HomeMy WebLinkAboutIR 10098 INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 10098
To the Mayor and Members of the City Council January 30, 2018
h�T�i7 Page 1 of 2
�i
�i7 Y
*a SUBJECT: FIRE FIGHTER HEALTHCARE UPDATE
#qrF rn
ye,?5
This Informal Report is the fourth in a series of updates regarding the negotiations with the International
Association of Fire Fighters Local 440 ("Association") and their proposal to manage a healthcare plan for
the benefit of firefighter recruits, actives and pre-Medicare retirees, plus their spouses and dependents. As a
reminder, the guiding principles of the negotiation are:
• Association will assume responsibility of healthcare for all recruits, active fire fighters and pre-
Medicare retirees
• Separation of firefighter plan will not have a negative financial impact on the City; Association will
cover all transition costs
• City's exposure to liability will be minimized to every extent possible
• Association assumes all accountability for the success of their plan
Since the last update, the City and the Association held a collective bargaining session on 1/18/2018.
Below is the status of the various tasks.
Action Item Responsible Com- Status
Party Tete
1. City contribution City The Association has accepted the City's methodology.
and transition costs Both parties are considering an administration fee in
finalized lieu of direct billing for IT and other costs that may
result in an amendment to the current agreed upon
terms.
2. CBA amendment City and The Trust Agreement and the amendments to the
language approved Association Collective Bargaining Agreement Articles 13 and 14
are complete.
Both parties have agreed in principle to the language
in the Healthcare Agreement. However,minor
amendments may be necessary as we finalize
responsibilities between the City and the ERF for
managing retiree premiums.
3. Employee vote to Association Will be scheduled after final procedural issues
amend CBA resolved for the Healthcare Agreement.
4. Waiver language City and
approved Association
5. Retiree waivers Association At last report, the Association has received an
received(100%) estimated 199 of 239 required signatures. However,
the Association anticipates that they will not receive
100%, estimating that 10-15 retirees may not provide
signed waivers.
ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS
INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 10098
To the Mayor and Members of the City Council January 30, 2018
h�T�i7 Page 2 of 2
�i
�i7 Y
*a SUBJECT: FIRE FIGHTER HEALTHCARE UPDATE
#qrF rn
Y@73
6. City Council City Will be scheduled for City Council once 1-5 are
approval of CBA complete.
and healthcare
contract
7. Association create Association
Trust including
fiduciary coverage,
contract with trust
company, fidelity
bond and banking
arrangement.
8. Association plan Association • At the Association's request, the City added
contracts (TPA, language to the Healthcare Contract to allow the
PBM, RBP); Association to be a sub-recipient of dental benefits
premiums finalized offered through the City's contract.
• The Association is responsible for all other
contracts.
9. Data interfaces with City and • The City has met with its technology vendor to
City and FWERF Association receive a quote to implement separate plans in
PeopleSoft. The scope has not been finalized as
both parties continue to discuss the role of the ERF
in managing retiree premiums. The Association has
received a quote from the ERF. The City is now
formulating a recommendation on the flow of
funds/data between the City, ERF and the Trust.
• At the 1/18/18 bargaining session, the City and the
Association agreed to jointly develop a calendar
that accurately reflects the outstanding tasks for
discussion. This will be a driver in the final
implementation date.
10. Transition and City and See 99.
enrollment plan Association
Please let me know if you have any additional questions.
David Cooke
City Manager
ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS