Dakota County, taking a cue from private-sector efforts to control health costs, will dole out about $440,000 in financial rewards to employees who score well on such health and fitness key metrics as weight, body fat, blood pressure and cholesterol levels.
While wellness programs have become increasingly common in the workplace, officials believe Dakota may be the first Minnesota county to reward employees who adopt healthier lifestyles. The hope is that savings on health claims by the county's 1,800 employees will eventually save taxpayers money.
"We pay a lot in health care benefits," said Dakota County Administrator Brandt Richardson. "We know the underlying factor in this is healthfulness. It's a challenge for our society."
The county had been facing 12 percent annual increases in health care costs, Richardson said. "You compound that, and it's worth taking a risk."
The results-based approach is more ambitious and costly than previous efforts. The new program will pay about 10 times as much in insurance discounts as the county paid under its previous wellness program, in the form of one-time rewards to employees who complete an online health assessment.
In addition to the financial incentives, the county will pay $264,000 to myHealthCheck, a Life Time Fitness company, to run the program.
But the county is hopeful that program will eventually pay for itself through lower health care costs.
"The goal is that it's self sustaining" after three years, said Nancy Hohbach, the county's director of employee relations.