HomeMy WebLinkAbout4.05 AmendBenefitPlan
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CITY OF DUBLIN
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CITY COUNCIL MEETING DATE: September 21, 1993
SUBJECT:
Amendment to Benefit Plan.
EXHIBITS: / Resolution Amending the Benefit Plan
RECOMMENDATION:~doPt Resolution
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FINANCIAL \ Delta Dental has proposed renewal rates which will
STATEMENT: result in an increase of 9.4%. The approximate cost
for Fiscal Year 1993-94 is $2,025. Sufficient funds
have been included in the City's contingent Reserve.
DESCRIPTION: The city's Personnel System Rules require the city
Council to adopt a Benefit Plan. This plan provides a summary of the
City's benefit program including medicaf, dental, life and disability
insurance, retirement, holidays, car allowance and travel expenses, and
participation in deferred compensation and credit union programs.
The city currently contracts with Delta Dental for dental insurance
benefits. The contract requires the City to pay the full family premium
rate for eligible employees (and eligible dependents) including regular
employees (who work 30+ hours per week). In addition, the city pays the
premium for the employee only for those regular employees who work
between 20 and 29 hours per week. The current family premium under the
Delta Dental plan is $95.86 per month and for the employee only $30.80
per month.
The City of Dublin has a two year agreement with Delta which expires on
September 30, 1993. Delta has informed the City of a proposed renewal
rate increase of 9.4% for a one year period October 1, 1993 through
September 30, 1994. The proposed renewal rates are as follows:
Current R,t~~
Benewal Rates
~enewal Change
One Party
Two Party
Three Party+
$30.80
58.64
98.37
$33.70
64.15
107.62
+9.4%
According to
experience of
each. Further,
to be the most
size. Based on
will result in
Delta Dental, renewal rates are based on the combined
more than 700 groups employing less than 100 employees
Delta Dental indicates that pooling experience has proven
reliable method of forecasting costs for groups of this
the City'S current enrollment, the proposed renewal rates
an increase of approximately $2,025 for FY 1993-94.
The attached resolution proposes amending the Benefit Plan to increase
the City'S contribution to a maximum of $107.62 per month for family
coverage and $33.70 for the employee only. Staff recommends that the
City council review the proposed change and adopt the attached
resolution.
ITEM NO.
4. If
COPIES TO:
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RESOLUTION NO. - 93
A RESOLUTION OF THE CITY COUNCIL OF
THE CITY OF DUBLIN
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AMENDING THE BENEFIT PLAN
WHEREAS, the Personnel system Rules require the City Council to
adopt a Benefit Plan; and
WHEREAS, the Benefit Plan prescribes the current benefits provided
to employees by the city.
NOW, THEREFORE, BE IT RESOLVED that the City council of the City
of Dublin hereby amend Resolution No. 3-93 to include the following:
section 3. Deptal Ipsu~~Qce: Beginning with the october 1993 premium,
the City will contribute on behalf of each employee regularly scheduled
to work at least 30 hours per week, a maximum of $107.62 per month to a
dental insurance plan selected by the city. The City will contribute on
behalf of each employee regularly scheduled to work between 20 and 29
hours per week, a maximum of $33.70 per month toa dental insurance plan
selected by the city.
PASSED, APPROVED and ADOPTED this 27th day of september, 1993.
AYES:
NOES:
ABSENT:
ABSTAIN:
Mayor
ATTEST:
City Clerk