Brownsville Independent School District Tables Staff Recommendation Again

Last night the Board of Trustees of the Brownsville Independent School District voted to table an action item to renew the insurance consultant contract now held by Alamo Insurance Group of San Antonio. This is the second time in as many meetings that staff’s recommendation has been put on ice.

Valley Risk Consulting of McAllen, Texas, one of the vendors competing for the contract, was again brought up by Trustee Zayas. His observation that Valley Risk Consulting’s hourly rate of $125, compared to the incumbent’s global fee, was of note.

Staff mentioned during the discussion that one of the competing vendors, Willis withdrew their bid. One wonders what precipitated that? Conflict of interest perhaps?

The BISD health insurance contract is lucrative to the tune of +$40 million. Revenue streams within the various contracts that make up the self-funded package may be significant. The Consultant of Record, whoever that may end up being, will be tasked with advising and guiding the BISD towards controlling a significant taxpayer paid budget item.

In our review of public records obtained from the BISD, we suggest that savings to the self-funded group medical plan could exceed +40% while maintaining and even improving the benefits. We hope the BISD will hire a consultant who will have the courage to guide the trustees to the right decisions. It will take political courage.

Health Care Strategies for Texas Political Subdivisions