FOR IMMEDIATE RELEASE: April 28, 2022
TRS Board votes to ensure no premium increase in TRS-ActiveCare after the Governor’s Office identifies additional federal Covid-19 funding
AUSTIN—Teacher Retirement System of Texas (TRS) trustees voted to approve new TRS-ActiveCare rates today, keeping rates flat for the coming plan year.
Under the initiative of Governor Greg Abbott and state legislative leadership, additional federal Covid19 funds are being granted that will ensure no public educator in TRS-ActiveCare sees a premium increase for the FY2022-23 plan year. Nearly half a million Texas educators and their dependents rely on the program.
“Across Texas, ActiveCare rates for the new fiscal year will not increase, and are even lower in some cases,” said TRS Executive Director Brian Guthrie. “We see this as a reset for this important healthcare program and an important step in better retaining our career education professionals in the state’s workforce. I’d like to express my gratitude to Gov. Abbott, Lt. Gov. Patrick, Speaker Phelan, Chair Huffman, Chair Bonnen and their staff for committing available funds to help maintain our premium rates this year.”
The Governor’s Office is committing $435 million to offset TRS-ActiveCare rate increases. The allocation comes from federal Coronavirus Relief Funds (CRF) established by the CARES Act. The funds are in addition to $286 million in federal ARPA relief funds the legislature granted TRS earlier in the year. Those funds were committed during the third-called special session for both TRS-Care and TRSActiveCare to help defray Covid-19-related health care costs.
“This year’s TRS-ActiveCare rates are indeed good news for the thousands of TRS members who rely on the services this health care program provides to them and their families. I am pleased Texas’ leadership was able to direct available funds to help keep the program robust and competitive this year in a broader environment of rising health care costs,” said Board of Trustees’ Chair Jarvis Hollingsworth.
Also, for the first time, TRS ActiveCare’s new rates reflect the costs of health care in different regions of Texas. This is aimed at keeping costs competitive and benefits comprehensive. To learn more on TRS-ActiveCare regional pricing that will begin September 1, 2022, follow this link.
The Teacher Retirement System of Texas (TRS) is one of the largest retirement systems in the nation. The system's core mission is to make a positive difference in the lives of Texas educators by prudently investing and managing trust assets and delivering member benefits. As of August 31, 2024, TRS pension fund had a market value of $209.5 billion.