Health
insurance boost causes budget headache for Bethany City Council
Bethany
Republican-Clipper
Wednesday,
May 7, 2008
An
unexpectedly big increase in the cost of health insurance coverage for city
employees shot a huge hole in the city’s 2008-09 budget, Bethany City Council
members were told Monday night.
City
Administrator Tony Stonecypher said the city’s carrier, Markit Insurance, a
municipal provider, announced a 13% increase in premiums for families and a 9%
increase for individuals in June.
The city
pays for health insurance for both the employees and their dependants.
Stonecypher
said the city had budgeted for a 5% premium increase but was surprised when he
learned that premiums would be going up more than twice that amount. He said
the rate increase would cost the city $20,000 more than anticipated.
While
they took no action at Monday’s meeting, Mayor Dick Graner and the council
indicated that they might look into passing on some of the rate increase to the
employees. Stonecypher said the city’s policy of insuring employees and their
families has helped the city recruit and retain workers.
More News