HomeMy WebLinkAbout139-99 RESOLUTIONRESOLUTION NO 139-99
A RESOLUTION AUTHORIZING THE RENEWAL OF THE
BLUE CROSS/BLUE SHIELD GROUP MEDICAL CONTRACT
FOR POLICY YEAR 1/1/2000 THROUGH 12/31/2000; AND
APPROVAL OF AN EMPLOYER CONTRIBUTION INCREASE
TO COVER ESCROW ACCOUNT DIFFERENTIAL.
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE,
ARKANSAS*
Section 1. That the City Council hereby authorizes the renewal of the Blue Cross/Blue
Shield Group Medical contract for policy year 1/1/2000 through 12/31/2000; and approves an
employer contribution increase to cover escrow account differential. A copy of the contract is
attached hereto marked Exhibit "A" and made a part hereof.
PASSED AND APPROVED this 2nd day of November , 1999.
ATTEST:
eather Woodruff, City Cler
FI % r
APPROVED'
B
F ed Hanna, Mayor
APPLICATION by
EXHIBIT A
Arkansas
BlueCross BlueShield
An Independent Licensee of the Blue Cross and Blue Shield Association
ARKANSAS BLUE CROSS AND BLUE SHIELD
A MUTUAL INSURANCE COMPANY
601 Gaines Street
Little Rock, Arkansas 72201
GROUP APPLICATION
City of Fayetteville
(herein called 'Applicant")
for a Group Policy covering -the -employees of Applicant and the eligible dependents of
such employees.
In making this application; Applicant agrees to•the terms of the Group Policy, including
but not limited to the Covenants of the Policyholder, and to pay the required premium.
This Application is made and delivered in the State of Arkansas and is governed by the
laws of Arkansas. This Application is incorporated in and made a part of the Group
Policy.
Signed at FAYETTEVILLE, ARKANSAS , this NOVEMBER 5TH 19 99
City of Fayetteville
By:
Applicant
Authorized Signature
ARKANSAS BLUE CROSS AND BLUE SHIELD
A MUTUAL INSURANCE COMPANY
Accepted By:
GA -1 6/95
Authorized Signature
PROXY
I hereby appoint the Board of Directors ("Board") of Arkansas Blue Cross and Blue
Shield, A Mutual Insurance Company ("Company"), as my proxy to act on my behalf at
all meetings of members of the Company. This appointment shall include such persons
as the Board may designate by resolution to act on its behalf. This proxy gives the
Board, or its designee, full power to vote for me on all matters that may be voted upon
at any meeting. The annual meeting of Members is held each year at the home office
of the Company located at 601 Gaines Street, Little Rock, Arkansas, on the third
Monday of March, at 1:00 PM. If the third Monday of March is a legal holiday, then the
meeting will be at the same time and place on the next day after, which is not a legal
holiday. Special meetings may be called upon notice mailed not less than ten (10) nor
more than sixty (60) days prior to such meeting. This proxy, unless revoked, shall
remain in effect during my membership in the Company. I may revoke this proxy in
writing by advising the Company of such at least five (5) days prior to any meeting. I
may also revoke my proxy by attending and voting in person at any Members'
meetings.
113 West Mountain, Fayetteville, AR • 72701
Address
Dated this 5Ts
City of Fayetteville
MEMBER NAME
Group Number 090041 (CMM) & 024813 (PPO)
By:
Signature and Title
day of NOVEMBER , 19 99
ADDENDUM TO LARGE EMPLOYER APPLICATION
FOR GROUP INSURANCE
The insurance laws of the State of Arkansas require the benefits outlined below be made available on an
optional basis. You must either Elect or Reject each of the following:
Psychiatric Care Benefits
This optional coverage provides increased benefits for the treatment of
psychiatric conditions limited to a maximum of eight (8) inpatient/partial
hospitalization days or forty (40) outpatient visits per Calendar Year.
Substance Abuse Treatment Benefits
This optional coverage provides benefits for the treatment of drug abuse,
including alcoholism. The Company will pay the percentage set out in your
Schedule of Benefits, up to $6,000 during any twelve (12) month period.
Benefits shall not exceed two (2) admissions per lifetime.
Speech and Hearing Impairment Coverage
This optional coverage provides benefits which will parallel all other
medical conditions when you receive treatment for speech or hearing
impairment. A rejection of this coverage will limit the benefit to $500 of
your charges per Calendar Year.
Mammography Screening
This optional coverage provides one mammogram during the time when
women are between the ages of 35 and 39. One mammogram every two
years (or one mammogram per year, if recommended by a physician) for
women age 40 to 49. One mammogram annually for women age 50 or
older. Services also include mammograms, where recommended by a
physician, for women whose mothers or sisters have a history of breast
cancer, regardless of age.
Licensed Professional Counselor Benefits
This optional coverage provides for payment of services provided by
licensed professional counselors subject to the same limitations as set forth
in the policy for mental health coverage.
Psychological Examiner Benefits
This optional coverage provides for payment of services provided by
psychological examiners subject to the same limitations as set forth in the
policy for mental health coverage.
City of Fayetteville
ELECT REJECT
E
Group Name
"av// iget.c:geel PERSONNEL DIRECTOR NOVEMBER 5, 1999
Group xecutive / Administrator/s Signature & Title Date
LARGE GROUP ELECTION FORM 1/98
STAFF REVIEW FORM
XX Agenda Request
Contract Review
Grant Review
FOR THE FAYETTEVILLE CITY COUNCIL MEETING OF
NOVEMBER 2, 1999
FROM:
DON BAILEY
Name
PERSONNEL
Division
ADMIN. SERVICES
Department
ACTION REQUESTED:
RENEWAL OF BCBS GROUP MEDICAL CONTRACT FOR POLICY YEAR 1-1-2000 THROUGH 12-31-2000.
INCREASE EMPLOYER CONTRIBUTION TO COVER ESCROW ACCOUNT DIFFERENTIAL.
COST TO THE CITY:
$1,527,310 (q.000&c6
Cost of this request •
SEE ATTACHED LISTING
Account Number
Project Number
$1,673,877(1.000 gtq-)
Category/Project Budget
0
Funds used to date
$1,673,877
Remaining Balance
HEALTH INSURANCE
Category/Project Name.
Program Name
Fund
BUDGET REVIEW:
Budgeted Item
�� OI ti494
Budge Coordinator
Bud et Adjustment Attached s
vit
Administrative Services Director
CONTRACT/GRANT/LEASE REVIEW:
GRANTING AGENCY:
i a/i F/gfi
Accounting Man
Date
G/i4d a (WLia iv - s�
Ici{Brnal Auditor
City •ttorne
PurchasincgOfcer
/0 -/9-51,
Date
iti-at-qq
Date
ADA Coordinator
Date
Date
STAFF RECOMMENDATION:
RECOMMEND COUNCIL APPROVE
Division Head
1144
Adrninistrative Services Director
RENEWAL ACTION
/D -/S-7,
Date
Date
Date
AiJ'/'i
Date
Cross Reference
New Item. Yes No
Prev Ord/Res t
Orig. Contract Date-
City of Fayetteville, Arkansas
Health Insurance Expense - 2000 Budget
Fund
Program Health
1010 General 0150 Mayor's Administration 7,578
0210 City Attorney 9,422
0310 City Prosecutor 15,089
0350 Hot Check 7,578
0500 Economic Development 6,691
0600 Cable Administration 5,733
1100 Administrative Services Director 4,902
1210 Personnel Administration 9,422
1310 Accounting & Audit 24,644
1330 Budget & Research 11,267
1350 Billing & Collections 15,222
1360 Internal Auditing 1,911
1410 General Maintenance 26,389
1420 Janitorial 9,489
1510 City Clerk 11,333
1610 Procurement 5,667
1710 Information Technologies 26,355
2010 Criminal Cases 9,522
2020 Probation & Fine Collection 1,911
2030 Small Claims & Civil Cases 9,456
2600 Central Dispatch 45,467
2710 Animal Patrol/Emergency Response 6,689
2720 Animal Shelter 27,411
2900 Support Services 76,429
2940 Patrol Warrant 265,865
3010 Prevention 11,267
3020 Operations 261,776
3030 Training & Continuing Education 3,756
5200 Parks Administration 11,333
5220 Athletics & Recreational Transfers 4,394
5260 Park Maintenance 22,733
5300 Traffic Adrninistration & Enforcement 5,496
5310 Traffic Engineering & Planning 5,667
5320 Traffic Control & Parking Meter 13,178
5450 Public Lands Maintenance 17,000
6200 Public Works Director 9,422
6210 Engineering Plans & Specifications 19,322
6220 Engineering Operations & Administration 10,773
6230 Right of Way Acquisition 9,613
6240 Public Construction Management 14,980
6300 Planning Management 23,689
6400 Inspections 26,489
1,112, 328
2100 Street
4100 Street Maintenance Administration
4110 Right of Way Maintenance
4120 Street Maintenance
4130 Drainage Maintenance
5530 Sidewalks & Trails
13,178
11,333
35,911
13,311
13,244
86,977
City of Fayetteville, Arkansas
Health Insurance Expense - 2000 Budget
Fund
Program Health
2180 CDBG
4930 C.D. Administration 1,911
4940 Housing Rehabilitation 5,667
4960 Public Services 5,284
12,862
2250 Parks HMR 9250 Parks Maintenance HMR 18,911
18,911
2930 Drug 2960 Drug Enforcement 12,393
12,393
5400 Water & Sewer
Meter 1820 Meter Operations 61,444
1830 Meter Maint. & Backflow Prevention 18,844
80,289
W&S Maint
4000 Water and Sewer Administration 30,178
4310 Water Distribution 38,240
4330 Water Storage and Pump Maintenance 7,511
4410 Sewer Main Maintenance 53,262
5620 Water & Sewer Connections 8,704
137,895
5500 Solid Waste 5000 Operations & Administration 16,933
5010 Commercial Pickup 30,111
5020 Residential Pickup 39,666
5060 Recycling 33,933
5070 Composting 33,000
153,644
5550 Airport 3940 Airport Landside Operations 9,560
3950 Airport Airside Operations 5,596
15,156
9700 Shop 1910 Vehicle Maintenance 43,422
43,422
Total Health Insurance - All Funds 1,673,877
FAYETTEVILLE
THE CITY OF FAYETTEVILLE, ARKANSAS
DEPARTMENTAL CORRESPONDENCE
TO: Mayor Fred Hanna and the Fayetteville City Council
FROM: Kevin Crosson, Administrative Services Director Yet
Don Bailey, Personnel Director Z23,_
DATE: October 14, 1999
SUBJECT: Employee Group Health Contract
The contract renewal date for the City's Blue Cross Blue Shield group health and endorsed
dental plans is January 1, 2000. Our current group contract was adopted by the Council 1-1-98.
The term of this contract is for one year with four additional one year options for renewal to be
exercised annually with the agreement of the City and Blue Cross. Exercising the 1-1-2000
renewal is the second of the four one-year options for renewal.
Our group medical plan incurred unfavorable claims loss ratios over the past several years which
resulted in premium increases. This trend has now decelerated with current incurred losses
within the underwriter projections. Consequently, Blue Cross Blue Shield has offered to renew
for one year, with no increase in premium or benefit change within the plan. This is confirmed
by the group application forms received and the Memorandum dated 10-13-99 from Paul
Teichart, Group Underwriter, a copy of which is attached.
At the close of the 1999 policy year we will have exhausted the escrow account reserves which
were established utilizing premium refunds under the earlier retrospective funding arrangement.
This account has been used to partially pay for premiums. Currently, the amounts are $4.00 per
month for an employee only premium and $21.00 for a family premium. The projected
annualized total of this contribution is $77,932. Considering there is no increase in the premium
for the year 2000, it is recommended the City absorb this differential and not increase the
employee paid portion of the premium.
The year 2000 proposed premium schedule is as follows:
EMPLOYEE ONLY COMP/MAJOR MEDICAL PPO
EMPLOYEE PAID $11.06 0.00
EMPLOYER PAID S159.26 $149 88
TOTAL MEDICAL $170.32 $149.88
DENTALEMPLOYEE PAID $13.26 $14.26
TOTAL PREMIUM $184.58 $164.14
FAMILY COMP/MATOR MEDICAT PPO
EMPLOYEE PAID $99.27 $49.79
EMPLOYER PAID $31/96 $312 97
TOTAL MEDICAL $412.23 $362.76
DENTALEMPLOYEE PAID $49 97 $49 97
TOTAL PREMIUM $462.20 $412.73
The projected annual employer funding based on the current count of 242 employee only
contracts and 286 family contracts is $1,527,310. Provisions in the amount of $1,673,877 for the
group medical premium will be included in the year 2000 budget.
OCT 13 1999 14:57 FR RBCBS FRYETTEVILLE' 501 527 1=X23 TO 97187698
Memorandum
To: Don Bailey
From: Paul Teich
Date: 10/13/99
Re: City of Fayetteville Renewal Association # 036
The renewal for the January 1, 2000 will be a rate pass and a benefits
pass. The benefits will remain the same with the dual option of CMM
and PPO.
CMM benefits: $100 deductible X 2, 80% coinsurance, $5,000 Stop
loss X 2, $500 SAE, $3/$10 Rx copay with the followmg rates.
Single $170.32
Family $412.23
PPE: benefits: $100 deductible X 2, 80%/60% coinsurance, $5,000 in
network stop loss X 2, $10,000 out of network stop loss X 2, PPO SAE,
Wellness benefit, $3/$10 Rz copay with the following rates.
Single $149.88
Family $362.76
Dental benefits remain the same, $50 deductible, 100% preventive, 50%
Restorative to $1,500 maximum, with 50% ortho to $1,000 lifetime.
Single $14.26
Family $49.97
If you have any questions, please call me at (501) 527-2322.
•
RESOLUTION NO.
A RESOLUTION TO ESTABLISH THE CITY OF FAYETTEVILLE
AS A CITY OF CHARACTER WITH THE INTERNATIONAL
ASSOCIATION OF CHARACTER tf a S.
WHEREAS, the people of our community desire to make our city a place where families are strong,
streets are safe, education is effective, business is productive, neighbors care for each other, and citizens are
free to make wise choices for their lives and families; and,
WHFREAS, we recognize that individuals are responsible for their choices based on moral
standards of universally recognized character qualities such as obedience, honesty, truthfulness, diligence,
generosity, kindness, loyalty and courage; and,
WHEREAS, there is a need for more positive role models among our young people to help prevent
delinquency; and,
WHEREAS, many current problems will be alleviated when our citizens live by positive character
qualities which distinguish between right and wrong; and,
WHEREAS, encouraging people by recognizing positive character qualities has resulted in an
increase in morale and safety; and,
WHFREAS, the emphasis of positive character qualities in every sector of society can only occur
as individuals commit themselves to exemplifying character in their personal lives and inspiring others to
do the same; and,
WHEREAS, our community should be a safe place where character is exemplified, taught and
strengthened.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF 'I HE CITY OF
FAYETTEVILLE, ARKANSAS:
Section 1. That the City Council hereby pledges our commitment to character and to do all in
our power to become known as a City of Character by promoting character in our schools, businesses,
homes, houses of worship, city government, media and community groups, and we urge our citizens to join
us.
PASSED AND APPROVED this day of , 1999.
APPROVED:
By:
Fred Hanna, Mayor
ATTEST:
By:
Heather Woodruff, City Clerk
FAYETTEVILLE
THE CITY OF FAYETTEVILLE, ARKANSAS
DEPARTMENTAL CORRESPONDENCE
To: Don Bailey, Personnel Director
From: Heather Woodruff, City Clerk
Date: November 22, 1999
Attached is a copy of the resolution approving the renewal of the Blue Cross/Blue Shield Group
Medical contract. The original will be microfilmed and filed with the City Clerk.
cc. Yolanda Fields, Internal Auditor
•
4314.
� 39-99
AMENDMENT TO THE ARKANSAS BLUE CROSS AND BLUE SHIELD-'IL+sMv11RxrZD
GROUP CONTRACT
FOR
CITY OF FAYE 11EVII,LE-PPO
Group Number
024813
Schedule A of the Arkansas Blue Cross and Blue Shield Group Contract is
amended to show the rates effective 01/01/00
Charges for each enrolled employee shall be as follows:
Monthly Charge
Per
Covered Employee
ONE PERSON FAMILY
COVERAGE COVERAGE
HEALTH $149.88 $362.76
DENTAL $14.26 $49.97
TOTAL $164.14 $412.73
Initial charges shall be paid on the Effective Date and no coverage shall be in
effect until such payment is received by the Plan Subsequent charges shall be
payable on or before the same day as the Effective Date of each month
thereafter.
This Amendment becomes a part of the Arkansas Blue Cross and Blue Shield
Group Contract.
ARKANSAS BLUE CROSS AND BLUE SHIELD,
A Mutual Insurance Company
601 Gaines Street
Little Rock, Arkansas 72201
AMENDMENT TO THE ARKANSAS BLUE CROSS AND BLUE SHIELD
GROUP CONTRACT
FOR
CITY OF FAYEI IEVILLE
Group Number
090041
Schedule A of the Arkansas Blue Cross and Blue Shield Group Contract is
amended to show the rates effective 01/01/00
Charges for each enrolled employee shall be as follows:
Monthly Charge
Per
Covered Employee
ONE PERSON FAMILY
COVERAGE COVERAGE
HEALTH $170.32 $412.23
DENTAL $14.26 $49.97
TOTAL $184.58 $462.20
Initial charges shall be paid on the Effective Date and no coverage shall be in
effect until such payment is received by the Plan. Subsequent charges shall be
payable on or before the same day as the Effective Date of each month
thereafter.
This Amendment becomes a part of the Arkansas Blue Cross and Blue Shield
Group Contract.
%ivraids
Robert L. ShoP to President
ARKANSAS BLUE CROSS AND BLUE SHIELD,
A Mutual Insurance Company
601 Gaines Street
Little Rock, Arkansas 72201