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Council debates cutting part-time health benefits; legal counsel says Rice notices required, no final vote taken
Summary
Council members proposed eliminating health insurance for part-time city employees and later moved to issue RICE notices; legal counsel advised that employees must be Rice-noticed and that the issue was not properly noticed for a special meeting, so the council deferred final action to a later agenda.
A motion to eliminate health-care benefits for all part‑time city employees was made and seconded during the City of Clifton's April 8 special budget meeting; legal counsel interrupted and advised that employees whose terms and conditions might be changed must receive a RICE notice under local law and that the subject was not listed on the special-meeting notice.
The initial motion — introduced from the dais — directed removal of part-time employee health benefits. Legal counsel (Miss Wright) said the council must issue RICE notices to any employees whose health benefits might be modified: "It's my opinion that the council has to issue a RICE notice to any employees whose health benefits may be modified by this vote." Council members then moved to send RICE notices, and that motion was seconded, but the audience of council comments and legal advice made clear the matter required additional process and notice.
Council discussion that followed addressed both the substance and the process. Several council members raised policy and equity questions, noted Clifton's self-insured health plan structure, and supplied figures from materials on the dais. One council member cited a city figure for the total city cost of benefits for affected officials (listed on a draft budget sheet in the meeting) as $265,169.37; another council member later clarified an emergency appropriation number for the health department as $207,000 (not $270,000, as had been misstated earlier during the meeting).
Legal counsel also advised that, because this was a special meeting and the agenda notice did not specifically include Rice notices or changes to employee terms, the council should place the Rice-notice question on a future properly noticed agenda if it wished to act. Counsel recommended adding the item to the next regular meeting so employees could receive proper notice and the council could consider the item in public session with required procedural safeguards.
No final substantive change to part-time benefits was adopted at the April 8 special meeting. Several council members criticized raising the issue without prior employee notice or an agenda item; council members also debated whether changing benefits would yield anticipated savings because the city is self‑insured and contributions vary by participant and plan use.
Ending: Council members directed that the Rice‑notice and any vote on part‑time employee benefits be placed on a future, properly noticed agenda, and legal counsel and staff were asked to prepare the required notices and benefit-cost breakdowns for that meeting.
