Mr. Martin informed the committee that the RFP for the Dental Plan will go out by Friday, May 4, 2007. The proposals are due in Purchasing by May 23, 2007. After analysis of the proposals, the committee will meet with hopes to have a contract by July 1, 2007 for implementation by January 1, 2008.
Health Benefits - RFP
Jim Martin introduced Aon Consulting, Inc. representatives, Mrs. Kathleen Strukoff, Mr. Pat Hoffman and Mrs. Nancy Brown. These consultants have reviewed the proposals for Health Benefits RFPs and will discuss the Summary Report.
Mrs. Strukoff explained the process Aon went through to market Shelby County's medical, pharmacy and over 65 retiree medical plans. Also marketed were Flexible Spending Account plans which the County doesn't currently offer.
The County has specific goals it wanted to achieve with this marketing process:
- Improve administrative costs
- Secure multi-year fee guarantees
- Simplify plan administration with potential carrier consolidation
- Outsource some of the day to day administrative functions associated with the plans.
Aon sent out the RFP solicitations to a large selection of carriers for the following programs:
- Medical, Consumer Directed Health Care and Disease Management
- Prescription Drug
- Over 65 Retiree Medical and Pharmacy
- Flexible Spending Account Administration (FSA)
After a comprehensive review of all the submitted proposals, Aon provided the County side by side comparisons of the benefit levels, provider network and cost projections. The administrative capabilities of each vendor were reviewed as well. The field was then narrowed by the County to two finalists in each category with the exception of pharmacy which was narrowed to three finalists.
Mrs. Strukoff and Mr. Hoffman went through each of the RFP solicitations referenced above and provided the County with the names of the vendors who submitted proposals, graphics regarding each vendor's costs, and a discussion of their offerings. Plan offerings were also discussed with the group. The County is considering offering the active/pre-65 employees a choice between the following medical plans: HMO, PPO, a high deductible PPO which includes a Health Reimbursement Account (HRA). The following vendors were the finalists for each category:
| Medical |
Flexible Spending Account |
CIGNA and UHC
|
ADP and ASI Flex
|
| Pharmacy |
Post 65 Retiree Medical |
| ESI, Medco and Walgreens |
BCBS and Nebco/Monumental/Sterling |
Next steps after this meeting are to notify the finalists and set the date for the finalists' presentations to the committee.
Other Business
Ms. Minnie McCray moved that the minutes of September 18, 2006 and January 18, 2007 be approved. Seconded by Lee Wessels. Motion carried.
Motion was made to adjourn by Bob Patterson. Seconded by Paul Boyd. Motion carried.
Respectfully submitted,
__________________________________
Shasta L. Sharp, Committee Recorder
May 10, 2007
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