HomeMy WebLinkAboutR-2021-105 Gehring Group FLC Insurance Package 21-22 Plan YearRESOLUTION NO.2021-105
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF DANIA
BEACH, FLORIDA, AUTHORIZING THE PROPER CITY OFFICIALS TO
EXECUTE AND ACCEPT THE AGREEMENT FOR SELECTION OF THE
CITY'S FULLY INSURED HEALTH PLAN COVERAGE PROCURED USING
THE GEHRING GROUP AS BROKER OF RECORD FOR THE CITY OF
DANIA BEACH, WITH THE FLORIDA LEAGUE OF CITIES, FOR
INSURANCE COVERAGES BEGINNING OCTOBER 1, 2021 THROUGH
SEPTEMBER 30, 2022, FOR ACTIVELY WORKING AND NON -MEDICARE
ELIGIBLE RETIRED EMPLOYEES; PROVIDING FOR CONFLICTS;
FURTHER, PROVIDING FOR AN EFFECTIVE DATE.
WHEREAS, the City of Dania Beach obtained the services of the Gehring Group as a
Broker of Record to secure coverage for the City's group health, dental, and vision insurance for
the 2021-2022 plan year; and
WHEREAS, the City solicited requests for proposals on May 17, 2021, and proposals
were received on June 8, 2021; and
WHEREAS, proposals were reviewed by the City's Human Resources and Finance
Departments; and
WHEREAS, the City Administration, based on the City's claims experience that the
Gehring Group reviewed and analyzed, recommends that the City select health plans from Florida
Municipal Insurance Trust ("FMIT"), dental plan from Cigna and vision plan from EyeMed for
the 2021-2022 plan year; and
WHEREAS, in consultation with Gehring Group, City Administration also recommends
additional dental and vision plan offerings, including a third coverage tier for Employees, plus one
dependent; and
WHEREAS, based on the City's Collective Bargaining Agreement ("CBA"), effective
October 1, 2020, the cost sharing for medical insurance premiums will remain sixteen percent
(16%) for employees and eighty four percent (84%) for the City until modified by a subsequent
CBA; and
WHEREAS, based on current employee and non -Medicare eligible retiree census data, the
City's health plan premium cost will be decreased by Two Hundred Fifty -Four Thousand Nine
Hundred Seventy -Five Dollars ($254,975.00) or nine point nine percent (9.9%); the City's dental
plan premium will be increased by Thirteen Thousand Four Hundred Eighty Two Dollars
($13,482.00) or eleven point eight percent (11.8%); and the City's vision plan premium will be
decreased by One Thousand Three Hundred Seventy Eight Dollars ($1,378.00) or seven point six
percent (7.6%);
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE
CITY OF DANIA BEACH, FLORIDA:
Section 1. That the above "Whereas" clauses are ratified and confirmed as being true
and correct, and they are made a part of and incorporated into this Resolution by this reference.
Section 2. That the proper City officials are authorized to execute appropriate
documents to accept the proposal of the Florida League of Cities — Florida Municipal Insurance
Trust on behalf of the City to provide fully insured medical coverage to eligible employees and
non -Medicare eligible retirees at the following not to exceed monthly rates:
Buy -Up Plan
Current
FY 20/21
Proposed
FY 21/22
Employee only
$872.33
$785.10
Employee + 1
$1,720.09
$1,548.08
Family
$2,639.53
$2,375.58
High Deductible
Health Plan
Employee only
$753.72
$678.35
Employee + 1
$1,486.22
$1,337.60
Family
$2,280.65
$2,052.59
Section 3. That the proper City officials are authorized to execute appropriate
documents to accept the proposal of Cigna on behalf of the City to provide fully insured dental
coverage to eligible employees and retirees at the following not to exceed monthly rates:
Dental Plan
Current
FY 20/21
Proposed
FY 21/22
Employee only
$26.30
$29.46
Employee + 1
N/A
$70.30
Family
$82.62
$105.46
2 RESOLUTION #2021-105
Section 4. That the proper City officials are authorized to execute appropriate
documents to accept the proposal of EyeMed on behalf of the City to provide fully insured vision
coverage to eligible employees and retirees at the following not to exceed monthly rates:
Vision Plan
Current
FY 20/21
Proposed
FY 21/22
Employee only
$5.15
$4.39
Employee + 1
N/A
$8.33
Family
$12.3 6
$12.24
Section 5. That for those employees who elect the High Deductible Health Plan, the
City will provide Seven Hundred Dollars ($700.00) for employee -only, and One Thousand Four
Hundred Dollars ($1,400.00) for dependent coverage, in a Health Savings Account to be used to
offset insurance deductibles.
Section 6. That the City will provide the option of an annual incentive of Four
Thousand Dollars ($4,000.00) to employees who choose to opt out of the City's Health Insurance
and who provide proof of other group insurance coverage.
Section 7. That funding for the cost of the City's health claims program administration
for medical insurance is planned and shall be charged to the individual departmental City Health
Insurance expenditure accounts (23-10) for active employees and General Fund account 001-18-
00-519-45-41 for retirees, respectively.
Section 8. That the City Commission authorizes the City to exceed the annual vendor
threshold of Twenty -Five Thousand Dollars ($25,000.00) for FMIT and Cigna, as necessitated for
fiscal year 2021-2022.
Section 9. That all resolutions or parts of resolutions in conflict with this Resolution
are repealed to the extent of such conflict.
Section 10. That this Resolution shall be in force and take effect on October 1, 2021.
3 RESOLUTION #2021-105
PASSED AND ADOPTED on July 13, 2021.
ATTEST:
THOMAS SCHNEIDER, CMC
CITY CLERK
Is
APPROVED APPROVED AS TO,FQ%\4 AND CORRECTNESS:
THOM)1 J.
CITY A TC
4 RESOLUTION #2021-105
City of Dania Beach
Executive Summary
2021/2022 Plan Year Rates
CURRENT
84/16 All Active Tiers
GEHRING GROUP'
304,
EMPLOYEE BENEFITS I RISK MANAGEMENT
RENEWAL
84/16 All Active Tiers
MEDICAL 3-TIER*
2020-2021 Plan Year
2021-2022 Plan Year
PLAN 1
FMIT Choice Plus HDHP Plan 005
FMIT Choice Plus HDHP Plan 005
BASE PLAN
Total
Employer
Employee
Total
Employer
Employee
Employee Only
2
$753.72
$633.12
$120.60
2
$678.35
$569.81
$108.54
Employee +1
0
$1,486.22
$1,248.42
$237.80
0
$1,337.60
$1,123.58
$214.02
Employee + Family
0
$2,280.65
$1,915.75
$364.90
0
$2,052.59
$1,724.18
$328.41
Retiree Only
0
$753.72
$502.48
$251.24
0
$678.35
$452.23
$226.12
Retiree +1
0
$1,486.22
$990.81
$495.41
0
$1,337.60
$891.73
$445.87
Retiree + Family
1
$2,280.65
$1,520.43
$760.22
1
$2,052.59
$1,368.39
$684.20
MONTHLY PREMIUM
3
$3,788.09
$2,786.68
$1,001.42
3
$3,409.29
$2,508.02
$901.27
ANNUAL PREMIUM
$45,457.08
$33,440.20
$12,016.88
$40,911.48
$30,096.26
$10,815.22
PLAN 2
FMIT Choice Plus Traditional Plan 002
FMIT Choice Plus Traditional Plan 002
BUY -UP PLAN
Total
Employer
Employee
Total
Employer
Employee
Employee Only
53
$872.33
$732.76
$139.57
53
$785.10
$659.48
$125.62
Employee +1
23
$1,720.09
$1,444.88
$275.21
23
$1,548.08
$1,300.39
$247.69
Employee + Family
44
$2,639.53
$2,217.21
$422.32
44
$2,375.58
$1,995.49
$380.09
Retiree Only
33
$872.33
$581.55
$290.78
33
$785.10
$523.40
$261.70
Retiree +1
9
$1,720.09
$1,146.73
$573.36
9
$1,548.08
$1,032.05
$516.03
Retiree + Family
6
$2,639.53
$1,759.69
$879.84
6
$2,375.58
$1,583.72
$791.86
MONTHLY PREMIUM
168
$262,039.76
$209,695.22
$52,344.54
168
$235,836.16
$188,725.99
$47,110.17
ANNUAL PREMIUM
$3,144,477.12
$2,516,342.63
$628,134.49
$2,830,033.92
$2,264,711.93
$565,321.99
TOTAL MONTHLY PREMIUM
171
$265,827.85
$212,491.90
$53,345,95
171
$239,245.45
$191,234.02
$48,011.43
ANNUAL OPT -OUT INCENTIVE EXP
8
$32,000.00
$32,000.00
$0.00
8
$32,000.00
$32,000.00
$0.00
TOTAL ANNUAL PREMIUM
$3,221,934.20
$2,581,782.83
$640,151.37
$2,902,945.40
$2,326,808.19
$576,137.21
$INCREASE
N/A
N/A
N/A
-$318,988.80
-$254,974.64
-$64,014.16
%INCREASE
N/A
N/A
N/A
-9.9%
-9.9%
-10.0%
HSA ADMINISTRATION
Total
Employer
Employee
Total
Employer
Employee
Single HSA ($700)
2
$1,400.00
$1,400.00
$0.00
2
$1,400.00
$1,400.00
$0.00
Family HSA ($1,400)
0
$0.00
$0.00
$0.00
0
$0.00
$0.00
$0.00
ANNUALPREMIUM
$1,400.00
$1,400.00
$0.00
$1,400.00
$1,400.00
$0.00
$INCREASE
N/A
N/A
N/A
$0.00
$0.00
$0.00
%INCREASE
DENTAL 3-TIER*
N/A
N/A
Cigna
N/A
0.0%
0.0%
Cigna
0.0%
Total
Employer
Employee
Total
Employer
Employee
Employee Only
48
$26.30
$22.09
$4.21
48
$29.46
$24.75
$4.71
Employee +1
0
N/A
29
$70.30
$59.05
$11.25
Employee + Family
73
$82.62
$69.40
$13.22
44
$105.46
$88.59
$16.87
Retiree Only
35
$26.30
$17.53
$8.77
35
$29.46
$19.64
$9.82
Retiree +1
0
N/A
17
$70.30
$46.87
$23.43
Retiree + Family
51
$82.62
$55.08
$27.54
34
$105.46
$70.31
$35.15
MONTHLY PREMIUM
207
$12,427.79
$9,549.33
$2,878.45
207
$13,904.86
$10,672.82
$3,232.05
ANNUAL PREMIUM
$149,133.36
$114,591.90
$34,541.46
$166,858.32
$128,073.74
$38,784.58
$INCREASE
N/A
N/A
N/A
$17,724.96
$13,481.84
$4,243.12
%INCREASE
N A
N A
N A
11.9%
11.8%
12.3%
Total
Employer
Employee
Total
Employer
Employee
Employee Only
48
$5.15
$4.38
$0.77
48
$4.39
$3.69
$0.70
Employee +1
0
N/A
19
$8.33
$7.00
$1.33
Employee + Family
73
$12.36
$10.51
$1.85
54
$12.24
$10.28
$1.96
Retiree Only
36
$5.15
$3.43
$1.72
36
$4.39
$3.69
$0.70
Retiree +1
0
N/A
7
$8.33
$7.00
$1.33
Retiree + Family
49
$12.36
$8.24
$4.12
42
$12.24
$8.16
$4.08
MONTHLY PREMIUM
206
$1,940.52
$1,504.42
$436.10
206
$1,760.38
$1,389.61
$370.77
ANNUAL PREMIUM
$23,286.24
$18,053.02
$5,233.22
$21,124.56
$16,675.34
$4,449.22
$INCREASE
N/A
N/A
N/A
-$2,161.68
-$1,377.67
-$784.01
%INCREASE
NIA
N/A
N/A
-9.3%
-7.6%
-15.0%
AT LIFE
Total
New York Life (Formerly Cigna)
Employer
Employee
Total
New York Life (Formerly Cigna)
Employer
Employee
Basic Life Rate/$1,000
$0.160
$0.160
$0.000
$0.180
$0.180
$0.000
Basic AD&D Rate/$1,000
$0.020
$0.020
$0.000
$0.020
$0.020
$0.000
Total Rate/$1,000
$0.180
$0.180
$0.000
$0.200
$0.200
$0.000
Life and AD&D Volume
$6,983,500
$6,983,500
$6,983,500
$16,324,000
$16,324,000
$16,324,000
MONTHLY PREMIUM
$1,257.03
$1,257.03
$0.00
$3,264.80
$3,264.80
$0.00
ANNUAL PREMIUM
$15,094.36
$15,084.36
$0.00
$39,177.60
$39,177.60
$0.00
$INCREASE
LONG-TERM DISABILITY
NIA
N/A
NOT CURRENTLY OFFERED
N A
$24,093.24
$24,093.24
New York Life (Formerly Cigna)
$0.00
Total
Employer
Employee
Total
Employer
Employee
Total Rate/$100
$0.320
$0.320
$0.000
Long -Term Disability Volume
$612,848
$612,848
$612,848
MONTHLY PREMIUM
NOT CURRENTLY OFFERED
$1,961.11
$1,961.11
$0.00
ANNUALPREMIUM
$23,533.36
$23,533.36
$0.00
$INCREASE
NIA
N/A
N/A
$23,533.36
$23,533.36
$0.00
TOTALPROGRAM
Total
Employer
Employee
Total
Employer
Employee
TOTAL MONTHLY PREMIUM
$282,853.18
$226,192.68
$56,660.50
$262,919.94
$211,305.69
$51,624.25
TOTAL ANNUAL PREMIUM
$3,410,838.16
$2,730,912.10
$679,926.06
$3,155,039.24
$2,535,668.24
$619,371.01
$INCREASE
N/A
N/A
N/A
-$255,798.92
-$195,243.87
-$60,555.05
%INCREASE
N/A
N/A
N/A
-7.5%
-7.1%
-8.9%
"Enrollment is for illustrative purposes only. Total premium will change based on final enrollment.