Loading...
Health Choices Administrative Services Fee Copyright 2014 City of Dubuque Consent Items # 13. ITEM TITLE: Health Choices Administrative Services Fee SUMMARY: City Manager recommending approval of the Health Choices administrative services fee effective July 1 , 2016 through June 30, 2017, and authorization for the City Manager to sign the Amendment to the Administrative Services Agreement. SUGGESTED DISPOSITION: Suggested Disposition: Receive and File; Approve ATTACHMENTS: Description Type Health Choices Administrative Services Fee-MVM City Manager Memo Memo Staff Memo Staff Memo Amendment VII—Administrative Service Agreement Supporting Documentation THE CITY OF Dubuque UBE I erica .i Masterpiece on the Mississippi 2007-2012-2013 TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: Health Choices Administrative Services Fee for the City's Health Insurance Plan DATE: March 28, 2016 Personnel Manager Randy Peck recommends City Council approval of the Health Choices administrative services fee of$20.50 per employee per month effective July 1, 2016 through June 30, 2017, and authorization for the City Manager to sign the Amendment to the Administrative Services Agreement. The current fee is $20.40 per employee per month, which includes a fee of$.05 per employee per month for the issuance of the Certificate of Credible Coverage. The new fee would be $20.50 per employee per month and there would be no additional charge for the issuance of the Certificate of Credible Coverage. I concur with the recommendation and respectfully request Mayor and City Council approval. Mic ael C. Van Milligen MCVM:jh Attachment cc: Barry Lindahl, City Attorney Cindy Steinhauser, Assistant City Manager Teri Goodmann, Assistant City Manager Randy Peck, Personnel Manager THE CITY OF Dubuque I-AmericaCi y r 11111. Masterpiece on the Mississippi 2007.2012.2013 TO: Michael C. Van Milligen, City Manager FROM: Randy Peck, Personnel Manager SUBJECT: Health Choices Administrative Services Fee for the City's Health Insurance Plan DATE: March 23, 2016 I received the renewal request from Health Choices regarding their administrative services fee. The current fee is $20.40 per employee per month which includes a fee of $.05 per employee per month for the issuance of the Certificate of Credible Coverage. Health Choices is requesting that their administrative services fee be increased to $20.50 per employee per month. There will be no additional charge for the issuance of Certificate of Credible Coverage. The new fee would be in effect from July 1, 2016 through June 30, 2017. The last increase went into effect on July 1, 2014. The Health Care Committee has also approved the proposed increase in the administrative services fee. I recommend that we approve the administrative services fee presented by Health Choices of$20.50 per employee per month effective July 1, 2016 through June 30, 2017. The requested action is for the City Council to pass a motion approving the administrative services fee presented by Health Choices of$20.50 per employee per month effective July 1, 2016 through June 30, 2017 and authorizing you to sign the Amendment to the Administrative Services Agreement. RP:Imh Amendment VII Administrative Service Agreement Whereas, the City of Dubuque and Preferred Health Choices, have agreed to an Administrative Service Agreement dated July 1, 1999 and as amended. Effective July 1, 2016 said agreement is hereby amended as follows: Attachment D Compensation to Health Choices is hereby deleted and replaced as follows: Attachment D Compensation to Health Choices Purchaser shall pay Health Choices on the first day of each month the following amounts per Covered Person per month for its Administrative Services and Provider Contracting Services under this Agreement during each such month: 1. Administrative Services (as described in Section 1.1) and Provider Contracting Services (as described in Section 1.2) $20.50 per employee per month. 2. The rate is guaranteed until June 30, 2017 or until the City of Dubuque seeks competitive quotes, whichever occurs first. 3. COBRA and Early Retiree Administration/Issuance of Certificates of Credible Coverage. Initial Setup Fee: $100 Annual Renewal Fee (Year 2 and After) $100 Initial Notice Fee (upon enrollment in City of Dubuque Medical/Rx Plan) $5.00 Notification Fee Upon Termination $12.00 Per electing COBRA/Retiree/Month $8.00* Minimum Monthly Charge $35.00 *Said fee shall be waived on ACH withdrawals administered by Purchaser. Exceptions and Additions: There shall be periodic retroactive and prospective adjustments to the above payments to reflect the actual number of Covered Persons per month and portions thereof. Accepted on behalf of the City of Dubuque Signed: Dated: Michael C. Van Milligen, City Manager Accepted on behalf of Preferred Health Choices LLC Signed: Dated: eeling, Chief Opera ing Officer --s I Ac-