MANSFIELD — Richland County government’s financial health is in solid shape, according to county commissioners.
But the rapidly rising costs of health insurance for county general fund employees is more than upsetting the stomachs of those same leaders, including a projected 16-percent increase in 2027.
In fact, commissioners are questioning whether to continue a nearly decade-long partnership with the County Employee Benefit Consortium of Ohio.
“We are at a point where the increases with CEBCO that we would not be doing our due diligence on behalf of the Richland taxpayers to not look elsewhere while we have a few years left on the contract,” Commissioner Tony Vero said in an email June 18 to CEBCO officials.
The county’s current deal with CEBCO ends in 2028. It joined the consortium in 2017.
Richland County has 284 general fund employees participating in the health insurance plan through CEBCO. That number rises to 586 people when covered family members are included.
That number does not include employees using the insurance who work at other agencies, such as Richland Public Health and Richland County Children Services.
According to CEBCO, 48 of the state’s 88 counties participate in the plan, which offers “group purchasing and superior programs in health insurance and wellness advocacy,” according to its website.
“I believe Richland (County) is at a point where we need to have some serious discussions with CEBCO and our desire to continue being a part of the plan.”
Commissioners went over the numbers during a meeting Tuesday, figures which show the costs will have risen by 65 percent since 2022, a difference of $2.5 million per year.
Vero said the county paid $3,871,627 in employee health care premiums in 2022 and projects it will cost $6,396,898 in 2027.
He told CEBCO the increases are “substantial.” The county will spend about 11 percent of its $49.6 million general fund budget on employee health insurance in 2026, according to Vero.
“Hoping we can have some dialogue here, but I do believe we need to look at all options,” he wrote in the email to the consortium.
CEBCO is a member-owned, not-for-profit, self-insured purchasing pool. It was launched by the County Commissioners Association of Ohio in 2004.
Commissioners are scheduled to meet with CEBCO officials on July 31.
“No matter what type of insurance plan you have, your experience is going to drive the premium, but you can maybe look at the style of plan you have. Do you go truly self-insured? I’m not saying we’re going do that. We’re in a self-insured pool, so to speak,” he said.
He said the county projected an increase of 7.7 percent in 2026, but said it’s now looking like an 11-percent hike.
“The health insurance costs are substantial,” Vero said.
“We’re going to look at everything and we’re going to get a better idea of what’s driving that increase. We all know that there’s been inflation. I don’t think we’re paying less for anything than what we were paying five years ago. So certainly inflation is absolutely baked into that increase, on top of our experience,” he said.
“We have a contract with them through 2028. This isn’t us saying, ‘We’re out of here.’ They’ve been great to work with, but certainly when you have (this large an) increase in health insurance premiums over five years, you need to look at all options,” Vero said.
In terms of the county’s overall financial health, Vero said revenues are up almost 10 percent over last year through May, while expenses are up 6 percent.
