Fresno Unified Board Adds Traditional Medicare Plan for Retirees After Contract Dispute

Fresno Unified’s Joint Health Management Board voted Jan. 15 to add a traditional Medicare option paired with a district-provided supplemental plan for Medicare-eligible retirees, a move administrators said responds to weeks of disruption and activism that left thousands of former employees scrambling for care.

The decision comes after an early January contract dispute between insurer Aetna and Community Health Systems temporarily cut off access for many retirees who relied on a Medicare Advantage plan. That interruption prompted protests, raised alarm among retirees and drew the board into talks to secure more stable coverage. The new option will be offered during the district’s annual enrollment window, Oct. 1 through Nov. 30, and will take effect Jan. 1, 2027.

Community Medical Centers agreed to bridge immediate gaps in care while the district finalizes a long-term solution. Clinic visits and prescription coverage will be extended into February under a temporary agreement, giving retirees time to evaluate the new plan option and for administrators to complete negotiations with plan partners.

Retirees at recent meetings described difficulty getting appointments and filling prescriptions under the Medicare Advantage arrangement, saying that access to familiar providers became harder and more time consuming. The board’s action adds an option that routes members into traditional Medicare with a district supplemental policy, restoring a path that many retirees said they preferred for predictable access to care.

District leaders and representatives from the Fresno Teacher Association participated in the discussions that led to the vote. Board members said the additional plan is designed to give retirees more choice and to avoid single-vendor disruptions that can leave patients without timely care. Negotiations over final contract language and administrative details are ongoing, and the board signaled it will return to clarify enrollment materials, costs and provider access as those details are settled.

For Fresno Unified retirees, the change promises both short-term relief and a longer-term adjustment. In the immediate term, the Community Medical Centers extension reduces the risk of care interruptions through February. Looking ahead, retirees will have until the fall enrollment window to choose whether to move to traditional Medicare with the district supplemental plan or remain in Medicare Advantage, once plan specifics and costs are released.

The board’s move serves as a case study in how local institutions in the Central Valley can respond when regional health care contracts break down. Retirees and current employees should watch for official enrollment notices from Fresno Unified this year and plan to review choices during the Oct. 1–Nov. 30 window. The temporary coverage extension gives the community breathing room while negotiators finalize the supplemental plan that will begin Jan. 1, 2027.