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Eastpointe board adopts 80/20 employee health-care resolution under Public Act 152

Eastpointe Community Schools Board of Education · October 28, 2024
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Summary

The Eastpointe Community Schools Board of Education voted Oct. 28 to adopt an 80/20 employer–employee split for health‑care contributions under Michigan Public Act 152; district leaders said the change formalizes the district’s longstanding self‑insured practice and applies to union and nonunion staff.

The Eastpointe Community Schools Board of Education voted Oct. 28 to adopt a resolution electing an 80/20 employer–employee split for employee health‑care contributions under Michigan Public Act 152.

Superintendent Gibson told the board the provision “applies to all employees” and that the district has operated as a self‑insured, 80/20 provider “for the better part of 10 years,” framing the vote as a continuation of current practice rather than a new benefit change. A board member asked whether the cost-sharing applied to both union and nonunion employees; the superintendent answered that PA 152 requires the district to adopt a position and that the recommended 80/20 election covers all employees.

Why it matters: Public Act 152 gives local units of government the option to establish caps or predefined employer–employee cost splits for health‑care contributions; adopting the 80/20 split determines how future premium costs are shared and clarifies the district’s administrative position as state policy evolves.

The board approved the resolution by roll call. The recorded vote listed Mr. Grumberg, Mr. Rasco, Mr. Williams, Mrs. Rayford, Mrs. Richardson and Mrs. Grimberg voting yes; no board member was recorded as voting no or abstaining for this motion in the transcript. Meeting materials and staff comments indicated no immediate change to plan design, only formal adoption of the contribution split.

Next steps: The resolution documents the district’s position under PA 152; the board did not indicate additional implementation steps during the meeting other than staff continuing current administration of the plan.