Pasadena ISD will not switch employee health insurance program after concerns

HOUSTON - Pasadena ISD says they will not switch the current employee health insurance program to the statewide TRS-ActiveCare Program after some raised concerns that the change could significantly increase their monthly premiums.

In a message to district employees, Superintendent Dr. Toni Lopez said Tuesday that the agenda item will be withdrawn and the district will not move forward to transitioning to TRS-ActiveCare on January 1.

Employees express concerns about proposal

The backstory:

In its current self-funded health insurance plan, Pasadena ISD contributes $322 a month for the premium for every employee enrolled. That's now causing significant financial losses, the district said.

The district was scheduled to consider transitioning to the statewide TRS-ActiveCare Program during a board meeting on Tuesday. It could have cost teachers and other employees hundreds more a month for coverage.

‘I have heard your questions, frustrations, and concerns’

What they're saying:

In a message sent out Tuesday morning, Superintendent Dr. Toni Lopez said this:

"Dear Pasadena ISD Team,

I want to personally acknowledge the stress that the proposed move to TRS-ActiveCare has caused many of you. I have heard your questions, frustrations, and concerns, and I am sorry for the anxiety this situation has created for you and your families.

After careful consideration, I have made the decision to withdraw the agenda item from tonight's Board of Trustees meeting. As a result, Pasadena ISD will not move forward with transitioning to TRS-ActiveCare on January 1.

In a near-future special called board meeting, we plan to recommend that the Board maintain our current self-funded health insurance plan and continue offering the same health plan options currently available to employees. By early next week, we will share premium rate options with you and the Board of Trustees.

I understand that many of you are frustrated not only by the proposal itself, but also by how information was communicated throughout this process. As your superintendent, I take responsibility for that. While the financial challenges facing our health insurance plan remain real, I recognize the importance of ensuring employees have clear, timely information and opportunities to ask questions before significant decisions are considered.

I also commit to providing monthly updates about the challenges facing our district, including the status of our health insurance plan and other important issues affecting our organization. You deserve timely, transparent information, and I will work to keep you informed about the decisions, opportunities, and challenges ahead so we can navigate them together.

Thank you for sharing your perspectives and engaging respectfully throughout this process. I appreciate your dedication to Pasadena ISD and your continued commitment to our students and community."

The following message was also sent on Tuesday from Board President Casey Phelan:

"To the Employees of Pasadena ISD:

On behalf of the Board of Trustees, I want to speak directly to our teachers, staff, and every employee who works each day to make Pasadena ISD the district it is.

The proposed health insurance item was removed from the Board’s agenda. I know there has been significant concern and frustration surrounding the proposed changes, and I want you to know that the Board has heard you. This has been a difficult issue, but I believe removing the item from the agenda was the right thing to do.

I also want to make one thing very clear: the Board had not made a decision to accept the proposed insurance plan. We were fully prepared to consider the information before us, ask difficult questions, examine the options available to us, and weigh the impact of this decision on our employees and their families before casting a vote.

A decision this important should never be treated as a foregone conclusion.

Health care is more than numbers on a spreadsheet. It affects our employees' families, their financial security, their peace of mind, and our ability to recruit and retain the outstanding people who serve our students every day. We have a responsibility to take all of those factors seriously.

As trustees, we want our employees to know that we will continue to advocate for the best benefits we can reasonably provide while also recognizing our responsibility to be good stewards of the district's resources.

The Board has heard our community. We have heard our employees. We will take that input seriously.

There is still work to be done, and we believe it is important that we take the time necessary to understand every option available to us and the consequences of each one.

Our responsibility is not simply to make the easiest decision or the quickest decision. Our responsibility is to make a responsible decision—one that considers the needs of our employees, our students, our teachers and staff, and the long-term strength of Pasadena ISD.

We are grateful to every employee who has taken the time to share their concerns, their experiences, and their perspective. Please know we hear you.

The Board remains committed to doing everything we can to help ensure that Pasadena ISD provides the best possible benefits for our employees while protecting the long-term ability of our district to serve our students.

We may not have all the answers tonight, but we have an obligation to ask all the right questions. And we will.

Thank you for what you do every day for the students of Pasadena ISD. You are the heart of this district, and you deserve to know that your Board is listening and taking this responsibility seriously.

For our students. For our teachers and staff. For Pasadena ISD."