School board approves changes to employee health plan after district review

The Jefferson City School District board approved proposed changes to employee health plans at its March 13 meeting to stabilize a declining district medical trust balance.

Sherry, the district presenter for the health-plan update, told the board the medical plan is self-funded and that the district contributes $430 per employee per month to the trust. "The district medical plan is self funded. So basically, the district puts $430 per employee per month into the medical trust," Sherry said, noting the trust balance fell from about $11.6 million in 2018 to roughly $4.4 million as of February 2025.

Sherry said consultants recommended a 33% increase in employee premiums and district contributions to restore a six-month reserve, but the district proposed smaller, targeted changes instead. The board approved moving employee premiums back to 2017 rates (a modest increase for most plans), raising the district contribution from $430 to $470 per employee per month, and altering plan design features intended to slow cost growth. Changes include modest deductible increases for HSA and base plans, raising specialist copays from $35 to $50 across plans, and restructuring pharmacy cost sharing so that preferred brands and specialty drugs are subject to percentage cost sharing with per-prescription caps (for example, tier 2 to 20% up to $100 per script).

Sherry said the changes were explained at 14 school and staff meetings and that open enrollment materials will go out in April. The board made a motion to approve the proposed plan changes for inclusion in the open enrollment packet; members voted in favor.

Ending: The board's action authorizes the changes to be presented to employees at open enrollment; the district and its benefits consultant will monitor trust balances and may propose further adjustments in subsequent years if necessary.