Please note that the summaries of news items posted on this page do not necessarily represent the official positions of CSU-ERFA or its affiliates.  Links contained within the summaries may take you to the original news sources.  CSU-ERFA is not responsible for the content of linked articles and cannot guarantee the accuracy or completeness of those articles.

January 2012

One of the problems of retirement is that it gives you more time to read about the problems of retirement. ~Author unknown.

The San Francisco Chronicle reported today (January 14, 2012) that State Senator Leland Yee (D, San Francisco) has introduced a bill, SB967, to limit the pay of California State University executives.  Under the Yee bill, CSU executives would not be able to receive pay raises within two years of a tuition increase or a year in which there was no increase in the CSU budget.  The Yee bill also would limit the pay of newly hired CSU executives.  Their pay could not exceed the pay of their predecessors by more than 5%. A bill introduced earlier in the current session, SB755, by State Senator Ted Lieu (D, Torrance) would limit the pay of CSU campus presidents to 150% of the pay of the Chief Justice of the California Supreme Court. _______________________

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November 2011

Don't play too much golf.  Two rounds a day are plenty.  ~Harry Vardon

The Los Angeles Times reported on Nov. 21, 2011 that the  California Supreme Court ruled unanimously that "health benefits for government retirees may not be eliminated if state and local governments had clearly promised workers those benefits."  This ruling grew out of a 2007 Orange County case, where the county had attempted to revamp the health care benefits for its retirees to save money.  The revised benefit program would have caused the health plan premiums for county retirees to increase substantially. The case now goes back to the federal appeals court for further adjudication. _______________________ We have received the following information from CalPERS regarding changes to pharmacy benefits for CalPERS Health Plan members that will take place on January 1, 2012.  Some changes apply to all people in CalPERS health plans.  Others apply only to the CalPERS self-funded PPO plans.  Please read this information carefully. If you have any questions or problems with your pharmacy benefits, please contact CalPERS first.  However, if you are unable to resolve the problem and you are a CSU-ERFA member do not hesitate to call CSU-ERFA headquarters for assistance. Press Release November 1, 2011 External Affairs Branch (916) 795-3991 Robert Udall Glazier, Deputy Executive Officer Brad Pacheco, Chief, Office of Public Affairs Contact: Bill Madison, Information Officer pressroom@calpers.ca.gov Pharmacy Benefit Changes for CalPERS Health Plan Members in 2012 SACRAMENTO, CA – Beginning January 1, 2012, CalPERS members will see a few changes in their health plan pharmacy benefits approved by the CalPERS Board of Administration earlier this year. One change is a “member pays the difference” requirement. Under this new rule, when a doctor prescribes a brand name drug – and a U.S. Food and Drug Administration (FDA) approved generic equivalent is available – the member will pay the difference between the costs of the brand name and the generic drug. The member will also have to make the generic drug co-payment.

To use a hypothetical example, a doctor might write a prescription for a brand name drug for which a generic drug equivalent is available. The plan cost of a 30-day supply of the brand name drug is $100 and a 30-day supply of the generic drug is $15. The member preferring to use the brand name drug will pay the $85 difference plus the applicable $5 co-payment. The total cost to the member will be $90, versus $5, had the member selected the generic drug. A member may obtain an exception to the “member pays the difference” requirement if the prescribing physician provides thorough documentation that the member must use a brand medication and not the generic equivalent. Another change is that the co-payment for retail pharmacy purchases of brand name drugs will increase by $5. Furthermore, the co-payment for 90-day mail order prescriptions of brand name drugs will be standardized at double the co-payment of a 30-day retail subscription; this means that members can receive a 90-day supply of a maintenance medication through the mail for the same price of a 60-day supply purchased at a pharmacy. There will be no increase in the co-payment for generic drugs bought at retail pharmacies or through the mail. CalPERS Board members approved the increase in its members’ share of pharmacy benefits due in large part to the fact that CalPERS is below the median copayment for preferred drugs. In addition, the employer share of pharmacy costs has risen over the past several years, while the member share has decreased. The last CalPERS pharmacy benefits co-payment increase was in 2001. The new co-payment structure will result in an alignment that brings CalPERS portion of pharmacy benefit costs to about half of where they were when the last co-payment increase occurred. In June, the CalPERS Board of Administration awarded CVS Caremark the contract as the new Pharmacy Benefits Manager (PBM) for CalPERS self-funded Preferred Provider Organization (PPO) plans. CVS Caremark will replace the current PBM, Medco, in January 2012. PPO members will have a new option of obtaining 90-day supplies of maintenance medications at a CVS retail pharmacy. CVS Caremark’s “Maintenance Choice Program” allows a member to enjoy same-day prescription availability and to talk face-to-face with a pharmacist while paying a low mail-order co-payment. More information on CVS Caremark and the transition of PBM services is available online at www.caremark.com/calpers. CalPERS is the largest purchaser of public employee health benefits in California, and the second largest public purchaser in the nation after the federal government. CalPERS provides health benefits to more than 1.3 million State and public agency active and retired members at an annual cost of nearly $7 billion. For more information on CalPERS, please visit www.calpers.ca.gov. ### Dated: 11-01-2011 _______________________

 

October 2011

Q. How many retirees does it take to change a light bulb? A. Only one, but it might take him or her two or three days. ~Author unknown.

CSU-ERFA State Council approves Executive Director search.  Under CSU-ERFA policy a search for the position of Executive Director must be held at least once every four years.  The CSU-ERFA State Council approved the position announcement for this office at its October 15, 2011 meeting in San Jose. The consideration of applications for this position will begin on January 2, 2012.  Anyone interested in applying for this opening should read the position announcement, which is available here. _______________________

 

September 2011

 

August 2011

 

July 2011

O, blest retirement! friend to life's decline - How blest is he who crowns, in shades like these, A youth of labor with an age of ease! ~Oliver Goldsmith

The Los Angeles Times reported yesterday (July 21, 2011) that a study entitled "Consequences of Neglect" issued by the Institute for Higher Education Leadership and Policy at CSU Sacramento shows that public higher education in California is in decline. The reports looked at trends in six areas of performance: preparation, affordability, participation, completion, benefits, and finance.  Except in the area of participation, California ranked no better than average.  However, in only one area, preparation - where California currently ranks below average, was there an improving trend.  And, in the area of participation, where California currently ranks above average, the trend is downward. _______________________ A video of the recent CalPERS candidate forum for the runoff election for the open seat on the CalPERS Board is now available online courtesy of PERSWatch.  Recall that your ballots for this election must be postmarked by July 28, 2011. _______________________ Today, July 7, 2011, the Executive Committee of CSU-ERFA endorsed Richard H. Ross for the open seat on the CalPERS Board.  We encourage all members to support his election. _______________________

 

June 2011

One of the problems of retirement is that it gives you more time to read about the problems of retirement. ~Author unknown.

In a press release issued today CalPERS announced that it has chosen CVS Caremark to replace Medco as the pharmaceutical provider for CalPERS members enrolled in PPO health plans.  The switchover from Medco to CVS Caremark will take place on January 1, 2012.  More details are provided in the press release. _______________________ According to the following CalPERS press release, PERSWatch is sponsoring a candidates' forum for the upcoming CalPERS runoff election.  Transcripts of the forum are expected to be available on the PERSWatch website shortly after the July 6th event. PERSWatch will sponsor a “CalPERS Candidates’ Forum,” moderated by the League of Women Voters of Sacramento County, on Wednesday, July 6, 2011 from 6:00 p.m. to 8:00 p.m. The forum will take place in the CalPERS Auditorium, Lincoln Plaza North, 400 P Street, Sacramento, California.  Both candidates running in the Special Runoff Election, to fill the Member-At-Large Position B vacancy, have confirmed their attendance. This forum is open to all CalPERS members, media and the general public and is free of charge. Attendees will have the opportunity to submit questions to the candidates via question cards that will be available upon arrival. The League of Women Voters will screen questions submitted and present to candidates as appropriate.  No food or drinks will be allowed in the Auditorium. Seating is limited. Parking will be available for free in the Lincoln Plaza North Garage. Entrance to the garage is located on Q Street between 3rd and 5th Streets.         _______________________ CalPERS will be mailing ballots for the runoff election for the open CalPERS Board seat on June 30, 2011 since no candidate received a majority in the previous election.  Retired CalPERS members who retired on or before June 1, 2011 are eligible to vote in this election.  Signed ballots must be postmarked by July 28, 2011 to be counted. The runoff is between Michael Bilbray who received 46,032 votes and Richard Ross who received 26,522 votes. _______________________

An article by Lisa Zamosky in today's Los Angeles Times (June 13, 2011) provides information about two health care topics that are important for seniors.  One concerns health care advance directives, which it turns out some providers may choose to ignore under certain circumstances.  The other gives information on how to find fee schedules for both insurance companies and Medicare.  This is information that doctors' offices and hospitals often are reluctant to provide. _______________________ Information and news from CalPERS now is available on three social media sites - Twitter, Facebook, and You Tube.  The links to the sites are: http://www.twitter.com/CalPERS http://www.facebook.com/myCalPERS http://www.youtube.com/CalPERSNetwork Information and news from CalPERS, of course, is available on the CalPERS website http://www.calpers.ca.gov/ however, the social media sites generally are easier to negotiate if all you want is the latest news from CalPERS.  You will need to set up an account on each of the social media sites that you wish to use to view CalPERS news if you don't already have one. _______________________ We extend a hearty welcome to the following new members of CSU-ERFA: Chico – Patrick W. Kopp East Bay – Judith Faust, Jane E. Lopus Long Beach – Richard D. Wollmer Los Angeles – Stephanie E. Edwards-Evans Sacramento – Anne L. Whitteaker San Francisco – Richard L. McCline San Jose – Robert J. Cullen San Luis Obispo – Eugene D. Fabricius Sonoma –Floyd L. Brooks Stanislaus – Nancy J. Taniguchi _______________________