PUNTA GORDA: Punta Gorda city employees could be paying more for health insurance if a new plan goes into effect. The city claims tax reform has forced them to make major cuts in their budget.

One man who spoke with us didn’t want to be identified for fear of being reprimanded for speaking to the media.

Up until now, city employees had the option of choosing either a PPO or an HMO plan and the city paid the entire bill for the average employee with no dependents.

As the city plans to slash costs, the city will only pay for the HMO plan. Those workers who want to keep the PPO, will have to pay the difference, which could be as much as $70 a month. Those who want to stay with the HMO won’t have to pay anything.

"We would pay for the employees HMO as the primary coverage," said Punta Gorda City Manager Howard Kunick.

The health care change will save the city almost $300,000 a year.

NBC2 News Online - City scales back employee benefits, blames tax reform

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