Item H1 BOARD OF COUNTY COMMISSIONERS
AGENDA ITEM SUMMARY
Meeting Date: August 21, 2013 Division: Employee Services
Time approx. 10:00 a.m.
Bulk Item: Yes _ No X Department: Employee Benefits
Staff Contact Person/Phone#: Maria Gonzalez Ext. 4448
AGENDA ITEM WORDING: Discussion and Approval of Group Health Plan changes to become
effective January 1, 2014
ITEM BACKGROUND: On June 18, 2013, the County Administrator provided a presentation which
showed a projection of a $1,647,182 deficit for fiscal year October 1, 2013 — September 30, 2014.
Recommended changes were provided as part of the presentation. The recommended changes will
offset the projected deficit by $752,792. Any remaining deficit (which is projected to be $894,390)
will be taken from fund balance. Dependent premiums have not changed since 2004 and the $50
retiree rate has not changed since 2001.
PREVIOUS RELEVANT BOCC ACTION: None
CONTRACT/AGREEMENT CHANGES: The Group Health Plan and the Summary Document will
be revised
STAFF RECOMMENDATIONS: Approval
TOTAL COST: N/A INDIRECT COST: BUDGETED: Yes No
DIFFERENTIAL OF LOCAL PREFERENCE:
Internal Service Fund
COST TO COUNTY: N/A SOURCE OF FUNDS: Primarily Ad Valorem
REVENUE PRODUCING: Yes_ No X AMOUNT PER MONTH Year
44'
APPROVED BY: County Atty 61
OMB/Purchasing Risk Management
DOCUMENTATION: Included X Not Required
DISPOSITION: AGENDA ITEM#
Revised 7/09
BOARD OF COUNTY COMMISSIONERS
County of Monroe k Mayor George Neugent,District 2
Mayor Pro Tern,Heather Carruthers,District 3
The Florida.Keys Danny L.Kolhage,District 1
David Rice,District 4
Sylvia J.Murphy,District 5
Office of the Employee Services Division Director
The Historic Gato Cigar Factory
1100 Simonton Street,Suite 268
Key West,FL 33040
(305)292-4458—Phone
(305)292-M64-Fax
TO: Mayor Neugent and Commissioners
FROM: Teresa Aguiar,Director f
Employee Services -'�
DATE: July 2,2013
SUBJ: Group Health Insurance Benefit Changes
This item requests approval to make changes to the Group Health Insurance Plan. At the BOCC meeting
held on June 18,2013,the County Administrator provided a presentation which showed that we were facing
a deficit of$1,647,182 for the 2014 fiscal year. Recommended changes were provided to you for
consideration to help with the projected deficit. At this time, staff is requesting that you approve these
changes.
The changes being recommended are as follows and are to become effective January 1,2014 if approved:
• Annual out of pocket limit From$7,500 yr To$6,350 yr(this is a mandate with PPACA)
• Annual individual deductible From$300 yr To$500 yr(Family max from$600 to $1,000)
0 Emergency Room Co-pay From$75 per visit To$100 per visit
• Office Visit Co-pay From$20 per visit To$25 per visit
• Pharmacy Co-pay From$10 generic/$25 preferred/$70 non-preferred
To $10 generic/$35 preferred/$70 non-preferred
• 10%medical premium increase for those that contribute to individual and dependent coverage
0 Retiree premium: 10+years of service 65+yrs old: From $50 month To$100 month
• Retiree premium: 10+years of service below 65 yrs old: From$50 To $150 month
The County currently offers employees the opportunity to pay premiums on a pre-tax basis.Retirees who
pay the $50.00 a month premium have not had an increase in premium since 2001. Dependent premium
rates have not increased since 2004.
If you have any questions,please contact me at 292-4458.