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Department of Administrative Services
Reference: Fringe Benefits
To: Mayor Richard N. McLean and Members of City Council
Through: Manuel Esquibel, City Manager
Prepared By: Karen Borkowski Surine
Date Prepared: 10/1/14
PURPOSE
To establish fringe benefits for regular full-time and regular part-time employees and City Council for fiscal year 2015.
BACKGROUND
The City of Brighton contracts with HUB International Southwest, Inc. for the purpose of soliciting and negotiating bids for benefits, assisting employees with medical billing issues, assisting us with the requirements of the Patient Protection and Affordable Care Act and analyzing data. This year the City of Brighton opted to have medical benefits self-funded. A team consisting of Manuel Esquibel, City Manager, Lynn Baker, HUB International Client Manager, Marv Falconburg, Asst. City Manager for Development, Dan Frelund, Finance Director, Kale Olson, Asst. Recreation Coordinator & EAC Vice-chairperson, Terry Reams, HUB International Senior Vice- President, Murphy Robinson, CM Intern and EAC Chairperson, Karen Borkowski Surine, Administrative Services Director, Danny Talley, Senior Vice-President, HUB International, Kathy Viveros, HR Analyst, and Nathan Wolfe, HUB International Underwriter met monthly to review funding options, recommend educational efforts and data projections. The goal of this renewal is to mitigate costs of the Patient Protection and Affordable Health Care Act, specifically prescription benefits that will be allowed to be counted towards annual deductibles in 2015 and provide employees with comparable coverage to what they have become accustomed to as well as provide a financially viable benefits plan. At this time, staff recommends medical benefits continue to be self-funded and that the insurance provider continue to be United Healthcare.
The cost to the City for healthcare benefits in 2015 is $3,117,650. The City has set aside $425,000 in reserves to cover e...
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