Employee Benefits Workshop | August 11, 2026

The City of Kerrville held an Employee Benefits Workshop on August 11, 2026, to review and approve the fiscal year 2027 employee benefit plans, associated premium rates, and funding strategies. The meeting featured a detailed presentation by Todd Peter from the EA Group, who discussed the challenges of rising healthcare costs, including a negotiated 32% increase in the Blue Cross Blue Shield fully insured plan renewal. Various alternative proposals were reviewed, with a recommendation to move to a self-funded plan using the Healthcare Highways network to achieve cost savings estimated at 15-20%. The presentation also covered ancillary benefits such as dental, vision, disability, and life insurance, with recommendations to maintain current providers for dental and vision and switch to Mutual of Omaha for other voluntary benefits to enhance coverage without increasing costs. The council, acting as trustees of the employee benefit trust, unanimously approved the proposed plans, rates, and funding strategy, including authorization to use the employee benefit reserve if necessary. The discussion acknowledged the challenges of network provider participation and emphasized efforts to minimize disruption for employees while managing escalating healthcare expenses.