By now you may already be aware that the FY25 State Budget, signed into law on Monday by Governor Maura Healey, contains several important items for public retirees. Initiated by our Association, both the Special Commission on the COLA and the increase in the state’s Basic Life Insurance benefit are big wins for our members.
Not long after becoming Association President in 2013, I lost both of my in-laws and my dad. My family saw firsthand just how expensive funeral and burial costs can be.With few exceptions, the current Basic Life Insurance benefit provided to most public retirees is inadequate to meet end-of-life needs. For this reason, increasing the benefit for all public retirees has been among my highest personal priorities.
I’m very thankful that our perseverance finally paid off and the $10,000 Basic Life Benefit is now law for all State retirees and active employees effective 7/1/2025.We are also grateful to the House leadership for moving this issue forward, as well as to Governor Healey for her support in signing the measure into law. While cities and towns legally set their own life insurance benefits, I believe that this positive action by the state will lead to local governments increasing this important benefit as well.
And speaking of the governor, her initiative to include the creation of the COLA Commission within the FY25 budget was critical to launching the process to improve COLA benefits. While time is overdue to fix the COLA base for State and Teacher retirees, the work of the Special Commission will have a positive impact on all public retirees.
I believe that the governor, as well as the legislative leadership, understands the need to develop a new approach to the COLA. This understanding extends to the requirement to address the needs of career public employees who have been retired for fifteen of more years. As we all know, the longer we are retired the more severe the impact of inflation.
The creation of the Special Commission marks the start of the process to fix this benefit. With a reporting date of February 1, 2025, we are planning on a very busy fall and early winter. Having a seat at the table will allow our Association to truly represent the interests of our members. My hope is that the result will greatly improve COLA benefits for all retirees for years to come.
We will keep you well informed of all developments in the weeks and months ahead, starting with a rundown of the history of the COLA and how the current benefit works in the Weekly Update coming from our CEO Shawn Duhamel on Friday morning.
I’m incredibly proud of what our team has been able to accomplish this year. I am also grateful for the opportunity to serve my fellow retirees as your Association President. This is truly the honor of a lifetime.
Most sincerely,
Frank
Frank Valeri
President
Mass Retirees Association