At the April 21, 2026 Personnel Committee, MSD staff presented the status of its long‑standing self‑insured medical, dental, and drug plan covering approximately 149 full‑time employees, with a reserve‑funded structure and excess coverage policy. Despite regional medical inflation (7–9%) and drug inflation (11–16%), MSD is projecting a 7.5% increase in its own health costs for FY 2027, which the District will absorb with no increase to employee contributions or District funding requested, due in part to strong reserves and wellness efforts like on‑site PA services, Advent Advantage chronic‑care education, required physicals and flu shots, and fitness programs. HR is actively exploring new wellness initiatives to roll out over the coming year, and the Finance Committee’s May 6, 2026 budget review shows $4.36M of transfers into Insurance Funds and a total $4.67M insurance expenditure plan. While core TPA and stop‑loss arrangements are not detailed, the combination of self‑insurance, rising costs, and upcoming wellness initiatives suggests ongoing demand for benefits consulting, wellness program vendors, telehealth, and analytics tools that can help MSD manage trend without shifting costs to employees.

MSD has been self‑insured for at least 28 years; reserves and an excess coverage policy buffer volat...