Franklin Public Schools is set to implement significant changes to its health insurance plans following a detailed discussion during the April 9, 2025, school board meeting. The board is grappling with a projected budget deficit of approximately $1.08 million, prompting a review of health plan options that could alleviate financial pressures while maintaining employee benefits.

One of the most notable proposals is the introduction of a Samaritan Fund, designed to assist employees facing catastrophic health events. This fund aims to relieve financial burdens for individuals with high medical costs, allowing them to temporarily exit the district's health plan. The district anticipates that this initiative could save around $161,000 in the long run by reducing the number of high-cost claims.

In addition, the board discussed the potential for increasing premiums across existing health plans. Maintaining the current health plan structure would require a 21% increase in premiums, which could add approximately $706,000 to the deficit. Alternatively, the board is considering options that would freeze district contributions at lower levels, potentially saving around $40,000.

The meeting also highlighted the importance of employee engagement with health plan options. Currently, 69% of eligible employees have interacted with the district's health app, Garner, which has reportedly led to significant claims reductions. The board is optimistic about the potential for Garner to continue driving down costs as more employees utilize its services.

As the district navigates these changes, the board is also considering the implications of cash-in-lieu payments, which allow employees to opt out of the health plan for a cash benefit. Discussions indicated that eliminating or reducing this payment could save the district an estimated $228,000, but it remains a contentious topic among board members.

Looking ahead, the board is tasked with making decisions that balance financial sustainability with the need to provide comprehensive health benefits to employees. The next steps will involve further analysis of the proposed options and their potential impacts on both the budget and employee satisfaction.