Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Health Benefits topic
No spam. Unsubscribe anytime.
Woodbury County board postpones health-plan design decision after employees urge more time; approves 6.5% employer contribution
Summary
After a full public-comment period, the Woodbury County Board of Supervisors postponed final approval of proposed 2026 health-plan design changes — including higher deductibles and out-of-pocket maximums — and separately approved a 6.5% employer contribution increase effective Jan. 1, 2026.
The Woodbury County Board of Supervisors on Monday postponed a vote on proposed 2026 health insurance plan design changes after dozens of county employees, union leaders and department heads urged the board to delay and provide more data.
Human Resources Director Melissa Thomas and consultant Seth Major of Gallagher presented options that would raise deductibles and out-of-pocket maximums for HMO and PPO plans and said the changes are intended to restore required reserves after an actuarial review. "The purpose of this agenda item today is obviously to increase the funding in our health plan and for our reserves," Melissa Thomas said as she introduced the proposal.
Major told the board the benchmarking analysis covered thousands of public-entity participants and that "this proposal will save just over a million dollars," depending on which plans employees choose. Staff said the county faced a funding shortfall after contributions of about $6.7 million were outpaced by roughly $8 million in claims, and that an earlier $725,000 transfer was used to shore up reserves. County staff reported fund balances falling from $2.6 million in FY22 to about $572,000 as of the meeting.
Employees and labor leaders described the proposed increases as abrupt and potentially severe for workers and retirees. Don Norton, a county employee, said the changes would be "life-changing" for some workers and called for a phased approach. Derek Brand, president of CWA 7177, said the timing and limited information reduced employees' ability to evaluate alternatives. Several speakers asked for claims-detail breakdowns (hospitalizations, prescriptions, ER use), the full actuarial report, and consideration of alternatives such as a high-deductible HSA option.
Supervisor discussion emphasized the practical deadline for submitting changes to the vendor. Consultants and staff said Dec. 10 was the latest feasible date to submit final plan parameters to ensure new ID cards and systems are in place by Jan. 1. The board voted unanimously, 5-0, to postpone final action on plan design changes to allow more stakeholder review, and separately approved a 6.5% increase in the county's employer contribution to the health fund effective Jan. 1, 2026. County finance staff said that employer increase will require a December budget amendment and will add roughly $400,000 to the current fiscal-year cost.
The board indicated it will continue working with Human Resources, the consultant and department representatives to present more detailed claims and fund-history data and to explore alternatives before taking final action on plan design. The board's temporary postponement preserves the timeline to submit a decision by Dec. 10 while allowing additional review and staff outreach.
