Bill > S1967

This bill allows the town of Athol to establish specific contribution rates for group health insurance plans for its employees and retirees, overriding existing general laws that govern such contributions. For employees, those hired before July 1, 2015, will have the town contribute 78% for HMO plans and 75% for PPO plans, with the employee paying the remainder, while employees hired on or after July 1, 2015, will see the town contribute 70% for HMOs and 65% for PPOs. If an employee leaves and returns, their contribution rate will be based on their most recent hire date, unless the separation was due to an involuntary layoff, in which case their previous contribution rate will be maintained. For retirees, those who retired before July 1, 2015, will contribute 22% for HMOs and 25% for PPOs, while those retiring on or after that date will contribute the same percentage they did as active employees, or the percentage they would have contributed if they had stayed in their previous plan. Retirees transitioning to Medicare plans offered by the town will contribute 25% of the premium, with the town covering the remaining 75%. Importantly, this bill does not prevent Athol from making future adjustments to these employee and retiree contribution rates, and it takes effect retroactively as of July 1, 2015.