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Board approves 2025–26 employee health plan with modest premium increase; telehealth change announced
Summary
The governing board voted to renew the district’s two medical plan options with an overall estimated 3.6% cost increase for 2025–26, continue district contributions and switch telehealth services from Teladoc to Blue Care Anywhere to comply with IRS rules.
The Dysart Unified School District governing board approved the district’s employee health-benefit package for the 2025–26 fiscal year, accepting administrative recommendations to renew the two existing medical options and to absorb most of a 3.6% cost increase.
Ms. Spinell, who presented the plan, said the district’s self-insured medical and pharmacy program is running near funded expectations and that pharmacy rebates — expected to total about $1 million — will continue to offset plan costs. Actuarial work produced an estimated total medical and pharmacy cost for 2025–26 of about $17,400,000.
The district will continue to offer the two medical options — a high-deductible HSA plan and a PPO — with no plan-design changes aside from IRS-driven HSA deductible indexing (the HSA deductible increased per IRS guidance). The district recommended absorbing most of the premium increase: administrators said the district contribution per eligible employee will rise from the prior-year level (previously $643 per month) to approximately $666.48 per month, and the benefits trust will continue to subsidize premiums from its reserves.
A notable change for employees is the telehealth provider and cost structure. The district plans to replace Teladoc with Blue Care Anywhere because IRS guidance, effective December, requires a fair-market-value copay for telehealth under high-deductible health plans; district staff said the Blue Cross contract rate will set the telehealth copay at roughly $67. Administrators said the change protects employees’ HSA tax status and keeps the HSA plan compliant with IRS rules.
Other benefits details presented: continued HSA matching contributions (up to $500 or $750 depending on tier), a $250 contribution for employees who complete a routine physical, continued stop‑loss coverage at $320,000 per claim and an employer-paid individual Allstate identity-protection plan available to all eligible employees at no cost. Staff also proposed a small wellness gift-card incentive program funded from the benefits trust to increase participation in wellness activities.
Board members asked about advisors and vendors; staff confirmed Brown & Brown provided actuarial estimates and VSMG (the consulting firm) supports benefits administration. The board voted to approve the employee health-benefit plan for 2025–26; the motion carried.
Ending: Administrators will continue monthly monitoring of claims and the benefits trust position and said they will update the board if reserves or trends require adjustments.
