Finance committee reviews health-insurance renewal as claims spike; employees to see payroll impact March 1

Finance staff told the Youngstown finance committee on Feb. 18 that the city’s health-insurance administrative charge must rise after medical-claim costs increased sharply in 2025.

Kyle Mizex, a finance official, said the rise is linked to headcount and a bigger-than-expected jump in prescription-related claims. “It actually doubled in 2025, and that was a result of changes on how many prescriptions are being issued under the program that drove the higher increase in our medical, claim cost,” Mizex said. He told the committee the plan itself is not changing but that the amount employees pay will increase and the city will pick up most of the remaining stop‑loss costs.

The change takes effect for payroll on March 1, Mizex said, and staff expects employees to see the impact as higher deductions. Mizex said the city is roughly 90% responsible for the stop‑loss remainder and that the administration will bring follow‑up budget and benefits proposals to the committee to try to limit future cost growth.

Council members pressed for more detail about how specific charges appear on paychecks. One council member asked about a $500 ‘‘supplies’’ line that functions as a deductible on some claims; Mizex replied that the plan’s structure has not changed and that the listed charge appears in the deductible/supplies category. The committee asked staff and the law department to arrange a follow‑up meeting with the city’s benefits and risk staff to review plan details and recent claim trends.

The committee moved the related ordinances to the council floor for consideration. The finance office said it will provide supporting documents in advance of the committee-of-the-whole meeting scheduled for Feb. 19.