Millis Select Board reviews health insurance budget strategy for town and school employees

In a recent Finance Committee meeting held on April 9, 2025, in Millis, Massachusetts, discussions centered around the town's health insurance policies and their implications for both municipal and school employees. A key focus was the current structure of health insurance contributions, which stands at a 70-30 split between the town and employees. This arrangement has raised questions about its sustainability and potential adjustments in future contract negotiations.

Committee members highlighted the importance of tracking health insurance usage to identify opportunities for cost savings. By incentivizing employees to opt out of town health insurance, the town could potentially free up budgetary funds for other municipal departments. This delicate balance between providing attractive benefits and managing costs was a recurring theme in the discussions.

The committee also addressed the complexities surrounding retirees and their health insurance coverage. With 186 retirees across both town and school sectors, the challenge lies in accurately reflecting their costs in the budget. The committee acknowledged the difficulty in separating retiree data from active employee data, suggesting that a clearer breakdown could enhance understanding of the overall financial picture.

Additionally, the committee noted an 11% increase in health insurance costs, which was later clarified to be a 9% increase after accounting for reserves set aside for open enrollment adjustments. This distinction is crucial for residents as it impacts the town's financial planning and future budget allocations.

As the committee prepares to send out updated budget sheets, they plan to include a more detailed breakdown of health insurance costs, which will help residents better understand how these expenses affect the town's overall budget. The discussions from this meeting underscore the ongoing efforts of Millis officials to balance employee benefits with fiscal responsibility, a concern that resonates with many residents as the town navigates its financial future.