HomeMy WebLinkAboutR-2006-159 Maxon Renewal RESOLUTION NO. 2006-159
A RESOLUTION OF THE CITY OF DANIA BEACH, FLORIDA,
® AUTHORIZING THE PROPER CITY OFFICIALS TO RENEW AN
AGREEMENT WITH THE MAXON COMPANIES TO PROVIDE A SELF-
FUNDED DENTAL, VISION AND DISABILITY PLAN TO ELIGIBLE
EMPLOYEES, RETIREES OR BOTH; PROVIDING FOR CONFLICTS;
FURTHER, PROVIDING FOR AN EFFECTIVE DATE.
BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF DANIA
BEACH, FLORIDA:
Section 1. That the proper City officials are authorized to execute the documents
pertaining to the renewal of an agreement with the Maxon Companies to provide third party
administration services for a self-funded Dental/Vision and disability plan to eligible employees,
retirees or both at a cost not to exceed $3.60 per employee/retiree.
Section 2. That the employee premium contributions will be negotiated consistent
with the applicable bargaining agreements.
Section 3. That all resolutions or parts of resolutions in conflict with this Resolution
are repealed to the extent of such conflict.
Section 4. That this Resolution shall be in force and take effect immediately upon its
passage and adoption.
PASSED AND ADOPTED on September 26, 2006.
PATRICIA FLURY
MAYOR-COMMISSIONER
ATTEST:
LOUISE STILSON, CMC
CITY CLERK
APPROVED AS TO FO AND CORRECTNESS
BY:
THOMAS J. SBkO
CITY ATT EY
' CITY OF DANIA BEACH
- Agenda Item # �o
- _ Agenda Request Item
Date of Commission Meeting: 9/26/2006
Adopt Resolution ❑X Adopt Ordinance (1st Reading) ❑ Adopt Ordinance (2nd Reading) ❑
Award Bid/RFP ❑ Presentation ❑ Continued from:
RegUestedAction {Ip6*appropri ate Action`orMotion)
Renew TPA agreement with Maxon Adminstrators to administer self funded dental/vision/disability
Why Action is Necessary
Agreement to expire 9/30/3006
Analysis by consultant reflects an annual cost of approximately $8,554 and a recommendation to accept the renewal.
dhat Action Accomplishes
Maintains Maxon as TPA for dental, vision and disability.
Purchasing Requests ONLY.
Dept: Acct#: Amt:
Fund: General: ❑ Water: ❑ Sewer: ❑ Stormwater: ❑ Grants: ❑ Capital: ❑
Summa E ry xplanation/Background ;
Fiscal Impact/Cost Summary'
Approximately$840 additional cost per year.
Exhibits'Attache'd
Renewal letter(faxed)from Maxon Administrators
Increase from $3.25 to 3.60 per paricipant
Exhibit 1 Exhibit 2 Exhibit 3 Exhibit 4 Exhibit 5 Exhibit 6 Exhibit 7 Exhibit 8
•Authorized Signatures
Submitted by
Date
t
Department Director
2
Date
HR Director
I
Mary McDonald Date 09/19/06
Finance Director
Patricia Varney Date 09/19/06
City Attorney
Thomas J. Ansbro Date 09/19/06
City Manager
Ivan Pato Date 09/19/06
t
Y
{
Gtty%Clerk.Use
Commission Action:
Approved: ❑ Denied: ❑ Continued to: ❑
t
M ,
HE MAXON COMPANIES . 0, P
-
• Health Plan Administration since 1955
1
September 7,2006
Mr. Lloyd F. Rhodes Via Fax: 954-525-1248
The Rhodes Insurance Group
1263 East Las Olas Blvd.,Suite 205
Fort Lauderdale, FL 33301
Re: City of Dania Beach Dental,Vision,and Disability Plan
M Dear Lloyd:
This will confirm that Maxon is willing to renew its administration of the above
relimced plan for the sum of$3.60 per employee/retiree or COBRA partieipmt per
month.
Sincerely,
DaviqJ. ,b
en
President
DJR/fa
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The Maxon Company• Maxon Administrators, Tnc. •Fringe Plan Administrators, Ltd.
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76 North Broadway, Trvingwn,NY 10533 914-591-7111 fax: 914-591-184
www.maxonco.com
THE RHODES INSURANCE GROUP
1263 East Las Olas Boulevard
Suite 205
Fort Lauderdale,Florida 33301
Telephone 954-524-5075
Fax 954-525-1248
September 19,2006
Ms. Mary McDonald
Director, Human Resources & Risk Management
City of Dania Beach
100 W. Dania Beach Boulevard
Dania Beach, FL 33004
Re: City of Dania Beach Self-funded Dental &Disability Plans
Maxon Administration— October 1, 2006
Dear Mary,
Maxon Administrators has communicated their willingness to continue the administration
of the City of Dania Beach self funded dental and disability plans at the rate of$3.60 per
subscriber per month. This represents an estimated additional cost of$832 per year for a
total of $8,554. Considering the complexities of the disability administration and our
experience in the market, we feel this renewal rate is competitive. Based on employee
feedback, Maxon has done a good job of providing their services to the employees.
We recommend that the City of Dania accept Maxon new administrative rate for the
period October 1, 2006 through September 30, 2007. Please let me know if you have any
additional questions.
Sinc
Lloyd F. Rhodes
Cc: Patricia Varney
Alison Poole, Wakely & Associates, Plan Actuary