from the definition of marketing and does not require a prior authorization. Similarly, it is not marketing when a doctor or pharmacy is paid by a pharmaceutical company to recommend an alternative medication to patients. Communications about alternative treatments are excluded from the definition of marketing and do not require a prior authorization. The simple receipt of remuneration does not transform a treatment communication into a commercial promotion of a product or service. In addition, doctors, pharmacies, and health plans may use a legitimate business associate to assist them in making such permissible communications.

Proposal:
Health care providers, including pharmacists and pharmacies health carriers, pharmacy benefit managers, or the business associates, subsidiaries, or the affiliates of these entities are prohibited from sharing, selling, or using health care information for the purpose of marketing prescription drugs to patients. This proposal has "no appropriation."

WSSRA Position: SUPPORT
Patients deserve their privacy. WSSRA requests support for this legislation which will help to protect patient privacy.

Background:
In 2007, the Washington State Long-Term Care Financing & Chronic Care Management Task Force made recommendations for expanding opportunities that best ensure families have the information and tools necessary to care for their loved ones.

Proposal:
Known as the "Aging in Place" bill, HB 1330 completes the work of the Long-Term Care Task Force by calling for:

• Expanded Family Caregiver Support - targets support services and respite care help to sustain family caregivers.
• Navigation and Planning - expands Aging and Disability Resource Centers (ADRCs) which help consumers navigate available services.
• Improved Chronic Care Management - promotes communication among provides regarding patients with multiple chronic conditions improves health outcomes and saves money.