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Video from City Council Meeting August 17, 2010
Last attempt for Health Care Vote Chief.
Hartley & Lt. Danny Thigpin (will take a few minutes to download)
Aug 17, 2010 Video
Macon City Council narrowly approved in an 8-6 vote
controversial changes to the city employees’ health care plan. The plan, which has been hotly debated among council
members the past few months, incorporates several changes designed to save the city money on employees’ and retirees’
health coverage. Administration officials told council members that the existing plan was costing the city an estimated $200,000
About 80 people showed up for the council vote, then left after the tally. Some
left shouting at council members who voted in favor of the plan. Council members Rick Hutto, Elaine Lucas, Lonnie Miley,
Virgil Watkins, Ed DeFore and James Timley voted against the measure. Council members Erick Erickson, Nancy White, Lauren
Benedict, Charles Jones, Miriam Paris, Larry Schlesinger, Mike Cranford and Tom Ellington supported the change. Retired
Macon-Bibb County Fire Chief Jimmy Hartley and Macon police Lt. Danny Thigpin addressed the council Tuesday. Hartley asked
council members not to rush the legislation through, saying the resolution was “full of holes and is a ticking time
bomb.” Thigpin, president of the local Fraternal Order of Police, warned members that police and firefighters
would campaign against during next year’s elections any council member who voted “yes” Tuesday. “We’ll
go to every corner, every store to get you out of here,” Thigpin said. The changes in the plan call for increased
premiums for current employees and retirees. In addition, the plan drops spouses and retirees who qualify for health insurance
if they have another job.
City Council Meeting Aug 17, 2010
Continued
After months of debate and discussion, Macon city council approved changes
to employees' and retirees' health care plans, raising premiums for most and reducing eligibility. The topic emerged
during budget time, as the city looked to make up for an increased $2.5 million in health care costs over last year. Council
passed the changes with an 8 to 6 vote. Eight votes are needed for an item to pass. Only 14 council members voted, as councilman
Alveno Ross stepped down earlier this month to take a new job in Augusta. Council members Rick Hutto, Elaine Lucas,
James Timley, Ed DeFore, Lonnie Miley and Virgil Watkins all voted against the plan changes. Hutto made a motion to
table the measure and send it back to committee for further review, but that motion failed. He called the vote a "rushed
decision." "I don't think we can treat our employees and our retirees quite so cavalierly without at least
examining other possibilities and that's why I wanted to go back to committee," he said. More than 50 employees
and retirees who fought the issue from the beginning, gathered at city hall one more time to hear their fate. Councilman
Charles Jones came under fire from many, who were upset that he was on their side earlier this summer, and now voted in favor
of the changes. Jones said he did what he had to do for the city. Councilman Tom Ellington says, "it's not
a perfect plan, but I think it's the best we can do. It ensures that there is a maximum choice for retirees who are moving
to medicare." The new plan still includes premium increases, but they are not as drastic as originally proposed.
All council members agreed that this plan is at least better than the first. It still forces spouses and retirees with
other places of employment that offer insurance, off the city plan. Retired Macon Police Captain Henry Gibson says,
"we thought we had people with hearts, people who cared." He says he was always looking forward to having
benefits as a retired police officer. Many others say they don't know what to expect with the new plan. "We
don't know what we are going to be paying, we don't know what our benefits are going to be, we're out in the dark," says
retired Macon Police Officer Tommie Clinard. Councilwoman Elaine Lucas called it the most "tragic legislation"
she has ever seen while on council. Councilman Erick Erickson said he was supposed to be in Washington D.C. Tuesday
night, but changed his plans to be in Macon because he knew how close the vote would be. Fraternal Order of Police President,
Lieutenant Danny Thigpin says he plans to meet with an attorney about suing the city for breach of contract. The health
care plan changes take effect on September 20.
Appropriations Committee members heard a revised proposal put together by Finance Director Tom Barber
and Chief Administrative Officer Thomas Thomas that would slightly raise contributions from active employees but would lower
significantly the contributions of some retired employees in a previous proposal from Mayor Robert Reichert’s administration.
“We
pooled all of the employees into a bigger pool, and that brought down the retirees’ costs substantially,” Thomas
said. Many retirees and some council members had expressed serious concerns with
the administration’s proposed changes to the health-care plan, made necessary because the city is looking at an extra
$2.5 million in costs for fiscal 2011. Under the original proposal, which the council ultimately rejected, retirees
with dependents would have seen significant monthly cost increases. Many of the retirees told council members the added costs
were enough to wipe out their pensions. Retirees with one dependent in the HMO program would have seen a cost increase
from $337.50 per month to $906.50 per month under the administration’s first proposal. Under the new proposal,
which is still a work in progress and hasn’t yet been formally submitted to the council, those same retirees would see
their costs increase to $366 per month — $29.50 more than what they pay now. Retirees with family members would
have seen an increase from $337.50 (plus $75 per family member) to $1,389.18 per month for the whole family under the first
proposal. The new plan would bring that cost down to $588 a month for the family. Barber said the administration’s
original plan called for active and retired employees to pay 25 percent of the costs while the city would have been responsible
for 75 percent. Retirees would have had to pay 100 percent of their dependents’ costs. Under the proposed change,
retirees and the city would split costs evenly, including dependent costs. Councilwoman Elaine Lucas, who had been among
the most vocal opponents of the original proposal, said Thursday the new proposal is a “step in the right direction.” “These
amounts are much more reasonable,” she said. Councilman Charles Jones, chairman of the council’s Employee
Development and Compensation Committee, became upset during the meeting, apparently confusing the plan presented by Barber
and Thomas as a formal presentation to the Appropriations Committee. Jones angrily said any formal plan should have
been presented to his committee first. After Jones stormed out, Thomas said Thursday’s presentation was made as
a result of a request from Councilman Mike Cranford, chairman of the Appropriations Committee, at its last meeting to come
up with alternative numbers. Jones’ committee also is gathering information and will send out requests for proposals
among health insurers in an attempt to come up with a better health plan. Thomas said the administration is prepared
to offer similar information that was requested when that committee next meets. Cranford said it’s difficult to
balance who would pay what amount into the health plan, since under the latest proposal, active employees would see an increase
in their bi-weekly contributions. “That’s a problem,” he said. “You just can’t change
one line item. It will affect another group. It’s hard to find the right balance.” But Thomas said the increase
that would be paid by active employees under the proposal would be much less significant than what retirees would be facing.
In the latest proposal, active employees’ contributions increases would range from less than $5 per pay period
to $24. “We’re experimenting in different ways,” he said. “Then we’ll wait to hear from
council.” To contact writer Phillip Ramati, call 744-4334.
Video June 22, 2010 "Macon City Hall Council Meeting, Macon City Health Care Budget" (short commercial 1st)
Video June 21, 2010 "Tempers Flare As Council Committee Votes On Budget" (short commercial 1st)
Macon City Council, Reichert administration seek compromise
on health-care plan By PHILLIP RAMATI After two straight days of emotions running high among
Macon City Council members and Mayor Robert Reichert’s administration about proposed changes to the city’s health-care
plan, there was more of a spirit of detente Wednesday. At the council’s Employee Development and Compensation
Committee meeting, about a dozen city retirees showed up to inform council members how a proposed premium increase for retired
employees with dependents would affect their lives. In passing the fiscal 2011 budget Tuesday night, the council
postponed putting in place a plan that would have caused some retirees with dependents to pay as much as $906.50 in premiums
per month, almost triple what they now pay. The council approved the budget by maintaining the current health-care plan
and giving the Reichert administration time to send out requests for proposals from other insurance providers as a way to
find other savings. The city has estimated it would save $2.5 million a year if it adopts the proposed health-care plan. Committee
Chairman Charles Jones emphasized several times Wednesday that nothing had been set in stone concerning changes to the plan. "I
just want to be clear — these numbers are for information purposes only," Jones said, indicating a study provided
by city Finance Director Tom Barber and Chief Administrative Officer Thomas Thomas. Former Bibb County Commission Chairman
Charlie Bishop, who is retired from the Macon Police Department, addressed the committee and broke down when he spoke of his
late wife, Carolyn, who died from cancer. Carolyn Bishop worked in the city’s finance department and was afraid to quit
her job because she was worried about losing her health benefits. Charlie Bishop said her medicine and hospital visits
ran into the thousands of dollars. "I don’t care what you are doing, what you are doing isn’t right,"
Bishop said. "Don’t throw these employees under the bus." Several other retirees gave similar testimony,
telling committee members that their pensions wouldn’t cover a major increase in health-care costs. The committee
approved a resolution Wednesday that authorizes the administration to send out requests for proposals to other insurance providers.
The city currently has a contract with Coventry Health Care to administer the health plan. Councilwoman Elaine Lucas,
who voted against the budget Tuesday and has been a vocal opponent of the proposed health-care changes, acknowledged Wednesday
that the city is in a difficult position given its financial constraints. "I think we might have these disagreements,
but everybody wants what’s best for the city," she said. "We have to have a strong debate to reach a middle
ground." Thomas said he had spoken with Jones earlier in the day to come up with some ideas and options. "We
have to come up with a compromise," he said. "We can’t afford not to have a solution." To contact
writer Phillip Ramati, call 744-4334.
Retirees protest Macon health-care increases By
PHILLIP RAMATI - pramati@macon.com Concerns about health-care benefits in Macon’s proposed fiscal 2011 budget
erupted Monday as some elected officials drew the wrath of dozens of retired city workers. One retired firefighter was
led out of the Macon City Council’s Appropriations Committee meeting by police officers after shouting protests to council
members. BEAU CABELL/THE TELEGRAPH - Retired Macon-Bibb County firefighter Jim Wood gestures Monday while speaking
at a meeting of Macon City Council’s Appropriations Committee, where committee members voted 3-2 to send a plan to the
full council that would increase health insurance for some retirees and their families. Wood was eventually led out of the
meeting by police officers. Gallery: Macon City Council's Appropriations Committee meeting A handful of other retirees stormed out in protest, shouting as they left. At stake for the retirees are proposed
changes to their insurance plans that would mean rising costs for some of them and their families. At stake for the
city is balancing the proposed $71.9 million budget before June 30 and addressing rising health-care costs amid a struggling
economy. "Welcome to the wonderful world of the health-care crisis," Macon Mayor Robert Reichert said after
the meeting, shaking his head. The committee ultimately approved the budget, sending it to full council tonight for
a final vote — with one notable difference. After committee Chairman Mike Cranford asked to build in a 60-day
window to study the health insurance issue separately, Councilman Tom Ellington moved to expand the window to Oct. 1, to give
the administration and council more time to work on the issue. Finance Director Tom Barber told the committee that such
a delay would cost the city more than $200,000 per month for every month the changes were delayed, but the committee approved
Ellington’s motion anyway. The move likely won’t satisfy either side of the issue. The city is looking at
a $2.3 million-to-$2.5 million cost difference with the new plan, and if the money doesn’t come from those paying into
the plan, the city administration would have to find the money somewhere else, such as raising the millage rate or cutting
some other part of the budget. Reichert said about 85 of the city’s 1,600 retirees would be hit severely by the
proposed plan, which requires participants to pay 100 percent of their spouse’s premium cost. That would mean
an increase from the current rate of $337.50 a month to a new rate of $906.50 per month. The new rate breaks down to $137.35
for the former city employee and $769.15 for the spouse. Retirees were informed of the changes via a letter sent last
week by city Chief Administrative Officer Thomas Thomas. ‘Most difficult issue’ Monday,
former city workers packed City Hall to voice their concerns. Jim Wood, a retired firefighter, told the committee members
that he considered his wife a fellow employee, since she raised their family many nights when he was out doing his job. "My
wife served, too," said Wood, who was later escorted by officers after protesting when Cranford declined to let Councilwoman
Elaine Lucas speak. Former Macon-Bibb County Fire Chief Jimmy Hartley said he understands the city is in a budget crunch,
but he thinks the city should work with retirees to come up with a more equitable solution. "I know the city is
strapped," he said. "I know they are in a bad way. I think it’s indicative of the fiscal shape the city is
in that they are even proposing this. ... But this should not have been forced on us. This is too much, too soon." Reichert
told the committee that Thomas, Barber and Human Resources Director Ben Hubbard worked hard to come up with the current budget,
one they consider best for the city. "We crafted a budget between our resources and our needs," Reichert said.
"Health care was the most difficult issue. The city has been confronted with unsustained costs. ... An extra $2.5 million
would be needed without the changes we proposed." But Councilman Rick Hutto said the administration was being "intellectually
dishonest" about the changes. He noted that the health-care costs for city employees making more than $80,000 a year
would go down, as would costs for council members. Lucas tried several ways to delay the vote to send the budget to
the council tonight. She wanted Councilwoman Nancy White to be recused from the committee vote, saying White had a financial
stake in the budget process as an executive at The Medical Center of Central Georgia, which would be the new health-care provider
under the proposed changes. City Attorney Pope Langstaff said it was OK for White to vote. Lucas also made a motion
to delay the vote to approve the budget, which was defeated. She and Councilman Virgil Watkins were the no votes as the committee
finally approved the budget 3-2.
Macon
City Council approves a balanced budget: Really? In the face of more than 160 current
and retired city employees, the Macon City Council did what it does so well. It kicked the can down the road. However, in
this case, the can kick could cost $200,000 for every month delayed past July 1, and could end up scuttling the long awaited
pay scale for city employees. The irony is thick. Current city employees may be held from a pay scale by demands of retired
employees. At issue is the 2011 budget that must be balanced by the end of the month. The big hang
up is health care, most notably the increased cost of retiree health benefits. The mayor and his staff have proposed a budget
that realizes savings from having retirees and other city employees pay more for their health-care coverage. Retirees, particularly,
are not happy and understandably so, but the city just required employees three years ago to contribute anything to their
health-care expenses, a threshold most private industries crossed decades ago. Believe it or not,
council came within a few votes of suspending health care for all city employees. It was clear some members didn’t understand
the consequences of the amendment offered up by Councilman Lonnie Miley. Fortunately it was defeated. Now mayor and council
have to go back to work and the sooner the better. If revenue and expense projections are accurate, continuing with the health-care
plan as it is will put the city $2.5 million out of balance. That money will have to come from somewhere. While
the budget deals with assumptions, it would be irresponsible of the mayor’s administration and council to allow this
heath-care question to float along indefinitely, and that’s quite possible, given that council removed a date certain
for having the issue resolved. The city could get lucky, revenue could exceed projections. However, just as likely, the expense
side of the ledger might come in higher than expected. So when is a balanced budget not balanced, and do we have sufficient
reserves to ride out any shortfall? While many council members chafe at any suggestion that employee
benefits be curtailed, they stand alone on a sinking island. In private business, benefits change according to economic conditions,
and those conditions hit municipalities, too. Taxpayers are beginning to ask why city employees have not had to endure, furloughs,
higher health-care costs and more layoffs as they have. The administration’s duty is to get the city back on sound financial
footing or it will be council’s job to explain why that didn’t happen. — Charles
E. Richardson, for the Editorial Board
Personal Opinions To City Council Members Please vote NO
for any Retirees Insurance changes. Many employees have served this community with pride, responsibility, dedication, and
respect. You have to understand that retirees depend on their retirement. If they lose any amount it affects their families
who have stood by them through the many long hours and dedication. If you vote for this plan your future employees will never
care. It will just be a job to them. Richard Kory, Vice
President F.O.P. "Sparky"
O'Cain Lodge #3 Here are some promises that were made by the City of Macon in order to attract intelligent,
honest, highly qualified people to the ranks of MPD (AT A VERY LOW SALARY) over the past 30 years:
1 - Health Insurance
provided for employee and available for dependants at a competetive rate,
2 - Good retirement plan,
3
- Take home cars, and
4 - Annual incentive pay of up to $2000 when you meet the criteria.
You can now
kiss ALL of that good-bye so don't expect intelligent, honest and highly qualified applicants...
I've said it many
times--Macon has more clowns on City Council than a circus. Get rid of "queen E. and court" then maybe Macon will
have a chance. While I agree on cutting cost within the city's budget, I don't believe
the burden should be on retirees. Come on--council members receive better perks than regular employees.
Len Hickman my husband makes 900.00 a month retirement and our insurance under the new plan will be 2500.00 do
the math. A friend suggested an age descrimination lawsuit against the city.
ddubyuh, Read my lips The city did not pay social security for Police and Fire although the
firemen and policeman petioned them to do so. They draw absolutely noting from social security for their service to the city.
They did for years pay 7% of their salary into a retirement fund which was a social secrity replacement plan. Just like you
paid into social security, you are entitled to your SSI just as the public safety officers are entitled to their pension.
Nobody is giving them anything.It is very similar to a mixed 401 plan except you draw social security and they don't. Would
you suggest that they go on welfare when they get too old to work. They also paid a portion of their healthcare since retired.
Now they want to push them off the group plan at 65 to make 2.5 million on increased premiums and reductions in benefits.
At the same time the city is reducing premium payments for city council, the Mayor, CAO and their dependants.
The $200,000 would have come out of the retiree pockets and some of them don't have it so there
would have been less coming in for revenues. The retirees have always paid a premium for their healthcare based on whether
it was PPO or HMO coverage. This editorial overlooks the contractual relation between the employer and employee. It is illegal
to reduce the earned benefits of employee after retirement if it was a condition of them making their decision to retire.
Remember recently when City Council said that unless employee retired by a certain date they would lose their healthcare benefits.
That could have possibly been questionable but it is definetly questionable to reduce benefits after retirement just based
on the prior threat alone. Its very simple if you follow the law. Those that paid in and
were promised a return must be paid accordingly. if they want to change the healthcare structure or plan, change it effective
a certain date. the difference here, IMO, is those employees of the fire and police paid into a fund. they are entitled whatever
was promised or written in agreement of. If i was the Mayor, i would bring in Charlie Bishop and the Fireman that was boisterous
the other night and say here, this is what we are working with, you figure it out and then we will implement it. If people
would sit down and talk, calmly, making points, etc then it is amazing what you can accomplish. Just talk to each other.
all council members should cut any pay or money they receive now. these are not
jobs, they are elected positions. until you do your elected duties, drop the pay and benefits. it would send a great message.
Part time, elected officials should not receive any medical or retirement benefits.
They asked to serve.
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Erick, Your vote is at best disappointing, and at worst, shows your true colors. YOU REALLY STABBED US IN THE BACK. Won't be forgotten.