Title
A RESOLUTION AUTHORIZING THE CITY MANAGER TO ENTER INTO A CONTRACT WITH MEDICAL MUTUAL OF OHIO (MMO) FOR CERTAIN HEALTH BENEFIT PLAN SERVICES; AND DECLARING AN EMERGENCY.
Executive Summary: The City of Hudson provides certain health benefits (medical and prescription drug coverage) to regular full-time city employees. The attached legislation seeks Council’s authorization for the City Manager to enter into a contract with Medical Mutual of Ohio (MMO) for health benefit plan services for the period of January 1, 2019 thru December 31, 2019.
Body
Legislative History
None.
Purpose & Explanation
The purpose of this resolution is to authorize the renewal of the City’s health insurance plan with MMO. Staff is recommending entering into a contract with MMO for medical and prescription drug coverage for the period of January 1, 2018 thru December 31, 2018.
The original renewal quote was 8.73% however after negotiations with MMO, the amended renewal rate is 5.73%. The employee contribution percentage for 2019 remains the same as 2018 at 15%.
Staff is once again recommending that the City fund a Health Reimbursement Account (HRA) for each employee equal to the employee's deductible, a maximum of $2,000/$4,000 (single/family) per employee to cover the City’s potential liability.
Timing Considerations
Open enrollment for health insurance is October 31 through November 14, 2018.
Fiscal Impact
Currently Budgeted
Supplemental Appropriation Required
X Appropriation Not Required.
Recommendation
Suggested Action
Staff recommends City Council approve the attached Resolution authorizing the City Manager to enter into the health benefit plan contract with Medical Mutual of Ohio. Staff also recommends the legislation be passed as an emergency measure, so it is in place for open enrollment.
Submitted by,
Jane Howington, City Manager,
Jeff Knoblauch, Assistant City Manager - Finance Director
Brian Griffith, Director - Management & Budget
Suzanne Havranek, HR Manager