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Published September 26, 2008 04:30 am - Self-funding of HMO will save big bucks.

City, unions reach deal on health insurance


By JOE LoTEMPLIO
Staff Writer

Health coverage,

costs improved by cooperative efforts

PLATTSBURGH -- City officials and union leaders have found a way to find significant savings on employee health insurance.

There could be one snag, however.

By self-funding the city's Health Maintenance Organization plan, the city could see a savings of about $210,000 for the rest of this year and more than $518,000 for all of next year.

"This absolutely is a win-win situation for all of us, and the Health Task Force deserves a lot of credit for coming up with this," said Councilor James Calnon (I-Ward 4) who, as mayor pro tem, serves as the council budget officer.

The Health Task Force comprises representatives from the city's five unions, the council and Chamberlain Richard Marks.

Under the plan the group came up with, the city will save on premiums, and employees who pay 15 percent of the cost of insurance will wind up paying less as well.

UNIONS LAUDED

Denise Nephew, president of the American Federation of State County and Municipal Employees, said the deal helps all sides.

"I've been saying all along that if we work together we can find savings because they are out there.

"This definitely is a win-win because it gets us involved, and we can monitor health costs, and it helps the taxpayers."

Nephew and Plattsburgh Public Library union representative Karen Ricketson urged the city to re-form the Task Force this year as a way to find savings.

Mayor Donald Kasprzak said the unions deserve credit for coming to the table.

"This is a great example of people working together in challenging times to find tremendous savings for the city while maintaining the same level of benefits for the employees," the mayor said.



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