Ending Battle with LGC Could Save Salem $200K

Salem is fighting a legal battle against the Local Government Center over $300,000 to $400,000 in improperly collected funds, although town officials say jumping back on a LGC healthcare plan could potentially save the town up to hundreds of thousands of dollars.

The Eagle-Tribune has reported that the Salem Board of Selectmen has voted 4-1 to seek an insurance quote from the LGC because the town's current carrier will impose a 14.9 percent — or $93,963 — increase in employee health insurance costs next year. The paper quoted one selectman as stating that returning to the LGC would save "$200,000," although the LGC must grant Salem a waiver to do so since any municipality withdrawing from LGC insurances plans is restricted from coverage from the LGC for two years.


[Read the full Eagle-Tribune story here.]