Summary
To: Town Commission
From: Gay Lancaster, Town Manager
Date: 5/20/2025
______________________________________________________________________
Subject:
Title
Resolution 2025-17 Repealing Outdated Insurance Benefit
Summary:
Title
The Town has determined the need to repeal an outdated health insurance benefit adopted October 20, 1992 for certain department heads who retired. In 2010, Congress enacted the Affordable Care Act which significantly overhauled healthcare-related laws and regulations. In 2025, the Town updated their Internal Revenue Code 125 Cafeteria Plan. It is advised by the Town attorney that continuing to maintain the 1992 benefit would not be compliant with federal law or the new Cafeteria Plan and recommends repealing the 1992 benefit.
Body
Previous Commission Action: The Town Commission adopted the health benefit October 20, 1992
Recommendation: Staff recommends approval
Proposed Motion: Move approval of Resolution 2025-17 Repealing Outdated Insurance Benefit