City Council:
AN ORDINANCE AUTHORIZING THE
ESTABLISHMENT OF A POLICY FOR
WAIVER OF HEALTH INSURANCE
(COMP2026-2)
Whereas, in correspondence dated April 16, 2026, the Comptroller formally requested authorization to establish a formal policy allowing eligible City employees to voluntarily waive participation in the City's employer-sponsored health insurance program in exchange for a financial incentive, thereby reducing duplicative coverage and controlling healthcare costs; and
Whereas, pursuant to Section 91 of the Mount Vernon City Charter, the Comptroller is charged with the supervision of the City's financial affairs and the establishment of policies and practices to promote fiscal responsibility; and
Whereas, the City of Mount Vernon continues to experience rising health insurance expenditures, necessitating the implementation of cost-containment strategies that maintain employee benefits while reducing unnecessary financial burdens; and
Whereas, the Comptroller has identified that the City currently lacks a formal policy permitting eligible employees to waive employer-sponsored health insurance coverage in favor of alternative group coverage, except as otherwise provided through certain collective bargaining agreements; and
Whereas, the absence of such a policy has resulted in instances of duplicative or dual health insurance coverage, thereby increasing costs to the City without a corresponding benefit; and
Whereas, municipalities throughout New York State commonly implement health insurance "opt-out" or "buyout" programs to reduce redundant coverage and achieve net savings; and
Whereas, New York State Civil Service Law ? 167(8) authorizes participating employers in the New York State Health Insurance Program (NYSHIP) to establish health insurance buyout programs, subject to local approval and compliance with applicable guidelines; and
Whereas, NYSHIP guidelines permit opt-out arrangements provided that employee...
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