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The more than two-year-long effort to create a cost-saving shared health benefits program for employees of Tompkins County municipalities moved another step forward tonight, as the Board of Directors for the Greater Tompkins County Health Insurance Consortium convened for the first time.

The Board of Directors is made up of municipal officials from throughout Tompkins County.  To date, 14 of the county’s 17 municipalities have committed to participate.  The Board of Directors is charged with overseeing operations and conducting business of the Consortium—including such matters as approving rates, contracts and the consortium’s budget.

The municipalities, through the Consortium, are building their own self-insured health insurance company administered by a third-party administrator.  The Board tonight accepted the recommendation of the Council of Governments (TCCOG) and its Health Benefits Steering Committee to pursue an introductory one-year contract with Excellus Blue Cross Blue Shield to provide administrative support for the program’s initial year in 2010.   The Board also formally committed that the Consortium, through its health insurance program, will provide benefit plans equal to or better than the plans its municipal members currently provide.

The Board selected County Finance Director David Squires as the Consortium treasurer.   Caroline Town Supervisor and TCCOG Chair Don Barber is serving as interim chair of the Board of Directors, until it considers and acts upon a permanent slate of officers for 2010.

Reflecting on the significance of the long-studied consortium effort, Supervisor Barber commented, “This is a big leap of faith.  I thank the County and the City (of Ithaca) for stepping up for the benefit of all municipalities, which will benefit through lower health insurance rates.”

In 2007, New York State awarded a more than quarter-million dollar Shared Municipal Services Incentive program grant to explore the consortium arrangement and to build the plan structure.  The Consortium is the first organization of its kind in New York State.  The plan will begin operation as of January 1, 2010.

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