Jamestown officials are scrambling to secure Medicare reimbursement money that could reduce the city’s proposed 7.79% tax increase.
During Monday’s budget session, council members discussed transitioning city retirees from city-sponsored health insurance to Medicare. About 150 people now have city insurance instead of Medicare, up from about 310 people in the previous survey. It was discussed to track those who remain on insurance and explain to those who do have insurance that there are positive benefits for both them and the city. Help save the city money.
Republican Russell Bonfiglio said he was part of a committee that worked on the issue last year and had not heard any complaints from people, including those who left the area for places like Florida. There have been concerns that insurance won’t cover those outside the city, but he said that’s not the case. He said people 65 and older should be pursued by the city to be exempted from city insurance.
Republican and Public Safety Committee Chairman Jeff Russell said this big issue that people may not be aware of is that there is about $1 million that the city was supposed to get back from its previous Medicare Advantage plan. He said it was true. The administration did not pursue it.
“As a result of retirees moving into Medicare Advantage plans, they were supposed to get money back from Medicare,” Russell said. “That money was left on the table and they weren’t reimbursed for that money.”
Russell confirmed that City Comptroller Erica Thomas is working to recover that refund. Thomas said the contract has expired and he is in discussions with the state to figure out what the city needs to do to get that money.
“A few things happened,” Thomas said. “The original contract was that you signed up, the city would pay the first $25,000 and we would be reimbursed, and not that many people signed up for it. So they went to J1 and J2. There’s no premium in J1, so retirees receive nothing, and in J2 they get $50. Even more people jumped on it.”
But Thomas said it wasn’t a contract or program that the state was aware of, so they were surprised when she told him about it and are now wondering whether a new contract is needed or if the original contract He said it would be necessary to determine whether an extension is necessary.
Mr. Bonfiglio and Mr. Russell acknowledged that Mr. Thomas was not part of the administration, but questioned what could have happened to allow him to miss this redemption.
“I’m personally upset about the fact that the committee came together and worked hard and that we all came together to save money and save taxpayers money,” Russell said. Ta. “This was a win for everyone, so if the previous government set up a committee to save money, that previous government would go after that money, and we would take care of them to go after that money. Just think you don’t have to make money. ”
Russell said that now that the committee has done all its work, there is $1 million left on the table, adding that he called on the union president and all other stakeholders to participate and be fully transparent. He added that he also asked former Mayor Eddie Sundquist not to attend the meeting, which Sundquist agreed to, but was upset that the $1 million still remained on the agenda. Ta.
“What a difference it would make if that $1 million was in this budget now,” Russell said.
The conversation continued and focused on the assumption that people in the previous administration would have been after the money, but Russell said he takes some personal responsibility because he feels there should have been more oversight. he added.
City Council President Anthony Dolce asked Thomas if he could say whether the money would be repaid before voting on the budget. Thomas said he doesn’t know what direction the state would take if it was able to extend the original contract, but said he has sent several spreadsheets and has been in contact. She added that the grant to move retirees to Medicare is a $1 million 5 grant, with $113,000 spent and $1 million 3 remaining.
It was also argued that the Auditor General would have been most responsible for pursuing this money, but although there was no Auditor General at the time, Mr Thomas Members of the House were working on the issue, Thomas said. I don’t know if anyone has it. Mr Bonfiglio acknowledged that things were chaotic at the time, and Mr Russell asked if there was anything the current council could do to help Thomas get funding. Mr. Dolce suggested that corporate advisor Elliott Raimondo consider the matter from a legal perspective.
“If you know in advance that money is coming in, some of it is coming in, all of it is coming in, or none of it is coming in, that’s a lot of money,” Dolce said. . “That would solve most of the tax increases.”
Dolce recommended seeing if there’s something proactive you can do to help with your upcoming budget. Thomas said it’s important to keep in mind that this funding is a one-time thing, and even if the money is raised in 2025, it won’t be there in 2026.