Originally Posted by
MR E S 1
Most employees have Community Blue, about $14,000/YR.
With Paul Clarks offer they switch to variation of the policy at a savings of around $2,000 per employee.
There are somewhere between 250-300 employees. I use 250 for reference.
Approximately 4/5 have Community Blue or about 200 employees
$2000 X 200 employees = $400,000
Quite a savings you say...... Wait
Now eliminate the 20% that the employee would have paid of that $14,000 when they retire is now waived.
Remember it is $14,000 originally and it goes up every yr.
20% of $14,000 = $2,800
200 employees x $2,800 = $560,000 LOST per yr. and absorbed by the town when they are all retired
Thats a $160,000 loss in the future when they retire when you take away the $400,000 "savings" today. Granted not all the employees will retire at once but the cost of health insurance is spiraling upward rapidly. In the future it will exceed these figures easily.
Wait it gets better.
Remember we left out 1/5 of the employees. Why ?
Because they have the Premiere Blue cross and Blue Shield Health insurance.
Cost of that ? Over $20,000 per employee yearly. This policy IS NOT part of the reduction. This stays as is.
Guess what ? They're gonna get that for free when they retire too and not have to pay the 20% neither
One fifth of 250 employees = 50 employees
The 20% lost of the over $20,000 they won't pay for when they retire = $4,000/yr per employee.
$4,000 x 50 employees = $200,000 LOST and absorbed by the town after they retire and remember it's todays rate, again it goes up every yr.
In all it adds up to the town paying based on todays insurance rates paying at least $360,000 more per yr. in the future.
Remember the $400,000/yr. original savings now is negated by a future debt of at least $760,000/yr. taken on by waiving 250 employees 20% that those retirees would have had to pay.
The $760,000 figured is based the loss (look back up at the LOST money) of what all the employees would have paid as part of their health insurance at todays rate if nothing were to change.
I know it may seem hard to follow, but in the long run the taxpayers in West Seneca will pay more for employees health insurance than if things were to stay the way they are.
It's what happened in the county.
Giambra thought it get by the people with out them ever knowing.
The Buffalo News caught him.
Paul Clark is doing the same thing for his personal gain.
And really, what does he care ?
He'll be long gone when this blows up in the faces of the taxpayers in West Seneca.