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Board approves 6% increase to employee medical premiums for 2025–26
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Summary
The Gilbert Public Schools Governing Board approved a recommendation from the Employee Benefits Trust to raise medical premiums 6% for the 2025–26 plan year; the change increases district budgeted expenses by $1,292,612 and follows plan-design changes that reduce an actuarial increase of about 11.8% to the recommended 6%.
The Gilbert Public Schools Governing Board voted to approve a 6% increase in employee medical insurance premiums for the 2025–26 plan year, the board heard on Feb. 25.
Associate Superintendent of Business Services Bonnie Betts told the board the premium change drives a $1,292,612 increase in budgeted district expenses and that the actuarially determined increase—including plan design changes—would have been about 11.8% without the adjustments. Betts also said the Employee Benefits Trust expects a potential drawdown of reserves of approximately $1,525,000.
The recommendation originated from the district's employee benefit review process and was presented as a package that combined premium increases, plan-design changes and a limited use of reserves. "That in conjunction with the premium increase, has brought that, 12% increase down to the 6%," Betts said. Board members noted the recommendation followed review by the Employee Benefits Trust committee and a larger employee committee that represents teachers, support staff and administrators.
Board member Jill Humphreys, who described the committee process, said the district has experienced unusually low premium increases in recent years. "We have had very, very low, increases in the last few years," Humphreys said during discussion.
Board members asked how employees might respond. Betts and staff explained the district offers multiple plan types, including an EPO and at least two high-deductible health plans that pair with health savings accounts; they said some employees could shift plans after the increase, and that movement could be neutral or beneficial for the trust but is not guaranteed.
A motion to approve the Employee Benefits Trust medical insurance rates recommendation for the 2025'26 school year was made and seconded and the board approved the recommendation; the transcript records the motion and a roll-call-style voice vote of "Aye" with no opposing votes recorded in the meeting minutes.
What happens next: staff said the plan-design changes and premium updates will be implemented for the coming plan year and that the budget impact will be included in district fiscal planning.
Votes and formal action
- Motion: Approve Employee Benefits Trust medical insurance rates recommendation for the 2025'26 school year. - Mover: Jill Humphreys (board member). - Second: Shana Murray (board member). - Outcome: Approved (no opposing votes recorded in the meeting transcript). - Notes: The actuarial increase including plan-design changes was described as about 11.8%; the recommendation reduces district budget impact to an estimated $1,292,612. Staff projected a potential drawdown of reserves of about $1,525,000; vote tallies were not provided in the transcript.
