SEBAC 2011 Agreement (Retirement/Healthcare)

Due to the state’s economic crisis, CSU-AAUP members voted in favor of a four-year contract extension that includes a wage freeze for Fiscal Year 2011 and 2012 in exchange for job security until June 30, 2015. For details of the agreement, please see the “CSU-AAUP/BOT Contract Modification” for changes to wages and “Revised SEBAC Agreement”for changes to retirement and healthcare (below).

SEBAC 2011 Agreement (Retirement/Healthcare)


Retiree Healthcare Trust Fund: The SEBAC 2011 Agreements require that all employees (some employees were required by the SEBAC 2009 Agreement) contribute to the Retiree Health Fund for 10 years or until they retire, whichever comes first, to offset the retiree healthcare costs of individuals contributing to the fund.

This contribution applies to members of the State Employees Retirement System (SERS) and the Alternate Retirement Program (ARP).  Employees in these plans who are currently contributing 3% of compensation to the Retiree Health Fund will continue to do so without modification.

This contribution does not apply to part-time faculty, however, if a part-time faculty member completes sufficient actual service to qualify for retiree health coverage, s/he will be required to pay the required percentage of compensation for the full 10-year period (or such lesser periods as may be required).

For more information, please see Retiree Trust Fund Provisions of SEBAC 2009 and SEBAC 2011 and the Comptroller’s Memo Re: Retiree Health Fund Contributions Starting July 2013.


The Health Enhancement Program (HEP), approved by the CSU-AAUP members as part of the SEBAC 2011 Agreement, is designed to make sure people have the information they need to make decisions that can improve their health ‐‐ decisions that can save their lives. It will save money for the state and for state employees, who pay about 14 percent of the state’s healthcare costs through their premium shares, by focusing on healthcare prevention. CSU-AAUP members are encouraged to create their personal HEP account by visiting the State Comptroller’s website.