Bill for retired teachers' benefits sent to Legislature

Unsure whether the state or school districts are supposed to pick up the tab, the Board of Examiners on Tuesday forwarded a $2.3 million bill for retiree health benefits to the Legislature.

In 2003, lawmakers approved legislation ordering local governments and school districts to take back the retirees they have dumped on the state benefits system over the years and to help subsidize monthly payments for those retirees.

School districts say a total of 798 retired employees are now entitled to enroll either in their health benefit programs or to be subsidized for benefits from the Public Employees Benefits Program.

That will cost them more than $2 million a year statewide, and they say they have no way to pay the tab because it wasn't planned in their budgets.

So they submitted the bill - $2.35 million for fiscal 2004 - to the state.

"And this is for this fiscal year only," said State Director of Administration Perry Comeaux. "They would have need of this much more in 2005."

Gov. Kenny Guinn questioned whether lawmakers intended the state to pay the cost or for the school districts to pay it.

"We don't think it's clear whether the Legislature really intended to impose this on the districts," said Comeaux. "I guess we'll find out when it goes to (the Interim Finance Committee)."

Guinn, Secretary of State Dean Heller and Attorney General Brian Sandoval agreed and approved the expenditure from contingency funds, sending the issue to lawmakers.

In other business, the board:

n authorized $820,000 from highway fund money so the Department of Motor Vehicles can pay credit-card fees generated by the thousands of Nevadans now using cards rather than cash to pay licensing and registration fees. DMV Administrative Services Officer Dennis Colling said the cost wasn't anticipated because "we couldn't believe it would continue to rise at 34 percent a year."

He said credit card payments both in person and through the Internet have continued to increase dramatically and that February, the most recent month they have figures for, was up 35 percent from the same month last year.

But he told the board it's much cheaper than handling those thousands of customers live in an office. He said the number now using the Internet to register their cars or renew licenses would require another major metropolitan office be built at DMV.

n added $46,022 to the Department of Public Safety's training division budget. NHP Col. David Hosmer said the money is needed to buy food for the Highway Patrol academy. He said enrollments in the academy are much higher than expected. He told the board, however, that's good because they need the candidates to fill open trooper positions at NHP.

n approved an $88,242 settlement with Jane Bengston, who was wrongfully terminated from the Division of Child and Family Services. Solicitor General Jeff Parker said the settlement avoids a lawsuit that would have exposed the state to damages up to $300,000. The woman was notified of her termination the same day she testified on behalf of another employee who was grieving her termination. She said her termination was retaliation.

Hearing Officer Pat Dolan reviewed Bengston's case and agreed, ordering the Department of Human Resources to reinstate her and pay all back pay and benefits.

Contact Geoff Dornan at nevadaappeal@sbcglobal.net or 687-8750.