Boardman sets up a health savings account

BOARDMAN

Township trustees approved a group rate contract with Medical Mutual of Ohio, and the funding of a health savings account for township employees.

The total cost is $1,668,733. The one-year contract is effective May 1.

The move from a traditional health care plan to an HSA will save the township about $447,000 a year, said Stephanie Landers, deputy administrator, at a meeting Monday.

An HSA is a tax-exempt account set up to pay or reimburse certain medical expenses incurred by employees.

“It’s not just saving the township money,” trustee Thomas Costello said. “But in the long run, with the savings account, it should hopefully save our employees money as they become better consumers of health care.”

The township employs 153 people in full- and part-time positions.