An Alt View on Concessions Before Negotiations

Carol Carstensen:

I thought it might be helpful to provide some facts and explanations about the topic of health insurance – hopefully this will clear up some of the misinformation and misconceptions present in the public discussions. It is important to remember that the focus must be on the total package settlement – because that is what has an impact on the budget. For example, Sun Prairie’s agreement to make changes in its health insurance (by using a joint committee to find a way to reduce health insurance costs) has been praised, as it should be. It should be noted, however, that Sun Prairie’s total package settlement was 4.75% - while Madison’s package, without switching health insurance carriers, was 3.98%. (A rough estimate is that a 4.75% settlement would have cost Madison about $1.5 Million more.)

Related:

• Voluntary Impasse Agreement - 2007
• Voluntary Impasse Agreement-2005
• Jason Shephard: Going to the Mat for WPS and What a Sham(e)
• Amy Hetzner: Sun Prairie Cuts Health Care Costs & Raises Teacher Salaries - using the same Dean Healthcare Plan:

  A change in health insurance carriers was achieved by several Dane County school districts because of unique circumstances, said Annette Mikula, human resources director for the Sun Prairie School District.

  Dean Health System already had been Sun Prairie's point-of-service provider in a plan brokered by WEA Trust, she said. So, after WEA's rates increased nearly 20% last year and were projected for a similar increase this year, the district negotiated a deal directly with Dean.

  When the Dean plan goes into effect Sept. 1, the district's premiums will drop enough that it can offer a starting salary $2,000 above what it paid last school year and yet the health plan will stay the same, Mikula said. Several other Dane County districts also have switched to Dean.

Posted by Jim Zellmer at March 12, 2007 4:27 PM
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