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District Dumps Union Insurance, Saves $450K and Pays 100% of Health Care

Dansville switches from MESSA

… Special Services Association (MESSA), which is an affiliate of … 2012-13. A spokesman for MESSA said he thinks the district … and government relations for MESSA. "This district has taken on … predict they will be back with MESSA soon." However, not everyone … cheapest, best insurance." MESSA has long been the favored insured … more

Dropping Union Health Insurance Saves District $737K

MESSA revenue drops $190 million

… according to the superintendent. MESSA is a third-party administrator … would have paid had it kept MESSA. She said the employees do … visits. Dansville dropped MESSA in 2011-12. Because of a 2011 … schools could spend on it, MESSA has seen its program revenue … documents filed with the IRS. MESSA’s program revenues have dropped … more

In Pontiac, MEA Local Raises $12K For School Supplies While Union Health Insurance Arm Sues District for $7.8 Million

Union affiliated MESSA got $7.8M judgment against Pontiac School District

… Special Services Association (MESSA) is a third-party administrator … according to the Oakland Press. MESSA's trustees all have direct ties … health insurance bill and MESSA has to sue them to get their … getting rid of the top-tier MESSA insurance and finding less … that by dumping a top-tier MESSA program and getting a less … more

Most Michigan Schools Surveyed Still Buying Union’s Costlier Health Insurance

After a five-year pause, costs again on the rise

… Association, a teachers union. MESSA administers insurance benefits … including Blue Cross Blue Shield. MESSA costs districts about 10 to 12 percent more than non-MESSA coverage, according to an analysis … districts buying insurance from MESSA was largely unchanged between … premiums indicates that the non-MESSA individual health plan costs … more

Mackinac Center awarded $77K for reporting that MEA improperly took COVID-19 relief money

MEA and MESSA improperly took $12.5 million in COVID relief money through Paycheck Protection Program

… the MEA or 501(c)(9) nonprofits like MESSA. But both organizations sought and … anyway. In April 2020, the MEA and MESSA both applied for PPP funding. The MEA received $6.4 million while MESSA received $6.1 million, for a total … its action because when the MEA and MESSA took the funds, that denied other … more

Teachers Choose Union Health Plan, Now Pay Up To 37.5 Percent Of Premiums

Dearborn Heights teachers choose MESSA

… to keep the more expensive MESSA health care plan. Bartold said … of their health care costs. MESSA is a third-party administrator … the teachers wanted to keep MESSA and pay the higher contribution … to keep the more expensive MESSA plan and pay between 32.5 and … insurance carriers, Bartold said. MESSA cost taxpayers in the district … more

High Costs Force School District to Drop Union-Connected Health Plan

Ravenna union prez: '[MESSA] had no competition before ... now they are forced to compete and it is good'

… teachers union voted to drop MESSA for a less expensive insurance plan. MESSA, for the first time, began … also reportedly abandoned MESSA, which is affiliated with the … percent of the districts have MESSA, a third-party administrator … insurance business, so to speak. "MESSA had no competition," he continued. … more

School District Saves By Dumping Expensive Union Insurance Plan

Dansville district saved $250,000 after getting rid of MEA-affiliated MESSA plan

… switched from the top-tier MESSA insurance plan to a high deductible plan … by ditching the high-priced MESSA plan that as many as 80 percent … Michigan carried at one time. MESSA is a third-party administrator … percent since it switched from MESSA to a cheaper plan. Alternatively, … chose to pay more to keep MESSA. Other Dearborn Heights employees … more

Teachers Union Health Insurer Paying Big Raises

… over the past few years. MESSA is a not-for-profit third-party … union. Cynthia Williams, MESSA’s executive director, received … information was taken from MESSA’s filings with the Internal … available. Richard Ringstrom, MESSA’s marketing and product development … $208,283 in 2009. Frank Musto, MESSA’s director of field services, … more

MEA Demands Immediate Health Insurance Payment From School District In Serious Debt

Judge ruled Pontiac School District has 10 years to pay off $7.8 million

… is demanding full payment to MESSA. MESSA is a third-party administrator … districts in the state.  MESSA has said it will end its health … Township. But continuing with MESSA, which is considered an expensive … switching from the top-tier MESSA plan to a high-deductible plan … more

Legislators Link Common-Sense Reforms to Tax Hikes

Focus is on state employee benefits

… that essentially deal with MESSA, the health insurance administration … supplies mandatory competition to MESSA, which currently holds health … addition, the bills require MESSA to furnish a district with … aggregate claims history under MESSA insurance plans. Release of … data was bitterly opposed by MESSA and the MEA, but other health … more

Michigan Public School Health Insurance Costs Soar Above National Trends

… employee groups (most often teachers). MESSA's average premium increase this year … pay for 1,800 full-time teachers. MESSA is also sitting on about $260 million … disparity between national trends and MESSA. One is that MESSA only offers districts a choice between … more

Teachers Union Insurer Sells Coverage For Some Nonunion Staff, But Not These Two

‘They are making an example out of us’

… through a subsidiary called MESSA. They say also that the union … superintendent on Aug. 27 that MESSA would not renew their coverage. … nonunion employees were offered MESSA insurance, but they never got … quality health coverage through MESSA. When a group of MEA members … MEA membership, including MESSA coverage.” “No one would expect … more

MEA Ignores Reality In Complaints About Health Care Cost Increases

Union-backed health plan far more expensive than most other plans

… done. Ravenna’s teachers voted to switch from the MESSA Choices II plan to a Blue Cross Blue Shield plan with … insurance for its employees. By switching out of MESSA, the costs for a full-family plan went from $18,000 with MESSA to $14,900 for the new insurance, Van Loon said. … more

Recaps of New Teachers Union Contracts

… expensive plan sold by the MEA union's MESSA arm — to a slightly less generous … to one administered by the union's MESSA arm. For the first time, teachers … change health insurance plans from MESSA to a competitor (HealthPlus) — a move … switched from Physicians Health Plan to MESSA. Teachers will receive a 0.5 percent … more

School District Could Buy Laptop For Every Student If Teachers Paid Private-Sector Average For Health Care

East Grand Rapids technology plan could be funded with help from new state law

… costs for its employees as long as MESSA insurance rates don’t increase higher … amount. In 2011-12, the contract states if MESSA rates increase by 6 percent or more, … insurance services and have received bids. MESSA, considered the Cadillac of health … expensive health care plan other than MESSA, the savings would be even more. … more

Teacher Pay Hikes Happen Despite Expired Union Contract

… district paid $1,325 a month for employees in the MESSA Choices II family plan. A Mackinac Center survey … most popular plan for teachers in district. The MESSA plan is affiliated with the Michigan Education … Family Foundation survey. And for fiscal 2009-10, MESSA premiums increased by 13 percent. “The school … more

Are Teachers Not 'Treated With Respect' by Taxpayers?

… percent of the premium for teachers who choose the MESSA Choices II health care plan. Private-sector employees … percent of the premium for teachers who select the MESSA Choices II health care plan. (The district does … health care premiums for teachers who select the MESSA Choices II health care plan. A teacher with 25 … more

Teacher Pay Hikes Happen Despite Expired Union Contract

… district paid $1,325 a month for employees in the MESSA Choices II family plan. A Mackinac Center survey … most popular plan for teachers in district. The MESSA plan is affiliated with the Michigan Education … Family Foundation survey. And for fiscal 2009-10, MESSA premiums increased by 13 percent. “The school … more

Outgoing Leader Was Disastrous for Teachers Union

MEA lost tens of thousands of members and power under president Steve Cook

… Education Special Services Association (MESSA), an MEA subsidiary that for years … Some districts have kept their costly MESSA coverage even with the new law, effectively … Livonia Public Schools stayed with MESSA. In 2016-17 the school district paid … Dansville Schools, saved money by dropping MESSA in favor of less expensive coverage. … more

Michigan Ain't Wisconsin, But Their Teachers Unions Share a Playbook

… pressure local school boards to buy insurance from their subsidiaries — MESSA actually brags about how many districts suffered teacher strikes over whether … these premiums on average (the private-sector average was 21 percent). MESSA premiums jumped up by 13 percent on average last year, while national increases … more

Initial 'Right-to-Teach' Bill Has Problems

Singling out the MEA may even let the union escape

… complicated and cozy relationship with the health insurance administrator MESSA has added to the cost of school employee health care benefits, a substantial … independent group that just happens to be staffed with old MEA people. Access to MESSA-brokered health insurance could also be used to keep the "breakaway" group … more

Budget Savings Drained and Raises Continue at Alpena Schools

… as the policy holder for health insurance and not going with the MEA's MESSA plan. Many districts have found it far less expensive to use alternative health insurance contractors rather than the MEA-affiliated MESSA plans, and recent budget battles in the state capitol have been fought over … more

Warren Woods School District Pays Nearly Double the Private-Sector Average for Health Insurance

And Other Updated Teacher Contracts

… taxpayers $20,460 for a family plan, and which is provided by the union's MESSA subsidiary. For comparison, the private-sector average cost for employer-provided … salary. On the health insurance side, the district will continue to use a MESSA insurance plan that includes no deductibles. Under the previous contract, … more

Helpful Facts About Michigan's Public Sector

… after adjusting for inflation. 80 percent of Michigan school districts use MESSA for at least one employee group. MESSA’s average premium went up 13 percent last year. Most teachers get subsidized … more

Some Unions Still Battling Governor's Reforms; Taxpayers Left Holding the Bill

Cities, schools, government unions able delay health care savings

… Brighton Area Schools pay between $400 to $600 a year for their top-shelf MESSA health insurance plan, far less than what most private sector workers pay. … unionized maintenance workers include electricians and plumbers who receive MESSA, which is affiliated with the Michigan Education Assocation and considered … more

Expensive Janitorial Contract Forces Cuts

Ortonville-Brandon school board guaranteed 90 percent of $17K health insurance with union despite economic uncertainties

… percent of their health care premiums. The family plan for the luxurious MESSA health plan cost $17,171 in 2010 or about $2,000 less than what it could … an hour. Van Beek said that because the district can now get rid of the MESSA insurance plan, Ortonville-Brandon may be able to save money and still have … more

Status Quo School Defenders: Money For Me, But Bad For Thee

Current administrators making over $200K per year fight changes to the system

… Michigan Education Special Services Association: $293,552 compensation (2011) MESSA is a third-party administrator for health insurance for public school employees … state's largest teacher union. Williams has an annual salary of $238,172. MESSA’s revenues for its insurance increased from $1.22 billion in 2010 to $1.24 … more

Union President Blames State, School Officials for Problems at Buena Vista, Pontiac Schools

MEA President Cook turns a blind eye to union's role in districts problems

… didn't mention that the Michigan Education Special Services Association (MESSA), which was created by the MEA, sued and won a judgment against the Pontiac … pay for health insurance. As the MEA president, Cook sits on the board of MESSA. Cook blamed school officials, but didn't consider the union's role in … more

Who’s the Freeloader? MEA Spends More On Benefits Than Bargaining

Union member: 'I hope the MEA wants to win back the loyalty of its former members'

… power years ago by focusing on keeping the MEA's health insurance company, MESSA, as the union's provider. MESSA has historically cost more than most other health insurance providers. … more

Weekly Roundup - August 14

Jackson Citizen Patriot - Is this the beginning of the end for MESSA? ...schools need to consider ending this "great expensive" program. POLITICO - Dems are accused of Tea Party tampering. Fox News - "...infiltrating elections." The Oakland Press - Teachers and union fight for health benefits...to … more

State's Largest Teachers Union Fails to Disclose 30 Percent of Its Income

MEA leaves $38.3M of income to speculation

… machine that subsidizes the union's other work, including political activism. MESSA administers school employee health insurance benefits underwritten by Blue Cross Blue Shield. Mehrens was asked if MESSA could be the source of the $30 million-plus figures MEA reports as “All … more

What to Expect from Snyder's State of the State

… Education Association bargains to get its members covered by the Michigan Education Special Services Association health insurance plan, Kersey said. MESSA is an MEA-controlled insurance policy that is often more costly than other options. Harding said a State of the State address is a time for specific … more

'Controlling' School Health Insurance Costs, Local Style

… plan through the Michigan Education Special Services Association, an arm of the Michigan Education Association, the state’s largest teachers union. MESSA would remain the actual policyholder and administrator of the program; last year, its statewide premiums increased by 13 percent, on average. Limp … more

Union Friendly GOP Legislator Spurned by Big Labor

Rep. Zorn target of union attacks after voting for more charter schools

… contracts. He voted against giving school district's more flexibility to shop for less expensive insurance than the Michigan Education Association-backed MESSA health care plan.  He voted against preventing union stewards from being paid to do union business on school time. He voted against stopping graduate … more

Fat Years for State's Big Teacher Union

… from forced dues paid by teachers, regardless of whether or not they’re members of the union, or from “services” they provide their subsidiaries like MESSA, the MEA is largely disconnected from the economic forces that impact both school employees and the state as a whole.”    ~~~~~ See also: MEA Has … more

Update on New Teacher Contracts

… this year and a 0.5 percent pay boost next year, in addition to regular step increases. The district will still purchase health insurance through MESSA, a subsidiary of the state’s largest teachers union, but will for the first time use a plan that includes deductibles. The annual deductible for a … more

Michigan Spends More on Teacher Benefits Than Most Other States

… company used by 440 of 551 school districts, and it requires districts to forfeit their right to be the policyholder of their own plans. Instead, MESSA holds and administers the policies, giving it control over year-to-year costs. Locking in high labor costs by devoting such large amounts to employee … more

Analysis: Schools Health Insurance and Corporate Welfare

… union-created Michigan Education Special Services Association (there were about 430 in 2010), this wouldn’t have made much of a difference. The most popular MESSA plans don’t differentiate between single, two-person or family plan premiums and charged the same rate per employee no matter how many dependents they … more

MEA's Underpaid Teacher Claims Don't Fit With The Facts

Union says average second-year teacher with a master's degree makes less than $12,000 a year after deductions

… contracts with lower cost-sharing. For example, that Eau Claire teacher would pay 10 percent of health care costs, or about $1,769 a year for the MESSA family plan. Van Beek questioned Pratt’s logic of including child care costs and pension contributions when talking about how much after tax money … more

Proposal 2 Is Not Simply About Collective Bargaining

… contracts, a law requiring public employees to pay more for their health care, “last in, first out” legislation, teacher tenure reform, reinstating MESSA, contracting services and more. But once the word got out and the idea that a group of union bosses were hijacking the constitution for pet policy … more

Law that Made School Employees Pay More for Health Insurance Saved $1.3 Billion

Savings came over a three-year period

… Superintendent Amy Hodgson said her district has saved $736,873 from 2010-11 to 2013-14 after it dropped Michigan Education Special Services Association (MESSA) insurance for a different high-deductible plan. Because the district chose a “hard cap” on its costs, school employees haven’t had to pay any health … more

While Schools Try Fiscal Responsibility, Union Sets Up Protests

Clintondale and Richmond are trying to stay out of financial trouble, but it may not last

… plans. The cost of keeping the MEA’s plan, offered by an affiliate known as MESSA, appears to be more than double that of providing salary increases for teachers. … ongoing loss of students, the district wants to shift insurance away from MESSA and to Blue Cross Blue Shield, which would save teachers up to $6,400 each … more

Wayne-Westland Teacher Contract: Summary and Analysis

… $16,635 annually in 2008-2009 per teacher for MESSA health insurance premiums. Most teachers contribute … those costs. Most common health insurance plans: MESSA Super Care I ($16,635 annual premium): $100/$200 deductible, $10/$20 RX co-pay. MESSA Choices I ($13,079-$15,009 annual premiums): $200/$400 … more

ad liberties: Political Anatomy 101

The Difference Between Mouth and Spine

… insurance with that of other state workers. His price: angering leading Michigan Education Association allies who derive millions of dollars from MESSA, their third-party affiliate that sells health insurance plans to school districts. The Mackinac Center's analysis of Dillon's idea concludes it's … more

Michigan Legislature Roll Call Report

… “policyholder” for health benefits provided for employees. This would dismantle the device by which the MEA school employee union’s insurance subsidiary (MESSA) sells coverage to school districts. Referred to committee, no further action at this time. more

A Good Start, Policymakers. Now Time for the Heavy Lifting

… Encourage schools and municipalities to seek competitive bids for services. Encourage schools to purchase less costly insurance than the union-backed MESSA plan. Eliminate the archaic retail “item pricing law”. Seek competitive bids for certain prison-related services. Link state school aid and municipal … more

Bloated Teacher Contracts Much To Blame For Issues In Highland Park, Muskegon

Unsustainable union contract benefits included 100 percent insurance coverage, up to 95 paid sick days and more

… insurance premiums with no contribution required from teachers. In 2011, this insurance plan — provided by a lucrative affiliate of the teachers union (MESSA) — cost the district more than $21,000 per teacher for an annual family plan. That’s more than twice the amount private sector Michigan employers pay … more

Port Huron Teacher Contract: Summary and Analysis

… employees contributing 22 percent of those costs. Health insurance plans: MESSA Super Care I ($15,496 annual premium): $10/$20 RX co-pay, no deductible MESSA Choices I ($13,961 annual premium): $10/$20 Rx co-pay, no deductible. The … more