HomeMy WebLinkAboutR-2013-105 Execute & Accept Agreements for Fully Insured Health, Dental, Vision & Life Insurance through Florida League of Cities & Reliance Standard procured by the Gehring Group for FY 10/13-9/14 RESOLUTION NO. 2013-105
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF DANIA
BEACH, FLORIDA, AUTHORIZING THE PROPER CITY OFFICIALS TO
EXECUTE AND ACCEPT AGREEMENTS FOR FULLY INSURED HEALTH,
DENTAL, VISION, AND LIFE INSURANCE PROCURED BY THE
GEHRING GROUP AS BROKER OF RECORD FOR THE CITY OF DANIA
BEACH THROUGH THE FLORIDA LEAGUE OF CITIES AND RELIANCE
STANDARD FOR COVERAGE BEGINNING OCTOBER 1, 2013 THROUGH
SEPTEMBER 30, 2014; FURTHER, AUTHORIZING SUCH CITY OFFICIALS
TO EXECUTE AND ACCEPT AN AGREEMENT WITH MAXON
ADMINISTRATORS TO PROVIDE SELF-FUNDED SHORT TERM
DISABILITY FOR COVERAGE BEGINNING OCTOBER 1, 2013 THROUGH
SEPTEMBER 30, 2014 TO ALL ELIGIBLE EMPLOYEES, RETIREES OR
BOTH; PROVIDING FOR CONFLICTS; FURTHER, PROVIDING FOR AN
EFFECTIVE DATE.
WHEREAS, the City of Dania Beach secured the Gehring Group as a Broker of Record
to release a Request for Proposals (an "RFP") to solicit competitive fully insured proposals for
the City's group medical, dental, vision, life, accidental death and dismemberment, supplemental
life and short term disability insurance for the 2013-2014 plan year; and
WHEREAS, on June 28, 2013 the Gehring Group released such RFP and the City
received proposals from carriers for both self-insured and fully insured plans; and
WHEREAS, the Gehring Group reviewed, analyzed and presented to City
Administration all viable options recommending three healthcare program options combining
ancillary lines that proposed various advantages and savings to the City and employees; and
WHEREAS,upon review of all proposals the Administration, in compliance with Article
38 of AFSCME Local 3535 CBA, formed a five-member Insurance Review Committee (the
"Committee") which consisted of both union and non-union employees, to evaluate the
healthcare program options and make a recommendation to City Administration; and
WHEREAS,based on current employee and retiree census data the annual savings to the
City is projected to be $699,944.77 with proposed changes. Active Employees and Retirees are
projected to see a combined reduction of$154,343.87 in annual premiums. The City's Health
Care Review Committee recommends, and the City Administration supports, that the City
Commission approve action to provide for the following healthcare program effective October 1,
2013 through September 30, 2014; and
WHEREAS, based on the proposed changes, the monthly costs of Employee and
Employer health coverage provided by the City of Dania Beach are as follows:
Current(per mo.) Proposed(yer mo.)
Employee Employer Employee Employer Total
Single $ 76.52 $ 688.77 $ 60.78 $ 547.01 $ 607.79
Family $ 202.80 $1,825.23 $162.45 $ 1,462.09 $1,624.54
Post-65 Single $ 269.24 $ 538.47 $160.88 $ 244.18 $ 405.08
Post-65 Family $ 615.26 $1,230.52 $360.73 $ 488.38 $ 849.12
NOW,THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE
CITY OF DANIA BEACH, FLORIDA:
Section 1. That the above Whereas clauses are affirmed and incorporated into this
Resolution.
Section 2. That the proper City officials are authorized to execute appropriate
documents to accept the proposal of the Florida League of Cities on behalf of the City of Dania
Beach to provide fully insured medical coverage with United Healthcare as provider to eligible
employees and retirees at the following not to exceed monthly rates per participant coverage:
Active Employee Only $ 569.00
Active Employee &Family $1,508.00
Single Medicare $ 366.29
Family Medicare $ 732.58.
Section 3. That the proper City officials are authorized to execute appropriate
documents to accept the proposal of Reliance Standard Insurance Company on behalf of the City
of Dania Beach to provide fully insured dental coverage to eligible employees and retirees at the
following not to exceed monthly rates per participant coverage:
Active Employee/Retiree—Single Coverage $ 31.75
Active Employee/Retiree-Family Coverage $ 99.74.
Section 4. That the proper City officials are authorized to execute appropriate
documents to accept the proposal of Reliance Standard Insurance Company on behalf of the City
of Dania Beach to provide fully insured vision coverage to eligible employees and retirees at the
following not to exceed monthly rates per participant coverage:
Active Employee/Retiree—Single Coverage $ 7.04
Active Employee/Retiree-Family Coverage $ 16.80.
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Section 5. That funding for the cost of the City's health claims program
administration for medical, dental and vision coverage is planned and shall be charged to the
City Health Insurance Sub-Fund, Professional Services Account, Account No. 501-1800-519-45-
40 (active employees) and 501-1800-519-45-41 (retiree),respectively.
Section 6. That the proper City officials are authorized to execute appropriate
documents to accept the proposal of Reliance Standard Insurance Company on behalf of the City
of Dania Beach to provide basic life insurance and accidental death and dismemberment
coverage("AD&D")to eligible employees and retirees in an amount not to exceed $15,500.00.
Section 7. That funding for the cost of the City's life insurance program is planned
and shall be charged to the City Health Insurance Fund, Life Insurance Account, Account No.
501-1800-519-45-60.
Section 8. That the proper City officials are authorized to execute appropriate
documents pertaining to the renewal of an agreement with Maxon Administrators, Inc. to provide
third party claims administration for a self-funded short term disability plan to eligible
employees for a not to exceed rate of$5.25 per employee.
Section 9. That funding for the cost of the City's disability claims program
administration for short term disability is planned and shall be charged to the City Health
Insurance Fund,Professional Services Account,Account No. 501-1800-519-45-50.
Section 10. That all resolutions or parts of resolutions in conflict with this Resolution
are repealed to the extent of such conflict.
Section 11. That this Resolution shall be in force and take effect October 1, 2013.
PASSED AND ADOPTED on September 10, 2013.
ATTEST:
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LOUISE STILSON, CMC WALTER B. DUKE, III
CITY CLERK MAYOR
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APPROVED AS TO O CORRECTNESS:
THOMA J. ANSBRO
CITY ATTORNEY
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