As the infamous north Louisiana hospital deals, complete with a contract containing 50 blank pages, begins its inevitable collapse (predicted by just about anyone with an IQ higher than a cluster of wet Spanish moss), complete with litigation and a backdoor public relations campaign by the current operator of the LSU Medical Center in Shreveport and E.A. Conway in Monroe, yet another lawsuit has been slipped under the door.
The first court hearing for a lawsuit against the state Office of Group Benefits (OGB), the Office of the Governor and the state Division of Administration will be conducted July 27 in Baton Rouge District Court before Judge Janice Clark. The hearing is scheduled for 1 p.m.
And guess who the state’s defense attorney will be? Yep, you got it. Jimmy Faircloth who has enjoyed about as much courtroom success as Wiley E. Coyote in pursuit of the elusive roadrunner. The only thing missing from Faircloth’s courtroom misadventures are anvils and dynamite. In representing the state in the OGB litigation, Faircloth will be adding to more than the $1.5 million he has already received in other representations. It’s not all Faircloth’s fault of course; he has been given some dogs to defend by this hapless administration.
The lawsuit was brought by a group of state employees, teachers and retirees, who are asking the court to overturn changes to OGB’s health plans that took effect March 1—premium increases and reduced coverage that were predicted by LouisianaVoice way back when the privatization of OGB was first proposed by the Jindal administration.
Representing the plaintiffs is J. Arthur Smith III of the Smith Law Firm of Baton Rouge.
The plaintiffs are claiming that changes forced on them by OGB were not enacted legally and they were denied a reasonable opportunity, as required by the Louisiana Administrative Procedure Act, to comment on the proposed changes. The plaintiffs further maintain that the OGB and the administration violated due process, the contracts clause of the Louisiana Constitution and their fiduciary duties to plan participants. The plaintiffs also say that increased costs and decreased benefits pose a financial hardship that limits their access to healthcare services and needed medicines.
An association formed to fund the lawsuit, LA VERITE’ 2015, is registered with the Louisiana Secretary of State. LA VERITE’ is French for TRUTH, and stands for Louisiana Voices of Employees and Retirees for Insurance Truth and Equity. There are no dues and membership is open to any active or retired state employee, teacher, or other interested individual.
Plaintiff Marilee Cash, a retiree, said the goal of the lawsuit is to protect approximately 230,000 state employees, teachers, retirees and their dependents who have health insurance through the Office of Group Benefits. “Large increases in out-of-pocket expenses, combined with withheld pay increases for active employees and cost-of-living adjustments for retirees, pose a financial hardship for many people covered by OGB,” she said. “Our compensation has not kept up with inflation during Gov. Jindal’s administration, due to mismanagement of state funds and poor fiscal decisions. Before March 1, our healthcare costs and insurance premiums were manageable. Now these increased costs have put healthcare services out of reach for many dedicated public servants and retirees.”
The administration claims the changes were made to preserve the Group Benefits reserve, which has been drastically reduced as OGB reduced premium revenue while paying out increasing medical claims expenses. The fund, created by the premiums paid by those who are insured, stood at about $500 million just two years ago. Less than half that amount remains. The Jindal administration drew down the reserve by reducing employer contributions in order to balance the state budget and then using money saved from reduced employer contributions to patch holes in the state budget.
In Iowa, Jindal took what might be considered an ill-advised swipe at President Obama and the U.S. Supreme Court (you know, the court he said several days ago should be abolished) at the Family Leadership Summit over the weekend.
At issue was the court’s ruling on the court’s recent same-sex marriage decision that prohibits discrimination against gays by businesses.
“The next president should do what we did in Louisiana,” he said: “issue an executive order saying the federal government will not discriminate or take action against any individual or business that has a traditional view of marriage.”
But wait. Isn’t the ACLU suing Jindal over his May 19 executive order that he issued after the legislature shot down a bill by Rep. Mike Johnson (R-Bossier City) to pass the Marriage and Conscience Act?
And wait again. Didn’t Jindal recently go a little ballistic over executive orders issued by President Obama?
Yep. As a matter of fact, after calling on the next president to issue an executive order like his, he turned right around and said…Wait. We want to make that a separate paragraph:
“We’ve got a president who has made it a consistent practice to ignore the Constitution, ignore the laws, issue executive orders,” Jindal said as he promised that if he is elected president, he would immediately rescind Obama’s “illegal” executive orders.
So, on the one hand, he wants to rescind Obama’s “illegal” executive orders while proposing that the next president (presumably himself) to issue an illegal executive order identical to his own “Marriage and Conscience” order—illegal because the governor may issue executive orders pertaining to the executive branch of government only and not on matters that affect private sector action of any kind, according to ACLU executive director Marjorie Esman.
But hey. Once again LouisianaVoice implores you to remember that it was a Jindal operative who told Division of Administration employees in a meeting, “Let’s not be bound by the law.” If that’s not downright Nixonian, then up is down, down is up, and Brenda Lee was acid rock.
Any bets as to who will be representing the state on the ACLU litigation?
We’re reminded of the joke that (and we’re paraphrasing to fit the situation here) Jindal is a lot like a slinky: Not really good for anything but they still bring a smile when you push them down a flight of stairs.
Except Jindal’s not a slinky. He’s more like a train wreck and the damage inflicted when he went off the rails was widespread and massive—and it impacted every one of us.