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HomeMy WebLinkAbout1985-12-04 adjDecember 4, 1985 (Afternoon Meeting--Adjourned from November 21, 1985) 155 A joint meeting of the Board of Supervisors of Albemarle County, Virginia and the Albemarle County School Board was held on December 4, 1985 at 3:30 P.M. in Meeting Room 5, County Office Building, 401 McIntire Road, Charlottesville, Virginia; said meeting being adjourned from November 21, 1985. Board Members Present: Mr. F. R. Bowie, Mrs. Patricia H. Cooke, Messrs. Gerald E. Fisher, J. T. Henley, Jr., C. Timothy Lindstrom (arrived at 3:40 P.M.) and Peter T. Way. Absent: None. School Board Members Present: Messrs. Charles S. Armstrong and John E. Baker, Mrs. Jessie C. Haden, Messrs. Forrest R. Marshall, Walter F. Perkins, Robert E. Taylor and Charles R. Tolbert. Officers Present: County Executive, Guy B. Agnor, Jr.; Deputy County Executive, Robert W. Tucker, Jr.; School Superintendent, N. Andrew Overstreet; Assistant Superintendent for Instruction, John J. English; Assistant Superintendent for Finance and Administration, David C. Papenfuse. Agenda Item No. 1. Call to Order. The meeting was called to order at 3:35 P.M. by the Chairman, Mr. Fisher. Mr~ Robert Taylor, Chairman of the School Board, called the School Board meeting to order. Agenda Item No. 2. Discussion of Health Care Group Insurance Plan Mr. Agnor summarized the following memorandum to the Board dated November 27, 1985: "Meetings with employees explaining the proposed Key Care health insurance plan have been completed. The response from general government employees has been positive in their recognition that cost containment measures are common in health insurance groups, and that such measures are essential in the County's health plan to keep the plan viable and affordable. There was no negative reaction to the proposal to convert from the current 7510 plan to the Key Care plan, and to continue with the current mental health coverage. The school division is considering a recommended change in the contract year from October 1 to July 1 to match the contract to a fiscal year cycle. Blue Cross has offered several pricing options for the period January 1, 1986 through June 30, 1986, which will change the current rates, as indi- cated: OPTION RATE CHANGE Continue the current 7510 plan with 30 day inpatient and $2000 outpatient psychiatric benefit. + 5.3% Continue the current 7510 plan with 70 day inpatient and $3500 outpatient psychiatric benefits. +10.0% e Convert to the Key Care plan with 30 day inpatient and $2000 outpatient psychiatric benefit - 5.0% Convert to the Key Care plan with 70 day inpatient and $3500 outpatient psychiatric benefits Mr. Agnor said that general government, Albemarle County Service Authority and Jail Board employees essentially agree that cost containment measures are needed in health care plans. The school .division has expressed concern that the University of Virginia Hospital has not contracte~ to be a Key Care provider. Mr. Agnor said he is the County appointee to the UVA Hospital Advisory Board and negotiations for a contract are underway. The school division requested several optional rates on the contract and that the contract year changed to coin- cide with the fiscal year. In September, the Executive staff recommended that the County keep the existing Blue Cross Blue Shield 7510 Plan with intent to convert to "Key Care" Plan in January 1986, and to reduce days of mental health coverage to 30 in-patient and $2,000 per year out-patient and that the employee rate be increase by eight percent effective October 1, 1985. Mr. Agnor said several years ago, the County's he~alth insurance plan had a deficit balance in the cash reserves. The problem was corrected by an adjustment in rates. During the past contract year, that reserve fund dropped to a level of $20,000 leaving a liability of approximately $185,000. If there were to be a change to another health care plan with another company that liability will have to be paid off. Mr. Fisher asked whether the Key Care program could be adopted if the University of Virginia Hospital was not signed as a provider by January 1. Dr. Carole Hastings said if an employee choose to go to the University of Virginia Hospital for a service that is offered by another Key Care provider (meaning Martha Jefferson) the employee would pay the difference in the Key Care rate and the charge by the University Hospital of approximately 50 percent. If the University Hospital provides a specialized service that Martha Jefferson does not offer, the employee would not have to pay any difference. Mr. Agnor said he recommends the County adopt Key Care even if the University Hospital is not a provider by January 1. With a preferred provider contract, an employee can choose to go to a non-Key Care provider and pay the difference. It is not a serious matter that the University is not yet a Key Care provider 156 December 4, 1985 (Afternoon Meetin --A~rned from November 21__~ 1985) since he feels it is only a matter of time before the University signs a contract to become a provider. Mr. Agnor said he has talked with administrative staff at the University, and they feel that the University is going to have to become a provider because, they need to be a Key Care provider for primary, secondary and tertiary treatment. Martha Jefferson Hospital does not provide tertiary treatment. Mr. Bowie asked what effect the various options have on the reserve fund. Mr. Agnor replied that, with the exception of Option 3, 1 and 2 do not project that the reserve fund will improve. Mr. Agnor recommended that the County adOpt the Key Care Plan (Option 3) with the mental health coverage and the current rates that went into effect on October 1, 1985. The adoption of this option will allow the reserve fund to grow. The rates adopted on October are in excess of the amount budgeted for this fiscal year. An increase in rates would exacer- bate the budgeting problem. The adoption of Option 4 with no rate change would not improve the reserve fund. Mr. Taylor said many teachers have objected to the Key Care Plan as being a reduction in their benefits. The School Board adopted the 30-day, $2000 mental health coverage in October. He stated that he is against this proposed change. The mental health coverage is an unrealistic limit and provides a tremendous amount of danger to the employees. He opposes changing benefits during the contract year, without regard to legalities or technicalities. He said he personally believes the County owes employees benefits given at the beginning of the contract year. The current plan should be kept until the contract period is over. Mr. Fisher asked Mr. Taylor how he proposes funding the current program. Are employees willing to pay to retain benefits in the face of increased costs. Mr. Taylor said he has had employees respond that~health care benefits are one of the primary reasons for remaining with the County and that they would be willing to pay to retain the benefits. The options avail- able are the most financially desirable for the County, but are the least desirable for the school system in order to keep the quality of people the schools employ. Mr. Fisher asked what the cost would be to maintain the current program. Mr. Agnor said the budgeted amount is $55.83 per month per employee which is an annual cost of $670. The cost for the 7510 plan with 70-day, $3,500 mental health coverage would be $63.64 per employee per month. Allowing for the budgeted amount, the program would cost an additional $7.81 per month per employee which is an annual cost of $94. In addition, for those employees carrying family coverage the increase on a yearly basis would be $210 in addition to the subscriber's cost. Mr. Lindstrom asked what the total cost of continuing the 7510 plan with the 70-day, $3,500 mental health coverage would be. Dr. Hastings said the amount calculated for the County's school division would be an additional $40,000 between January and June 30. That amount allows for 1,150 employees with the 7510 plan and expanded mental health benefits. Mr. Lindstrom repeated his question.and asked how much extra the 7510 plan would cost the County. Dr. Hastings replied the cost would be approximately $65,000 for a six month period. Mr. Tolbert said he feels there are a couple of problems with the proposed plan. This is not a return to the previous mental health care benefit which was considerably more generous than this plan; this is an expanded benefit. Another problem is deciding what contract to take and whether or not it is wise to change from a calendar year basis to a fiscal year basis. The rates are six month rates and then in June they will have to be reviewed again. Mr. Taylor said the rates should be reviewed. Regardless of what plan is adopted, the County should get on a fiscal year program. Employees are signing contracts with the mental health benefit being one of the primary reasons for signing the contract. Benefits could be changed by the end of the fiscal year. Mr. Tolbert said he agrees with Mr. Taylor, it is wise for the County to go on a fiscal year basis. It is hard on the budget to have rates change half way through the year. Mr. Fisher said when costs go up, he does not think the employees want to pay them nor do they want any reduction in benefits. The County cannot absorb costs for a system with unlimited benefits available. Mr. Lindstrom said Mr. Taylor seems to be saying that there is an obligation to continue benefits as they presently are through the school employees contract year. Mr. Taylor said the School Board must deal with realities. If the consideration of benefits is going to be put off until the end of the fiscal year, they should consider allowing employees the option of paying for additional coverage. Mr. Fisher said he does not believe the rates would be as low if the County had two or three different plans. Mr. Taylor said benefits could be changed at the end of the fiscal year, and he opposes adopting the lowest plan in January. Mr. Fisher asked whether the school division has the money in its budget to cover this expense. Mr. Taylor said that if it cost $40,000 to keep the 7510 plan with a modified health care benefit, the money could be found in the existing budget. Mr. Fisher said he would like to know how strongly employees feel about participating in costs, or if the school division can find the money in the present budget. Mr. Taylor said he does not agree with a cut to the $2,000 30-day nervous and mental coverage on a Key Care plan, so he feels the money could be found somewhere. Mr. Armstrong said he agrees with Mr. Taylor. The money could be found in order to keep good faith with the employees. Mr. Bowie said he does not think there should be one plan for the school division and another for other employees. If Mr. Taylor's suggestion was an option, the County would have to "find" money for every County employee within existing budgets. Also, if this money was found, he would have some concern about the budgeting process. Mr. Taylor said this is a matter of extreme importance to the school division. Mr. Perkins said he does not know of any insurance plan that can protect every individual. The school division must do what it must. If that means taking the best costs that can be found, then it should be done. Mr. Perkins said he is sure they can find money if they have to. Mrs. Haden said even if the school division could find the $40,000, it would still be good to go on a fiscal year budgeting cycle. This decision must be made now because it is time to work on the next year's budget. If the proposed plan is not adopted until June, then what will go into the budget for the rest of the year. She further said thirty days inpatient mental health coverage is not enough for those who need this benefit, employees basically need 45 to 60 days. Mr. Agnor said in terms of preparing the budget, the County has to know whether the plan will be 7510 or Key Care because there will be a significant difference in the costs. December 4, 1985 (Afternoon=Meeting-vAdjourned from November 21, 1985) 157 Mr. Tolbert said there are basically two decisions to make. One decision is how to get from now until June and the other is what to do from June onward. He understands the need to stay within budgeted amounts, but he would prefer to look at this situation as to how .to pay for additional benefits and if the benefit is useful for the amount of money spent. In looking at the rates, for an additional $3.00 per month per employee, the mental health coverage can be increased to 70-day in patient and $3,500 limit out-patient. He feels that benefit is worth the cost. An additional $3.00 does not seem to be a lot of money to him. If an employee does not use the 70-day, $3,500 limit, the money can go into the reserve fund. Mr. Tolbert said he would opt for the 70-day mental health coverage whether or no~ the program is Key Care or 7510. The Key Care Plan appears to be inevitable; so he supports adoption in January. Mr. Marshall said he agrees with Mr. Tolbert about Key Care. Key Care appears to be unavoidable, but there is a need for the mental health coverage. Mr. Perkins said if the University of Virginia Hospital were a Key Care provider, then there would bemore support of the plan. Mr. Fisher stated he agrees that there could be a serious problem if the University of Virginia Hospital is not a Key Care provider. Mr. Tolbert asked Mr. Agnor if the costs at the University of Virginia Hospital the same as the costs at Martha Jefferson and if services are offered at both hospitals, but an employee opted to go to the University, is there be additional cost to go to the University. Mr. Agnor said the costs at the two hospitals are significantly different. Mr. Bowie said no hospital is going to accept the Key Care Plan unless it has to. The Board cannot sit and wait for the highest place in town to lower its' prices. Mr. Marshall said he does not think the employees will suffer from any lack of medical care by having to go to Martha Jefferson Hospital. Mr. Tolbert said with regard to benefits of the Key Care plan, one of the exclusions listed maternity care services for an employee's dependent child. Does this mean Key Care would now incur the costs of an employee's pregnant child? Mr. Agnor said that is correct and this exclusion is also in the existing 7510 plan. Mr. Agnor said this is a standard provision in all health care plans. Agenda Item No. 3. Discussion of Community Education/Information Program. Mr. Overstreet presented the following memorandum dated December 3, 1985 to the Board: "The Albemarle County School Board has established as one of its improve- ment goals the development of a systematic and comprehensive program of public information. This goal is based on the need to ensure public confidence and gain the full understanding of, and support for, the goals and operations of the school system. Our clients and patrons are no longer predominantly parents of school-aged children. More than sixty percent of our public have no children in school and yet are asked to make a commitment to the goals of schools about which they know little or have little direct contact. Moreover, the users of the schooling process and its products are diverse and complex. This means that great amounts of sophisticated information must be communicated and related to the public constantly. The commercial media cannot serve as the major channel or communication for schools to the public. The schools need a variety of one- and two-way channels operating at various levels if people are going to have the information they need to make intelligent decisions. That effort requires the existence of a formal, staffed, school-community relations program. The Superintendent has the overall responsibility to provide leadership and direction to the Board and staff and represent the school system to the public. However, the tasks of coordinating the district's communication, providing resources to principals, and promoting school-business partner- §hips must be delegated to a specialist on a part-time basis. Some of these tasks include: Issuing news releases and maintaining contact with the news media. Producing district newsletters for broad public dissemination and specialized publications. Providing technical assistance to schools for the development of their communication programs. Developing education/business partnerships. Planning programs with and for senior citizens and other nonparent groups. Conducting polls and surveys. Planning recognition programs for the achievement of students and teachers. Coordinating a district speaker's bureau. Providing resource materials for real estate, sales People and parents new to the system. Preparing materials of special interest to key communicators in the district. December'4, 1985 (Afternoon Meeting--Adjourned from November 21, 1985) Aggressive communication must be a top priority of the Albemarle County Schools if we are to build a full public understanding of the schools, seek public involvement and develop a positive working climate among students, their parents, teachers, and the staff. Mr. Overstreet said the Board of Supervisors had requested information about the Community Education/Public Information Program. The primary function of this program is to insure public confidence and encourage full understanding and support for the school system. This is a broad goal and he has the responsibility to provide this type of leadership in representing the school system to the public. Many patrons, who no longer have students in school and thus have little access to the schools, need to be informed about the schools. One of the School Board's goals is to improve communication with the public and that should be done in an aggressive manner, which requires some part-time staffing. Resources (funding) are needed to carry out that objective. Mr. Way made reference to one of the tasks which includes producing district newsletters, and asked to whom the newsletters would go. Mr. Overstreet said the newsletters would be sent to parents, nonparents, senior citizens and businesses. Mr. Overstreet said on his staff is a person titled "Director of Community Education" and he will add the responsibility for public information to the duties of this person. Mr. Fisher asked what resource materials would be provided for real estate and sales people. Mr. Overstreet said those people would be provided with brochures, statistical data, services and programs provided in the schools. This information would, also, be provided for anyone who asked for it. Mr. Lindstrom said when compared with programs which could not be funded during the current fiscal year, he does not believe this is a high priority. This is essentially creating a new program in the schools. If this had been presented at budget time and considered along with other requested programs, there could be some perspective put on it. There is potential danger for this office to do things he is uneasy about. He does not feel it is appropriate for the County to hire someone to promote it as a business. A product should support itself. This is not a one-time expenditure and he does not think it should be established at this time. Mr. Lindstrom said he disagrees with this request. Mr. Baker said a fact which has been overlooked is that the duties performed by this person are the subject of the State Board. The state requires that an office in the school division focus on coordinating and implementing community activities. Mr. Lindstrom asked whether state requirements are being currently met. He said it is his understanding that there is already a community education program in existence. Mr. Overstreet said requirements are being met on a minimal level. Mr. Lindstrom asked if the $25,000 requested is to enhance the program. Mr. Overstreet said the existing program is underfunded for the type of service they want to provide. The relationship between community education and public information is not distinct. In many ways they are the same. Mr. Way said he recognizes what Mr. Lindstrom is saying, but when he visit schools, he finds excitement and joy, and the majority of people do not have any idea of what is happening in the schools. It is important to get the message to the general public to encourage sup- port. The County came through a period of time when the schools were regarded as not doing their job. This makes it more important to involve the public. Mr. Lindstrom said if the school system does a good job, it will be evident. He has heard a number of people say the schools are doing their job; there is not $25,000 in the budget to do this. To make the taxpayers pay the schools to advertise what they are doing is an insult. Mrs. Cooke asked whether the information flow would be both ways; in particular whether business and industry will be asked for feedback in order to address their needs. She recognizes that not every student that comes out of the school system can go to higher education, but she feels students are coming out of the system ill-prepared to enter the job market. It is her feeling that in creating this office, there should be-feedback as to what is needed to prepare students for the ~job market. Mr. Overstreet said workshops have been scheduled and are continuing to be scheduled for that purpose. The information flow in a communication system should be a two-way channel operating at a variety of levels. This includes the promotion of working with business, industry and the concept of hearing and using those resources. There is a problem in that many people are not direct users of the schools. The idea is to make the public a part of the process and to broaden the_scope of education at a community level. Mr. Bowie said he agrees with Mr.. Lindstrom. This is a desirable program, but there are more important programs. The County should not be looking for new ways to spend money. He cannot support the concept of sending the taxpayers a newsletter to tell them how well their money is being spent. Mr. Armstrong said by sending these newsletters, the County could get support from taxpayers for other worthwhile programs. Mrs. Haden said this idea is important to the School Board and disagrees that it is the wrong way to spend money. Developing partnerships between education and business is a new concept. Many people do not understand ~what the schools are doing. For ten years she has been a strong supporter of the concept that the Board~of Supervisors give the School Board a certain amount of money to spend and then leave the decisions as to how to spend that money to the School Board. If the School Board can find this money in its budget and feels this is a strong priority, the School Board should be allowed to make that decision. She does not believe the Board of Supervisors can run the County and the schools also. The School Board was appointed to make such decisions within the school system and they have made a decision. Mrs. Cooke said people who do not have students in school are far more dependent upon the public schools than they imagine. Public schools provide training in areas such as health care programs, food services and other vocations which do not require higher education. As she said before not all students are college material. As someone who must deal with employees on a daily basis, there are many basic skills that are being neglected in the school system. The community cannot wait until a student finishes college and is overeducated, and overqualified to apply for a job. Students are needed directly out of high school to fill vacant jobs now. People are dependent on what the schools produce. She supports the public information program. December 4, 1985 (Afternoon:Meeting--Adjourned from November 21, 1985) Mr. Marshall said a great deal of money is to be spent in the near future to improve many schools and also to build a new school. A large number of people do not understand why that needs to be done; a person with expertise is needed to convey that information to the public. For no other reason, this person is needed to inform the public why their dollars are being spent. Mr. Taylor said the School Board did support this program unanimously. It was passed after a lot of thought. The good things being done in the schools are not being reported by the media. A Harris poll done last year said 25 percent of the present teachers are going to leave teaching within the next five years because of lack or respect and encouragement for the work they do from the community at large. One function of this job would be to recognize the excellent contributions of the teachers. Mr. Baker asked whether more dialogue is needed in view of the use of terms like "danger". Has something happened in the past which needs to be considered? Mr. Lindstrom said the potential is being created for the School Board and administration to lobby the public for programs they want, whether or not there is any substance coming out of the school system. The way to convince the public that the system is working is to educate students well. An information office is a shortcut to communicating the success of education. It comes across as "hype". This is not necessary. The product should speak for itself. Mr. Overstreet said the basic premise that the program would "hype" the schools or would sell something which is not there, is wrong. As Superintendent, it is his responsibility to see that that does not happen. Mr. Fisher said the request for an appropriation for this program will come up again on next Wednesday's agenda. Agenda Item No. 4. Report of Status of School Facilities Report. Mr. Overstreet said that several members of the School Facilities Committee are present. The Committee is reviewing the consultant's report and preparing questions for the consultant. When that is completed, recommendations will be devised to accompany the report when it is Presented to the Board of Supervisors and School Board. Mr. Fisher asked if the reason the report has not come to the Board of Supervisors is that the Committee is planning to make recommendations based on the report. Mr. Lindstrom (a committee member) said the report is being reviewed and the Committee wants a chance to ask the consultant questions before the Board brings the consultant in and asks questions that should have already been answered. Mr. Fisher said the Board could have more questions and he would like to see the report now. Mr. Bowie said he would also like to see the report now. Mr. LindStrom said the Committee is not trying to deny anybody information. The Committee has not officially accepted the report. There are a lot of internal inconsistencies in the report. Mr. Fisher said he understands Mr. Lindstrom,, but he wants to see the draft. Mr. Way (a member of the committee) said just because this study has been done, it does no~ mean the Committee will accept the study as it is. The Committee does not necessarily agree with all parts of the report. Mr. Overstreet said there were no questions about the consultant's recommendation about the Ivy area school, and with that in mind and considering that the School Board has begun to move on that iSsue, he has prepared a rough draft of the proposed construction schedule. This proposed construction schedule would have the school constructed and opened by September, 1987 This is only an estimate and could change. The School Board has appointed an Architect Selection Committee and the Committee is working towards obtaining an architect by mid-January. An appropriation for design and planning for the school will be needed at that time. Mr. Fisher said the Board will discuss the proposed school and appropriation and he hopes the Board can meet that schedule. Mrs. Haden said this is a very fast-paced schedule. Mr. Bowie said the County is committing to something where several figures have been mentio as a cost for a school. He is not sure whether to proceed with this particular school without a full report and knowledge of total capital needs. That is the reason he wants to see a report. Mrs. Haden said obviously this is a top priority project. Mr. Lindstrom said he did not realize the Meriwether Lewis School replacement project was an issue. Mrs. Haden said she also did not think it was an issue. Mr. Perkins said a cost estimate of $3,750,000 was given and yet in the newspaper, it is mentioned that the school will cost four or five million dollars. He would like to know what the cost will be. Mr. Tolbert said the total cost will not be known until an architect is hired. Mr. Marshall said the School Board agreed to build a school at the Meriwether Lewis site based on figures from the Site Selection Committee, which is a rough estimate. This was the most economically feasible site and most beneficial to the education of students in that area of the County. Mr. Taylor said relative costs are being used based on construction costs which may go up or down. Mr. Lindstrom suggested the Board of Supervisors have a summary presentation of the consultant's study, and all information from the School Board relevant to the Meriwether Lewis School site on Wednesday, December 11. Mr. Agnor said some information on the Ivy area school from Mr. Overstree= has been distributed to the Supervisors and asked whether any further information will be needed on the subject. Mr. Fisher said he has conveyed a list of questions he has to Mr. Overstreet and Mr. Taylor. Nothing further is needed until those questions are answered. Agenda Item No. 5. Adjourn. At 5:03 P.M., Mr. Bowie offered motion, seconded by Mr. Lindstrom, for the Board of Supervisors to adjourn into executive session for discussion of acquisition of property. The School Board adjourned. Roll was called and the motion carried by the following recorded vo=e: AYES: NAYS: Mr. Bowie, Mrs. Cooke, Messrs. Fisher, Henley, Lindstrom and Way. None. At 7:29 P.M., the Board reconvened into open session and immediately adjourned. HAIRMAN