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Health insurance rises by $550,000
By ANNE LINDBERG
© St. Petersburg Times, PINELLAS PARK -- Council members have agreed to pay most of a 25 percent jump in employees' health insurance rates, a move that will cost taxpayers almost $500,000 more a year. Employees told city officials that they were happy with their current insurer, but United Health Care wanted to raise its prices for the coming fiscal year. The city negotiated and came back with three options: First, the city's $2.2-million-a-year premium would have increased only 9 percent, but deductibles and co-pays would have increased more. Second, the premium would rise by $550,000 a year, a 25 percent increase. Deductibles and co-pays would not go up as much. Third, a 34-percent increase in the city's premium would keep deductibles and co-pays down. Council members chose the second plan and said they'd pay about 80 percent of the increase in premium, or about $440,000. Employees will make up the remaining $110,000 by paying higher premiums -- about $5 a month more for a single person. The higher insurance premiums are part of a proposed $119-million budget the council is scheduled to approve for the first time Thursday night. If passed, the tax rate for 2001-02 would remain the same as this year -- 5.0788 mills. A mill is $1 of tax for every $1,000 of assessed property value. The owner of a $100,000 home with a $25,000 homestead exemption would pay $380.91 in city taxes. With property values rising, homeowners can expect to pay more than this year. City spending will increase about 35 percent, most of that for bricks, mortar and other capital improvements. Among those are stormwater drainage repairs, the renovation of Fire Station 33, the construction of the proposed train station on Park Boulevard and a future pool, park and office building in the Fairlawn area. Other spending increases are for six part-time school crossing guards. They became necessary after the city annexed Marjorie Rawlins Elementary School. Pay raises for the mayor and most council members (Chuck Williams and Ed Taylor turned down theirs) are included in those expenditures. If you goThe Pinellas Park City Council is scheduled to give its initial approval to the 2001-02 budget at 7:30 p.m. Thursday. The meeting will be in City Hall, 5141 78th Ave. N. For information, call Tim Caddell, public events director, 541-0721.
 © 2006 • All Rights Reserved • St. Petersburg Times
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