The Chickasaw County Board of Supervisors discussed options for handling a refund and remaining balance in the county’s flexible spending plan after an audit by Employee Benefits Systems (EBS). Staff reported an EBS audit for the plan year ended June 30, 2024 documented a refund of $1,267.68 and brought the plan balance to $13,545.18.
Board members considered several options presented by staff, including leaving the funds in the plan, using the balance to provide increased benefits to participants in the following plan year, offering a premium holiday, reducing required payroll deductions, or increasing coverage election amounts. Staff cautioned against applying funds to administrative expenses, citing a prior practice that had not worked out well.
Supervisors directed staff to consult with EBS to determine eligibility and operational details — in particular, whether refunded amounts should be allocated only to contributing participants or broadly across all eligible employees, and whether changing benefit elections during open enrollment would interact with IRS annual contribution limits. The board asked for findings to be returned before execution of any signature or final paperwork.
No formal motion to change plan terms was made; the board’s action was limited to authorizing staff to gather information and report back. The matter will return to the board for final direction once EBS clarifies eligibility and administrative implications.