HMS Bank Withdrawals authorizedMEMORANDUM
March 4, 2003
TO:The Honorable Mayor and City Council Members
FROM:Michael C. Van Milligen, City Manager
SUBJECT:Resolution Authorizing Certain Designated Agents of the City of Dubuque
Limited Authorization to Execute Withdrawals on Behalf of the City of
Dubuque
Finance Director Ken TeKippe is recommending that the City Finance Director/
Treasurer and authorized signers from HMS Preferred Health Choices, Inc. be granted
limited authorization to make withdrawals from a specialized bank account for self-
insured health benefits used to pay medical and disability expenses.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
Michael C. Van Milligen
MCVM/jh
Attachment
cc: Barry Lindahl, Corporation Counsel
Cindy Steinhauser, Assistant City Manager
Kenneth J. TeKippe, Finance Director
TO:Michael Van Milligen, City Manager
FROM:Kenneth J. TeKippe, Finance Director
SUBJECT:Resolution Authorizing Certain Designated Agents of the City of Dubuque Limited
Authorization to Execute Withdrawals on Behalf of the City of Dubuque
CITY OF DUBUQUE, IOWA
MEMORANDUM
DATE:March 4, 2003
INTRODUCTION
Enclosed is a City Council Resolution granting the City Finance Director/Treasurer and authorized
signers from HMS Preferred Health Choices, Inc. limited authorization to make withdrawals from a
specialized City of Dubuque bank account.
BACKGROUND
The City has previously established a specialized bank account for self-insured health benefits which is
used to pay medical and disability expenses. The account maintains a $150,000 revolving balance
replenished from operating funds on an as-needed basis, normally weekly. Our third party
administrator, HMS Preferred Health Choices, Inc. has recently decided to utilize savings accounts at
American Trust and Savings Bank for on line banking withdrawals and discontinue utilizing checking
accounts at U.S. Bank for all of their arrangements for self-funded plans.
DISCUSSION
The account is specialized and limited in use. For operational purposes I recommend that authorized
signers from HMS Preferred Health Choices, Inc. be granted ability to withdraw funds for the Medical
Health Account drawn on account number 2010981 at American Trust and Savings Bank. The
resolution does not identify positions or names, which should reduce future resolutions at the time of
personnel changes or title changes of individuals designated at HMS Preferred Health Choices, Inc.
Presently the authorized signers from HMS Preferred Health Choices, Inc. are Executive Director Alan
Avery, Finance Director Ron Fahey and Staff Accountant Sara Funston.
The City Finance Director/Treasurer is also designated as an authorized signer for the account.
Transactions in this account are monitored by the Finance Department and controls such as account
reconciliation and payment documentation are available to be reviewed by the Finance Department on
a regular basis. The information is also available during the annual audit by the City's independent
auditor.
ACTION
Please present the resolution to the City Council for consideration of approval. If there are any
questions on the resolution, please contact me. Thank you for your assistance.
Attachment
RESOLUTION NO. 86-03
RESOLUTION AUTHORIZING CERTAIN DESIGNATED AGENTS OF
THE CITY OF DUBUQUE LIMITED AUTHORIZATION TO EXECUTE
WITHDRAWALS ON BEHALF OF THE CITY OF DUBUQUE, IOWA
Whereas, the City of Dubuque deposits certain funds for specific use in local
commemial banking institutions; and
Whereas, the commemial banking institutions require authorization by the City
Council for City employees and others to make withdrawals on such banking
institutions; and
Whereas, the City Council has determined that agents of the City of Dubuque
who may make withdrawals on a designated account on behalf of the City of Dubuque
for the City of Dubuque Medical Health Account number 2010981 at American Trust
and Savings Bank.
NOW, THEREFORE; BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF DUBUQUE, IOWA:
That the HMS Preferred Health Choices, Inc. authorized individuals are hereby
granted ability to make withdrawals on behalf of the City of Dubuque for the Medical
Health Account number 2010981 at American Trust and Savings Bank.
Passed, approved and adopted this 17th day of March 2003.
Terrance M. Duggan, Mayor
Attest:
Jeanne Schneider, City Clerk