Whitfield County's switch to Blue Cross Blue Shield insurance to save $1.6 million

photo Mike Babb

DALTON, Ga. -- The Whitfield County government is slated to save nearly $1.6 million in net health care costs this year after switching insurers to one that forced county employees to go outside the county for in-network coverage.

The county switched coverage of its more than 500 employees from Alliant Health Care to Blue Cross Blue Shield of Georgia after the county's costs rocketed to more than $5.8 million in 2010.

This year, the county estimates it will spend nearly $4.3 million in net costs, Matt Bidwell, with MSI Benefits Group, told county commissioners Monday evening.

"We are right on target with estimated costs, and the county will continue to see significant savings," Bidwell said during a presentation on how much the county has spent so far this year.

Commissioners had planned to have the presentation on health costs before finding out Friday that Hamilton Health Care System -- which includes hospitals in Whitfield and Murray counties and a Whitfield County doctors' group -- had signed a deal to accept Blue Cross Blue Shield. That change will go into effect Nov. 1.

"We had this information pulled together to defend ourselves before hearing the good news [about the insurance deal]," Chairman Mike Babb said at the beginning of the meeting.

Bidwell told commissioners he did not know what kind of discount Hamilton Health Care would give to the county under the insurance deal. The hospitals giving the county the largest discount now are Erlanger hospital with a 72 percent discount, and Parkridge East Hospital in East Ridge with a 78 percent discount.

Hospitals and insurance agencies generally do not disclose their discount agreements, but they can be determined after the hospital begins billing the county.

In other business, commissioners voted to pay Dalton Utilities $14,543 to complete a required watershed protection plan for one year. The plan includes testing and monitoring of county creeks that have been identified as problematic by the Environmental Protection Agency, county engineer Kent Benson told the commissioners.

Benson recommended that commissioners approve the plan through 2016, but they balked at the idea.

They asked Benson whether Dalton Utilities would be able to impose fines on the county and whether the county could do the service cheaper in-house. They also questioned why Dalton Utilities had the freedom to draw up the watershed plan and then ask the county to pay for the testing.

"We get real skittish about anything that has to do with water quality or the environment. We don't want to be trapped in something," Babb said.

Benson said the county did not have the resources to do the testing, and contracting it out would cost more than paying Dalton Utilities. He said the plan was needed for Dalton Utilities to continue to provide water and sewer services to the county.

After a lengthy discussion, commissioners voted 3 to 0 in favor of amending the agreement to be in effect only one year. Commission Greg Jones was absent.

Matt Marlowe, Dalton Utilities vice president of water and wastewater engineering, did not return a phone message asking for comment after the meeting.

Contact staff writer Mariann Martin at mmartin@timesfreepress.com or 706-980-5824.

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