City Council Workshop - July 14, 2026

The City Council Workshop for the City of Kerrville held on July 14, 2026, focused primarily on the city's employee health benefits and insurance plans for the 2027 fiscal year. The discussion centered on the current health insurance premium increases, benchmarking against peer municipalities, and exploring options to manage rising costs. Presenters from Aera Group and other consultants detailed the challenges with Blue Cross Blue Shield's renewal rates, which showed a 31.7% increase, and proposed alternatives including self-funded health plans with third-party administrators and health reimbursement arrangements (HRAs) to better control costs and provide more plan design flexibility. The council reviewed detailed claims data, prescription drug costs, and potential savings from self-funding and cost containment strategies. The workshop also addressed concerns about network adequacy, employee impact, and vendor negotiations. No formal votes or contract awards were recorded during this informational session, but the council was briefed on potential procurement and contracting strategies related to health insurance services and third-party administration for future consideration.