Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Retirement system warns PHIP costs rising after federal changes; board to draw retiree trust
Summary
Retirement Systems of Alabama officials told the Education Trust Fund committee PHIP covers about 355,000 lives and faces steep cost pressures from Medicare Advantage funding changes and utilization; the system plans withdrawals from a retiree trust and sought additional ETF funding to cover an FY27 shortfall.
Nia Scott of the Retirement Systems of Alabama told the Education Trust Fund budget committee that PHIP — the system that covers active employees, retirees and dependents for K–12, community colleges and three universities — covers roughly 355,000 lives and cost about $1.67 billion in fiscal 2025.
Scott said recent federal changes to Medicare Advantage funding and provisions of the Inflation Reduction Act increased the program’s costs sharply, producing roughly a $150 million one‑year increase and projecting an aggregate rise through 2028. “CMS … shifted a lot of the cost to PHIP,” she said, describing less than a…
Already have an account? Log in
Subscribe to keep reading
Unlock the rest of this article — and every article on Citizen Portal.
- Unlimited articles
- AI-powered breakdowns of topics, speakers, decisions, and budgets
- Instant alerts when your location has a new meeting
- Follow topics and more locations
- 1,000 AI Insights / month, plus AI Chat
