CITY TO PAY MORE FOR EMPLOYEE INSURANCE BARABOO'S CONTRIBUTION FOR PREMIUMS WILL INCREASE TO 90%

Baraboo Common Council members approved a change to employees' health insurance coverage during their 12-minute meeting Tuesday.

City Administrator Casey Bradley said the city takes part in the Wisconsin Public Employers Group Health Insurance Program administered by the state Department of Employee Trust Funds, which gives employees three options for insurance companies: Dean Health, Group Health Cooperative of South Central Wisconsin and Quartz Health.

The city had been paying 86% of the premium for the lowest qualified plan in Sauk County, which is GHC, but staff members recommended increasing it to 90% after GHC decreased its premium by 5.35% for 2022.

"That 5.35% decrease resulted in about $111,000 savings," Bradley said. "In the budget proposal we're looking at splitting that savings two ways, both of which would go back to the employee."

In the city 2022 budget, which is still being finalized, Bradley said by increasing the city's contribution rate to 90% for employees' health insurance premiums and using the savings from the decrease, they could add to a previously proposed cost of living adjustment from 2.5% to 3.25% for all employees.

"That 3.25 will make up less that we have to make up in future years," Bradley said. "We kind of split it both ways and tried to help offset some costs for those who may stay on...whatever plan they may be on."

The proposed COLA is 6%, Bradley said. He has advocated for the city keeping up with living increases for its employees. It had approved a 0.6% increase in its 2021 budget. During an August budget presentation, Treasurer Lori Laux explained that the 2.5% increase would mean an additional $117,500. Based on the 1% increase total of $47,500, a 3.25% increase would total $152,750.

With the change in the insurance premium contribution, the city will pay $643 of the total $714 for single coverage and $1,577 of the total $1,752 for family coverage in 2022 for the lowest qualified plan. Bradley said Dean Health increased its rate by about 7% and Quartz went up more than 14%.

Council members approved the resolution on an 8-0 vote with Scott Sloan appearing via video teleconferencing software and Mike Plautz on the phone due to technical difficulties. Tom Kolb was absent.

Council also:

* Approved 8-0 the purchase of a 2021 Bobcat E42 track mini excavator to replace a 2013 John Deere 310SK backhoe for $53,500 from the Public Works Department capital fund from Mid-State Group of Prairie du Sac

* Approved 8-0 the implementation of an asset capital policy to fall in line with the Governmental Accounting Standards Board

* Approved 8-0 the second reading of an ordinance change to modify the residential requirements for Library Board members to ensure all members live within the Baraboo School District and that at least seven live within the city