THE VIRGINIAN-PILOT
Copyright (c) 1995, Landmark Communications, Inc.
DATE: Friday, May 26, 1995 TAG: 9505240176
SECTION: CHESAPEAKE CLIPPER PAGE: 16 EDITION: FINAL
SOURCE: BY ELIZABETH THIEL, STAFF WRITER
LENGTH: Short : 47 lines
School employees will get free health insurance next month. And City Council will get a $1 million windfall.
The School Board voted unanimously Monday night, with little discussion, to use about $207,000 of a nearly $1.2 million surplus in a health insurance reserve account to give employees a holiday from paying medical or dental insurance premiums in June. No premiums will be deducted from paychecks on June 15 and 30.
The savings to employees enrolled in school system insurance policies could be substantial. For example, employees with family coverage under comprehensive health insurance will keep $308 next month that they would have paid in premiums.
The board voted unanimously to give the rest of the surplus, expected to be about $1 million, to City Council, although there was some debate about that decision.
School Board member James M. Reeves suggested using the money to pay off some of the school system's debt for allowing employees to go into early retirement.
``I think it's a worthy thing to do,'' Reeves said.
Board member James J. Wheaton pointed out that schools have some desperate technology needs that the money could help meet.
But board member Thomas Bray led the charge to give the money to council.
``I just think the board should show its gratitude for what the city has done for us in the past,'' Bray said.
Earlier this month, City Council reduced the school system's proposed 1995-96 budget of $174.5 million by $367,000.
The board also approved a plan for dealing with those cuts.
Deputy Superintendent W. Randolph Nichols said he could make the cuts without harming programs by using state grant money instead of city money for some technology purchases next year; purchasing mobile radios for school buses with surplus money this year, instead of next year; collecting an expected savings in employee medical insurance for next year; and reducing some contingency funds that were in the budget.
KEYWORDS: CHESAPEAKE SCHOOL BOARD by CNB