Laserfiche WebLink
<br />City Council Study Session - 10/17/05 <br />Minutes - Page 12 <br /> <br />concerns; and comparative cities and ordinances. <br /> <br />Mr. Welsch noted that staff would return at the City Council's <br />October 24, 2005 regular business meeting to request Council <br />direction on these proposals. <br /> <br />Mayor Klausing thanked staff for their informative report and <br />presentation. <br /> <br />6. <br /> <br />Discuss the Design and Funding for the City's Health, <br />Dental, Long-Term Disability, and Life Insurance Programs <br />Human Resources Manager Dona Bacon presented background <br />and renewal information for employee health; dental; life and <br />long-term disability insurance renewals. <br /> <br />Ms. Bacon highlighted the City's implementation in 2005 of a <br />$1,000 Deductible plan with a Health Reimbursement Account <br />(HRA) for payment of deductible expenses; current options for <br />three medical plans and three tiers through one provider, Health <br />Partners; RFP's for 2006 health care and respective bids; current <br />loss ratio of 129% for the comprehensive 100% coverage plan; <br />and incentives needed for employees to manage their health care. <br /> <br />Ms. Bacon and the employee committee recommendation that <br />the City continue to offer the 100% plan, but that the City not <br />fund any City contribution increases to that plan, with employees <br />picking up the full cost of the premium increase in 2006 to <br />remain on that plan. Ms. Bacon also noted staff recommendation <br />in an effort to reduce the cost of all three plans to include adding <br />a three tier prescription co-pay; increasing deductible amounts on <br />the high deductible plan; and adding an HRA to the 80/20 plan to <br />better protect staff willing to take on more potential risk, moving <br />staff toward a consumer-driven health care purchase plan. <br /> <br />Ms. Bacon discussed equal contributions by employees; and <br />ways to keep premiums affordable yet minimize potential <br />deductible risks as much as possible. Ms. Bacon and staff <br />recommended Council approval of a 2006 cafeteria plan <br />contribution levels as outlined in the staff report dated October <br />17,2005. Ms. Bacon noted that with the recommended changes, <br />Medica was willing to provide coverage at an overall cost that <br /> <br />Health, Dental, <br />Long-Term <br />Disability, and Life <br />Insurance <br />Programs <br />