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HomeMy WebLinkAboutCity of Tamarac Resolution R-2004-241Temp. Reso. # 10573 - October 4, 2004 Page 1 CITY OF TAMARAC, FLORIDA RESOLUTION NO. R-2004- d q I A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF TAMARAC, FLORIDA, AUTHORIZING THE APPROPRIATE CITY OFFICIALS TO APPROVE THE RENEWAL OF THE CITY'S DENTAL INSURANCE PROGRAM WITH AETNA LIFE INSURANCE COMPANY EFFECTIVE JANUARY 1, 2005 WITH A RATE INCREASE OF 2.4%; PROVIDING FOR THE CONTINUATION OF THE EXISTING COST ALLOCATION OF THE DENTAL INSURANCE PREMIUM BETWEEN THE CITY AND EMPLOYEES; PROVIDING FOR CONFLICTS; PROVIDING FOR SEVERABILITY; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the dental insurance was awarded to Aetna Life Insurance Company and is scheduled to expire on December 31, 2004; and WHEREAS, the rates for the group dental insurance program have increased this renewal period as indicated in the renewal letter received from Aetna Life Insurance Company, attached hereto as Exhibit A; and WHEREAS, the group dental insurance rates will increase approximately 2.4% effective January 1, 2005; and WHEREAS, the City Manager and Human Resources Director recommend approval of the Freedom of Choice — DMO/PPO group dental insurance program for employee dental insurance benefits effective January 1, 2005; and Temp. Reso. # 10573 - October 4, 2004 Page 2 WHEREAS, available funds exist in the appropriate funds which are in the approved FY2005 Budget; and WHEREAS, the City Commission has deemed it to be in the best interest of the citizens and residents of the City of Tamarac to provide group dental insurance benefits for City employees. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF TAMARAC, FLORIDA: 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. SECTION 2: That the appropriate City officials are hereby authorized to approve the renewal of the City's dental insurance program with Aetna Life Insurance Company effective January 1, 2005 with a rate increase of 2.4%, as outlined on Exhibit A. SECTION 3: That the appropriate City officials are hereby authorized to continue the existing cost allocation of the dental insurance premium between the City and employees. SECTION 4: That all resolutions or parts of resolutions in conflict herewith are hereby repealed to the extent of such conflict. SECTION 5: 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. 1 1 SECTION 6: upon adoption. Temp. Reso. # 10573 - October 4, 2004 Page 3 This Resolution shall become effective immediately PASSED, ADOPTED AND APPROVED this 27t" day of October, 2004. ATTEST: MARION SWENSON, CMC CITY CLERK I HEREBY CERTIFY that I have approved this RESOLUTION as to form. MITC L RAF CITY ATTORNEY i JOE SCHREIBER MAYOR RECORD OF COMMISSION VOTE: MAYOR SCHREIBER __ _ DIST 1: COMM. PORTNER DIST 2: COMM. FLANSBAUM- ALABISCO _ DIST 3: VIM SULTANOF DIST 4: COMM. ROBERTS EXHIBIT A Summary of Monthly Billing Rates Dental Plan City of Tamarac PH NO 809520 Rate Comparison DMO Freedom ojChoice Current Inforce Rerate 1/1/2005 Rate Tier Enrollment Rates % Rates Employee 153 $ 24.30 2.4% $ 24.88 EE +1 Dependent 65 $ 48.94 2.4% $ 50.11 EE+Family 92 $ 68.38 2.4% $ 70.02 Assumptions Rates may be adjusted if: • covered population changes by 15% or more; current enrolled lives are 310; • legislation or regulation is enacted that affect the benefits payable, eligibility or contractual provisions; • there is any other material change in the condition under which the plan operates. Additional Comments > Commissions payable to a broker or consultant will not change. • No commissions are currently payable. • Where permitted by state law, late entrant rules will continue to be applied at annual enrollment and throughout the year (no true 'open enrollment"). "Aetna" is the brand name used for products and services provided by one or more of the Aetna group of subsidiary companies. PPO/PDN is underwritten by Aetna Life Insurance Company. DMO is underwritten by Aetna Life Insurance Company, except as follows: Arizona, Georgia: Aetna Health Inc. California: Aetna Dental of California Inc. Maryland, Missouri, North Carolina, Texas: Aetna Dental Inc. New Jersey: Aetna Dental Inc, and Aetna Life Insurance Company, Aetna 8/30/2004