Jeff Bingaman United States Senator from New Mexico

WASHINGTON - U.S. Senator Jeff Bingaman today announced that the federal government is providing over $5.9 million to help the New Mexico Retiree Health Care Authority maintain health insurance coverage for public state retires.

"The continuing rise in health care cost has made it difficult for New Mexico employers to continue to provide quality, affordable health insurance for workers and retirees.  This funding, provided through the newly enacted health insurance reform law, will help the state cover some of the cost of providing health benefits to early retires," Bingaman said.

Alfredo Santistevan, Chairman of the Board of Directors for the Authority, noted, "This is a significant award and will allow us to provide relief for our retirees this year from increases in health care costs.  The Authority appreciates the support of Senator Bingaman for the program and this important benefit for New Mexico's public retirees."

The recently enacted health care law created  the Early Retiree Reinsurance Program (ERRP), which provides financial relief to businesses, schools and other educational institutions, unions, State and local governments, and non-profits, in order to help retirees and their families continue to have quality, affordable health coverage.

Businesses and other employers that have been accepted into the program will receive reimbursement for medical claims for retirees who are at least 55 but not yet eligible for Medicare and their families.  Savings can be used to reduce employer health care costs, provide premium relief to workers and families, or both. The program ends on January 1, 2014 for the claims of high-cost retirees and their families when State health insurance Exchanges are up and running.

The following New Mexico employers have been approved to participate in the program:

• Los Alamos National Security, LLC
• New Mexico Retiree Health Care Authority
• PNM Resources, Inc.
• Sandia Corporation
• University of New Mexico