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Home My WebLink AboutAGENDA REPORT 1986 1222 CC REG ITEM 11E // MOORPARK THOMAS C.FERGUSON STEVEN KUENY Mayor (Aga! �� City Manager DANNY A WOOLARD � CHERYL J.KANE Mayor Pro Tern ��1� City Attorney ELOISE BROWN 9 4, Director R PATRICK J.RICHARDSf AI.C.P. Councilmember JOHN GALLOWAY t Community Councilmember Development CUNT HARPER R.DENNIS DELZEIT Councilmember City Engineer THOMAS P.GENOVESE JOHN V.GILLESPIE City Treasurer Chief of Police TO: Honorable City Council FROM: Thomas P. Genovese, Administrative Assistant DATE: December 22, 1986 SUBJECT: Health Insurance Plan As the City Council is aware, the City of Moorpark has been utilizing the Employee Medical Plan of the City of Simi Valley since the incorporation of the City of Moorpark. This option of insuring through the City of Simi Valley will no longer be available as of January 1, 1987. Due to this fact, City staff has investigated the alternatives available for the City' s own Health Insurance plan. The City staff has met with the Budget and Finance Committee to discuss the acquisition of a City Health Plan. Health Plans discussed at the Committee level were: Health: (1) Blue Cross Prudent Buyer Plus = $2345.17 (2) Blue Cross California Care = $2002.13 Dental: (1) Blue Cross Standard Dental Care = $489.50 (2) Blue Cross Dental Net = $250 Dependent Life: (1) Blue Cross Plan I: ($1. 00 per employee) Spouse 1'500. 00; Children over 6 months 1500. 00; Infants 100. 00 (2) Blue Cross Plan II: ($3. 00 per employee) Spouse 5000. 00; Children over 6 months 5000.00; Infants 500. 00 Vision: Medical Eye Services (Blue Shield) Employee = $4. 70 Employee & One Dependent = $9.55 Employee & Family = $12. 20 Long-Term Disability: Reliance Standard Life Insurance Company (All Employees) Group = $150.00 Approx. 799 Moorpark Avenue Moorpark, California 93021 (805) 529-6864 The Honorable City Council December 22, 1986 page 2 Prescription Drug Card: Leland Wolf Plan (All Employees) ct& Employee = Depend Employee & Dependents = $29. 66 Also discussed was the acquisition of additional life insurance above the 15K level (as included in the health plans) for the Management Employees. The Committee raised several questions of staff at this meeting. Listed below are the questions and responses by staff: 1. Is this plan Foundation Administered? Staff has been able to get the Health Plan administered through the Ventura Foundation. This will increase the number of providers for the 80/20 plan. 2. Can we utilize the school district plan? At this time, it is unknown if this will be a possibility. • City staff will continue to investigate the feasibility of this alternative. 3. What is the cancellation notice time of this policy? The cancellation notice time of the policy is 30 days. City staff has completed an analysis sheet for the City Council's review. Enclosed are exhibits that indicated the costs of the prior health plan, the costs of the proposed health plan, and the change in cost for each category. Exhibit A explains the General Unit & Supervisory/Professional Unit, which includes the following personnel classifications: Administrative Secretary Account Clerk Code Enforcement Officer Administrative Clerk Clerk Typist/Receptionist Facilities Coordinator Maintenance Worker Associate Planner* Recreation Coordinator Senior Planner Exhibit B explains the Management Unit which includes the following personnel classifications: City Manager Director of Community Development Administrative Assistant City Clerk The Honorable City Council December 22, 1986 page 3 Also attached to each Exhibit is the proposed change in benefits for the Unit under each category of the plan. In summary, the proposed plan by the city staff is the Blue Cross Prudent Buyer Plus, Blue Cross Standard Dental Plan, Plan I Dependent Life (Blue Cross) , Medical Eye Services (Blue Shield) , Long Term Disability - All Employees (Reliance Standard Life Insurance, Co. ) , Prescription Drug Card (Leland Wolf Plan) . City staff has deve- loped a projected cost analysis for the proposed plan (Exhibit C) and estimates that no additional appropriation is necessary for the purchase of the said Health Plan. Entire Plan is rated guar- anteed for one year. RECOMMENDATION: Direct staff to proceed with the purchase of the Health Plan as proposed by City staff. TPG/hdm Exhibits *Formerly in Management Unit GENERAL UNIT PLAN PRIOR PROPOSED CHANGE - Medical - Employee Only $ 88.62 $ 91.00 + $ 2.38 Employee + 1 175.63 182.00 + 6.37 Employee + 2 279.78 228.32 - 51.46 or more - Dental - Employee Only 27.91 19.49 - 8.42 Employee + 1 N/A 35.98 + 11.07 (Actual increase over 27.91) Employee + 2 N/A 49.10 + 21.19 (Actual increase or more over 27.91) - Vision - Employee Only 4.30 4.70 + .40 Employee + 1 N/A 9.55 + 5.25 (Actual increase over $4.30) Employee'+'.2 N/A 12.20 + 7.90 (Actual increase or more over 4.30) . - Life - Employee 2.00 4.05/8.40 + 4.22 (Actual average increase) Dependents .50 1.00 + .50 - LTD - Employee N/A 8.50 (Estimated average) -Prescription- Drug Card Employee N/A 10.92 t 10.92 Prior: Medical - Blue Cross (General) , Dental - Pacific Mutual Vision - Medical Eye Services - Proposed: Medical - Blue Cross Prudent Buyer Plus, Dental - Blue Cross Prudent Buyer Plus, Vision - Medical Eye Services EXHIBIT "A" MEDICAL PLAN The proposed Medical Plan for the General 6 Supervisory/Professional Unit is an 80/20 Plan comparable to the plan utilized by this unit in the past. DENTAL PLAN The proposed Dental Plan for this unit is an 80/20 Plan with depe- dent coverage. This plan is expected to be of greater value than the plan previously utilized by this unit (the prior plan was a fee schedule basis plan which incorporated a low fee schedule) . Additionally, dependent coverage was not offered in the previous Dental Plan for this Unit. VISION The proposed Vision Plan is the same as the previous plan; however, this proposal allows for dependent coverage for this Unit which previously was not offered. LIFE The proposed Life Plan increases coverage for each employee in this Unit from $6,000 to $15, 000. DEPENDENT The proposed Dependent Life Plan increases coverage from $1,000 to $1,500 for primary dependent. LONG TERM DISABILITY The proposed Long Term Disability Plan was not offered to this Unit previously, but must be retained to offer such a plan to the Management Unit due to the size of the Moorpark City Staff (15 authorized positions) . PRESCRIPTION DRUG CARD The proposed Prescription Drug Card was not offered to this Unit previously, but must be retained to offer such a plan to the Management Unit due to the size of the Moorpark City Staff (15 authorized positions) . City will offer for employee coverage only. MANAGEMENT UNIT PLAN PRIOR PROPOSED CHANGE - Medical - Employee Only $ 95.37 $ 91.00 - $ 4.37 Employee + 1 187.05 182.00 - 5.05 Employee. + 2 291.66 228.32 - 63.34 or more - Dental - Employee Only 43.95 19.49 - 24.46 Employee + 1 43.95 38.98 - 4.97 Employee + 2 43.95 49.10 + 5.15 or more - Vision - Employee Only 8.70 4.70 - 4.00 Employee + 1 8.70 9.55 + .85 Employee + 2 8.70 12.20 + 3.50 or more - Life - Employee 11.22 (Estimated average) Dependent .50 1.00 + .50 - LTD - Employee 30.00 (Estmd. Avg.) 30.00 (Estmd. Avg.) -0- -Prescription- Drug Card Employee Part of Mgt. Health 10.92 + 10.92 .. Employee 6 Dependents Part of Mgt. Health 29.88 + 29.88 Prior: Medical - Blue Cross (Mgmt.) , Dental - Principal Mutual Vision - Medical Eye Services (Mgmt.) Proposed: Medical - Blue Cross Prudent Buyer Plus, Dental - Blue Cross Prudent Buyer Plus, Vision - Medical Eye Services (Mgmt.) Additional Life Insurance (Above $15,000 Level) AMOUNT POSITION COST $100,000 City Manager $ 13.33 50,000 Director of Community Development 9.83 50,000 Adm. Asst./Community Services 11.50 50,000 Adm. Asst./Administrative Servs. 8.12 50,000 City Clerk 8. 12 Coverage is provided by Transamerica. EXHIBIT "B" MEDICAL PLAN The proposed Medical Plan for the Management Unit is an 80/20 Plan. It is less beneficial than the plan previously offered to this unit. The previous plan utilized by this unit is no longer available. DENTAL PLAN The proposed Dental Plan for this unit is an 80/20 Plan with dependent coverage. This plan is expected to be of approximately equal value when compared to the previous plan. VISION The proposed Vision Plan is the same as the previous plan. It offers dependent coverage, as was offered previously. LIFE The proposed Life Plan increases coverage for each employee in this Unit as follows: City Manager $50, 000 to $100, 000 Director of Community Development $33, 000 to $50, 000 Administrative Assistant $33, 000 to $50,000 City Clerk $10, 000 to $50,000 DEPENDENT The proposed Dependent Life Plan increases coverage from $1; 000 to $1, 500 for primary dependent. LONG TERM DISABILITY The proposed Long Term Disability Plan is the same as the previous plan. PRESCRIPTION DRUG CARD The proposed Prescription Drug Card Plan is the same as the previous plan. 1 PROJECTED HEALTH PLAN EXPENDITURES PROJECTED BUDGET DEPARTMENT ACCOUNT EXPENDITURE AMOUNT +/- City Manager 112 4,589 5,140 - 551 City Clerk 113 2,080 2,460 - 380 Finance 116 2,912 3,960 -1,048 Administrative Services 117 5,637- 7,816 -2,179 Planning 131 10,953 14,970 -4,017 Community Services 134 1,330 4,000 -2,670 Public Works Streets 142 2,061 2,976 - 915 Landscape Maintenance 143 566 792 - 266 Parks Maintenance 147 2,017 2,142 - 125 Recreation 148 5,329 5,310 + 19 Community Center 149 1,656 2,376 - 720 - $12,852.00 EXHIBIT "C"