Bloomfield council declines request to pay city portion of retiree’s health insurance; opts for COBRA

Bloomfield council members voted to deny a retiring employee’s request that the city pay the employer portion of the employee’s health insurance premium for three years and to allow the individual to remain on coverage under COBRA or similar options.

Staff presented the request, saying the retiree wanted to remain on the city plan for themselves and a spouse until age 65 and asked the council to cover the city share for three years. The packet review noted prior practice: earlier retirees were permitted to stay on the plan only if they paid the full premium; early-retirement incentives in the past included one-time payments, not ongoing city-paid coverage.

Council members discussed COBRA eligibility and the financial precedent of paying premiums for retirees. One council member noted prior retirees had paid the entire premium; staff estimated current combined employee-plus-spouse premiums around $1,100 per month with the city covering roughly $1,000 of that amount under current contribution levels. The council debated whether to create a new ongoing benefit or keep prior practice intact.

A motion was made to deny the full request for city-paid premium continuation and to document the denial in the minutes; the motion was seconded and adopted by roll call. Council members stated they would allow employees to use COBRA or other continuation options but were not prepared to begin a new policy of paying the employer share for retirees absent a formal program change or early-retirement incentive.

The council did not establish a new retiree-premium program; the decision leaves the retiree responsible for continuation coverage costs unless a separate program or one-time incentive is later approved. The motion was recorded in the minutes and will be reflected in personnel records.