MCH retirees: We have settlement signatures - Insurance News | InsuranceNewsNet

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September 30, 2018 Newswires
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MCH retirees: We have settlement signatures

Odessa American (TX)

Sept. 30--A settlement agreement between a group of Medical Center Hospital retirees and the Ector County Hospital District board of directors and health system is expected to be reviewed Tuesday during the board's regular meeting.

The meeting is set for 5:30 p.m. in the second-floor board room at Medical Center Hospital, 500 W. Fourth St.

A group of more than 300 retired MCH employees filed a lawsuit against the hospital in 2017 in hopes of reinstating their original healthcare benefits after the board of directors approved kicking them off the hospital insurance plan. Instead, the hospital funded Health Reimbursement Arrangements for the retired employees. The hospital cited it would save them about $3.25 million in fiscal year 2017.

Many of the retired employees at the time did not use those HRAs for fear of not being able to participate in the lawsuit. A judge ruled in favor of the hospital in April. The group then appealed, and in March the hospital board approved a new contingent settlement agreement. A final agreement was approved in July, which was contingent upon 90 percent of the plaintiffs signing off their approval on it before Sept. 30.

David Meisell, lead plaintiff and former MCH HR administrator, said Friday the retiree group met that requirement. Meisell was in Odessa Friday morning and said he was waiting for instructions from Medical Center on how to turn those in.

"It's been difficult up to the last day," Meisell said, adding that there was not a process laid out on how they were supposed to submit the notarized signatures to the hospital district. "We've done what we were supposed to do. We've held up our end of the bargain and they're still trying to decide to do the logistics on the last day ... I expected things to be more upfront."

The settlement agreement approved in July listed 317 names and Meisell said on Friday they had 310 signatures. Of the other seven signatures, four of the plaintiffs listed are now deceased, two names were duplicated and one plaintiff listed was ineligible, he said.

"So we have 100 percent," Meisell said.

Hospital administration refused to comment on the settlement agreement after repeated requests this week. Board Secretary Jan Ramos said Friday the board will review the data Tuesday that will be provided by counsel.

Meisell said he believes the next step will likely be filing a petition and going through the legal process of dismissing the lawsuit.

In the meantime, he said some retirees need help figuring out how to use their HRA and hopes they receive that help before the end of the calendar year.

"It needs to happen sooner than later," Meisell said.

MCHS CEO Rick Napper previously told the board of directors during a July meeting any retirees having issues can go and talk to someone about it. He also told the board that once the settlement agreement is complete, he plans to personally hold meetings with the retirees and the hospital will bring people to present information to the retirees and help train them in how to use the HRAs moving forward.

___

(c)2018 the Odessa American (Odessa, Texas)

Visit the Odessa American (Odessa, Texas) at www.oaoa.com

Distributed by Tribune Content Agency, LLC.

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