Explanation
BACKGROUND: To maintain insurance programs in accordance with the negotiated labor contracts, additional funding of the short term disability insurance program is necessary to insure continuation of employee insurance coverage. Cost estimates were based on 2011-12 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 and from the City’s employee benefits consultant. The contract is for a three-year period, subject to annual appropriation; this ordinance represents the third year.
Contract compliance number is 36-2598882
FISCAL IMPACT: To modify and extend the contract with Fort Dearborn Life Insurance Company to establish the maximum obligation liability, and to authorize the expenditure of $2,941,028 for short term disability administrative and claims services from February 1, 2013 through January 31, 2014. Funding is available in the 2013 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 Fort Dearborn Life Insurance Company to provide all eligible employees short term disability insurance coverage from February 1, 2013 through January 31, 2014, and to authorize the expenditure of $2,941,028.00 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. ($2,941,028.00)
Body
WHEREAS, it is in the best interest of the City of Columbus to modify and extend the contract with Fort Dearborn Life Insurance Company to provide all eligible employees short term disability insurance administration from February 1, 2013 through January 31, 2014; and
WHEREAS, it is necessary to authorize the expenditure of up to $2,941,028, or so much thereof as may be necessary to pay contract costs for short...
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