Agenda Item # 4
Columbus Consolidated Government
December 2, 2014
Agenda Report # 57
Mayor and Councilors
Hospital Authority-Muscogee Manor, Health Insurance
Human Resources and Finance Department
Approval is requested to discontinue health insurance coverage for the Hospital Authority-Muscogee Manor including medical, dental and vision coverage under the Columbus Consolidated Plan effective December 31, 2014.
The Hospital Authority-Muscogee Manor has been on the Columbus Consolidated Government’s self insured healthcare plan since the early years of its inception, 1967.
The Hospital Authority-Muscogee Manor’s initial workforce comprised approximately 100 employees. Its workforce has now grown to more than 400 full time insured employees and 300 part time employees. The additional employee workforce increases the Hospital Authority’s liability above the premium rates it currently pays.
By taking this action now, the Hospital Authority-Muscogee Manor can begin planning for its future, which may entail the addition of other assets and employees, by managing its healthcare costs without the uncertainty of changes and modifications made by the Columbus Consolidated Government.
Other City Government related agencies with fewer employees such as Columbus Water Works and the Columbus Convention and Visitors Bureau provide health insurance for their employees separate from the Columbus Consolidated Government.
The Hospital Authority-Muscogee Manor employees pay lower premium rates and deductibles than City Government employees. The Hospital Authority-Muscogee Manor administration pays a greater share of the cost of healthcare for its employees than City Government. City Government employees pay a larger percent of their healthcare due to the City’s budget constraints.
The Columbus Consolidated Government provides all of the administrative costs associated with managing the healthcare plan; while the Authority bares none of these costs.
By allowing the Hospital Authority-Muscogee Manor to provide health insurance coverage for its employees separate from the Columbus Consolidated Government, this will allow the City to determine the true benefits of its self-insured status without external liability exposure.
The City’s healthcare liability will be reduced by the same number of Hospital Authority-Muscogee Manor employees that come off the healthcare plan.
The Columbus Council must authorize taking the Hospital Authority-Muscogee Manor off the City’s self-insured healthcare plan.
Approve a resolution authorizing the City to take the Hospital Authority-Muscogee Manor off the City’s self-insured healthcare plan effective December 31, 2014.
the Columbus Consolidated Government will discontinue providing health insurance coverage for employees of the Hospital Authority-Muscogee Manor effective December 31, 2014; and,
due to the Hospital Authority-Muscogee Manor’s increase in their assisted living facility assets and employees, this has increased the healthcare fund’s overall liability; and,
as healthcare costs continue to rise, excluding ancillary agencies such as the Hospital Authority-Muscogee Manor is critical towards controlling healthcare costs and limiting the City’s liability; and,
the Columbus Consolidated Government must authorize discontinuing healthcare coverage for the Hospital Authority-Muscogee Manor.
NOW, THEREFORE, THE COUNCIL OF COLUMBUS, GEORGIA HEREBY RESOLVES:
That the City Manager and/or his designee are hereby authorized to discontinue healthcare coverage for the Hospital Authority-Muscogee Manor effective December 31, 2014.
Introduced at a regular meeting of the Council of Columbus, Georgia, held the 2
day of December, 2014 and adopted by the affirmative vote of _________ members of said Council.
Councilor Allen voting __________.
Councilor Baker voting __________.
Councilor Barnes voting __________.
Councilor Buck voting __________.
Councilor Davis voting __________.
Councilor Henderson voting __________.
Councilor Huff voting __________.
Councilor Turner Pugh voting __________.
Councilor Thomas voting __________.
Councilor Woodson voting __________.
Tiny B. Washington, Clerk of Council Teresa Pike Tomlinson, Mayor