City of Columbus - File #: 2280-2006

• File #: 2280-2006
• Version: 1
• Type: Ordinance
• Status: Passed
• File created: 12/12/2006
• In control: Finance & Economic Development Committee
• On agenda: 2/5/2007
• Final action: 2/7/2007
• Title: To authorize the Human Resources Director to modify and extend the contract with United HealthCare Insurance Company (Medco) to provide all eligible employees prescription drug insurance coverage from February 1, 2007 through January 31, 2008 and to authorize the expenditure of $18,633,000.00 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. ($18,633,000.00)

Date	Ver.	Action By	Action	Result
2/7/2007	1	CITY CLERK	Attest
2/6/2007	1	MAYOR	Signed
2/5/2007	1	Columbus City Council	Approved	Pass
2/5/2007	1	COUNCIL PRESIDENT	Signed
1/19/2007	1	HR Drafter	Sent for Approval
1/19/2007	1	CITY ATTORNEY	Reviewed and Approved
1/19/2007	1	HR Drafter	Sent to Clerk's Office for Council
1/18/2007	1	HR Drafter	Sent for Approval
1/18/2007	1	Auditor Reviewer	Contingent
1/18/2007	1	CITY AUDITOR	Reviewed and Approved
1/17/2007	1	ODI DIRECTOR	Reviewed and Approved
1/12/2007	1	HR Drafter	Sent for Approval
1/12/2007	1	EBOCO Reviewer	Reviewed and Approved
1/10/2007	1	ODI DIRECTOR	Reviewed and Approved
1/10/2007	1	ODI DIRECTOR	Reviewed and Disapproved
1/8/2007	1	EBOCO Reviewer	Reviewed and Disapproved
1/3/2007	1	HR Drafter	Sent for Approval
1/2/2007	1	Finance Reviewer	Reviewed and Approved
1/2/2007	1	FINANCE DIRECTOR	Reviewed and Approved
12/21/2006	1	HR Drafter	Sent for Approval
12/20/2006	1	HR DIRECTOR	Reviewed and Approved
12/12/2006	1	HR Drafter	Sent for Approval

Explanation
BACKGROUND: To maintain the insurance programs in accordance with the negotiated labor contracts, it is necessary to modify and extend the existing contract with United HealthCare Insurance Company (Medco) and to provide additional funding for the prescription drug insurance program. Cost estimates were based on 2005-2006 trust fund expenditures trended on the basis of an eighteen-month of actual City utilization in conjunction with industry trends, as well as input from actuarial services and from the insurance carrier. The contract is for a three-year period, subject to annual appropriation; this ordinance represents the second renewal option.

Contract compliance number is 31-1142815 ( 1-3-07)

FISCAL IMPACT: To modify and extend the existing contract with United HealthCare Insurance Company (Medco) to establish the maximum obligation liability, and to authorize the expenditure of $18,633,000.00 for the prescription drug plan administration services from February 1, 2007 through January 31, 2008. The administrative rate is $.58 per employee per month. Funding is available in the 2007 budget for this contract. This ordinance is an emergency measure to ensure continued insurance coverage as negotiated by union contracts.

Title

To authorize the Human Resources Director to modify and extend the contract with United HealthCare Insurance Company (Medco) to provide all eligible employees prescription drug insurance coverage from February 1, 2007 through January 31, 2008 and to authorize the expenditure of $18,633,000.00 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. ($18,633,000.00)

Body
WHEREAS, it is in the best interest of the City of Columbus to modify and extend the existing contract with United HealthCare Insurance Company (Medco) to provide all eligible employees prescription drug insurance from February 1, 2007 through January 31,...