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TRENTON’S ENROLLMENT IN THE STATE HEALTH BENEFITS PROGRAM EXPANDS EMPLOYEE OPTIONS AND SAVES $1 MILL
Release Date: July 22, 2014
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-- Mayor Eric Jackson announced today that the city’s conversion to a prescription drug and dental plan managed by the State of New Jersey will provide more choices for city employees and save taxpayers an estimated $1 million a year.
TRENTON’S ENROLLMENT IN THE STATE HEALTH BENEFITS PROGRAM EXPANDS EMPLOYEE OPTIONS AND SAVES $1 MILLION
TRENTON, New Jersey – Mayor Eric Jackson announced today that the city’s conversion to a prescription drug and dental plan managed by the State of New Jersey will provide more choices for city employees and save taxpayers an estimated $1 million a year.
“My primary goal is to ensure that city employees and their dependents have access to high-quality health care options,” said Mayor Jackson. “This decision achieves a significant savings for taxpayers that are fundamental to our city’s long-term economic health.”
While Trenton municipal government currently participates in the New Jersey State Health Benefits Program for the medical needs of city employees, until now, it has not included dental and prescription drug benefits, the latter of which is administered by Express Scripts (MEDCO). The city’s complete conversion to the state plan becomes effective on November 1, 2014.
Expanding into the State of New Jersey’s prescription drug program will save taxpayers an estimated $750,000 annually and reduce what city employees contribute biweekly to help pay for this benefit. A $268,000 annual savings is estimated when the city’s dental plan is folded into the state-administered program. It also expands the number of plans from which city employees can choose from two to six, one of which limited employees’ choice of dentists.
At its regular meeting on July 17, 2014, the City Council approved Resolution 14-337, which authorized the city’s participation in the New Jersey State Health Benefits Program for prescription drug and dental coverage.
City Council President Zachary Chester applauds the Jackson administration's move to reduce the costs of providing employee benefits. “Prescription drugs are among the most rapidly growing health care expenditures in the U.S. Strategic planning in our management of the impact of this trend will reduce our city’s cost and limit employee out-of-pocket expenses.”
“The city and its employees benefit from the State of New Jersey’s considerable purchasing power, benefits management expertise and efficiencies,” added Mayor Jackson.