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The Citizen, 2015-03-26, Page 11
THE CITIZEN, THURSDAY, MARCH 26, 2015. PAGE 11. Huron County Council received several-hundred-thousand-dollars’ worth of good news last week in the form of savings from its benefits plan. Dennis Donnelly of Donnelly Management Advisory Services Limited (DMASL) spoke to council at its March 18 committee of the whole meeting, providing an update on changes to the county’s employee benefit package that have occurred in recent years. Council, Donnelly said, employed DMASL because of concern regarding the future projections of the employee benefits package. In 2019, benefits and “legacy costs” were projected to account for 22 per cent of the county’s total payroll costs. Donnelly said that projection was very high and that the county should want to be lower than 10 per cent in order to stay on a sustainable path going forward. Donnelly’s firm then took on a “fact-finding mission” and found that there were alternatives to the way the county was doing its business in terms of employee benefits and pensions. The company found that the county had paid $1.2 million more than it should have, if alternatives had been put in place, over a five- year period up to 2009. There was also concern, Donnelly’s report stated, that the emerging pattern of group benefits costs could also be impacting the county’s lower-tier municipalities, in addition to the effects being felt at the county level. Changes have since been implemented, however, and since 2012 $570,000 has been saved and is sitting in the county’s account, some of which is waiting to be withdrawn. DMASL, Donnelly said, implemented three core underpinnings of the new cost model: • Reliance on competitive bidding does not contain benefits costs; bidding results in temporary reductions in cash flow to benefit plans, which is subsequently recouped by the insurer once rate County saves $570,000 on benefits costs Handing over the hardware After Sunday’s 5-2 win over the Lambton Shores Predators, the Blyth Brussels Midget AE Crusaders were handed the Eric Wesslby Memorial Trophy as Ontario Minor Hockey Association (OMHA) champions. From left: Captain Curtis Raynard, Group Convenor Paul Sebastian, Assistant Captain Scott Dolmage and Assistant Captain Brandon Marshall. 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