February 17, 2003

Galveston City Council 

Galveston City Council met in a special session to take action to resolve a crisis with the city's employee insurance plan.  The three minute public session followed an executive session that lasted about one-half hour. 

Five members of the city council who attended the meeting, Mayor Roger Quiroga, Mayor Pro Tem Cornelia Harris Banks, Booker Price, Joe Jaworski and Lyda Ann Thomas voted unanimously to change the structure of the "172 Health Insurance Board" and to establish an "advisory" committee on insurance. 

The reorganized committee will be composed of the city manager, finance director, risk manager, human resource director, city auditor and two members of the Galveston Municipal Police Association.  Members of the Galveston Firefighters Union and representatives of civilian employees will not sit on the reorganized committee, but will be on the advisory committee.

City Manager Steve Leblanc said the action was taken in response to serious shortfalls in the city's insurance fund that could result in the plan being placed in state receivership.

"I am aware of the pending significant crisis with our insurance plan," said Jaworski, explaining his vote.  "The fact that this health benefits insurance committee will be re-invigorated by the city manager immediately weighs greatly in my ability to be able to feel better about changing the board structure." 

LeBlanc said the GMPA will retain its membership on the new board until pending litigation is resolved.  He said membership on the advisory committee satisfies a collective bargaining agreement with the firefighters union.

Charles Olsen, president of the Galveston firefighters local, does not agree. 

"My understanding of the collective bargaining was that we would be on a committee that, between us and PD, we would control the board and set the health insurance policies and costs," Olsen said.  "Now we feel like all of a sudden he is creating a new committee and changing the board around, and we just don't agree with that."

Olsen said the firefighters union will study the new development before deciding what action to take.

"I think this might possibly be another attempt by Mr. LeBlanc to try to split the solidarity that us and the municipal police association have," Olsen said.  "But I don't see that happening.  We stand pretty close on issues right now."

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