Benefits For Some City Retirees And Some Children To Be Repealed By City

Some children will lose their health benefits after voters reversed El Paso City Council’s decision to provide health insurance to gay and unmarried partners of city employees.

That’s because the wording of the ordinance on the ballot stated benefits should only be for city employees, their spouses and their dependent children.

Under federal tax law, foster children are not dependent children, so they’ll lose their benefits. Domestic partners and grandchildren of dependent children also will be losing benefits.

Employees who are eligible for healthcare benefits from other employers they’ve worked for, also will lose their city benefits even if they worked for the city longer and the benefits are better with the city. Mayor John Cook said that’s what they have to do because of the language of the initiative.

“Some people say, ‘why don’t you just fix the things that are wrong with it?'” Cook said. “We don’t know what voters were thinking when they passed the ordinance. Maybe they wanted as few people to be covered under the city’s insurance plan.”

City staff will immediately make these adjustments in plan coverage in enrolling employees under the current on-going open enrollment period taking place for the City’s health plan year 2011, and employees who have already enrolled and requested health coverage that is being eliminated will be re-enrolled as necessary.

City staff will not take action to eliminate health benefit coverage that is or may likely be protected by federal or state law. Examples include children who are entitled to receive coverage under the Patient Protection and Affordable Care Act; and retirees for whom the City is required to provide coverage under Chapter 175, Texas Local Government Code.

City staff will contact all current retirees for the purpose of verifying their eligibility to continue to receive health benefits.

The ordinance is set to go into effect Nov. 10 when the city ratifies the election.