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Council authorizes conditional switch of employee health plan pending termination cost estimate
Summary
Council moved to change the borough's employee health insurance to Municipal Benefit Services for 2025 if termination costs do not exceed $42,000; staff said switching could save about $13,730 per year. Two councilors abstained from the vote as recorded.
Borough Manager Cindy Wells and Councilor Brian Osborn reported a meeting with Municipal Benefit Services about switching the borough’s employee health insurance from Benecon to MBS. Manager Wells said new rate information for the current plan would be available Oct. 15, 2024 and that an estimate showed a potential annual savings of $13,730 if the borough changed providers.
Council approved a conditional motion: "MOTION TO CHANGE HEALTH INSURANCE PROVIDERS FOR 2025 IF THE ESTIMATED TERMINATION COSTS WOULDN’T EXCEED 42,000.00." The motion was moved by Councilor Osborn and seconded by Councilor Steadman; the minutes record that Councilors Riley Cross and James Kerns abstained from voting. The motion was recorded as carried.
Staff will receive the detailed termination and rate estimates and return to council for final authorization if termination costs fall below the stated threshold.
