St. Mary Parish School Board adopts 2025–26 budget, approves insurance renewals and agrees to cover Medicare retirees' premium increase

ST. MARY PARISH, La. — The St. Mary Parish School Board on Sept. 11 adopted its consolidated operating budget for the fiscal year ending June 30, 2026, approved multiple insurance renewals and voted to cover a scheduled premium increase for the district's Medicare Advantage retirees.

The board adopted the FY2025'1026 resolution as presented and approved a package of insurance renewals, including liability, automobile, errors-and-omissions and cyber policies that together totaled about $692,036 for the coming year, an increase of roughly $96,000 over expiring coverage. Board members also voted to absorb a $44 per-member monthly increase to the district's Medicare Advantage plan so retirees will not see a premium change.

Why it matters: The adopted budget and insurance decisions affect district finances and local staffing plans. The board's decision to pay the full Medicare Advantage premium increase shifts the cost from retirees to the district budget, and staff said the budget keeps in place pay provisions currently supported by a parish sales tax that expires in June 2026.

Board action and key details

- Operating budget: The board approved the consolidated operating budget for the fiscal year ending June 30, 2026, as included in the board packet. The motion to adopt was made by Mr. Mancuso and seconded by Dr. Wilson; the vote carried.

- Medicare Advantage plan renewal (employer-group waiver plan): Blue Cross proposed raising the billed premium for the district's Medicare Advantage plan from $272 to $316 per member per month (a $44 increase). The plan covers 754 enrolled Medicare retirees and spouses. The board voted to have the district pay the entire increase so members retain their current premium level. The motion was made by Miss Griffin, seconded by Miss Brent; members voted in favor and the motion carried.

- Liability, auto, errors-and-omissions and cyber insurance renewal: The board approved the renewal recommended in the packet. Key line items presented were: general liability premium about $308,177; automobile premium about $310,007; errors-and-omissions premium about $38,007; cyber premium about $35,001; total renewal roughly $692,036. The presenter recommended approval; the motion to accept the renewal was made by Mr. Mancuso and seconded by Miss Anselm. The board also authorized the superintendent to sign the uninsured motorist rejection form; the motion for that authorization was made by Mr. Parity and seconded by Miss Brent.

- Employee and visitor meal prices: The board approved keeping staff meal prices unchanged for 2025'026 and approved revised visitor meal charges to meet federal program rules: breakfast $3.75 and lunch $5.60. The visitor price change was presented as required to comply with National School Lunch Program regulations.

- Memoranda of understanding with Head Start: The board approved renewals of memoranda of understanding with St. Mary Vermilion CAA Head Start (including Individuals with Disabilities Education Act and Head Start Act provisions) and with Early Head Start. Dr. Wilson abstained from both votes; the motions carried.

- Surplus declaration from recent online auction: Staff reported five lots sold for roughly $110 in revenue at the district's first online auction; the board declared remaining unsold items surplus and authorized disposal. The motion carried.

- Foster Elementary canopy: After receiving three engineered bids for a wind-rated playground canopy (range about $74,350 to nearly $100,000), the board approved proceeding with the lowest bid as recommended in the packet.

Other fiscal context from staff reports

Chief financial staff reported that two months into the fiscal year, parish sales tax collections (July'August) were 6% unfavorable to budget, with August collections about $392,000 under the monthly budget. Staff said local tax offices nonetheless anticipate 2026 collections will exceed 2025 totals. The chief financial officer also reported a Standard & Poor's upgrade on the district's bonds from A to A+.

Quotes and clarifications

"The renewal indication we received from Blue Cross is a 5% increase effective 01/01/2026. That amounts to about $662,000 in increased premiums," Mr. Perez said when presenting health-plan information to the board. Mr. Perez also described an appeal to underwriting intended to reduce the proposed commercial plan increase (that appeal relates to a separate commercial plan discussion and potential self-funding option discussed but not decided at the meeting).

What's next

District staff said the commercial group health plan renewal (for active employees) will be revisited at the October 9 board meeting after the district receives a response from Blue Cross underwriting. The board did not take final action on the fully insured commercial renewal at the Sept. 11 meeting.

(See the related article for details on the commercial group health-plan renewal discussion and staff's self-funding proposal.)