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REQUEST FOR COUNCIL ACTION <br />Date: 4125/Q5 <br />Item #: 3 , f <br />Department Approval: Manager Approved: Agenda Section: <br />Consent <br />�� � <br />Item Description: <br />Coming Up Roses VVellness Program <br />Background <br />Last week during the work session staff presented the proposed staff Wellness program. <br />Council indicated support at that time for staff to move forward wit1� the program and <br />bring it back this week for final adoption. Council also wanted feedback on the <br />possibility of the incentive to be a deposit into an HSA (Health Savings Account). <br />Because the Wellness Program is volunteer in its participation the nature of the program <br />goes against the IRS regulation that participation in a HSA (Health Savings Account) is <br />mandatory. IRS has set this regulation so that businesses can not discriminate toward the <br />highly compensated. Because we can not make the program mandatory in participation <br />of activities outside of the workplace, then we are unable to provide the HSA as an <br />incentive. <br />However, by allowing the choices of incentive provided in the attached form the City will <br />provide the greatest likelihood of attracting participants and thus the greatest possibility <br />ofwellness and future cost savings. <br />I have also included the program tracking form again for your review. <br />poiicv and Financial Implications of this Program: <br />The anticipated cost of t�e program for the remainder of 2005 is $8,000 which would be <br />taken out of the contingency fiind. and would be budgeted for in future years. There are <br />funds available in the contingency fund to sustain any of the above proposed increases. <br />Financial consideration should also be given to future vendor discountingof 1-2% for <br />implementing this program as well as possible declines in sick leave utilization as well as <br />declines in future health insurance premiums due to healthier members. <br />Council Action Requested <br />I respectfully request a motion to approve the "Coming up Roses Not Pushing up <br />Daisies" Wellness Program to begin effective May l.s�, 2005. Therefore, directing staff <br />to prepare the necessary documents for execution, and City Attorney approval as to legal <br />form. <br />