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Fall River faces health‑insurance funding gap; city and schools debate scale and fixes
Summary
Councilors and finance staff told the Committee of Finance they expect significantly higher health‑care costs in FY26 and that the budgeted increases do not fully cover projected claims; administration outlined steps it will take to reduce the gap but projected a shortfall remains without additional funds.
Councilors and finance staff spent a significant portion of the May 27 Committee of Finance hearing discussing employee health insurance and the city’s employer trust fund.
Interim Finance Director Emily Arp told the committee the FY26 budget includes a $3,400,000 increase for health insurance in the city proposal; several councilors and the school CFO said the expected cost increase this year could be substantially larger. During the hearing, councilors quoted a $10,000,000 estimated cost increase referenced in discussion; Arp acknowledged the administration expected a larger increase than was ultimately…
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