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CCP 08082022
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CCP 08082022
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8/11/2022 11:49:41 AM
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8/11/2022 11:49:32 AM
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Roseville City Council
Document Type
Council Agenda/Packets
Meeting Date
8/8/2022
Meeting Type
Regular
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36 #¨³¸ # ¥¤³¤±¨ #®³±¨¡´³¨®² " ¢ª¦±®´£ £ 2¤¢®¬¬¤£ ³¨®²Ȁ <br />37 Historically, as other municipalities have done, the City has paid 100% of the premium for medical <br />38 insurance for the single plan. This does not mean that the single employee has free coverage. Employees <br />39 are still responsible for fulfilling their deductible as well as their out-of-pocket costs which could <br />40 amount to as much as $5,600 for a single and $11,200 for a family in-network depending on the plan <br />41 they choose. <br />42 <br />43 Since 2010, the City has utilized a Benefits Contribution Incentive that has worked very well and <br />44 provides the full cafeteria dollar amount only to those benefit eligible employees who participate in a <br />45 confidential health risk assessment, and a preventive care physical with a blood pressure check. If an <br />46 employee does not participate in these wellness items they receive $40 less per month in their cafeteria <br />47 amount. <br />48 <br />49 Staff has worked closely with the city’s employee Benefits Committee which has representatives from <br />50 various departments as well as union employees. In the past, the amount of city cafeteria dollars has been <br />51 unevenly allocated across plans, resulting in inequitable burdens for some employees, even without taking <br />52 into account the different coverage tiers. In working with the Benefits Committee last year, staff made <br />53 adjustments so that tiers within each plan are more equitably allocated within the amounts available within <br />54 the City Manager’s recommended budget. <br />55 <br />56 Keeping in line with those allocations, and based on the RFP which resulted in a reduction of premium <br />57 costs, staff is recommending the City contribution to the 2023 Cafeteria Plan for full-time employees be <br />58 reduced. Employees will still be required to participate in the cost share of the monthly medical insurance <br />59 premiums at the same rate as 2022, however due to the rate reduction, there will be no cost increase to <br />60 employees and a cost savings for the city. <br />61 <br />2023 Cafeteria Plans *with wellness incentive <br />Increase/ (Decrease) in <br />2022 Cafeteria 2023 Cafeteria <br /> <br />Cafeteria amount in <br />contribution Contribution <br />$Dollars <br />Opt Out <br />$510 $510 $0 <br /> <br />$2000 Deductible <br />Single$921.90$806.66($115.24) <br />Single +1 $1,163.80 $1,006.69 ($157.11) <br />Family $1,612.45 $1,354.46 ($257.99) <br /> <br />$2800 Deductible <br />Single $872.00$840.61 ($31.39) <br />Single +1 $1,123.50 $1,065.08 ($58.42) <br />Family $1,448.78 $1,367.65 ($81.13) <br />62 <br />63 <br />64 P OLICY O BJECTIVE <br />65 To offer and maintain market comparable and equitable benefits internally and externally that <br />66 solidify retention and attract exceptional employees. <br />67 <br />68 B UDGET I MPLICATIONS <br />69 The City Manager’s recommended budget will reflect the cost savings due to the reduction in <br />70 cafeteria contributions. The 2023 budget was reduced by $334,560. This includes $247,160 in tax <br />Page 2 of 3 <br /> <br />
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