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County to use $600K health-insurance rebate to shore up clinic costs and offset employer premium share
Summary
A presenter said St. Mary's County received a CareFirst premium rebate of $600,481 and proposed holding 10% as a call account, using part to offset an anticipated ~3% employer-premium increase and sharing clinic operating costs (contract moved from Everside to Marathon).
A county presenter (Speaker 5) told the commissioners the county received a CareFirst insurance premium rebate totaling $600,481 and proposed an allocation that would preserve a 10% call-account balance, fund employer premium obligations and continue to share operating expenses for the county health clinic (originally Everside; now Marathon).
"We have a rebate of $600,481," the presenter said, and recommended maintaining a call-account equivalent to 10% of the FY25 premium and dedicating the remainder to the employer portion of an expected ~3% premium increase — a $472,000 amount that Vanquie said is included in payroll projections. The presenter also said clinic operating costs have been apportionioned among partners (the county, the library, Metcom and others) and noted a first-year fiscal review with Marathon is scheduled in January.
Commissioners generally supported continuing the prior practice of using rebate funds to offset employer premium increases and to cover clinic operating costs; one commissioner asked that any remaining balance (about $752,000 in the presenter's slides) be carried forward to the next year.
Why it matters: Using the one-time rebate to cover employer premium increases keeps the county's operating revenues cleaner and avoids moving employer-cost pressure into the general fund, while continued clinic funding supports employee health services.
What's next: Staff will bring back the first-year utilization and fiscal review from Marathon and, if commissioners direct, will apply rebate allocations consistent with prior practice.
