MOHSIN DADA

School districts, similar to businesses, have felt the pressures associated with healthcare cost increases but, unlike private companies which do not have imposed revenue limitations, were far more affected. Because of minimal state aid increases coupled with inflation-indexed tax cap restrictions, the almost 2% average differential between the CPI-U and medical care inflation rate has exacerbated the financial challenges school districts face. Simultaneously, employees themselves have experienced their own health insurance premium cost increases, typically at a rate which reflects the burgeoning costs of medical care. In fact, during the four year period from 2000 to 2003, employees across the nation watched their health insurance premiums increase 48.9% (CNN, 2004). A recent survey of school business officials conducted by the Association of School Business Officials (ASBO) found that the biggest concern that members face in their present position is rising healthcare costs.....