State reaches $14M deal with state teachers union
The Associated Press August 13, 2013 2:06PM
Updated: September 15, 2013 6:24AM
INDIANAPOLIS — State officials said the Indiana State Teachers Association and its parent organization have agreed to a tentative $14 million settlement over the union’s defunct health insurance program.
Secretary of State Connie Lawson announced Tuesday that the deal with the ISTA and the National Education Association would end the state’s federal lawsuit against the groups.
State officials sued the teachers unions in 2009, alleging they violated Indiana securities law by offering a health care plan for school districts that actually was unregistered securities. Those plans were sold to 27 school districts.
The $14 million settlement would go to those districts. If any of them don’t sign onto the settlement, Indiana’s lawsuit will proceed to trial.