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APPROPRIATION COMMITTEE-2019 ATM
<br /> The Town remains a member of the State's Group Insurance Commission(GIC)health insurance program
<br /> for FY2020. In 2018, the Town reached an agreement with the Public Employees Committee to remain in
<br /> the GIC through FY2021.
<br /> The FY2020 split of healthcare premiums between employer and subscribers is 82/18 or 75/25 depending
<br /> on the health plan. The split percentages are the same as those in FY2016 through FY2019.
<br /> In total,the Town contributes the equivalent of 85%or 80%,depending on the health plan,because it makes
<br /> additional payments of 3% or 5%, respectively, to a Mitigation Fund per an agreement with the Public
<br /> Employee Coalition. The Mitigation Fund is used to fund Health Reimbursement Accounts(HRA)for em-
<br /> ployees that enroll in one of the Town's health-insurance plans.
<br /> The table below shows projected health insurance costs to the Town by subscriber category. Health insur-
<br /> ance costs are funded entirely from the General Fund.
<br /> Category Count FY2020 Budget Avg. Cost to Town
<br /> Current Subscribers
<br /> Active- Town-Individual 96 $701,973 $7,312
<br /> Active- Town-Family 164 $3,097,439 $18,887
<br /> Active- School-Individual 356 $2,567,821 $7,213
<br /> Active- School-Family 536 $10,124,076 $18,888
<br /> Subtotal-All Active Employees 1,152 $16,491,309 $14,315
<br /> Retiree- Individual 142 $1,209,011 $8,514
<br /> Retiree- Family 75 $1,493,636 $19,915
<br /> Retiree- Medicare Plan 1,072 $4,079,214 $3,805
<br /> Subtotal-All Retirees 1,289 $6,781,860 $5,261
<br /> Total Current Subscribers 2,441 ,$23,273,169 ,$9,534
<br /> Projected Changes in Subscribers
<br /> Position Vacancies 30 $420,538 $14,018
<br /> Open Enrollment 80 $1,126,869 $14,086
<br /> Estimated Reduction (34) ($122,569) ($3,605)
<br /> Net Projected Subscriber Increase 76 $1,424,838 $18,748
<br /> New Staff-Municipal 2 $29,551 $14,776
<br /> New Staff-Facilities (LCP &Hastings) 2 $26,194 $13,097
<br /> New Staff-LPS 25 $323,806 $12,952
<br /> Subtotal-Neve Staff 29 $379,551 $13,088
<br /> Other Costs
<br /> Opt-Out Program $710,000
<br /> Administrative Costs&Misc. Expenses $176,250
<br /> Part B Penalty $88,628
<br /> Other,Non-General Fund Sources ($100,866)
<br /> Subtotal Other Costs $874,012
<br /> Grand Total 2,546 $25,951,569 $10,193
<br /> The FY2020 budgeted rates are based on an increase of 5.5%over FY2019 actual rates for health insurance
<br /> and a 4% increase over FY2019 actual rates for dental insurance, and a projected addition of eighty (80)
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