Negotiator is optimistic about AFSCME contract



Health-care costs and premium sharing are part of the discussion.
By HAROLD GWIN
Vindicator education writer
YOUNGSTOWN -- The chief negotiator for the Youngstown city schools said the district should have a new contract in place with its American Federation of State, County and Municipal Employees union by the end of the month.
"I think things are going well," said Tony DeNiro, assistant superintendent for school business affairs. "I'm sure we'll have it resolved by the end of the month."
The end of January also marks the expiration of AFSCME Local 1143's current three-year contract.
Charles Pulice, Local 1143 president, said there's been no talk of a strike should an agreement not be in place by that date.
"We have a good relationship with the board," he said, adding there have been no work stoppages by his union in recent history. "We're sitting down talking. Things are progressing."
Local 1143 represents 500 secretarial, custodial and maintenance employees, educational assistants and bus drivers.
Health-care costs are a major point of discussion, not only with AFSCME but with all employee groups, DeNiro said.
School board's stance
The school board has made it clear that it wants employees to begin picking up a share of their premium costs and the district's five-year financial forecast prepared by Treasurer Carolyn Funk reflect employees picking up 10 percent of their premium costs beginning in fiscal 2007, which starts July 1 of this year.
That is an issue for negotiations and DeNiro confirmed it is a matter under discussion as part of the AFSCME contract.
The district won't begin new contract negotiations with its teachers until sometime this spring, but representatives of that union are sitting in on insurance cost talks with all employee groups, including administrators, DeNiro said.
At this point, only Dr. Wendy Webb, superintendent, is contributing to her health-care premiums, picking up 5 percent of their cost as a term of her contract.
Rising health insurance costs took on a new urgency last month with an insurance consultant recommended that the school board set aside an additional $2.6 million a year to pay the bill. That's a 20-percent increase, Funk said.
Possible savings
If employees pick up 10 percent of the cost, that would mean a $1.2 million annual savings to district coffers, she said.
Youngstown is self-insured, setting aside money each year to provide medical, dental, prescription and vision coverage for its employees.
Funk said employees want the district to do a claims audit as part of a review of insurance program costs before they consider premium sharing. They have also suggested the district look at a less-expensive plan that might increase employee co-payments for specific services as a way to reduce the cost without premium sharing, she said.
The district might also want to look at other changes that would reduce the actual cost of the coverage, not just shift the burden of payment, Funk said. That might include changes in prescription coverage that encourages employees to make use of generic, rather than more expensive brand-name drugs. Some form of managed-care plan to oversee and control costs might be another consideration, she said.
gwin@vindy.com