City of Columbus - File #: 0015-2005

• File #: 0015-2005
• Version: 1
• Type: Ordinance
• Status: Passed
• File created: 12/21/2004
• In control: Administration Committee
• On agenda: 1/10/2005
• Final action: 1/12/2005
• Title: To authorize the Human Resources Director to enter into a contract with Aetna Life Insurance Company to provide all eligible employees COBRA continuation insurance coverage from February 1, 2005 through January 31, 2006 and to authorize the expenditure of $24,040 from the Employee Benefits Fund, or so much thereof as may be necessary to pay the costs of said contract; and to declare an emergency. ($24,040)

Date	Ver.	Action By	Action	Result
1/12/2005	1	MAYOR	Signed
1/12/2005	1	CITY CLERK	Attest
1/10/2005	1	Columbus City Council	Approved	Pass
1/10/2005	1	COUNCIL PRESIDENT	Signed
12/30/2004	1	HR Drafter	Sent for Approval
12/30/2004	1	Auditor Reviewer	Contingent
12/30/2004	1	CITY AUDITOR	Reviewed and Approved
12/30/2004	1	HR Drafter	Sent for Approval
12/30/2004	1	CITY ATTORNEY	Reviewed and Approved
12/30/2004	1	HR Drafter	Sent to Clerk's Office for Council
12/29/2004	1	EBOCO Reviewer	Reviewed and Approved
12/29/2004	1	ODI DIRECTOR	Reviewed and Approved
12/29/2004	1	HR Drafter	Sent for Approval
12/29/2004	1	HR Drafter	Sent for Approval
12/29/2004	1	FINANCE DIRECTOR	Reviewed and Approved
12/27/2004	1	HR Drafter	Sent for Approval
12/27/2004	1	Finance Reviewer	Reviewed and Approved
12/27/2004	1	HR Drafter	Sent for Approval
12/27/2004	1	Auditor Reviewer	Contingent
12/27/2004	1	HR Drafter	Sent for Approval
12/22/2004	1	HR DIRECTOR	Reviewed and Approved
12/21/2004	1	HR Drafter	Sent for Approval

Explanation
BACKGROUND: As a result of a Request For Proposal process in accordance with Section 329.14 of the Columbus City Codes, seven COBRA continuation insurance bid responses were reviewed by the City's Evaluation Committee which comprised of five members.
Each proposal was evaluated on the following criteria as requested by section 329.14: competency to perform, quality and feasibility of the offerors technical proposal, ability to perform the required service competently, past performance, and the cost structure of the proposal. Aetna Life Insurance Company is recommended as the COBRA continuation insurance plan administrator. Aetna quoted a three year guaranteed administrative rate of $14.10 per participant per month (PPPM) the first year; $14.65 PPPM the second year; and $15.23 PPPM the third year. The rate is effective until January 31, 2006, renewable annually. Aetna offers the ability to duplicate negotiated benefits.
To maintain insurance programs in accordance with the negotiated labor contracts, additional funding of the COBRA continuation insurance program is necessary to insure continuation of employee insurance coverage. Cost estimates were based on 2003-04 trust fund expenditures using a three year average of actual city utilization, expected changes due to union negotiations, as well as input from insurance carriers.

Contract compliance number 06-6033492

FISCAL IMPACT: To enter into a contract with Aetna Life Insurance Company to establish the maximum obligation liability, and to authorize the expenditure of $24,040 for COBRA administrative services from February 1, 2005 through January 31, 2006. Funding is available in the 2005 budget for this contract. This ordinance is an emergency measure to ensure continued insurance coverage as negotiated

Title
To authorize the Human Resources Director to enter into a contract with Aetna Life Insurance Company to provide all eligible employees COBRA continuation insurance co...