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HomeMy WebLinkAboutCC 1983-12-05 Minutes MINUTES OF THE SPECIAL MEETING OF THE CITY COUNCIL OF THE CITY OF NORTH RICHLAND HILLS, TEXAS, HELD IN THE CITY HALL, 7301 NORTHEAST LOOP 820 - DECEMBER 5, 1983 - 5:30 p.m. 1. Mayor Faram called the meeting to order December 5, 1983 at 5:30 p.m. 2. Dick Faram Jim Ramsey Richard Davis Jim Kenna J.C. Hubbard Marie Hinkle Mayor Mayor Pro Tern Councilman Councilman Councilman Councilwoman Present: Staff: Rodger Line Dennis Horvath Jeanette Moore Rex McEntire Gene Riddle Ron McKinney City Manager Assistant City Manager City Secretary City Attorney Public Works Director Personnel Director Press: Northeast Chronicle Absent: Harold Newman Dick Fisher Councilman Councilman 3. Mayor Faram asked for a recommendation from the Insurance Committee. COUNCILMAN FISHER NOW PRESENT. Councilman Davis stated that the recommendation of the Committee was to authorize withdrawal from Prudential effective January I, 1984; to award the City's group insurance contract to Transport Life Insurance Company, effective January I, 1984 and to determine individual employee contribution levels. Councilman Davis stated the contribution level for employees was the major decision that needed to be made today. Councilman Davis stated that he, Councilman Fisher and Mr. McKinney concurred that the contribution level of the employee for dependent insurance should be $50.00 per month, for a total contribution of $93,000.00. The City would pay for the employee and the $50.00 per month would cover the employees' spouse and dependents. Councilman Davis stated there was a change in the dental coverage. The employee was CALL TO ORDER ROLL CALL CONSIDERATION OF BIDS FOR HEALTH INSURANCE APPROVED only getting approximately a 30% payment of charges with the present coverage. Councilman Davis stated that with the proposed insurance package the dental premiums would increase some what but would be a better package. It would cover the normal dental requirements and would pay 80% of all eligible charges after the deductible is met. Councilman Davis stated the costs for dependent dental insurance was broken down into three categories: if a spouse was added it would cost the employee $8.00 per month; children only - $10.00 per month; and spouse and children - $15.00 per month Councilman Davis stated he felt this was a very good program and commented on what a good job the City staff had done. Councilman had said. considered $50.00 per Fisher stated he agreed with all Councilman Davis Councilman Fisher stated the only item to be was whether the City wanted the employees to pay month or should the City pay everything. Councilman Davis moved, seconded by Councilman Fisher, to withdraw from Prudential effective January 1, 1984; award the Insurance Contract to Transport Life Insurance Company effective January 1, 1984, and the individual contribution levels be $50.00 per month for dependent medical insurance and the contribution level for dependent's dental be $8.00 for spouse, $10.00 for children and $15.00 for spouse and children. Mayor Faram asked what the medical deductible would be. Mr. McKinney stated the deductible would be $100.00, the same as the present insurance. Councilman Davis stated the maximum out of pocket expense for the employee had been reduced. Mr. McKinney stated that at the present time the employee and each of his dependants was exposed to a maximum out of pocket expense of $1,600.00 per year. The proposal recommended tonight would reduce that to $600.00 per year per member. Mayor Pro Tern Ramsey asked what the employee was paying at the present time. Mr. McKinney stated that under our present plan as of January 1, 1984 it would be $130.00 to cover a spouse only. Mayor Faram asked what the employee was paying at the present time. Mr. McKinney stated the employee was paying $91.63 per month for his family. Page 2 December 5, 1983 Mayor Faram asked what percentage of the employees were participating in dependent insurance now. Mr. McKinney stated approximately 60%. Councilman Davis stated it was the committee's suggestion that a separate account be set up for the insurance so the insurance company could draft on the account for re-imbursement of claims they pay. A separate account would also provide means to evaluate the new plan. Mayor Faram asked Mr. McKinney if he felt more of the employees would enroll dependents at the $50.00 per month cost. Mr. McKinney replied yes. Motion carried 6-0. Mayor Pro Tem Ramsey expressed gratitude to the staff, Councilman Davis and Fisher on their efforts. Mayor Faram adjourned the meeting to executive session. Mayor Faram called the meeting back to order. The same staff and Council members were present as recorded at the beginning of the meeting. Mayor Faram adjourned the meeting of December 5, 1983. ~j; \Jub./ or - Dick Faram ATTEST: e Moore Page 3 December 5, 1983 BACK TO ORDER ADJOURNMENT