PERRYSBURG – City employees pay zero percent towards the cost of their healthcare.
That fact is important when reviewed next to council’s 4-3 vote in favor of a resolution urging citizens
to vote for State Issue 2 on Tuesday’s ballot.
State Issue 2 will, in part, give municipalities more leverage in working with public employee unions,
weakening collective bargaining rights. The resolution, among other points, noted explicitly that
“government managers need the same flexibility to manage their workplaces as private sector managers
possess.”
“In a nutshell, once upon a time we (the city) used to pay 10 percent and we had a fairly generous
healthcare plan,” explained City Finance Director David Creps. “And we knew that the claims were killing
us. In exchange for a plan re-design – we cut benefits – we in turn picked up the employee’s portion” of
health insurance costs.
Employees, however, pay more themselves for medication, doctor’s appointments and hospital visits. The
city is self-insured.
The city, he said, has saved money on the measure since it pays substantially less in claims.
“The claims themselves are lower because we’re only picking up 60 percent or 80 percent, depending what
the claim is.”
“There’s always more to the story than just what the employees pay in on a monthly basis.”
Mayor Nelson Evans said that the plan was negotiated with employees, and they were aware at the time that
healthcare costs were going up. Healthcare costs for the city have greatly decreased as a result, he
said, including the costs of third-party administration.
“So I think we’re doing good.”
“Now, obviously, if Issue 2 passes, that’s going to put a wrinkle in things,” he said. However, he stated
his support of the issue, saying that the city’s representatives, not an outside individual, should have
a say in contract issues.
“There’s good and bad and you’ve got to work with it,” he said of the bill. “I think if it does pass
we’ll” work something out with employees and come to as equitable a solution as can be reached.
Councilwoman Maria Ermie, who introduced the resolution urging votes in favor of Issue 2 at Tuesday’s
council meeting, said, “I think it would be grossly unfair to cite one benefit because you have to look
at the complete package. If you look at the complete package of benefits, it’s significant.”
“I am not saying it’s anything like Cincinnati or Toledo,” she continued. “We have had a good working
relationship with our unions. But the benefits are still very lopsided. I think the people would be
surprised to see some of the salaries.”
“And what’s even more important is this is a state issue. And we’re right next to Toledo. If Toledo
doesn’t thrive, then we don’t thrive.”
Councilman Tom Mackin, who voted against the pro-Issue 2 resolution but has noted that the legislation
has merit, said that as a result of the health care policy the city has healthier employees, and also
noted the savings the city has received because the cost of claims has stayed consistent.
Mackin, who is chair of the city’s Finance Committee, which Ermie also sits on, noted that the committee
voted for the change in health care payment, and the increase in insurance rates has been lower for the
city since then, in part because of their ability to manage those costs.