Roanoke City Public Schools will become the first area division to outsource its substitutes to a New Jersey-based company.
Beginning Jan. 5, Source4Teachers will staff the city’s substitute teachers, substitute aides and substitute clerical workers.
The move to privatize subs will cost about $1.6 million, and it is unclear whether it will save money. Officials have said it will help tame costs associated with the Affordable Care Act, as well as the law’s tracking and reporting requirements .
The Roanoke School Board voted unanimously during a meeting Tuesday to authorize the superintendent to enter into a contract with the firm, which has a state contract, and currently provides substitutes for two divisions in the Hampton Roads area.
The board first talked about outsourcing last month. Officials have said they were exploring the idea because the system faces escalating costs linked to the health care law’s mandate that beginning Jan. 1 employees working an average of 30 hours or more a week be offered health insurance.
“It is certainly a budget impact in terms of offering eligible substitutes health benefits,” said Sandra Burks, the system’s executive director for human resources.
Burks estimated that adding benefits for 15 substitutes would cost about $165,000.
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I had a class mate from High School who started a company years ago that leased employees to companies. He would take the companies employees already on staff and lease them back to the company. He covered all the taxes and health insurance and actually save those companies a ton of money because my friends company became the largest employer in the state of Maryland and got group discounts on health insurance.
ReplyDeleteGuess what killed his company???
HEALTH INSURANCE INCREASES!
You have to wonder now, if Obamacare fails, while insurance companies are increasing their rates like there's no tomorrow, will the price of health insurance go down????? It kind of reminds me of gas prices. The higher the price, the higher taxes you pay and states LOVE that. It encourages higher prices.
With O'Malley leaving almost $600,000,000.00 in debt, you can count on Hogan being forced to keep a lot of things just the way they were.
I tried telling all of you years ago, things are way out of control and it may be impossible to turn it around unless you start downsizing government.