Issue link: https://nebusinessmedia.uberflip.com/i/1542749
HARTFORDBUSINESS.COM | JANUARY 26, 2026 25 Opinion & Commentary EDITOR'S TAKE NIMBYism is costing CT economic growth OTHER VOICES It's time to get serious about association health plans By Kerry Wood, Jill Barry, Cara Pavalock-D'Amato, Stephen Meskers & Tammy Nuccio A ffordability of health insurance is at a breaking point for small businesses and nonprofits across Connecticut. With federal subsidies for Affordable Care Act plans potentially ending and premiums continuing to climb since the pandemic, employers are being squeezed from every direction. Doing nothing is no longer an option. Rising costs are not a mystery. Greater use of healthcare services, combined with the explosive demand for high-cost GLP-1 medications, has driven premiums higher nationwide. Over the last five years, health insur- ance premium payments increased by 33% for small employer firms, according to research conducted by JPMorgan Chase Institute. Large employers can absorb these pres- sures by spreading risk across tens of thousands of employees. Small employers cannot. The result is predictable: higher deductibles, thinner coverage and fewer choices for workers. Association health plans offer a prac- tical solution that Connecticut should take seriously. These plans allow trade groups, chambers of commerce and profes- sional associations to band together and purchase health insurance as a single large employer rather than as a collection of small groups. By pooling risk across thousands of people, major medical events such as cancer treat- ment, childbirth or joint replacement no longer cause dramatic premium spikes for any one business. Costs stabilize, and savings can be returned to members when overall utilization is lower than expected. This approach is not theoret- ical. Other states are already moving forward. In Virginia, a Chamber of Commerce-sponsored association health plan has enrolled more than 100,000 members and reportedly offers premiums roughly 20% lower than comparable commercial plans. That kind of relief can mean the difference between offering meaningful coverage and offering none at all. The 2024 Consolidated Appro- priations Act strengthened federal oversight of association health plans, requiring fiduciaries to tailor benefits — including pharmaceutical coverage — to their members' needs. These are not lightly regulated plans of the past; they are subject to clear standards and accountability, and in Connecticut's case, they would be regulated by our Department of Insurance. For the past four years, the Connecticut General Assembly's Insur- ance and Real Estate Committee has thoroughly researched and proposed association health plans with bipar- tisan support. Small businesses and nonprofits struggle to attract workers because they can only afford high-de- ductible plans, resulting in significant out-of-pocket costs for employees. Association health plans could help level the playing field, allowing employers to recruit and retain talent without sacrificing financial stability. After years of public hearings featuring testimony from a diverse group of small businesses and nonprofits across Connecticut, we hope that lawmakers will join us and take the next step by authorizing state-regulated association health plans. Such legis- lation would include strong consumer protections, transparent pricing and solvency requirements. Association health plans are not a replacement for existing options; they are an additional tool — one that encourages competition, improves plan design and creates pathways to more affordable coverage. At a time when costs are rising, and choices are shrinking, we encourage our colleagues to act now to give small employers a viable path to affordable, sustainable health coverage — and give workers the security and benefits they deserve. Rep. Kerry Wood, Rep. Jill Barry, Rep. Cara Pavalock-D'Amato, Rep. Stephen Meskers and Rep. Tammy Nuccio are a bipartisan group of Connecticut lawmakers. Wood chairs the Insurance and Real Estate Committee; Barry is vice chair of the Insurance and Real Estate Committee; Pavalock-D'Amato is the committee's ranking member; Meskers chairs the Commerce Committee; and Nuccio is ranking member of the Appropriations Committee. Greg Bordonaro C onnecticut spends a lot of time debating how to expand its economy, keep young professionals here and strengthen the tax base that pays for schools and local services. Yet one of the state's biggest obstacles isn't a lack of public incentives, private investment capital or entrepreneurial interest. It's something far more basic: Connecticut often struggles to approve develop- ment at the local level — even when a proposal is modest and the economic upside is clear. NIMBYism — "Not In My Back- yard" opposition — has become an embedded feature of the state's land-use culture. It's most visible in fights over multifamily housing. But it also shows up in unexpected places, including small-business projects that should not be controversial. A recent decision in Wethersfield illustrates the pattern. A property owner proposed converting the historic Chester Bulkley House at 184 Main St. in Old Wethers- field from a commercial bed-and-break- fast into a Southern Italian restaurant that would include outdoor dining. Project materials described an upscale, business-casual concept inspired by Sicilian cuisine, including seafood and seasonal dishes. The operators estimated the restaurant would employ about 20 people. On paper, it looked like the kind of proposal towns routinely say they want: reuse of an existing building, new jobs, visitor traffic and another reason for people to spend time — and money — in a historic village center. Old Wethersfield already has several popular restaurants and a setting that could be an even stronger draw for dining and small-scale tourism. A restaurant like the one proposed could have built on that momentum. The town also has clear fiscal reasons to welcome additional commercial activity. Wethersfield recently approved a $239 million school improvement plan that will drive higher taxes on residents. Commercial and industrial properties account for only about 11% of the town's net grand list, meaning homeowners fund the bulk of local government. That's the challenge many Connecticut communities face: high service expectations, limited commer- cial growth and the resulting tax pressure on residents. Despite that context, the Planning and Zoning Commission denied the special permit, with parking emerging as the dominant concern. Old Wethers- field has limited capacity, and a busy restaurant would add demand from diners, staff and deliveries. That is a legitimate issue. But it should be addressed through conditions and mitigation — not treated as an automatic deal-breaker. Too often in Connecticut, local review becomes an informal veto rather than a structured effort to make reasonable projects workable. In many communities, proposals are held to an unrealistic standard: If a project creates inconvenience or alters the status quo, the safest decision becomes to say no. That mindset is a major barrier to growth. Across the state, similar resistance shapes outcomes for apartment proposals, warehouse and logistics projects, renewable energy installa- tions, telecom infrastructure and data centers. Some proposals deserve tougher scrutiny; not every project belongs in every neighborhood. But Connecticut has reached a point where the default posture in too many towns is obstruction first — and problem-solving second. That creates uncertainty for businesses and investors. Local control is one of Connecti- cut's defining characteristics. It can be a strength. But local control that routinely blocks reasonable projects — espe- cially those that reuse existing buildings and expand a tax base — is not protection. It's paralysis. If Connecticut wants economic competitiveness, it will need to get better at approving growth. Not automatically, and not without condi- tions. But with a mindset geared toward practical solutions — not reflexive resistance. A community that can't find a way to say yes to a restaurant in an already-commercial historic property should not be surprised when bigger opportunities go elsewhere.