Health insurance articles removed from Town Meeting
Published on April 16th, 2008
STONEHAM, MA - The town's Board of Selectmen recently abandoned two Annual Town Meeting articles geared at undermining union workers' ability to block a change in health insurance benefits over to a state pool.
During a regular meeting last week, Selectman Chair John DePinto advocated for indefinitely postponing Articles 9 and 10, which will be considered by citizens at the upcoming Annual Town Meeting in May.
According to Town Counsel Bill Solomon, the two proposals were aimed at eliminating state requirements that a weighted majority of the municipality's unions must endorse a shift over the state's Group Insurance Commission (GIC).
Town officials have estimated that a change to the GIC would save Stoneham at least $1 million in premium costs this year alone.
In particular, the article, if approved, would empower town officials to petition the state legislature for a special act that exempts the town from the employee vote provisions.
It's a special act which allows joining [the GIC] without negotiating with the employee groups, explained the town attorney, who drew-up the article language at the request of the Selectmen.
Last summer, Governor Deval Patrick signed a bill that allowed cities and towns to join the GIC, the health insurance pool utilized for all state workers.
However, as part of that legislation, at least 70 percent of collective bargaining units, based upon a weighted vote that reflects the size of each union, must approve the shift over to the state offering.
Town Administrator David Ragucci, who has attempted to jump-start that process by calling Public Employee Committee (PEC) meetings with members of each union, vented earlier this year about zero attendance at the gatherings.
Last February, Ragucci pointed out that the town's unions had ignored calls to attend six months worth of PEC meetings.
Stoneham's collective bargaining units reportedly agreed to boycott the PEC meetings until each municipal union had inked a new employment pact with the town.
However, the employee groups have since agreed to sit in on the meetings to discuss the health insurance change.
I'd like to IP this [proposal], said DePinto last Tuesday. No one is more in favor of the GIC than I am. But we have ongoing negotiations with the employees.
Selectman Frank Vallarelli later agreed with DePinto, pointing out that it would likely take years before state legislators even considered the petition. According to Vallarelli, DePinto was right in relying on the current GIC process, which could bring about the change faster, assuming that Stoneham's collective bargaining units agree with the proposal.
We're talking a couple years [for a state house approval], right? asked Vallarelli. I would agree with the chairman too.
A change to the GIC is considered so important for the town that the Selectmen voted in February against restoring the $170 trash fee, unless Stoneham's unions approve the shift to the state plan by this May.
The last date for cities and towns to join the GIC and benefit from cost savings next year has already expired - the deadline was last October.
Opponents of the GIC, including some high powered labor unions, have argued that it would cost municipal workers more for health coverage, that unions would lose their ability to negotiate co-pays and deductibles, and that major insurance providers like Blue Cross Blue Shield do not offer plans under the pool.
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