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March 6, 2010

Crowell to Board: Rein in costs

BY TOM GRACE
COOPERSTOWN NEWS BUREAU

COOPERSTOWN _ Faced with the high and rising cost of health care for public employees and retirees, Otsego County is set to embark on a program to seek long-term cost control.

At Wednesday’s meeting of the Otsego County Board of Representatives, county Treasurer Daniel Crowell outlined where the county stands, and where it may be headed.

“In 2009, our health plan cost our local taxpayers and employees over $10 million, presenting one of the largest expenditures of the year for both groups,” Crowell told board members.

Since 2005, the price of the county’s plan has risen nearly 10 percent a year, with the medical claims portion rising nearly 20 percent a year, he noted.

Crowell said the county should seek proposals from potential claims administrators to see what can be done to restrain costs, but he cautioned that now is not a good time for the county to make large-scale changes with Congress poised to vote on sweeping reforms.

He laid out a tentative schedule for the county to follow this year, with discussions involving management, union officials and health experts beginning this month.

The process may lead to the county, whose plan is administered by EBSRMSCO Inc., selecting a new claims administrator in the fall, he said. EBSRMSCO is an employeebenefits company with offices throughout upstate New York, according to the company’s website. In other business, the board:

• Heard from Mark Hoppe and Lee Palmer of Blue Wing, the county’s telecommunications consultant, on plans to upgrade its public safety communications system.

Hoppe said recent initiatives from the New York State Police to share services may reduce county costs as microwave towers are replaced and the county converts from 2.1 Ghz to 6 Ghz. The changeover in microwave frequency has been forced on municipalities by the Federal Communication Commission, which auctioned the 2.1 Ghz bandwidth to private companies.



In a related matter, the board approved authorizing Chairman Sam Dubben, R-Middlefield, to enter into a lease agreement with Lois Kubu for a “one-acre plot of land located on the high point of East Hill in the town of Cherry Valley.”

The lease calls for initial payments of $4,800 a year for the site, which will be occupied by a microwave tower about 180 feet tall.

The resolution was passed unanimously by members present, with Rep. Betty Anne Schwerd, R-Burlington, absent.

• Exempted the county’s hiring freeze for certain posts at Otsego Manor, the county’s nursing home. Jobs exempted are “all professional nursing positions, universal aides, certified nursing assistants” and universal workers.

• Authorized Dubben to enter into a $225,000 contract with the Ad Workshop of Lake Placid to design the county’s tourism program advertising. Rep. Cathy Rothenberger, D-Oneonta, noted that every year the board pledges to have local firms bid on this contract, although that has never happened.

“We always say we need to go to an RFP (request for proposals), but we never do,” she said.

Rep. Keith McCarty, R-Springfield, echoed these sentiments and voted against the resolution, which passed by a weighted vote of 5,305 for it, 377 against and 485 absent.

TOM GRACE can be reached at tgrace@thedailystar.com or 847-9806.

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