Minutes

City of Vancouver Health Care Benefit Program Governing Board

10/22/15

City Hall

Members Present: Dave Mercier, Suzi Schwabe, Lloyd Tyler, Natasha Ramras, Debra Quinn, Debby Watts

OthersPresent: Jill Eckhardt, Wells Fargo, Maully Brinson, Wells Fargo; Natasha Douglas, VHA

Meeting Minutes:

  1. Minutes:
  2. Minutes from the 8/17/15 meeting were approved
  1. Communications:
  1. None
    Discussion Leader:

Discussion:

Action Taken:

  1. Reports:
  1. None
    Discussion Leader:

Discussion:

Action Taken:

  1. New Business:
  1. Rates for 2016

Discussion Leader: Suzi Schwabe

Discussion:There was discussion on keeping rates the same for 2016. The plan seems to be doing well but since we are still early in the self-insured world the group felt we should keep the rates the same.

Action Taken: The board voted unanimously to maintain the same rates for 2016.

  1. Wellness Budget/Program Inclusion

Discussion Leader:Suzi Schwabe

Discussion:There was discussion about where wellness funding should reside. Currently, there is a portion in the self-insured fund and a portion in the benefits fund. HR staff would prefer to have all the funds in the benefits fund as a separate line item so they can track expenses easier.

There was discussion about who should the Wellness Program encompass. Previously, the Board had voted to only include those employees on the City’s health insurance plans (no Trusts). As we have started working on the program, it has become clear there are other benefits to the City besides a reduction in insurance claims and it would be awkward to offer the program to some employees and not others. It was suggested that maybe we could look at educational programs are for all employees and components, like health risk assessments or biometric screenings, that cost money would only be offered to employees on our plans or there would be a charge for those employees on Trust plans.

Action Taken:No action was taken on where the funding for the Wellness Program resides. It was agreed that the Wellness Program would provide general education to all employees in 2016 and that we would offer anything that involves a per person cost to the Trust plans as an option for them to buy in to.

  1. General Information:
  1. Wellness Committee Update

Discussion Leader: Suzi Schwabe

Discussion:The first meeting was last week. Participation on the committee is lacking in some areas (no one from Police, 1 in Engineering but no one from Op Ctr, heavy in parks). The Board asked what the role of the committee was and who ultimately makes decisions (MLT?). The committee serves in an advisory role and is liaison to employees. The Board would like to see an executive summary of the employee survey.

Action Taken: No action taken.

  1. Old Business:
  1. Pharmacy Benefit Manager RFP

Discussion Leader: Wells Fargo

Discussion:The RFP is still in process. There were two responses and the City has some questions that are being responded to. Because we don’t have enough time to implement by 1/1/16 we are looking at a 4/1/16 date. Wells Fargo worked with Regence for an interim plan and negotiated a lower price; estimated savings of $50,000. Dave asked if only 2 responses to the RFP was low. Maully responded that they had very specific criteria (vendors need to agree to set prices) and so not many vendors will agree to that. Dave asked about a ‘per script price’. This is what the Fire Trust uses. Maully wasn’t sure but would look into. There was a question on the length of the contract; 3 years.

Action Taken: No action taken.

  1. Stop Loss RFP Update

Discussion Leader: Wells Fargo

Discussion:The final proposal from Regence is a 15.5% increase. They will request final numbers from the other 3 vendors by 11/15. This would be a one year contract and trend is running 17-19%. It’s beneficial to keep one carrier for more than 1 year. If we go with a different stop loss carrier, Regence charges an additional $5.50 PEPM (to cover administration of outside stop loss and dialysis). There was a question on what the frequency is for looking at stop loss limits; the underwriter looks at this each year and in the future we might look at eliminating the aggregate but only after several years of experience.

Action Taken: No action taken.