City to move forward with union negotiations WATCH THE VIDEO
Lead Summary

By
Brandy Chandler-brandychandler@gmail.com
The Hillsboro City Council has voted to allow Hillsboro Mayor Dick Zink and Safety Service Director Ralph Holt to negotiate with the unions of the city's police and fire department, with health insurance options accepted by the city last week.
During Holt's report to council he said that negotiations could not continue unless the city had insurance figures to offer. Last week, the city opened bids for health insurance, with only one acceptable bid available. In what the city called the "worst case scenario," the health insurance would be 19 percent more than last year, which is 9 percent more than what the city had budgeted for 2011. A health savings account option would be an increase of just over 17 percent.
Holt said that he has started talks with the F.O.P for police and will be scheduling talks with the I.A.F.F. firefighters union.
"Before we have any serious talks, we need council's approval of health insurance bids, before we can move forward with our talks," Holt said.
During the report of the finance committee, committee chairperson
Peter Pence reported to council on a Nov. 4 meeting that had, which included discussions with the city's insurance agent Doug Wagoner. After discussing matters as to what led to the potential increase being so high [see attached story on finance committee meeting], Pence said the committee entered into executive session to discuss health insurance and union contracts. After approximately half an hour in executive session, the committee, with agreement from the civil service employee relations committee, voted to recommend council allow
Holt and Zink to negotiate a health savings account plan (HSA) and another option.
Without additional discussion, Pence made a motion to allow the negations, as recommended.
When Holt noted that there was only one bid, a member of the audience, Jamie Armstrong said, "Shop around."
Pence said that Wagoner had explained to the committee that he had approached seven different providers, but not one wanted to bid. Wagoner said at the committee meeting that for the city, 20 percent of the employees are using 80 percent of the claims. He shared a generalized breakdown of figures with the committee that showed more than 78 percent of city employees used less than $5,000 in health care expenses. The remaining people - seven employees - used a combined $735,000 in health care expenses.
"I think from my understanding - and I've had a conversation with the law director on this - the only other thing we can do is reopen bids, and go through the process again," Pence said. "But I know myself, I've had some discussion with agents and they don't feel it's going to change anything."
Zink told council that insurance agencies are "not in the business to lose money. Last year, I don't think they made much off the city of Hillsboro."
Shoemaker said there were also time constraints the city was under to finalize the insurance so there is continuity and no gaps in coverage.
"We certainly know a few dominoes have to fall into place at this point," Koogler said. "This is the first one."
Council member Rod Daniels made a motion to accept the recommendation of the committee, which was seconded by council member Mary Brown Turn, and passed by council 7-0. As a housekeeping measure, Pence later withdrew the motion he made on the matter which had not been seconded and was lost in discussion.
Hillsboro Auditor Gary Lewis has previously told The Highland County Press that in order to make the 2011 budget balance, 7-10 percent may need to be cut. The health insurance is one of several factors that could lead to a pending deficit by the end of 2011.
In his report to council, Lewis said the combined bank account shows the city has $4,554,990.51 in the bank, which is also the unexpended balance in the city's various funds.
Lewis presented council with four pieces of legislation during Monday's council meeting, including a resolution to increase appropriations in the general fund.
"As you all know, the budget that council passed back in February was a very tight one," Lewis said. "At the time we were concerned about decreasing revenue and increasing costs. Fortunately, we did receive revenue that we were not expecting, primarily in the estate tax and in the sale of assets. As a result, I am restating our projected general fund revenue to be $185,000 more than originally anticipated. This legislation before you this evening asks for an additional $86,000 to sure up various departments in the general fund. The reason for this
is that for the first two months of the year we operated under a temporary appropriation that was higher than the permanent measure
council ultimately passed."
Lewis asked council to note that the request represented "just a 1.6 percent increase and should prevent us from having to utilize most if not all of our contingency reserve."
Council voted to accept the auditor's report, and there were no questions or discussion regarding the budget.
The resolution regarding the increase to appropriations included increased appropriations to fire/squad, $55,000; prisoner housing, $1,000; public access, negative $21,674; service administration, $11,000; municipal court, $12,000; civil service, $3,674; auditor, $10,000; income tax, $15,000.
During the consideration of ordinances and resolutions, council member Bonnie Parr said to Lewis, "You have for the auditor $10,000. What's that for?"
Lewis said $5,000 was for wages and $5,000 was for the Ohio Public
Employees Retirement System.
That was the only comment/discussion regarding the legislation or the budget.
Because the legislation was appropriations, it did not require three readings. Parr made a motion to pass the resolution, which was seconded by council member Brian Waller. The resolution was passed 7-0.
Following the council meeting, Koogler told The Highland County Press that a reason why there was little to no discussion regarding the budget during the meeting was because such conversation primarily take place in committee.
"Looking at things, I know that (the finance committee) continues to
look at things. They are ultimately the ones who generally make those sorts of recommendations to council," Koogler said. "Council, when it's brought up for a vote and a decision, we will address it. Generally ... we vote at the end of the year for a temporary appropriation that gets us into the beginning of the year. It's generally around February we vote on the budget that we are going to have for the remainder of the year. I think that we have a lot that we are going to continue to look at between now and then."
width: 1px; height: 1px; overflow-x: hidden; overflow-y: hidden;"> Koogler said there are several issues that will factor into the budget, including health care, and township fire contracts.
"I think we're looking at a lot of components heading in," Koogler
said. "The last projection I had from the auditor, who I speak to regularly, still was that we are going to be facing a deficit heading into next year. I think we have a lot of tough decisions to still make. We're going to keep looking at things regularly, doing our best to work with the finances that we have to provide the best services that we can to the citizens, while doing it as fiscally responsibly as
we can."
The Hillsboro City Council has voted to allow Hillsboro Mayor Dick Zink and Safety Service Director Ralph Holt to negotiate with the unions of the city's police and fire department, with health insurance options accepted by the city last week.
During Holt's report to council during its Nov. 8 regular session he said that negotiations could not continue unless the city had insurance figures to offer. Last week, the city opened bids for health insurance, with only one acceptable bid available. In what the city called the "worst case scenario," the health insurance would be 19 percent more than last year, which is 9 percent more than what the city had budgeted for 2011. A health savings account option would be an increase of just over 17 percent.
Holt said that he has started talks with the F.O.P for police and will be scheduling talks with the I.A.F.F. firefighters union.
"Before we have any serious talks, we need council's approval of health insurance bids, before we can move forward with our talks," Holt said.
During the report of the finance committee, committee chairperson
Peter Pence reported to council on a Nov. 4 meeting that had, which included discussions with the city's insurance agent Doug Wagoner. After discussing matters as to what led to the potential increase being so high [see attached story on finance committee meeting], Pence said the committee entered into executive session to discuss health insurance and union contracts. After approximately half an hour in executive session, the committee, with agreement from the civil service employee relations committee, voted to recommend council allow
Holt and Zink to negotiate a health savings account plan (HSA) and another option.
Without additional discussion, Pence made a motion to allow the negations, as recommended.
When Holt noted that there was only one bid, a member of the audience, Jamie Armstrong said, "Shop around."
Pence said that Wagoner had explained to the committee that he had approached seven different providers, but not one wanted to bid. Wagoner said at the committee meeting that for the city, 20 percent of the employees are using 80 percent of the claims. He shared a generalized breakdown of figures with the committee that showed more than 78 percent of city employees used less than $5,000 in health care expenses. The remaining people - seven employees - used a combined $735,000 in health care expenses.
"I think from my understanding - and I've had a conversation with the law director on this - the only other thing we can do is reopen bids, and go through the process again," Pence said. "But I know myself, I've had some discussion with agents and they don't feel it's going to change anything."
Zink told council that insurance agencies are "not in the business to lose money. Last year, I don't think they made much off the city of Hillsboro."
Shoemaker said there were also time constraints the city was under to finalize the insurance so there is continuity and no gaps in coverage.
"We certainly know a few dominoes have to fall into place at this point," Koogler said. "This is the first one."
Council member Rod Daniels made a motion to accept the recommendation of the committee, which was seconded by council member Mary Brown Turn, and passed by council 7-0. As a housekeeping measure, Pence later withdrew the motion he made on the matter which had not been seconded and was lost in discussion.
Hillsboro Auditor Gary Lewis has previously told The Highland County Press that in order to make the 2011 budget balance, 7-10 percent may need to be cut. The health insurance is one of several factors that could lead to a pending deficit by the end of 2011.
In his report to council, Lewis said the combined bank account shows the city has $4,554,990.51 in the bank, which is also the unexpended balance in the city's various funds.
Lewis presented council with four pieces of legislation during Monday's council meeting, including a resolution to increase appropriations in the general fund.
"As you all know, the budget that council passed back in February was a very tight one," Lewis said. "At the time we were concerned about decreasing revenue and increasing costs. Fortunately, we did receive revenue that we were not expecting, primarily in the estate tax and in the sale of assets. As a result, I am restating our projected general fund revenue to be $185,000 more than originally anticipated. This legislation before you this evening asks for an additional $86,000 to sure up various departments in the general fund. The reason for this
is that for the first two months of the year we operated under a temporary appropriation that was higher than the permanent measure
council ultimately passed."
Lewis asked council to note that the request represented "just a 1.6 percent increase and should prevent us from having to utilize most if not all of our contingency reserve."
Council voted to accept the auditor's report, and there were no questions or discussion regarding the budget.
The resolution regarding the increase to appropriations included increased appropriations to fire/squad, $55,000; prisoner housing, $1,000; public access, negative $21,674; service administration, $11,000; municipal court, $12,000; civil service, $3,674; auditor, $10,000; income tax, $15,000.
During the consideration of ordinances and resolutions, council member Bonnie Parr said to Lewis, "You have for the auditor $10,000. What's that for?"
Lewis said $5,000 was for wages and $5,000 was for the Ohio Public
Employees Retirement System.
That was the only comment/discussion regarding the legislation or the budget.
Because the legislation was appropriations, it did not require three readings. Parr made a motion to pass the resolution, which was seconded by council member Brian Waller. The resolution was passed 7-0.
Following the council meeting, Koogler told The Highland County Press that a reason why there was little to no discussion regarding the budget during the meeting was because such conversation primarily take place in committee.
"Looking at things, I know that (the finance committee) continues to
look at things. They are ultimately the ones who generally make those sorts of recommendations to council," Koogler said. "Council, when it's brought up for a vote and a decision, we will address it. Generally ... we vote at the end of the year for a temporary appropriation that gets us into the beginning of the year. It's generally around February we vote on the budget that we are going to have for the remainder of the year. I think that we have a lot that we are going to continue to look at between now and then."
Koogler said there are several issues that will factor into the budget, including health care, and township fire contracts.
"I think we're looking at a lot of components heading in," Koogler
said. "The last projection I had from the auditor, who I speak to regularly, still was that we are going to be facing a deficit heading into next year. I think we have a lot of tough decisions to still make. We're going to keep looking at things regularly, doing our best to work with the finances that we have to provide the best services that we can to the citizens, while doing it as fiscally responsibly as
we can."
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