Pepperell Finance Committee Narrows Health Insurance Review to Two Paths

PEPPERELL -- May 26, 2026, Pepperell Finance Committee narrows health insurance review to two options ahead of June Select Board deadline. The committee held an information session with Lockton consultant Pat Harridan, hearing that simply changing the town's self-insured plan design to match state benchmark standards would not produce guaranteed savings, instead shifting costs to employees with only an estimated 2 to 2.25 percent behavioral savings at best. A snapshot analysis in Harridan's report projects total savings of approximately $3.5 million if the town joined the Group Insurance Commission, with the town's share at roughly $2.272 million, though statute requires 25 percent of total savings be set aside in a mitigation fund. The plan currently covers 723 retirees and 519 active employees. Former Town Manager Jody Ross urged caution, citing the trust's $5.4 million in reserves and monthly claims running $200,000 below collected premiums, while resident James Cochise pushed for bolder action, arguing GIC communities include Lexington, Sudbury, and Hingham. The committee voted 5-0 to approve minutes from its March 28 meeting and the May 11 tri-board session.