Staff and council discuss rising medical premiums; RFP responses due in late August

Benefits staff told council the city saw varying health‑insurance increases over the last five years — "7.5% just for health and medical" last year, with 5% in 2024 and smaller earlier increases — and said a 7.5% assumption on this cycle equates to roughly $200,000. Staff said they will issue an RFP in August and expect vendor responses by late August, with committee review in September and potential council consideration in October.

Council discussed whether employees would be asked to pay higher premiums to offset costs and staff said plan design changes could shift some costs to employees while limiting extreme premium increases. The committee indicated willingness to consider limited employee cost‑sharing but emphasized avoiding excessive burden on staff.