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Politics & Government
Wed August 15, 2012
Michigan Senate approves healthcare changes for teachers
LANSING, Mich. (AP) - The Michigan Senate has approved a compromise bill that would end state-provided health coverage in retirement for new public school employees and require current workers to pay more for their pensions.
The measure passed Wednesday includes further study of a plan sought by some in the Republican majority to push new hires into a 401 (k)-style plan.
State officials say the proposal reduces by at least $15 billion a roughly $45 billion liability on the Michigan Public School Employees Retirement System. That comes partly from the state putting $130 million toward retirement costs that school districts are facing.
A version of the bill was previously passed by the House. That chamber is expected to approve the Senate measure.
The legislation would then head to Gov. Rick Snyder for his signature.