Agenda Item #__
REVISED/ADOPTED BY COUNCIL -2/11/2014
Columbus Consolidated Government

Council Meeting

February 11, 2014

Agenda Report # __

TO: Mayor and Councilors

SUBJECT: Health Insurance – Active Employees and Pre-65 Retirees

INITIATED BY: Human Resources and Finance Department


Recommendation: Approval is requested of a resolution authorizing rate changes for Health Insurance for Active employees and Pre-65 Retirees and modifications to the plan benefits.

Background: The Columbus Consolidated Government provides a health insurance program to its employees and retirees. The current program is self insured for employees and pre-65 retirees and their dependents. The rates are adjusted annually based on the costs of the plan.

Analysis: The shortfall to the Health Insurance Fund is estimated to be $2 million based on the expected costs provided by Northwestern Benefit Corporation of Georgia, our benefits consultant.

Financial Considerations: The Health Insurance Fund is an Internal Service Fund and must be balanced each year.

Projected Annual Fiscal Impact: The expected impact from the plan modifications is $1 million.
The impact of the premium rate changes is estimated to be $0.669 million, for a total of $1.669 million.

Legal Considerations: The Columbus Council must authorize any rate changes and plan modifications to the self-insured Health Insurance program.

Recommendations/Actions: Approve a resolution authorizing the rate changes for Health Insurance for Active employees and Pre-65 Retirees, and modifications to the plan benefits.




A RESOLUTION

NO. ____

WHEREAS, the Columbus Consolidated Government offers a self-insured healthcare plan to its active employees and pre-65 retirees; and,

WHEREAS, the cost of the plan is comprised of plan benefits, employer contributions, and employee/retirees contributions; and,

WHEREAS, the Columbus Consolidated Government evaluates and adjusts, if needed, plan benefits and contributions annually based on the expected cost of the plan; and,

WHEREAS, the Columbus Consolidated Government must authorize implementation of the recommended changes and options.

NOW, THEREFORE, THE COUNCIL OF COLUMBUS, GEORGIA HEREBY RESOLVES:

That the City Manager and/or his designee are hereby authorized to implement the following changes to the plan benefits, adjust the employee and pre-65 retiree premium rates effective June 1, 2014.

HMO Out-of-Pocket $1500/$3000 (Individual/Family)
HMO deductible $500/$1000 (Individual/Family)
HMO copays $30/$40 (Primary/Specialist)
POS/PPO Out-of-Pocket $2800/$5600 (Individual/Family)
POS/PPO deductible $500/$1000 (Individual/Family)
POS/PPO copays $30/$40 (Primary/Specialist)
No Changes to the Health and Wellness Center Plan






Active Employees
HMO Monthly Rate
POS/PPO Monthly
Rate
Employee
$92.80
$98.87
Employee + Spouse
$227.20
$234.91
Employee + Child(ren)
$211.15
$218.38
Family
$286.73
$297.56
Pre-65 Retirees
HMO
Monthly Rate
Pre-65 Retirees POS/PPO
Monthly Rate
Employee
$164.54
$171.94
Employee + Spouse
$310.06
$324.02
Employee + Child(ren)
$288.24
$301.22
Family
$455.57
$476.09


Introduced at a regular meeting of the Council of Columbus, Georgia, held the 11th day of February, 2014 and adopted by the affirmative vote of _________ members of said Council.


Councilor Allen voting __________
Councilor Baker voting __________
Councilor Barnes voting __________
Councilor Davis voting __________
Councilor Henderson voting __________
Councilor Huff voting __________
Councilor McDaniel voting __________
Councilor Turner Pugh voting __________
Councilor Thomas voting __________
Councilor Woodson voting __________




_________________________________ ___________________________
Tiny B. Washington, Clerk of Council Teresa Pike Tomlinson, Mayor