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File #: 3203-2024    Version: 1
Type: Ordinance Status: Passed
File created: 11/14/2024 In control: Workforce, Education, & Labor Committee
On agenda: 12/9/2024 Final action: 12/11/2024
Title: To authorize the Director of the Human Resources Department to enter into a contract with United HealthCare Services, Inc. and to provide all eligible employees medical, Rx and tobacco cessation programs and eligible terminated participants with COBRA coverage from February 1, 2025 through January 31, 2026; to authorize the expenditure of $243,874,000.00 from the Employee Benefits Fund, or so much thereof as may be necessary to pay the costs of said contract and PCORI fees; to waive the competitive bidding provisions of Chapter 329 of the Columbus City Codes; and to declare an emergency. ($243,874,000.00)
Attachments: 1. 3203-2024 Medical Rx COBRA and Tobacco Cessation attachment, 2. UHC Waiver Form
Explanation
BACKGROUND:
Funding for medical and prescription drug (Rx) insurance is necessary to insure continuation of the city’s medical and Rx insurance program. Included within the medical program are COBRA and tobacco cessation services. Insurance programs must be maintained in accordance with the negotiated labor contracts. The Human Resources Department requests to contract with United HealthCare Services, Inc. through an extension and to provide funding from February 1, 2025 through January 31, 2026 for this program. This contract was initiated on February 1, 2020.
In February of 2024 the Human Resources Department went out to bid for Medical, Rx, COBRA, and Tobacco Cessation programs under RFP026722. On August 13, 2024, RFP026722 was cancelled. The following notice was provided to all vendors that received notice of the solicitation and any subsequent vendor that expressed interest in the RFP - This RFP is being cancelled due to a previously unknown potential conflict of interest of a scorer. Any submissions and scoring by the City of Columbus are being invalidated. This RFP will be reissued in 2025.
I sincerely apologize for the inconvenience.
Christopher Moses, Director, Department of Human Resources
Due to the cancellation of RFP026722 in August of 2024, the Human Resources Department did not have time to complete an additional RFP process in 2024. Therefore, the Human Resources Department requests a waiver of competitive bidding requirements. The Human Resources Department will comply with the competitive bidding provisions in Chapter 329 of the Columbus City Code in 2025 and enter into a contract beginning February 1, 2026.
Cost estimates for 2025 are based on 2023 and 2024 benefit fund expenditures, using an average of actual city utilization, expected changes due to union negotiations, as well as input from the City's employee benefits consultant. The Human Resources Department requests to extend the contract with United HealthCare Services, Inc...

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