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Posted on: December 5, 2022

State Health Benefits Update

State Health Benefits Update

The League continues to work pro-actively and collaboratively with our partners at the NJ Conference of Mayors and NJ Association of Counties to identify a workable plan and means toward a resolution by the Governor and the legislators, to offset the 22.8% increase in the State Health Benefits Plan (SHBP) costs in 2023. As you are aware, the Administration reached an agreement with most state unions limiting the health benefit rate increases for State employees to 3% with the State offsetting the remaining balance. Unfortunately, the agreement does not include counties and municipalities participating in the SHBP nor has the State changed the plan design to achieve any savings at the local level. Moreover, the Administration did not extend the open enrollment period despite pleas from local government officials and labor unions. Without any immediate relief from the Administration, property taxpayers should expect to see even greater increases in their tax bills in the coming year.

It remains critically important to continue to directly reach out to your Intergovernmental Affairs (IGA) contact in the Governor’s office and to your Legislators to reiterate the need for an acceptable resolution of these newly imposed costs on municipal and county governments, our public employees, and taxpayers. If you have already reached out, please do it again — we need their attention and action.


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