Newry officials flag 9% health-insurance increase and mandatory paid-family leave

Town Administrator Loretta Powers told the Newry selectpersons on Nov. 26 that the town’s health-insurance premiums are expected to rise about 9%, with dental premiums increasing roughly 1%, both effective Jan. 1, 2025. Powers also told the board that Paid Family Medical Leave is not optional and that she and a colleague will hold a Zoom meeting next week to discuss implementation details.

The cost increases were presented as projections for the coming year rather than as formal votes or adopted changes. Powers said the town’s dental premium will increase by about 1% and that Medcare charges will rise by $3 per capita to $43 per capita. On Paid Family Medical Leave, Powers said, “This is not optional,” and scheduled a follow-up meeting with ‘Laurie’ to clarify next steps and compliance obligations.

Why it matters: Rising benefit costs affect both the town budget and employees’ take-home pay. The town has not recorded a formal vote adopting new benefit plans in the Nov. 26 minutes; selectpersons were informed and given next steps for staff to pursue implementation details and any required administrative updates to the employee handbook.

Board members and staff also approved routine personnel-related housekeeping: the board allowed staff to use the day after Thanksgiving as a floating holiday to be used by the end of February pending a handbook update, a motion that passed unanimously. Selectpersons also voted to continue stipend payments to the Fire Department under the current practice while notifying the department that future payments will be processed fiscally, another unanimous action.

Next steps: Powers and the identified colleague will meet via Zoom to review Paid Family Medical Leave requirements and report back; the town’s employee handbook will be updated to reflect the floating-holiday decision by the end of the winter period. The selectpersons will next meet Dec. 3, 2024.