(RALEIGH) -- Republican leaders have struck a deal with Democratic Gov. Beverly Perdue on a half-billion-dollar fix for the State Health Plan. The plan would still charge monthly premiums for most state employees. However, individuals in the basic 70/30 plan would not have to pay a premium.

Perdue spokeswoman Chrissy Pearson confirmed the compromise agreement had been reached. “It will give teachers and state employees a free, no-cost option for health care for those who can’t afford anything more and that was what the governor was after all along,” said Pearson.

Lawmakers were recently assured in a letter from Dr. Jack Walker, administrator of the State Health Plan, that higher-than-expected savings reserves would allow the new plan manager to keep the 70/30 plan premium-free. Senate leader Phil Berger, R-Rockingham, said the bill would get to the governor’s desk quickly.