Alabama teachers and other education employees will soon be shelling out more for insurance if they smoke or have a spouse on the plan.
A state board voted on a number of changes to Alabama education employee benefit plans Thursday to help offset a nearly $140 million shortfall for 2016.
Retirement Systems of Alabama Deputy Director Don Yancey says the shortfall is mostly linked to rising health care costs.
The majority of the system shortfall will be replaced by transferring funds from the state's retiree health care trust fund. RSA officials say that's an emergency measure, as that fund was never intended to be a slush fund, and that they will be pursuing new options for the 2017 fiscal year.
Alabama's educators will see their surcharge climb from $28 to $50 a year if they smoke, and copays will be increasing by $5 for some medical specialists. The fee to carry a spouse on the insurance plan will also be going up $25 each year from 2016 to 2018.
The board voted down its largest proposed insurance hike. Premiums would have increased by $10 a month for active employees and $20 for families. Insurance premiums are currently $15 for individuals.
A spokeswoman for the education employee lobby says Alabama's teachers and other education officials haven't received a raise in eight years, and simply can't afford any more costs.