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Ranlo board to revisit elected-official health-insurance reimbursement after insurer guidance
Summary
Town staff told the board that Blue Cross Blue Shield and the broker advised any elected-official premium reimbursements likely must go through payroll deduction and that changes could require 60–90 days' notice; the board agreed to reexamine the policy in spring negotiations.
Board members discussed changes to the town's handling of governing-board members' health-insurance premiums after staff reported guidance from the town's broker and carrier.
Staff member John explained that the town's health plan has been renewed and that Contemporary Benefits, the town's broker, advised any reimbursement mechanism would likely need to be processed through payroll rather than by elected officials writing reimbursement checks to the town. He also told the board that if the town makes plan changes it may need to provide approximately "60 to 90 days" notice to Blue Cross Blue Shield for underwriting and compliance purposes.
The recommendation from staff, based on the broker's advice, was to delay permanent changes until the next negotiated policy cycle in spring 2023 but to recognize the carrier's rules might require interim action. Options discussed included asking Blue Cross Blue Shield to reevaluate the current plan with different tiered rates, revoking the prior board vote that allowed elected officials to remain on the plan as-is, or adjusting pay and converting reimbursements to payroll-deducted premiums.
Board members did not record a formal roll-call vote on a single-path resolution in the provided transcript segments. The board agreed to reexamine the issue at the next policy negotiation cycle and to consider staff recommendations informed by the carrier's response.
The board's next procedural steps are to seek further guidance from the broker and carrier and to place the matter on a future agenda for formal action.
