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Williamsburg braces for lean FY2011 budget


Williamsburg city employees’ health insurance may take a hit for the second year in a row.

In planning its fiscal year 2011 budget, the city is proposing to switch non-union employees to an insurance plan with higher deductibles. Deductibles for the new plan would increase to three times as much as the current rate — from $500 to $1,500 for singles and $1,000 to $3,000 for families. The proposed insurance plan would save the city from enduring an approximately 31 percent increase to keep its current plan, which will increase from $228,000 to $300,000 per year in FY2011. The new plan will increase costs by approximately 12 percent, costing a total of $255,084 per year.

Last year, the city responded to a 27 percent hike in insurance premiums by requiring employees to pay for all health insurance costs beyond the monthly premium.

Non-union city employees also agreed to a salary freeze for FY2011, to keep costs low.

In addition to possibly approving a new insurance plan, the city will approve FY2011 departmental budgets following a budget hearing set for 8 p.m., Monday, March 8. The police department budget will increase by about $8,000 to $586,205. The budgets of the library, recreation and public works departments will all decrease for FY2011. The public works’ budget will decrease by approximately $54,000 to $946,000, the library will decrease of approximately $5,000 to $149,107 and the recreation department will have about $23,000 less to spend than this year with a budget of $642,403. City clerk Jenifer Mein said despite adding $100,000 of money generally saved for future rec center use to the rec center’s operations budget, the general fund is expected to end with a balance equivalent to 14 percent of next year’s expenditures. The city tries to structure its budget so the general fund’s end of year balance is at least 25 percent.

The next meeting of the Williamsburg City Council will be held Monday, March 8, at 7:30 p.m.



UPDATED March 2, 2010 11:08 AM

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