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CI....... OF SAN BERNARD~ - REQUOT FOR COUNCIL Ao:JiON
From: M.J. Perlick Subject: Employee's Health Plan Administration
Director of Personnel And Insurance Services
Dept:
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Date: October 11, 1985
Synopsis of Previous Council action:
Annually the City has contracted with Blue Cross to Administer and
Insure the Employee Health Plan
Recommen<:led motion:
Authorize the execution of an agreement with the John Hancock Mutual
Life Insurance Company to provide Administrative Services and Stop-Loss
Insurance for the City's Self-Funded Health Plan.
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Contact person:
Phone:
383-5161
Supporting data attached: Wvatt Co. Reoort & City Resolution Ward:
FUNDING REQUIREMENTS:
Amount:
Source: Budqeted
Finance:
Council Notes:
75-0262
Agenda Item NO~
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CI-f..i OF SAN BERNARDr;.;o - REQUUT FOR COUNCIL A~ON
STAFF REPORT
The City's Personnel Office, in compliance with General
Employee's M.O.U., worked with the City's Insurance Committee
comprised of representatives of all bargaining units, to
improve the self-insured health benefits program offered to
its employees. After many months of analysis and discussion,
Mike Baker of the Wyatt Co., the City's Consultant, designed
a plan acceptable to both our office and the employees. The
plan was put out to bid, bids were reviewed, presentations by
the competitive companies made, and a decision made to
recommend that The John Hancock Company replace Blue Cross as
the provider of Insurance and Administrative Services for our
self-insured Health.
The Personnel Department concurs with this recommendation, as
we estimate savings to the City at over $40,000. Details of
the plan design and bid analysis are attached in the Wyatt
Co. Report.
75.0264
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Co,
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C I T Y 0 F SAN B ERN A R DIN 0
INTEROFFICE MEMORANDUM
8510-1201
TO: Mayor and Common Council
FROM: City of San Bernardino Insurance C~mmittee
SUBJECT: Self-Insured Health Program
DATE:
October 8, 1985
(6491)
COPIES:
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Over the past six (6) months, the City's Insurance Committee,
comprised of representatives from all the emrloyee bargaining
units and the City, have been meeting to recommend
improvements and cost-effectiveness of our health benefit
program. The City's Health Program Consult~nt, Mike Baker
from the Wyatt Company was asked to deve~op a Program to
correct the perceived problems. This was done and presented
to Blue Cross, our present carrier, who did! not accept the
program as presented. Therefore, the plan wa~ put out to bid,
proposals reviewed and analyzed, and the pr~sentations made
by the most competitive bidders. After this' lengthy process,
the Committee unanimously agreed to recommend the plan as
presented by the Wyatt Company and administered by the John
Hancock Insurance Company.
We strongly urge and recommend adoption of this program as
each and every representative from all employee groups
unanimously and confidently agree that the, new program will
benefit both the employees and the City of Sian Bernardino.
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Police Unit
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General Employee Unit
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RESOLUTION NO.
2 RESOLUTION OF THE CITY OF SAN BERNARDINO AUTHORIZING THE
EXECUTION OF AN AGREEMENT WITH JOHN HANCOCK MUTUAL LIFE INSURANCE'
3 COMPANY, TO PROVIDE THAT SUCH COMPANY SHALL FURNISH ADMINISTRATIVE
SERVICES AND STOP LOSS INSURANCE RELATIVE TO THE CITY'S HEALTH
4 PROGRAM FOR ITS EMPLOYEES.
5
BE IT RESOLVED BY THE MAYOR AND COMMON COUNCIL OF THE CITY OF
6 SAN BERNARDINO AS FOLLOWS:
7 SECTION 1. The Mayor of the City of San Bernardino is hereby
8 authorized and directed to execute on behalf of said City an
9 agreement with John Hancock Mutual Life Insurance Company, to
10 provide that such company shall furnish administrative services
11 and stop loss insurance relative to the City's health program for
12 its employees. The agreement shall be in such form as approved by
13 the City Attorney.
14 I HEREBY CERTIFY that the foregoing resolution was duly
15 adopted by the Mayor and Common Council of the City of San
16 Bernardino at a
meeting thereof, held on
17 the
day of
, 1985, by the following vote,
18 to wit:
19
20
AYES:
Council Members
21 NAYS:
22 ABSENT:
23
24
25
City Clerk
The foregoing resolution is hereby approved this
day
26 of
, 1985.
27
28
Mayor of the City of San Bernardino
form:
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