Medical Insurance Changes 2023/2024 - Message from the City Manager

On April 18, the Mayor and Council approved my recommendations for the health plan changes in the 2024 plan year which begins in July. These changes are important as we continue to look for ways to contain the City’s skyrocketing health care costs. 

Please note Open Enrollment starts on May 8. To ensure that you are aware of the different plan choices you have at Open Enrollment, we will be running a Positive Enrollment which means you MUST enroll and choose your medical plan for the coming year. If you don’t enroll, you will not have insurance for the coming year, beginning on July 1.  

Please attend one of the education and enrollment sessions that we are offering through June 7 if you have questions or need assistance. When the enrollment system launches in Workday on May 8, please be sure to enroll.     

The cost of our Network and HRA plans will increase by 8.3%, which is the City’s medical inflation rate this year. You will see the increase in the bi-weekly premium amounts, which are deducted from your paycheck.  Co-pays will also be increasing for medical visits and prescription drugs.    

There is no premium increase to our HSA Plan and we will be contributing the entire (100%) employer contribution to your Health Savings Account in July instead of dividing the payments over the course of the year. This should make it much easier for HSA Plan employees to cover any costs that might come up early in the plan year. As a reminder, this is a pre-tax savings account for qualified medical expenses. For the coming plan year Mayor and Council approved an increase to the City’s HSA contribution and we will contribute $1,500 (employee-only) or $3,000 (spouse/children/family) to your Health Savings or Health Reimbursement Account.  This is a 50% increase in our standard account contributions which we expect to offer for the next two plan years.      

We encourage employees to become educated in the benefits associated with all the medical plans available to you and your families so you can make the best decision.