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Home My WebLink AboutCity of Tamarac Resolution R-2018-142Temp. Reso. 13197 October 16, 2018 Page 1 of 5 CITY OF TAMARAC, FLORIDA RESOLUTION NO. R-2018-� Iq A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF TAMARAC, FLORIDA, AUTHORIZING THE APPROPRIATE CITY OFFICIALS TO RENEW AND EXECUTE AN AGREEMENT WITH CIGNA, PROVIDING FOR ADMINISTRATIVE SERVICES FOR CLAIMS AND FLEXIBLE SPENDING PLANS AND THE EMPLOYEE ASSISTANCE PROGRAM, THE TELEHEALTH CONNECTION PROGRAM AND THE MOTIVATEME VALUE PROGRAM, AND TO MAKE CERTAIN MODIFICATIONS TO THE HEALTH INSURANCE PROGRAM FOR EMPLOYEES AND RETIREES; PROVIDING FOR CONFLICTS; PROVIDING FOR SEVERABILITY; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the City's health insurance was re -structured as a partially self -insured program effective January 1, 2013; and WHEREAS, the City Commission awarded a three (3) year contract with CIGNA with two (2) one-year renewals, to provide Administrative Services for Claims and Flexible Spending Accounts, and an Employee Assistance Plan via Resolution R-2012-126 at its November 14, 2012 meeting, a copy of such resolution is on file with the City Clerk; and WHEREAS, the City Commission awarded a one (1) year contract with CIGNA to provide Administrative Services for Claims and Flexible Spending Accounts, and Employee Assistance Plan, and Telehealth Connection Program via Resolution R-2017-120 at its October 25, 2017 meeting, a copy of such resolution is on file with the City Clerk; and Temp. Reso. 13197 October 16, 2018 Page 2 of 5 WHEREAS, in the fall of 2018, the City's benefit consultant Lockton Companies competitively marketed the Administrative Services for Claims and Flexible Spending Accounts, and an Employee Assistance Plan coverage for Plan Year 2019, and WHEREAS, as a result of the marketing of the Administrative Services for Claims and Flexible Spending Accounts, and an Employee Assistance Plan, Lockton Companies presented the City with five (5) proposals for coverage; and WHEREAS, after detailed evaluation of the proposals, and with the assistance of Lockton Companies, City staff has determined that CIGNA's proposal provides the City with the most cost-effective program which includes a level of reinsurance protection that is prudent and appropriate, and WHEREAS, available funds exist in the appropriate Governmental Funds which are in the approved FY 2019 Budget to fund the City's Health Insurance Program; and WHEREAS, the City desires to renew their contract with CIGNA to provide Administrative Services for Claims and Flexible Spending Accounts, and the Employee Assistance Program, Telehealth Connection Program, and the MotivateMe Value Program, and WHEREAS, the City's Health Insurance Program design will remain substantially the same with respect to cost sharing, the waiver program, the premiums, and certain modifications to the CIGNA program -wide prescription and specialty drug programs; and WHEREAS, that conditions under which retirees may continue in the City's health plan until Medicare eligibility, include that they must continue to pay Temp. Reso. 13197 October 16, 2018 Page 3of5 the full health insurance premium, and that the retiree's ability to opt into the City's health insurance plan as a retiree may occur only once either (1) upon retirement at separation of service or (2) at some later time after retirement and separation, subject to open enrollment or qualifying life change; and WHEREAS, available funds exist in the appropriate Governmental Funds which are in the approved FY2019 Budget to fund the City's Health Insurance Program; and WHEREAS, it is the recommendation of the City Manager, the Director of Human Resources, and the Director of Financial Services that the City (1) renew the executed agreement with CIGNA for the provision of Administrative Services for Claims and Flexible Spending Plans, and the Employee Assistance Program, Telehealth Connection Program and the MotivateMe Value Program as negotiated, and as amended and approved by the City Manager and the City Attorney effective January 1, 2019; and (2) that the Health Insurance Program with the changes as described in the Resolution and back-up documents are implemented effective January 1, 2019; and WHEREAS, the City Commission has deemed it to be in the best interest of the health, safety and welfare of citizens and residents of the City of Tamarac to renew and execute such Agreements and approve the changes to the Health Insurance Program. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF TAMARAC, FLORIDA: Temp. Reso. 13197 October 16, 2018 Page 4 of 5 SECTION 1: That the foregoing "WHEREAS" clauses are hereby ratified and confirmed as being true and correct and are hereby made a specific part of this Resolution. All exhibits attached hereto are incorporated herein and made a specific part of this Resolution. SECTION 2: That the appropriate City officials are hereby authorized to renew the executed contract documents with CIGNA, attached as Exhibit 1, for the provision of Administrative Services for Claims and Flexible Spending Plans, the Employee Assistance Program, the Telehealth Connection Program and the MotivateMe Value Program. SECTION 3: That the City's Health Insurance Program design will remain substantially the same with certain modifications to the Cigna program -wide prescription and specialty drug programs. SECTION 4: That conditions under which retirees may continue in the City's health plan include that they must continue to pay the full health insurance premium, and that the retiree's ability to opt into the City's health insurance plan as a retiree may occur only once either (1) upon retirement at separation of service or (2) at some later time after retirement and separation, subject to open enrollment or qualifying life change. SECTION 5: That all resolutions or parts of resolutions in conflict herewith are hereby repealed to the extent of such conflict. SECTION 6: That if any clause, section, or other part or application of this Resolution is held by any court of competent jurisdiction to be unconstitutional or invalid, in part or application, it shall not affect the validity of the remaining portions or applications of this Resolution. Temp. Reso. 13197 October 16, 2018 Page 5 of 5 SECTION 7: This Resolution shall become effective immediately upon adoption. PASSED, ADOPTED AND APPROVED this 14 day of P&U(XU , 2018. MAYOR ATTEST: PATRICIA TELIFEL, MC CITY CLERK RECORD OF COMMISSION VOTE: MAYOR DRESSLER DIST 1: COMM. BOLTON DIST 2: V/M GOMEZ DIST 3: COMM. FISHMAN DIST 4: COMM. PLACKO I HEREBY CERTIFY THAT I HAVE APPROVED THIS RESOLUTION AS TO FORM n :: � -, &-, ,- SAMUEL S. GO CITY ATTORNEY Dale Pnnted: 10115(2018 City of Tamarac Current Plan Renewal - ASO 11112019 ASO Fees and Stop Loss Rates EXHIBIT I Administrative SE ASO Fee $ 17.88 $ 17.88 $ 17.88 $ 79,387 Network Access Access Fee $ 21.10 $ 21.10 $ 21.10 $ 93,684 Network Access MotivateMe Value $ - $ - $ - $ - Total PEPM ASO Fee $ 38.98 $ 38.98 $ 38.98 Employees 25 28 317 Current Annual Administrative & Access Fees $ 11,694 $ 13,097 $ 148,280 $173,071 Administrative St ASO Fee $ 18.42 $ 18.42 $ 18.42 $ 81,785 3.0% Network Access Access Fee $ 22.40 $ 22.40 $ 22.40 $ 99,456 6.2% Network Access MotivateMe Value $ - $ - $ - $ - Total PEPM ASO Fee $ 40.82 $ 40.82 $ 40.82 Employees 25 28 317 Proposed Annual Administrative & Access Fees $ 12,246 $ 13,716 $ 155,279 $181,241 4.7% Date Printed: 10/15/2018 City of Tamarac Current Plan Renewal - ASO 11112019 ASO Fee Guarantees ASO Fees - Current ... OAPI OAPIN Administrative Service Fees ASO Fee $ 17.88 $ 17.88 $ 17.88 Network Access Fees Access Fee $ 21.10 $ 21.10 $ 21.10 Network Access Fees MotivateMe Value $ - $ - $ - Total PEPM ASO Fee $ 38.98 $ 38.98 $ 38.98 Employees 25 28 317 Administrative Service Fees ASO Fee Network Access Fees Access Fee Network Access Fees MotivateMe Value Total PEPM ASO Fee Administrative Service Fees ASO Fee y Network Access Fees Access Fee y Network Access Fees MotivateMe Valu N Total PEPM ASO Fee $ 18.42 $ 18.42 $ 18.42 $ 22.40 $ 22.40 $ 22.40 $ 40.82 $ 40.82 $ 40.82 25 28 317 $ 18.42 $ 18.42 $ 18.42 $ 22.40 $ 22.40 $ 22.40 $ 40.82 $ 40.82 $ 40.82 25 28 317 EXHIBIT I 3.0% 6.2% 0.0% 4.7% 0.0% 0.0% 0.0% 0.0% Date Printed: 10/15/2018