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Council approves $45-per-pay-period employee contribution for individual health plans to reduce payroll costs

July 30, 2025 | Helena, Phillips County, Arkansas


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Council approves $45-per-pay-period employee contribution for individual health plans to reduce payroll costs
The Helena-West Helena City Council voted July 29 to require employees on individual health insurance plans to contribute $45 per pay period toward their coverage, a measure the presiding official and council members said is intended to reduce city payroll expense.

Council member Saint Columbia moved for the $45 contribution; Mister Messina seconded. The clerk recorded the vote as four yes and two absent. The presiding official told the council the contribution would take effect on whichever pay period includes Sept. 1 to allow payroll staff to provide notice.

Why it matters: Council leaders presented projections from the city treasurer estimating the anticipated annual revenue from different contribution levels. The treasurer’s projections, based on an assumed 75 covered employees, showed roughly $54,000 annually at $30 per pay period, $72,000 annually at $40, and $81,000 annually at $45. The presiding official said the $45 option would produce about $81,000 a year in savings.

Discussion and related payroll concerns: The vote came amid a broader discussion of city payroll and staffing. At the start of the meeting the presiding official reviewed payroll trends and said recent pay periods were trending downward but would tick up with added police hires and fire overtime. Council member Saint Columbia raised concerns about apparent overstaffing on residential garbage routes after observing five employees on a single truck; the presiding official said he will meet with sanitation leadership to review route staffing.

Distinguishing discussion, direction and decision: Discussion items included departmental staffing, overtime and payroll trends. The council directed the treasurer and payroll staff to implement the new contribution beginning with the pay period that includes Sept. 1 and directed the presiding official to meet with the sanitation department to assess route staffing. The formal decision was the vote to require the $45 per-pay-period contribution for employees on individual plans.

Implementation notes: The presiding official said the treasurer asked how much notice employees should receive; the council chose the September pay-period timing as operational guidance. The action does not change contributions for family plans, which the presiding official said already include an employee share.

Background details: Earlier in the meeting the presiding official presented summary payroll figures from January through the first half of the year showing average net payrolls around $140,000 per pay period, with recent declines to about $120,000 in the most recent pay period. The presiding official said getting payroll down is a priority to address outstanding debts and to catch up on obligations such as retirement/APR payments.

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Scribe from Workplace AI
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