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Residents question district's broker selection after public allegations of past overbilling and breaches
Summary
Several residents urged the board to reconsider reappointing an insurance broker (Alamo), alleging prior overbilling, a data breach, political contributions and other concerns. Board members and administration said a competitive process and cost savings drove their decision; no reversal occurred at the meeting.
During the public-comment period, multiple residents criticized the board's recent selection of an insurance broker, raising allegations about the firm's past performance.
A resident who reviewed district records said that, in prior years, broker compensation for health, prescription and dental services exceeded amounts approved by the board by more than $100,000 and described efforts by a former administrator to recover overpayments. The speaker also alleged a separate fee arrangement that generated revenue from employee prescriptions and cited a prior data breach and significant political contributions as reasons to distrust the vendor.
Board members responding in public said they had asked questions during the selection process and noted that the district pursued a competitive RFP and interviews; one member said administration reduced service charges and secured cost savings. Other board members acknowledged the community's concerns and urged administration to review the record and provide written explanations in public documents. The district did not reverse or rescind the broker appointment during the meeting.
Speakers requested that the board examine prior contracts, confirm whether any overbilling was refunded, and publish relevant communications. Administration and the board said they would follow up through the finance and policy committees and provide documentation where appropriate.
