Atlanta, GA: At the request of Fulton County Commissioner Nancy Boxill and Georgia Equality, Inc., Mayor Franklin formally and aggressively entered the debate on providing domestic partnership benefits (health insurance) to Fulton County employees. In a joint letter signed by Mayor Franklin and Council President Cathy Woolard, it was noted that the University of California at Los Angeles (UCLA) Law School found that persons utilizing domestic partnership benefits programs were less likely to seek health care at a public hospital than those persons not insured. Thus, there is the potential for substantial "cost savings" to the Fulton County tax payers by providing benefits on the front end. This study has very real cost considerations for Fulton County government which is responsible for the administration of Grady Hospital, the southeast's largest public hospital. Previous to this correspondence, both Mayor Franklin and Council President Woolard had written separate letters to the Board of Commissioners in support of Fulton County providing domestic partnership benefits to their employees. (See text of letters below)
In addition to the joint letter, Mayor Shirley Franklin made personal telephone calls to Commissioners to let them know personally that she supports Commissioners Boxill and Pitts in their efforts to provide domestic partnership benefits to Fulton County employees. The Mayor commented, "I think it is important for the Fulton County Board of Commissioners to know that Atlanta has enjoyed a positive experience with our domestic partnership benefits program. There are no reported cases of fraud or abuse. But, more importantly, it is simply the right thing to do for their employees. I commend Commissioner Boxill for her efforts in this struggle. Nancy Boxill has effectively championed the issue of domestic partnership benefits for Fulton County employees for quite some time."
The Fulton County Board of Commissioners are scheduled to vote on providing domestic partnership benefits at their June 3rd meeting.
I. Text of Mayor Franklin and Council President Woolard's
Joint Letter to Fulton County Commissioners
June 3, 2003
The Honorable Mike Kenn, Chairman
Fulton County Commission
141 Pryor St.
Atlanta, GA 30303
Dear Chairman Kenn:
As you consider your historic vote tomorrow on domestic partnership benefits for employees of the Fulton County government, we are writing you as colleagues in service to the people of Atlanta and Fulton County.
Since the City of Atlanta began to offer domestic partnership benefits to its employees in 2000, we have experienced no negative repercussions. There have been no claims, or even suspected incidents of fraud, and there has been no backlash from the public. In fact the opposite is true.
An employee who applies for domestic partnership benefits in Atlanta is required by statute to sign an affadavit of eligibility. To be eligible, domestic partners agree to assume financial dependence for each other, to maintain a residence together and to notify the city of changes in the relationship that would affect eligibility. Anyone who knowingly files a fradulent affadavit could be subject to paying reimbursements and criminal penalties. Futhermore, domestic partnership benefits have been deemed taxable to the employee by the Internal Revenue Service.
The private sector is leading the way in providing domestic partnership benefits to employees. In Georgia today, 51 companies offer domestic partnership benefits, and most of them are based in Fulton County. This list includes six local companies that are on the Fortune 500: BellSouth Corporation, The Coca-Cola Company, Coca-Cola Enterprises, Delta Air Lines, Sun Trust Banks Inc. and Cox Communications Inc.
In the City of Atlanta, 140 employees, or approximately two percent of those eligible, have opted to receive domestic partnership benefits.
Many of these individuals might otherwise be uninsured and their health care costs could become the responsibility of the Grady Health System and the taxpayers of Fulton County. Instead, these employees pay one-third of the insurance costs for their partner and insurance companies cover associated health care costs rather than government programs.
The UCLA Law School estimated that California would save up to $155 million per year by an expansion of domestic partnership benefits. These savings would come in a reduction in the number of people eligible for means-tested government benefits, mutual responsibility for debts by domestic partners and an estimated increase in income tax revenues. This study reinforces that notion that providing access to health care insurance is good public policy.
We appreciate your consideration of this important issue. Please feel free to call on us if we can provide further information as you prepare to do what is best for your employees and the taxpayers of Fulton County.
Sincerely yours,
Shirley Franklin Cathy Woolard
Mayor Council President
City of Atlanta City of Atlanta
Cc: Commissioner Nancy A. Boxill
Commissioner Emma I. Darnell
Commissioner William “Bill” Fulton
Commissioner Bob Fulton
Commissioner Tom Lowe
Commissioner Robb Pitts
II. Text of Mayor Franklin's Letter to Fulton County Commissioners
May 9, 2003
The Honorable Mike Kenn, Chairman
Fulton County Board of Commissioners
141 Pryor Street, SW, 10th Floor
Atlanta, Georgia 30303
Dear Chairman Kenn:
It is my understanding that the Fulton County Board of Commissioners is considering providing domestic partnership (insurance) benefits. I am writing this letter to make you aware of our experience in the City of Atlanta on offering this benefit to our employees.
In 2000, the City of Atlanta chose to offer domestic partnership benefits to its employees by City code. In Fiscal Year 2002, we had 140 employees taking advantage of this benefit. The cost to the City was approximately $360,580 (for FY ’02). The City’s cost in offering these benefits has been approximately $2,030 per year for each employee enrolling in domestic partnership benefits program, and is consistent with our overall cost for married partners. Participating employees pay roughly one-third of the cost to participate in our domestic partnership benefits program. The only difference is that married partners have a significant pre-tax savings not enjoyed by domestic partners. These costs, compared to our overall insurance benefit costs, are not a significant additional cost burden. The personal benefit to our employees, and more importantly for our ability to recruit and retain top quality employees, in the City’s opinion is worth this expenditure.
Atlanta offers the widest range of coverage possible, therefore an employer offering a more restricted range, such as same-sex partners only, would likely see fewer than 2% of their employees participating in the program. Fulton County should note the total cost impact will depend on whether the program covers both opposite-sex and same-sex partners and other factors.
Locally, Delta Airlines, BellSouth, World Span, and SunTrust Bank are but a few of the major companies offering domestic partner benefits to their employees. This benefit offers an important employee recruitment advantage to them and to the City of Atlanta. There are approximately 154 local governments, 11 states, 186 Fortune 500 companies and 185 colleges and universities in the United States who offer domestic partner benefits to their employees.
Atlanta’s experience with offering domestic partnership benefits has been trouble-free. According to the City’s, Commissioner of Human Resources, Ms. Benita Ransom and the Chief Financial Officer, Mr. Rick Anderson there has been no known or alleged cases of abuse of the City’s domestic partnership benefits program.
If my office can provide any other information to you, please feel free to contact me at 404-330-6100.
Sincerely,
Shirley Franklin
cc: Fulton County Board Members
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