Wednesday, July 10, 2013

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

The Michigan Education Association is demanding that the Pontiac School District pay in full $7.8 million it owes the Michigan Education Special Services Association by the end of July despite a judge ruling the district has 10 years to pay off the debt.
This comes as the state reviews the finances of the Pontiac School District to see if an emergency manager should be put in charge because the district has seen its deficit quadruple to $37.7 million since 2009.
According to a Michigan Department of Education memo dated May 20, Pontiac’s state aid was threatened to be withheld because the district has skipped its payment to the Michigan Public School Employees Retirement System and the district didn’t have enough money to pay its transportation, utilities, custodial, food service vendors or its substitute teachers.
Yet, the Pontiac Education Association, an affiliate of the MEA, is demanding full payment to MESSA. MESSA is a third-party administrator of insurance benefits that was created by the MEA and serves numerous school districts in the state.

http://www.michigancapitolconfidential.com/18831

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