Voters defeat motion to change health insurance plans for retirees

Date: 6/22/2009

By Courtney Llewellyn

Reminder Assistant Editor



WILBRAHAM The continuation of the Annual Town Meeting last Monday evening led to the approval of the next fiscal year's budget and a large zone change, but the motion to accept Section 18 of Chapter 32B of the Massachusetts General Laws - which would require all town retirees and their spouses to enroll in Medicare - was defeated.

Voters approved a $30.5 million budget for fiscal year 2010 (FY10), which is about $100,000 less than what was appropriated for FY09.

Voters moved to indefinitely postpone the acceptance of Section 18 of Chapter 32B.

David Barry, chair of the Board of Selectmen, presented the article regarding Section 18, stating that there are currently 12 eligible retirees who would need to enroll in Medicare, and that all future retirees would have to enroll as well.

"This would result in a considerable cost savings for the town," Barry said. At a previous Board of Selectmen meeting, he noted that that savings could be as much as $6 million over the next three decades.

Camie Lamica, chair of the town's Personnel Board, noted that the town's employee health insurance cost in 2003 was $641,637; in 2009, it was $1,244,000.

"With the town paying 60 percent and the retiree paying 40 percent, it saves the town $69,380 annually," Lamica said.

She added that those retirees currently enrolled in the town's health insurance program may see an increase in their premiums, depending on their current plans. The new minimum cost per month would be $313; the maximum, $470.

Many who spoke against the acceptance of Section 18 had retired from town service, including firefighter Glenn Trevallion and former Police Chief John Kirchhof.

"No other employees are getting this increase [in health insurance costs]," Trevallion stated. "To just attack the retirees is a little unfair."

"Is this town in trouble? Yes. Are its retirees in trouble? Yes," Kirchhof, speaking from the podium, said. "I don't want to be forced to take junk insurance [because I can't afford Medicare]."

Kirchhof suggested that there be "an open meeting of this community," where the committees and unions can sit down together to hash out the issue. He said there were too many unknowns with Section 18 for it to be voted on at town meeting.

Voters defeated the motion to accept Section 18 by a vote of 96 for, 144 against.

The article that would authorize the town to make payments of subsidiary or additional rates for insurance for retired employees was postponed indefinitely, as was Trevallion's petitioned article to have the town contribute more than 50 percent of the health insurance premiums for surviving spouses of retired town employees.

"I doubt [Section 18] will be brought up in the fall [at the Special Town Meeting]," Town Administrator Bob Weitz told Reminder Publications. "We'll be forced into doing it at some point by the state, though."

Peter Salerno, chair of the Hampden-Wilbraham Regional School Committee, noted at the meeting that the school district has already adopted Section 18.



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The aforementioned zone change that was approved by voters changed seven parcels on Boston Road from Adult Care Facility (ACF) to General Business (GB). Planning Board member Dick Butler said the change would enhance and realign the Boston Road business corridor. He noted that by changing the zoning to invite businesses into town, up to $200,000 in tax revenue could be created.

Don Flannery, a resident and realtor, called the zone change a "win-win situation."

The zone change was defeated at a previous town meeting because the petitioner who brought the change forward had "circumvented normal planning procedure," according to Butler.

The Planning Board aims to move forward with plans to change the zoning to Mixed Use in the future, which would incorporate both business and residential development on the land.