IMPORTANT NEWS ABOUT THE RURAL CARRIER BENEFIT PLAN

Mutual of Omaha, the insurance company for the Rural Carrier Benefit Plan (RCBP), announced on April 26 that it had reached an agreement to sell its group health insurance business, including its Federal Employees Health Benefits Program business, to Coventry Health Care, Inc. of Bethesda, MD for $120 million in cash. The sale is expected to be completed within the next 120 days.

The NRLCA has done business with Mutual of Omaha since 1962 when Mutual took over underwriting responsibility of the Rural Carrier Benefit Plan. That business partnership is one of the longest running in Association history. And, only the name will change as a result of the sale. All of the Mutual of Omaha personnel that the NRLCA deals with in Omaha, Washington, DC and at its claim processing office in Charlotte, NC, will become Coventry employees. And, most importantly, there will be no changes in the benefits provided by the RCBP.

RCBP members should continue to use their Mutual of Omaha ID cards, toll-free telephone numbers, claim forms and PPO network providers. Any change in ID cards will happen gradually after the sale is completed.

From a business standpoint, this change is positive for the NRLCA and for the RCBP members. Mutual of Omaha was a relatively small group health insurance company. On the other hand, Coventry is one of the larger health insurance providers in the country. Because of its size, Coventry is capable of negotiating better discounts from medical providers (doctors and hospitals).

Caremark, the NRLCA prescription benefit management company, has officially merged with CVS Corporation to create the nation’s premier integrated pharmacy services provider. The new company, called CVS/Caremark Corporation, unifies the nation’s largest pharmacy chain with the leading pharmaceutical services company, creating the opportunity to deliver unique products and services that will help manage prescription drug costs for the NRLCA and improve access and choice for our members.

Over time you will have access to greater information and choices, and enhanced personal interaction with pharmacists either through the phone and in-person at CVS stores, making it easier to follow your prescription requirements and get information about healthcare choices.

You can continue to use the Caremark participating retail pharmacies and Caremark mail service that you do today. Continue to use your same identification card, toll-free number and the Caremark.com website.

We look forward to continuing to serve your health and wellness needs through CVS/Caremark.

The Bureau of Labor Statistics released the February 2007 CPI-W Private Transportation Index. Based on this release, the Equipment Maintenance Allowance for rural carriers will remain unchanged at 48.0 cents per mile.

Current EMA Chart

National Officers and fellow rural carriers, as is required by Article XIV, Section 3, of the National Rural Letter Carriers’ Association Constitution and Bylaws this is the official report of the ratification committee for the 2007 proposed National Agreement between the United States Postal Service and the National Rural Letter Carrier’s Association.

Through the entire ratification process each member of this committee fully realized the importance of their task. All functions of the process were carried out with diligence and adherence to Federal Law as well as the provisions set forth in NRLCA Constitution and Bylaws. At no time during this entire assignment was the integrity of any person’s right to privacy jeopardized. All members participated equally at each step of the certification process. Decisions were made impartially and in keeping with the democratic process.

Our first function was to obtain the ballots from the designated post office. All committee were present at the time of acceptance. We were given an opportunity to view the PO Box area and its surroundings. A final sweep of any undeliverable ballots was made by the committee chair and the PO Box was inspected by a committee member. Each member of the committee signed for and accepted the mailed ballots. All ballots were loaded and transported to the counting area at our National Office. No person other than a committee member participated in any loading or unloading function. From the time the ballots entered the counting area no person outside of the committee had public access to the counting room. Observers were limited to members of the National Board, approved staff, NRLCA Legal Counsel, and outside vendors who were retained to provide certain services/and or equipment necessary to complete the ratification process. The door to the counting area was locked and all information was secured any time the committee members left the room. No person other than the chair was in possession of a key.

The committee began the duties associated with the ratification process on Monday January 30, 2007. All functions were completed Sunday February 4, 2007. The following constitutes the information compiled from the certification of the ballots.

On January 11, 2007 Eighty Six Thousand Four Hundred and Fifty Three, (86,453) ballots were mailed to all members in good standing.

Seventy-Eight (78) ballots were returned by the USPS as UAA/UTF (undeliverable as addressed/unable to forward). Thirteen (13) ballots were determined to be invalid and are not included in any count total.

Thirty Two Thousand Nine Hundred and Forty Five, (32,945) ballots were processed.

NOTE: To further assure that every effort was made to present an accurate accounting of the voice of the membership a recount of the ballots was conducted.

The results are:

IN FAVOR OF RATIFICATION: 15,927

OPPOSED TO RATIFICATION: 16,932

VOID: 86

TOTAL BALLOTS: 32,945

The National Board will be contacting USPS Headquarters immediately in order to share the results of the ratification vote. Thereafter, the parties will discuss next steps, and the National Board will keep the membership apprised of important developments as they happen.

Click here to view the tabulation of the vote for each state.  (Acrobat Reader Required)

February 4, 2007 4:10 p.m.