Special Meeting/Workshop

1. Convene: 3:25 p.m.
2. Public Comments: None
3. Adoption of Bargained Health Insurance Provisions
   Motions:
   

   I recommend that the Board approve the Contract amendments on Health Insurance with the Association of Educational Secretaries and Office Professionals, the National Conference of Firemen & Oilers, and the Police Benevolent Association for calendar years 2007 and 2008; and pending ratification of the Classroom Teachers Association, approve the Contract amendments on Health Insurance with the Classroom Teachers Association for calendar years 2007 and 2008.	-	PASS
   Minutes: Adoption of health insurance provisions of the collective bargaining agreements between The School Board and The Association of Educational Secretaries and office Professionals (AESOP), The Classroom Teachers Association (CTA), The National Conference of Fireman & Oilers (NCF&O), and The Police Benevolent Association (PBA).
   Vote Results:
   Motion: Debra Robinson
   Second: Mark Hansen
   Sandra Richmond	-	Aye
   Paulette Burdick	-	Aye
   Monroe Benaim	-	Aye
   Mark Hansen	-	Aye
   Debra Robinson	-	Aye
   Bill Graham	-	Aye

   
   
4. APPROVAL OF THE BENEFITS RECOMMENDED FOR EMPLOYEES NOT REPRESENTED BY A BARGAINING UNIT
   Motions:
   

   I recommend the School Board approve the medical benefits plan for employees not represented by a bargaining unit for a two–year period of January 1, 2007 through December 31, 2008.	-	PASS
   Minutes: The premiums and plan design will be aligned with those for employees in the various bargaining groups. For 2007: Employees who enroll in HMO or EPO will not pay any increase in premium. The District contribution towards the POS and PPO plan will be the same as the contribution towards the HMO Employee contribution for POS and PPO plans coverage has increased and is reflected on the attachment. Employees who choose single HMO coverage will continue to receive Benefit dollars, ($20 per month HMO and $60 per month EPO), which may be used for other benefits. Full time employees who waive health insurance and attest to other coverage, will continue to receive $120 a month ($90.00 for part time employees) to spend on other benefit choices. Employees will continue to receive EAP benefits and $20,000 of basic term life and be able to purchase higher amounts of term life through payroll deduction. For 2008 · A predetermined increase contribution by employees towards HMO & EPO dependent coverage has been agreed to and is reflected on the attached sheet. · The $20 benefit dollar credit will be eliminated for those employees enrolling in the employee only HMO and reduced to $40.00 per month for those in the employee only EPO. All benefit dollars will be deposited into a 401a) account for the employee.
   Vote Results:
   Motion: Mark Hansen
   Second: Debra Robinson
   Sandra Richmond	-	Aye
   Paulette Burdick	-	Aye
   Monroe Benaim	-	Aye
   Mark Hansen	-	Aye
   Debra Robinson	-	Aye
   Bill Graham	-	Aye

   
   
5. UNITED HEALTHCARE CONTRACT
   Motions:
   

   I recommend the Board approve the contract with United Health Care to act as a servicing agent to administer the District’s employee medical plan for a three year period from 1/1/2007 through 12/31/2009.	-	PASS
   Minutes: United Healthcare has been the District’s Medical Care Provider since 1/1/1997 and has a mostly positive reputation with employees. United will administer all claims and provide the same services and reports we received when fully insured for a $21.50 per employee per month administration fee, which is guaranteed for a period of three years. United will continue to fund $200,000 annually to support Wellness and other enrollment costs. We recommend purchasing individual stop loss insurance for total claims on any individual that exceeds $500,000 with no maximum for a $4.95 per employee per month premium. The total per employee per month fee would be $21.50 + $4.95 for a total of $26.45 or an annualized fee of $6,665,400 based on 21,000 employees. Our benefits consultant, Edify, has marketed the excess insurance and negotiated comparable rates with United HealthCare. We recommend leaving the specific excess with United Health Care for at least the first year to keep a total interest in the plan. Also, reimbursement waiting periods are eliminated. A group of 21,000 employees is statistically valid and should not see wide variations in claims. Therefore, we believe the only difference between fully insured vs. self insured is the premium tax and risk margin the carrier would charge if fully insured. An actuarial report by an independent actuary will be conducted by APEX Management Group for compliance with FS 112.08 filing requirements to certify the plans soundness. The District will continue to fund this plan utilizing the fully insured premiums proposed by United HealthCare which is 3.8% above 2006 premiums. All claim payments, administration fees, and specific stop loss premiums will be paid from these funds. Performance Guarantees as well as in-network discount guarantees have been negotiated. We were able to negotiate a flat 3-year servicing fee. This is a recommendation to approve a 3-year servicing contract; however, we have a clause which allows cancellation by The School District at the end of each year. Our consultant, Edify, has thoroughly reviewed this plan and fully supported this proposal.
   Vote Results:
   Motion: Mark Hansen
   Second: Debra Robinson
   Sandra Richmond	-	Aye
   Paulette Burdick	-	Aye
   Monroe Benaim	-	Aye
   Mark Hansen	-	Aye
   Debra Robinson	-	Not Present
   Bill Graham	-	Aye

   
   
6. Adjourn: 3:45 p.m.