by Rose Murphy and Thomas Boni
Gulf Coast Newspapers

DAPHNE, Ala. — The City Council on Tuesday voted unanimously to extend a contract with Blue Cross Blue Shield, which provides city employees’ health and dental benefits. The new, 12-month plan goes into effect Oct. 1 and will include certain — though currently undetermined — rate changes.

“We have about $135,000 premium increase this year,” Councilman August Palumbo said. “We asked the ... (city’s human resources) department to offer suggestions like, the city pay 75 percent and employees pay 25 percent, or 50, 50.

“We haven’t decided anything yet; the city can no longer afford to pick up the cost.

At renewal, a family’s benefits package could be $1,018.81 and $52 per month for medical and dental incentives, respectively, according to the city’s human resources department. An individual’s package could be $412.94 per month for medical, $20 for dental.  

“We gave them (city leaders) sample numbers in terms of what the employees would pay, but it's my understanding that they didn’t vote on anything Tuesday night,” Sharon Cureton, human resources director, said.

Currently, 228 — of the city’s 242 full-time employees — collect benefits, according to the department. Singles receive $389.84 and $19 per month for medical and dental benefits, respectively. Families receive $910.82 and $48 a month for medical and dental benefits.

The city has used Blue Cross Blue Shield as its health care provider for at least 20 years, according to the department.

City leaders on Tuesday held their own opinions on what percentage the city should pay of the $135,000 premium increase, versus what percentage employees should pay. 

“I think the 75/25 is a legitimate (option) for us to be looking at,” Councilman Ron Scott said before the meeting. He was referring to a package where the city pays 75 percent of the raise and employees pay 25 percent.

Councilman John Lake suggested that family rates could differ from those of individuals who have fewer financial responsibilities. Family rates should be “reasonable,” while individuals should pay a set 25 percent under the new plan, he said.

City workers could use the help, he said.

“This year, we did not give employees a very large raise,” he said, referring to what he called a 2 1/2 percent spike.

That wasn’t a good excuse for Councilman August Palumbo, who said the city shouldn’t make things easier for any household size.

“The morale is about as low as it can get,” he said, referring to perceived concerns since the city put public safety workers on a different pay scale than other workers. Changing rates between families and singles also is “divisive,” he said.

The city could find ways to help pay for its insurance, such as taking a cue from the state government and charging its employees who smoke or are obese — and who therefore, present greater liabilities — Lake said. 

Alabama three years ago began charging state workers, who smoke, $24 a month for health insurance that is usually free. The state has since targeted overweight workers. Alabama’s state workers don’t have to lose weight or lower their blood pressure; however, in 2010, they must participate in a free health screening for cholesterol, glucose levels, blood pressure and body mass index to avoid paying $25 a month from their paycheck, the Wall Street Journal’s Health Blog reports.

“Employees whose results put them at high risk for health problems have three options: seek medical advice about the problem (which is provided for free); enroll in a state-sponsored wellness program or take steps that lead to improved results at the next screening later that year. Employees who act won’t be charged; those who don’t will see $25 a month docked from their pay starting January 2011,” the paper’s blog said.

Also Tuesday, the council heard a presentation by June Lavern and two members of the Volunteer Mobile’s Impact Club who presented four sets of oxygen masks to Fire Chief Bo White. The masks were intended for animals the fire department rescues.

Oxygen to Animals — a project of the Impact Club — helps fire departments aid animals in distress from smoke inhalation, according to Volunteer Mobile’s Web site. Donations for specially made oxygen masks — for dogs, cats and birds — are $60. A single donation purchases a kit that includes three sizes of oxygen masks.

City leaders, meeting in their new council chambers, in closing comments talked of how proud they were to have the new, $7.5 million City Hall. Financed with a 30-year bond at 5 percent interest, future residents will thank them for it, city leaders said.

Also, Mayor Fred Small said the public is invited to a ceremony that observes the Sept. 11, 2001 terrorist attacks. The event is set for 9 a.m. under City Hall’s clock tower.

Council normally meets the first and third Mondays of each month, but city leaders moved this week’s meeting to Tuesday to observe the Labor Day holiday.

Staff Writers Jenny Wilkins and Jessica Jones contributed to this report.

 

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