Columbus City Schools and Unions Agree to 8% Healthcare Premium Cap, Averting Surcharges
A unanimous Joint Insurance Committee vote resolves a high-stakes standoff over self-insurance deficits, keeping October open enrollment on schedule.
Columbus City Schools administration and its labor unions reached an agreement on Sept. 28, 2026, to resolve a health insurance dispute, capping 2027 premium increases for participating staff at 8% and averting steep out-of-pocket surcharges capped premium increases.
Following the unanimous Joint Insurance Committee vote, the Board of Education canceled an emergency special meeting scheduled for 5:30 p.m. Monday board canceled special meeting. Annual employee open enrollment will proceed as scheduled during the first week of October open enrollment on schedule.
Capping Premiums and Averting Employee Surcharges
The agreement resolves a pressing budget crisis. District leadership had warned that 2027 healthcare premiums were projected to climb between 19% and 25%, but proposed capping benefit cost growth at 8% through plan modifications premiums projected to climb. Under collective bargaining rules, if the committee had failed to approve the plan changes, participating employees would have paid 100% of any cost increase above 8% as a direct payroll surcharge starting in January 2027 employees pay surcharge above 8%.
District spokesman Michael Brown announced that the agreement ensures union members continue receiving coverage in 2027 under the 8% cap spokesman Michael Brown announced. The agreement also includes modifications to the benefit plans, which district leadership did not immediately explain in detail plan changes not immediately explained.
The compromise followed a Sept. 23 vote by the Columbus Education Association to reject earlier proposed changes that the district warned would lead to higher charges union rejected plan changes. That rejection prompted Monday's special session.
Forensic Audit and Consultant Turmoil
The healthcare crisis stemmed from severe underfunding in the district's self-insurance fund linked to consulting firm Aon, which advised the district on employee benefits in 2024. An external forensic audit found the district overspent as much as $40 million more than expected for benefits plans produced by the firm during 2025 and 2026 forensic audit found overspending. The audit concluded that Aon "generally treated the district as a taxpayer-funded cash cow" and pointed to cost overruns driven by flawed projections consultant treated district as cash cow.
Aon was paid over $300,000 for 2024 and 2025 before the district ended the contract early to avoid a $180,000 payment for 2026 district ended consulting contract early. Internal reviews also prompted the district to consider firing a human resources administrator for improperly signing contracts and failing to maintain records regarding the firm district considered firing administrator.
At an Aug. 4 board meeting, Board President Antoinette Miranda said human resources staff detected the overruns and emphasized that no money came from the district's general fund over the past two years Miranda defended general fund. Miranda placed the actual loss at $23.5 million—$22.5 million in initial underfunding plus $1 million in early 2026—and doubted total losses would reach $40 million Miranda stated actual loss.
Labor Pushback and Leadership Reactions
In August, the Columbus Education Association filed a grievance, contending administrators asked members to "substantially alter their health care coverage for the next year" union filed grievance. CEA President John Coneglio said the district presented three unpalatable options without providing transparency Coneglio said options unpalatable. On Sept. 21, the union announced three demands: taking legal action against Aon, implementing auditing controls, and working with employees to resolve the crisis union announced three demands.
Following Monday's agreement, Superintendent Angela Chapman praised the joint resolution.
"I am grateful to our labor leaders and the teams representing our many CCS union members for working closely with us to ensure quality health benefits for CCS employees in 2027 and to make sure that we are all paying a fair share for these important benefits," Chapman said in a statement Chapman praised agreement.
A spokesperson for the teachers union could not immediately be reached for comment following the vote union spokesperson could not immediately be reached.
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Columbus City Schools administration and its labor unions reached an agreement on Sept. 28, 2026, to resolve a health insurance dispute, capping 2027 premium increases for participating staff at 8% and averting steep out-of-pocket surcharges capped premium increases.
Following the unanimous Joint Insurance Committee vote, the Board of Education canceled an emergency special meeting scheduled for 5:30 p.m. Monday board canceled special meeting. Annual employee open enrollment will proceed as scheduled during the first week of October open enrollment on schedule.
Capping Premiums and Averting Employee Surcharges
The agreement resolves a pressing budget crisis. District leadership had warned that 2027 healthcare premiums were projected to climb between 19% and 25%, but proposed capping benefit cost growth at 8% through plan modifications premiums projected to climb. Under collective bargaining rules, if the committee had failed to approve the plan changes, participating employees would have paid 100% of any cost increase above 8% as a direct payroll surcharge starting in January 2027 employees pay surcharge above 8%.
District spokesman Michael Brown announced that the agreement ensures union members continue receiving coverage in 2027 under the 8% cap spokesman Michael Brown announced. The agreement also includes modifications to the benefit plans, which district leadership did not immediately explain in detail plan changes not immediately explained.
The compromise followed a Sept. 23 vote by the Columbus Education Association to reject earlier proposed changes that the district warned would lead to higher charges union rejected plan changes. That rejection prompted Monday's special session.
Forensic Audit and Consultant Turmoil
The healthcare crisis stemmed from severe underfunding in the district's self-insurance fund linked to consulting firm Aon, which advised the district on employee benefits in 2024. An external forensic audit found the district overspent as much as $40 million more than expected for benefits plans produced by the firm during 2025 and 2026 forensic audit found overspending. The audit concluded that Aon "generally treated the district as a taxpayer-funded cash cow" and pointed to cost overruns driven by flawed projections consultant treated district as cash cow.
Aon was paid over $300,000 for 2024 and 2025 before the district ended the contract early to avoid a $180,000 payment for 2026 district ended consulting contract early. Internal reviews also prompted the district to consider firing a human resources administrator for improperly signing contracts and failing to maintain records regarding the firm district considered firing administrator.
At an Aug. 4 board meeting, Board President Antoinette Miranda said human resources staff detected the overruns and emphasized that no money came from the district's general fund over the past two years Miranda defended general fund. Miranda placed the actual loss at $23.5 million—$22.5 million in initial underfunding plus $1 million in early 2026—and doubted total losses would reach $40 million Miranda stated actual loss.
Labor Pushback and Leadership Reactions
In August, the Columbus Education Association filed a grievance, contending administrators asked members to "substantially alter their health care coverage for the next year" union filed grievance. CEA President John Coneglio said the district presented three unpalatable options without providing transparency Coneglio said options unpalatable. On Sept. 21, the union announced three demands: taking legal action against Aon, implementing auditing controls, and working with employees to resolve the crisis union announced three demands.
Following Monday's agreement, Superintendent Angela Chapman praised the joint resolution.
"I am grateful to our labor leaders and the teams representing our many CCS union members for working closely with us to ensure quality health benefits for CCS employees in 2027 and to make sure that we are all paying a fair share for these important benefits," Chapman said in a statement Chapman praised agreement.
A spokesperson for the teachers union could not immediately be reached for comment following the vote union spokesperson could not immediately be reached.
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https://www.yahoo.com/news/us/articles/columbus-city-schools-unions-agree-215713015.html
Supporting evidence (16)
Columbus City Schools administration and its labor unions reached an agreement on Sept. 28, 2026, to resolve a health insurance dispute, capping 2027 premium increases for participating staff at 8% and averting steep out-of-pocket surcharges capped premium increases.
Read supporting passage
At a special Sept. 28 Joint Insurance Committee (JIC) meeting, district unions and the administration came to an agreement to ensure health insurance continues with a capped 8% premium increase to participating members in 2027, alongside plan changes to the health benefits plan. The vote, which was unanimous, avoids steep health insurance surcharges for employees starting in January 2027.
Monday board canceled special meeting.
Read supporting passage
The CCS Board of Education initially had a planned a special meeting at 5:30 p.m. on Sept. 28 aimed at addressing the crisis, but it was canceled in light of the agreement at the JIC meeting.
Annual employee open enrollment will proceed as scheduled during the first week of October open enrollment on schedule.
Read supporting passage
Employee open enrollment is scheduled to continue as planned in the first week of October.
District leadership had warned that 2027 healthcare premiums were projected to climb between 19% and 25%, but proposed capping benefit cost growth at 8% through plan modifications premiums projected to climb.
Read supporting passage
District leadership had warned that the health insurance premiums would increase between approximately 19% and 25% in 2027, but the district had proposed a solution that would only increase benefits cost by 8%. If the committee did not approve the changes, district employees will pay 100% for everything above 8% as an employee surcharge.
Under collective bargaining rules, if the committee had failed to approve the plan changes, participating employees would have paid 100% of any cost increase above 8% as a direct payroll surcharge starting in January 2027 employees pay surcharge above 8%.
Read supporting passage
District leadership had warned that the health insurance premiums would increase between approximately 19% and 25% in 2027, but the district had proposed a solution that would only increase benefits cost by 8%. If the committee did not approve the changes, district employees will pay 100% for everything above 8% as an employee surcharge.
The compromise followed a Sept. 23 vote by the Columbus Education Association to reject earlier proposed changes that the district warned would lead to higher charges union rejected plan changes.
Read supporting passage
The Sept. 28 meeting was planned after the Columbus Education Association, which represents district teachers and other educational support staff, voted at the district's Sept. 23 Joint Insurance Committee meeting to reject plan changes, which the district said will lead to higher insurance charges for district faculty and administrators.
An external forensic audit found the district overspent as much as $40 million more than expected for benefits plans produced by the firm during 2025 and 2026 forensic audit found overspending.
Read supporting passage
An external forensic audit of the dealings with Aon found the district overspent as much as $40 million more than expected for the benefits plan produced by Aon during 2025 and 2026, and that Aon "generally treated the district as a taxpayer-funded cash cow."
The audit concluded that Aon "generally treated the district as a taxpayer-funded cash cow" and pointed to cost overruns driven by flawed projections consultant treated district as cash cow.
Read supporting passage
An external forensic audit of the dealings with Aon found the district overspent as much as $40 million more than expected for the benefits plan produced by Aon during 2025 and 2026, and that Aon "generally treated the district as a taxpayer-funded cash cow."
Aon was paid over $300,000 for 2024 and 2025 before the district ended the contract early to avoid a $180,000 payment for 2026 district ended consulting contract early.
Read supporting passage
Aon was paid a total of more than $300,000 for 2024 and 2025, in addition to commissions. It was expected to be paid $180,000 in 2026 for consulting services before the district ended the contract early.
Internal reviews also prompted the district to consider firing a human resources administrator for improperly signing contracts and failing to maintain records regarding the firm district considered firing administrator.
Read supporting passage
The Dispatch reported on July 27 that CCS was considering firing a human resources administrator after it found she had improperly signed contracts and failed to maintain records regarding her dealings with Aon.
At an Aug. 4 board meeting, Board President Antoinette Miranda said human resources staff detected the overruns and emphasized that no money came from the district's general fund over the past two years Miranda defended general fund.
Read supporting passage
However, at an Aug. 4 meeting, CCS board President Antoinette Miranda said the cost overrun was detected by human resources personnel, and no money has come from the district's general fund in the past two years. She said describing the underfunding "as a district failure is inaccurate."
Miranda placed the actual loss at $23.5 million—$22.5 million in initial underfunding plus $1 million in early 2026—and doubted total losses would reach $40 million Miranda stated actual loss.
Read supporting passage
The district did lose $22.5 million to the underfunding problem, but Miranda said that it was only underfunded by $1 million in the first six months of 2026, meaning the actual loss to the district has been $23.5 million. She said it is not likely the cost will reach $40 million.
In August, the Columbus Education Association filed a grievance, contending administrators asked members to "substantially alter their health care coverage for the next year" union filed grievance.
Read supporting passage
In August, the Columbus Education Association (CEA), the district's union representing teachers and other faculty, filed a grievance against the district over the fallout of the deal, saying the district asked its members to "substantially alter their health care coverage for the next year."
CEA President John Coneglio said the district presented three unpalatable options without providing transparency Coneglio said options unpalatable.
Read supporting passage
CEA President John Coneglio told The Dispatch that the district had presented three unpalatable options to the CEA and has not been transparent or provided the union with a clear picture of the problem.
On Sept. 21, the union announced three demands: taking legal action against Aon, implementing auditing controls, and working with employees to resolve the crisis union announced three demands.
Read supporting passage
On Sept. 21, the CEA announced three demands to the district, including taking legal action against Aon, implementing auditing and monitoring measures, and working with district employees to resolve the crisis.
"I am grateful to our labor leaders and the teams representing our many CCS union members for working closely with us to ensure quality health benefits for CCS employees in 2027 and to make sure that we are all paying a fair share for these important benefits," Chapman said in a statement Chapman praised agreement.
Read supporting passage
"I am grateful to our labor leaders and the teams representing our many CCS union members for working closely with us to ensure quality health benefits for CCS employees in 2027 and to make sure that we are all paying a fair share for these important benefits."
Supporting evidence (3)
District spokesman Michael Brown announced that the agreement ensures union members continue receiving coverage in 2027 under the 8% cap spokesman Michael Brown announced.
Read supporting passage
In a statement, CCS Spokesman Michael Brown said the agreement means CEA members will continue to get health insurance in 2027 with a capped 8% premium increase to participating members.
The agreement also includes modifications to the benefit plans, which district leadership did not immediately explain in detail plan changes not immediately explained.
Read supporting passage
The agreement also includes some changes to the insurance plan, which the district didn't immediately explain.
A spokesperson for the teachers union could not immediately be reached for comment following the vote union spokesperson could not immediately be reached.
Read supporting passage
A spokesperson for the teachers' union couldn't immediately be reached for comment.