Sunday, October 26, 2025

Council Sticks Retirees with 100% of Premium Increase


It took a year but San Angelo's City Council finally got to pass on health insurance costs to retirees.  The over 65 group was slated for greater out of pocket costs come Spring 2025 but Council's approved action hit legal road blocks and could not be implemented.  Thus retirees on a meager retirement income got a break.  


The City Council background packet for October 7 and October 21 referred to premium increases for retirees but never gave a number.  


Mayor Tom Thompson made the motion for the retirees to pick up 100% of the increase and for the city to not shoulder a penny of that premium rise.  Councilman Harry Thomas seconded the motion.


Citizens watching the meeting noted the presence of Chamber of Commerce executives who've spoken about the game changing nature of economic growth and its potential to change the tax burden.  

Council later heard how the city needs to expend funds to assist developers with the cost of installing infrastructure, streets, water and sewer.  

It raises the question as to what kind of people renege on prior city council promises to staff in favor of helping an investment firm achieve their project rate of return hurdle levels through massive tax abatement (as was the case last year with retiree health insurance & Project Zeppelin)?

What kind of people are happy to steer $62,624.64 to developers but turn their backs on loyal dedicated retired employees who relied on management's and prior council's promises?

It turns out there's four of them, at least in this case.  

Kudos to former Police Chief Russell Smith and retired Judge Allen Gilbert for serving as the city's conscience on behalf of retirees.  

Update 10-28-25:  A public information request for documents (relating to the Mayor Thompson's characterization of "doing away with the whole thing") produced the following reply:
"there are no responsive documents to your request"
Does that mean no one wrote anything down, the Mayor's memory is faulty or that's the subtle threat dusted off periodically to keep long underpaid, now retired employees in their place?  

Update 11-3-25:  The draft minutes state:
Mayor Thompson made a motion, seconded by Council Member Thomas, to increase the premium for the Post-65 Retiree by $13.52/mo. (total premium of $33.96), to cover the 4.18% increase of $62,624.64 annually as presented. The motion carried (4) ayes to (2) nays with Council Members Hesse Smith and Coffey casting the dissenting votes.

Update 11-4-25:  Jamal Schumpert gave public comment in today's Council meeting.  He closed with his concerns about the city passing on 100% of the health insurance increase to the Over 65 City Retirees.


Schumpert spoke against the Mayor's motion, that passed 4-2.


The Mayor chose not to clarify his prior words on this topic of "doing away with the whole thing and the retirees carry the entire burden."  I guess he wants those words to linger.....

1 comment:

Mary Coffey said...

I want to go on record that Mary Coffey, smd 6 and Karen Hesse-Smith, smd 5 voted against this agenda item. We were not in favor of increasing the burden to the retirees. I am extremely appreciative of the support Russell Smith and Allen Gilbert demonstrated towards all retirees.