Explanation
BACKGROUND: To maintain the employee insurance programs in accordance with the negotiated labor contracts, appropriation is necessary for the continuation of all employee benefits programs. Cost estimates for 2022 claims and administrative fees are based on 2020-21 benefits fund expenditures using a two-year average of actual city utilization, expected changes due to union negotiations. Input from insurance carriers, and in conjunction with industry trends, and actuarial services are also key factors. The revenue for the 2022 benefits fund includes the 2022 Department budgeted amounts, employee premium contributions, COBRA premium deposits, and prescription drug rebates.
Emergency action is requested to ensure the health insurance programs for city employees are able to commence as soon as contractually possible, thereby maintaining continuity of service.
FISCAL IMPACT: Claims costs and administrative fees for 2022 are estimated at $222,731,000. A total of $222,731,000 is projected to be required for 2022. These funds are needed to cover the costs of the City employee insurances and wellness programs. This ordinance is contingent on the passage of the 2022 Operating Budget (ordinances 2741-2021, 2742-2021, and 2743-2021).
Appropriation is being made to the following programs:
Medical Plan* $208,127,000
Ohio AFSCME Cares Plan 25,000
Dental Plan 8,370,000
Vision Plan 1,021,000
Life Plan 1,400,000
Disability Plan 3,600,000
Healthcare screenings and events 188,000
TOTAL $222,731,000
ยท Includes medical, drug, COBRA, tobacco cessation and PCORI fees.
Title
To make appropriations for the 12 months ending January 31, 2023 for the funding of the City employee insurance programs; and to d...
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