BATON ROUGE, LA – Following warnings from Attorney General Jeff Landry of constitutional issues and potential violations of the law, the Edwards Administration’s Office of Group Benefits (OGB) has eliminated their controversial proposed rules changes for Louisiana worker and retiree health plans. 

Over the last several weeks, Attorney General Landry’s Office cautioned the proposals to enact tobacco and spousal surcharges – and proposed plans for enforcement through illegal searches and retroactive termination of benefits – posed a high probability of exposing Louisiana to legal challenges. Attorney General Landry’s Office warned legal challenges would further expose the OGB fund balance and threaten state employees’ and retirees’ health benefits.

“The Edwards Administration’s OGB, like any other state agency, is required to comply with the law,” said General Landry. “OGB’s recent proposals not only jeopardized the coverage of thousands of Louisiana workers and retirees, but it also violated several laws. I am pleased the Edwards Administration heeded our legal advice and withdrew these rules that offended the rights of every state employee.”

In a letter written to the OGB last month, Attorney General Landry’s Office expressed concerns with the due process implications of proposed rules – including an attempt to expand State insurance coverage to unmarried grandchildren residing with an enrollee without requiring formal legal custody. Landry’s Solicitor General Liz Murrill is now once again thoroughly reviewing the changes to ensure the State stays in compliance.

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A link to the changes may be found at http://www.doa.la.gov/Documents/Rulemaking/potpourri.pdf.