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Board approves handbook change limiting spousal enrollment for future hires to manage insurance costs
Summary
The board approved a resolution to amend the employee handbook to add a spousal carve‑out for new hires: employees may add a spouse only if that spouse is not eligible for coverage through another employer; current employees remain grandfathered, officials said.
The Board of Public Works and Safety approved a resolution on Aug. 3 to amend the employee handbook to add a spousal carve‑out intended to reduce the city's insurance loss ratio for future hires.
Mindy (speaker 3) told the board the amendment would allow newly hired employees to add a spouse to the city's benefits only if the spouse is not otherwise eligible for employer-provided coverage. "Any employee that is deployed by us on our benefits currently can add their spouse to our policy," Mindy said, adding that the proposed carve‑out would prevent spouses who are already offered insurance at another employer from being added to the city plan. Officials emphasized current employees and spouses already on the plan will be grandfathered.
The mayor and other officials said the change is intended to help the city manage a sizable premium increase next year. The mayor cited a projected premium increase approaching $200,000 for 2027 and said the city has absorbed prior increases to avoid raising employee premiums. The board approved the handbook amendment and staff will present the benefits element to city council for adoption.
