Anne Arundel Council Right to Rein in Health Insurance Costs

ROCKVILLE, MD (January 8, 2014) – The Maryland Public Policy Institute today praised the Anne Arundel County Council for voting to put the County retiree health program on sustainable footing with $300 million in savings.  The Council’s bipartisan vote Monday on Bill 85-13 comes two months after the Institute released a report, titled “Perpetual Shortfall,” showing that Maryland state and local governments carry nearly $28 billion in unfunded retiree health obligations.

“Like many counties in Maryland, Anne Arundel County’s retiree health benefits program is speeding toward insolvency,” said Christopher B. Summers, president of the Institute.  “With $1 billion in obligations looming, the program could wreck the County’s finances.  The Council deserves credit for voting to rein in exploding health benefits liabilities while ensuring county employees have access to health benefits in the future.  We hope the Anne Arundel County Executive signs this important legislation into law.”

Bill 85-13 now awaits County Executive Laura Neuman’s signature.  

About the Maryland Public Policy Institute: Founded in 2001, the Maryland Public Policy Institute is a nonpartisan public policy research and education organization that focuses on state policy issues. The Institute’s mission is to formulate and promote public policies at all levels of government based on principles of free enterprise, limited government, and civil society.

                                                                   ###