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HomeMy WebLinkAbout(0020) M&C 20-0044City of Fort Worth, Texas Mayor and Council Communication DATE: 01/28/20 M&C FILE NUMBER: M&C 20-0044 LOG NAME: 14VOYASTOPLOSS2020 SUBJECT Authorize Execution of Agreement with ReliaStar Life Insurance Company in an Amount not to Exceed $420,000.00 for Stop Loss Insurance for the City's Health Benefits Plan with an Effective Date of January 1, 2020 (ALL COUNCIL DISTRICTS) RECOMMENDATION: It is recommended that the City Council authorize the execution of an Agreement with ReliaStar Life Insurance Company in an amount not to exceed $420,000.00 for Stop Loss Insurance for the City's Health Benefits Plan with an effective date of January 1, 2020. DISCUSSION: The purpose of this Mayor and Council Communication (M&C) is to seek authorization from the City Council to enter into an Agreement with ReliaStar Life Insurance Company (ReliaStar), a member of the VOYA family of companies, for Stop Loss Insurance for the City's Health Benefits Program for 2020. ReliaStar has provided the City of Fort Worth's (City) Stop Loss Insurance coverage since April 2014. On April 8, 2014, (M&C C-26750) the City Council authorized the City to enter into an Agreement with ReliaStar to provide Stop Loss Insurance coverage through December 31, 2014. On January 6, 2015, M&C C-27136 was approved to provide Stop Loss Insurance coverage through December 31, 2015. On December 15, 2015, M&C C-27557 was approved to provide Stop Loss Insurance coverage through December 31, 2016. On December 6, 2016, M&C C-27998 was approved to provide Stop Loss Insurance coverage through December 31, 2017. On December 5, 2017, M&C C-28485 was approved to provide Stop Loss Insurance coverage through December 31, 2018. On December 11, 2018, M&C C-28964 was approved to provide Stop Loss Insurance coverage through December 31, 2019. The specific Stop Loss coverage caps the City's liability for annual claims on a per member basis. The City pays for all claims for each participant up to a specified dollar amount with the Stop Loss Insurance coverage paying for any claims beyond $1 M per -participant threshold at a cost of $6.05 per employee per month (PEPM) for each active employee and non -Medicare retiree who is a member of the City's self -funded health plan. Funding for the balance of terms of these contracts will be requested as part of the Fiscal Year 2021 budget process. M/WBE OFFICE - A waiver of the goal for MBE/SBE subcontracting requirements was requested by the Human Resources Department and approved by the M/WBE Office, in accordance with the BDE Ordinance, because the purchase of goods or services from source(s) where subcontracting or supplier opportunities are negligible. FISCAL INFORMATION / CERTIFICATION: The Director of Finance certifies that funds are available in the current operating budget, as appropriated, of the Group Health Insurance and Retiree Healthcare Trust Funds. Prior to an expenditure being incurred, the Human Resources Department has the responsibility to validate the availability of funds. Submitted for City Manager's Office by. Jesus Chapa 5804 Originating Business Unit Head: Brian Dickerson 7783 Additional Information Contact: Brian Dickerson 7783