Schools Officials Defend Insurance Switch

Two weeks ago, town officials expressed surprise in a planned change in health insurance for school employees that seemingly came out of nowhere. On Monday night, the Board of Education (BOE) expressed disappointment over their reaction.

"I was disappointed in watching that Board of Finance meeting," said James Marpe, vice chairman of the Board of Education. "Watching those appointed and elected officials express… shock was like watching Claude Raines in Casablanca."

On September 1, insurance for school employees will switch from Anthem Blue Cross to Cigna. Aministators believe that this will avoid approximately $500,000 in rising health care costs.

Health insurance costs for schools employees have been steadily rising in the last several years. In 2006-07, the total cost was $8.4 million. In 2009-10 the total cost came to just under $12 million.

Consolidating and sharing resources between the town and the school have been sought, but Elliot Landon, superintendent of schools, said that in this case it would have been impossible.

"We would have been more than willing to have the town join with us," Landon said. The problem is that their [labor] contracts do not give them the same flexibility that we have worked so hard far."

He added that the decision to switch was not a secret and was done in an open manner.

Elaine Whitney, a member of the BOE, said the possibility of switching insurance providers was discussed at government efficiency committee meetings a year ago.

In an interview, Helen Garten, chairman of the Board of Finance, acknowledged that the town is limited in switching health care providers due to the nature of the labor contracts.

"In the future, if we can change our union contracts then we might be able to negotiate some savings," she said. "But if they save money, that's great. It's the taxpayers' money regardless of whether it's from the towns or the schools."