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Millville City commission votes to end participation in state health plans, adopt AmeriHealth alternative
Summary
At an emergency meeting, the Millville City Commission approved a resolution terminating participation in state employee health programs (SHBP/SEHBP) and moving to an AmeriHealth Direct 15 plan the commission says will match current in-network cost shares; the vote was 4-0 with one commissioner absent.
Millville City's governing body voted at an emergency meeting to terminate the city's participation in state employee health benefit programs and to use an AmeriHealth plan as the replacement.
The action, approved by a 4-0 roll call with Commissioner Kasabian recorded as absent, came after city counsel said a formal resolution was required to effect the change. Vice Mayor Watson moved to terminate participation in the State Health Benefits Program (SHBP/SHVP) and the State Employees Health Benefits Program (SEHBP/SEHVP); the motion was seconded and carried on the roll call vote.
The move matters because it changes how city employees and retirees will receive medical and prescription coverage beginning next year. During public comment, Patricia Keers of 409 Peach Drive asked, "Can somebody please explain to me what exactly is going on with these?" and whether prescriptions and retiree copays would remain the same. A city benefits representative responded that AmeriHealth would offer a Direct 15 option "identical match" to the current Direct 15, and that "your deductibles, your coinsurance, your co pays" would remain the same for in-network care.
City officials said the change responds to projected cost increases under the state plan. Commissioners cited a roughly 51% projected increase under the state program versus a lower projected increase under the AmeriHealth proposal, described in the meeting as about 30% to 33% depending on the plan.
The commission opened and closed a public-comment period, then reconvened to take the formal vote required to implement the termination resolution. The clerk was directed to include the required Open Public Meetings Act statement in the meeting minutes. Commissioners thanked staff and Allen Associates for working to obtain quotes and options for the city.
The resolution terminates city participation in the state plans, including prescription and dental coverage as part of those programs; officials said employees and retirees would be moved to an AmeriHealth Direct 15 plan that contractually must be equal to or better than the prior coverage. The meeting did not include specific implementation dates or detailed cost-savings figures beyond the percentage increases cited at the hearing; those items were not specified.
