ST. MARYS — A month after listening to a presentation about options for insurance consortiums outside of the Seneca Highlands Intermediate Unit Nine, the St. Marys Area School Board has approved a motion to notify the IU that it will leave its insurance consortium at the end of the 2017 school year.

During its October meeting, the board heard from John Vanderstrom, a representative of Hubbard-Bert, who spoke to the board about the benefits of the consortium that Hubbard-Bert oversees.

Unlike the IU9 consortium, the Hubbard-Bert consortium would determine insurance contributions on data from each individual school; in the IU9 consortium, all school districts are subject to the same insurance rate increases.

Superintendent Brian Toth said the district has been seeing some wild insurance rate increases in the IU9 consortium.

Toth said there have been several years where insurance contributions have not increased, but that has led to a huge 20 percent increase for this year. Toth said he had never seen such a high insurance rate hike.

After a motion on Monday, the school board agreed to pen a letter to the trustees of the Seneca Highlands Intermediate Unit Nine consortium to inform them of the district’s intent to leave.

However, the district can revoke its intent to leave if a plan is agreed to in the IU9 that provides effective healthcare options.

In October, Toth said the IU9 was working on a plan to address healthcare needs.

Additionally, Toth said then that five school district were seriously considering leaving the IU consortium.

During Monday’s motion, the school board acknowledged that it may have to pay some money to leave the consortium.

In October, Toth said the IU9 consortium was in the black until 2011, but in the five years since, the consortium has lost $20 million and currently has a $2 million deficit.

He added then that it is unclear who would be responsible for paying the $2 million deficit.

School board officials did not indicate what the district’s plan moving forward will be.