Cochran council approves health insurance renewal with 10% premium increase

City Manager Richard Newbern presented a health insurance renewal negotiated by Mike Sanford of Choice Insurance with Anthem Blue Cross Blue Shield, and the Council unanimously approved the resolution to renew coverage effective March 1, 2025. The renewal reflects a 10% premium increase with a $15,000 credit, raising the city’s annual cost from $342,719.28 to $375,875.76 — an increase of $33,156.48.

Why it matters: The insurance renewal was discussed as part of FY25‑26 budget planning, which Newbern said anticipates a $4.5 million general fund. Council members focused on options to limit budget impact, including potential employee premium sharing. Council Member Shane Savant suggested a $15 per pay‑period employee contribution, which he estimated could save the city roughly $11,000–$12,000 annually; the Council did not adopt a premium‑sharing policy at the meeting.

Details and procedure: Newbern introduced the renewal and noted the negotiated $15,000 credit. The resolution to approve the renewal was moved by Council Member Gary Ates and seconded by Council Member Shane Savant; the motion passed unanimously. The minutes record the effective date of the new rate as March 1, 2025. The record does not specify whether the city will implement employee premium contributions or when any cost‑sharing proposal would return for Council action.

Budget context and next steps: Council members placed the renewal within broader budget planning for FY25‑26. Newbern also noted other upcoming funding actions and grant applications that could affect the budget. No follow‑up vote or ordinance was recorded at this meeting to change employee benefit cost‑sharing; any changes would require separate action in a future meeting.