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By Gerald Ochs
Rappahannock News Writer
An early fiscal year budget-buster was handed to Rappahannock County Schools by Trigon Healthcare, the schools’ managed care insurance provider. Superintendent Dr. David Gangel reported to the School Board at their July meeting that Trigon has raised its rates 25 percent, despite assurances by the Trigon representative that rates would increase from 11 to a maximum of 18 percent for this fiscal year.
Dr. Gangel said that, based on the representative’s information, the budget for FY2002 included a 15 percent increase. The actual Trigon rate increase will result in a school budget shortfall of $108,000 and, in addition, will require that employee contributions increase as well.
Unanticipated Trigon increases have sent school administrators scrambling for at least the past few years, and Dr. Gangel asked the Board if there were any objections to a last minute search for more competitive insurance coverage. There was no objection, and Dr. Gangel will pursue the search.
Trigon Healthcare Inc. is the publicly traded for-profit managed health organization that evolved from the not-for-profit Blue Cross/Blue Shield. The company converted from a notfor-profit status and began trading on the New York Stock Exchange in 1997. It has generally shown a significant profit in recent years.
96.6%