"I find it interesting our governor is saying, 'Come home to West Virginia,'" Bob Brown, executive director of the state's School Service Personnel Association, said during the public hearing. "Young people thinking about entering into public service are probably saying, 'Why?'"

Monday's hearing at the Charleston Civic Center was one of six scheduled around the state, concluding July 7 in Huntington, to discuss the Finance Board's proposal to eliminate the 72 percent retiree premium subsidy for all new hires after Jan. 1, 2010.

Administration Secretary Robert Ferguson, who serves as chairman of the board, said eliminating the subsidy is the only responsible way to address the state's $7 billion unfunded liability for future health-care benefits already promised to current state and public school employees. That debt, without cutting the benefit for future hires, will continue to grow by nearly $800 million a year.

"That is a bill that our children, grandchildren and great-grandchildren would have to pay," he said Monday.

The subsidy exceeds $600 a month for each non-Medicaid retiree, according to PEIA figures.

Finance Board members initially approved the benefit cut at an emergency meeting May 14. That meeting was called to address the pending dissolution of a contract to provide Medicare Advantage plan coverage to 36,000 retirees.

Almost immediately, representatives of the two largest state teachers' unions threatened to sue, contending that the board's action violated the state Open Meetings Act.

On Monday, West Virginia Federation of Teachers President Judy Hale said she doesn't believe that the board's decision to rescind that vote until it meets on July 30 will make the action legal.

"I'm fearful that these hearings are more for show than substance," she told the board. "If you pass this motion July 30, there's a real question if it has been done legally."

Hale said public schools already have serious problems recruiting and retaining certified teachers because of low pay, and slashing retirement benefits will only worsen the problem.

"It will have a devastating effect on education. It will mean simply that we will not be able to get certified teachers in the classroom," she said.

West Virginia Troopers Association President John W. Smith Jr. said the benefit cut will hasten an exodus of troopers to states with better pay and benefits. He said 75 troopers have left West Virginia in the past five years.

"It's just not fair to the guys out in the field who risk their lives everyday, to tell them, you won't have affordable health care when you retire," he said.

Some speakers questioned whether the elimination of the retiree subsidy for future hires is only one of many pending benefit cuts.

"It appears every promise the Legislature has made and the Legislature has passed is gradually being taken away from us," public employee Christine Stephens told the panel. "What's going to be the next taken back? Are you going to take benefits from current retirees or active employees?"

Reach Phil Kabler at ph...@wvgazette.com or 304-348-1220.