Bill Would Increase Federal Government’s Share of FEHBP Premiums

Rep. Constance Morella (R-Md.) has introduced legislation that would raise the federal government's contribution toward premiums in the Federal Employees Health Benefits Program from an average of 72% to 76%, the Washington Post's Stephen Barr reports in his "Federal Diary" column. "If the federal government cannot match the salaries of the private sector, it can at least attempt to match or upgrade the benefits available to civil servants," Morella said. The bill, called the "Good People, Good Government Act," comes three days after the Office of Personnel Management sent a letter to insurance plans requesting "new ideas" to contain costs. Premiums for FEHBP rose 13.3% this year, and Barr reports that "the outlook for 2003 appears grim." Last year, Rep. Stony Hoyer (D-Md.) introduced legislation that would have raised the government's contribution to FEHBP to 80%, and last month, Sen. Barbara Mikulski (D-Md.) introduced a similar bill (Barr, Washington Post, 4/24).