April 5 - Town of Falmouth

piece, you see how much it’s grown. And we’ve made a commitment to
that health insurance and we continue to commit to it. This is raising, out
of the funds that we have, 828,000 for FY ‘11 is going just to maintain our
health insurance programs. And I want to say that we’ve identified ways
that we can save 828,000 without hurting the level of benefits that we have
for health insurance. And that’s a key area that we need to address. If
health insurance is going to continue to be sustainable, and we’re not
going to kill the goose that laid the golden egg by not controlling costs in
this large part of the budget that, as you can see, is over $10 million, we
need to control health insurance costs in a way that is positive and protects
our employees. I’m just saying is the status quo for this line item is not
sustainable. It is a structural item that must be addressed by this
community if we’re to move forward, and I think there’s ways to do that.
Looking at Retirement, you see some steady growth here.
Now, Retirement is up $248,700 for Fiscal Year 2011. Now, unfortunately
that’s an item that falls into the category of you need to find revenues to
support that. It’s an unfunded liability that has been created in years past
and we are under a state mandate and a schedule that we have to meet
that unfunded liability. And the state mandate is we have to have an
additional $248,000 at least a year for the next several years and we need
to identify that, the Town can’t get out of it, and we need to find funds to
meet that.
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