WORK SESSION MONDAY, SEPTEMBER 26, 2022, 5: 45 P. M. - SPECIAL

Attendees: Craig A. Moe, Mayor; Brencis Smith, Council President; James Kole, Councilmember; Carl DeWalt, Councilmember; Keith Sydnor, Councilmember; Martin Mitchell, Councilmember; Christian Pulley, City Administrator; Joanne Barr, Deputy City Administrator; Sara Green, Chief of Staff to the Mayor; Michelle Saylor, Director of Budget and Personnel Services; Robert Love, Director of Economic and Community Development; Audrey Barnes, Director of Communications; Bill Bailey, Director of Parks and Recreation; Brian Lee, Director of Public Works; Chief Russell Hamill, Police Department; Lisa Woods, Deputy Director of Budget and Personnel Services; Melissa Klinger, Human Resource Officer; Kimberley Rau, Clerk.

Mellissa Klinger, Human Resources Officer, presented the bid recommendation for the Employee Benefit Insurance, as outlined in a memorandum dated September 20, 2022: The City' s current broker, NFP Group, has provided bids for employee health, dental, and vision insurance. Bids were solicited on the five forms of employee benefit insurance the City currently provides, which includes the following: Specifications: 1. Open Access HMO Health Plan, 2. HMO Health Plan with Out-of-Network benefits, 3. Maximum Allowable Charge ( MAC) PPO Dental Plan, 4. 90th Percentile Usual Customary and Reasonable ( 90th UCR) PPO Dental Plan, and 5. Vision plan that would provide for the purchase of eyeglasses or contact lenses. The City currently offers these coverages to full- time and part-time employees, elected officials, and eligible dependents. Enrollment is optional and requires enrollee payments of 20% of the cost of their selected option except for the vision coverage. Retirees may also enroll in these plans with a maximum reimbursement of$ 500 per month. NFP Group contacted AETNA and three other health insurance carriers including Cigna, CareFirst BCBS, and United Health Care. The city' s current provider, AETNA, initially offered a renewal rate 19. 5% higher than our current rates, though reduced that increase to 7%, with no future rate commitment. Cigna offered a renewal rate of 7% above our current rate, with a commitment to a 5% increase each year for the next two policy terms. Carefirst BCBS offered a renewal rate of 13. 1% above our current rate. United Healthcare declined to quote.  Funding is included in the FY2023 Budget provides $ 2, 883, 495. 00 for employee coverage and $ 260, 000 for retiree coverage under Employee Insurance. It is recommended that the Mayor and City Council award Cigna with the health, dental and vision insurance for a period of November 1, 2022, to October 31, 2023, at an increase rate of 7% for the first year and 5% for the next two renewals. Council agreed to award the Employee Benefit Insurance, as recommended, at the regular meeting starting at 6: 00 p. m. The special work session was adjourned at 5: 50 p. m. 41417 Kimberley A. Rau, MMC Clerk to the Council

Approved: November 14, 2022