7/1/26 Workshop

This workshop meeting of the SBHC Board on July 1, 2026, focused extensively on the district's health insurance fund challenges, including a significant funding gap due to rising medical and pharmacy costs, particularly for diabetic medications. The board discussed a recommendation from the insurance committee to increase deductibles and out-of-pocket maximums, remove non-standard pharmacy coverage, and implement a health reimbursement arrangement (HRA) to manage costs. A key procurement-related topic was the proposed contract with Marsh, a care delivery management service affiliated with Fleet, intended to oversee the employee health center and provide cost-saving measures, including negotiated lower prices for expensive medications. The board considered the risk-sharing contract with Marsh, which guarantees a return on investment or refunds the district, and discussed the potential impact on employees, especially lower-wage staff. Public comments and board members expressed concerns about affordability for employees and the effectiveness of the clinic management. The board did not make a final decision but indicated that the recommendation would be brought forward for formal approval in a future meeting. The discussion also covered potential contracting vehicles and vendor selections related to health plan management and clinic operations.