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Total cost of this provision is $1.8 million over three years. In fact the Active Police Healthcare budgeted line item was $600,000 over budget in the 2013 fiscal year. At the budget hearing the administration stated that they saved 18% with this new provision but in reality the cost increased from the $2,765,543 million budgeted to $3,410,733 projected cost, or a 23% increase. The $600,000 attributed to the HSA is the reason.

The 2014 cost is budgeted at $3,276,892 or 18% over the 2013 budgeted amount.

Bottom line the administration totally screwed up the healthcare contract by switching from a self-insured program to fully insured and not doing a proper analysis of the cost assoicated with provided Health Saving Accounts at a $2000/$4000 single/married per person cost.

But the city always manages to get the money needed to plug the millions of dollars it goes over budget while the schools make real cuts to programs and service to reduce their budget by millions.

From: Committee to consider school cuts

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