Public Employee Press

Labor-city talks intensify on PICA drug program

Pressure from municipal unions led the city to back off its threat to abruptly shut down its PICA drug program, which provides vital medications to thousands of municipal employees.

In December, the city informed the Municipal Labor Committee that it planned to write eligible employees that the psychotropic, injectable, chemotherapy and asthma drug program (PICA) would end Jan. 31.

Instead, both sides have agreed to intensify talks about the future of the financially strapped drug program.

“We are happy cooler heads prevailed,” said DC 37 Executive Director Lillian Roberts. She is secretary of the MLC, which coordinates benefit bargaining on behalf of municipal unions.

“It would have been unconscionable for the city to cut off employees from their medication, which in some cases is life-saving,” Ms. Roberts said. “We are optimistic that we can resolve the problem through talks with the city and that members will not lose this vital coverage.”

In October, as PICA costs escalated and threatened to deplete the available funds, the city raised the possibility of closing the program and shifting coverage to union drug programs or health insurance providers. PICA expenses are running at $140 million annually.

“We believe the problem is manageable. Our priority is to ensure that coverage continues for our members and retirees,” said Rosa R. Esperon, administrator of the DC 37 Health and Security Plan.