HomeMy WebLinkAboutResolution No. 2019-33Sponsored by: Administration
CITY OF KENAI
RESOLUTION NO. 2019-33
A RESOLUTION OF THE COUNCIL OF THE CITY OF KENAI , ALASKA, AUTHORIZING
CONTRACTS FOR EMPLOYEE HEAL TH CARE AND OTHER BENEFITS EFFECTIVE JULY 1,
2019 .
WHEREAS , as part of a comprehensive employee benefit package and pursuan t to KMC
23.40 .120 the City provides group medical, dental, vision, life, and supplemental life insurance to
its employees; and,
WHEREAS , the City's current provider for this group med ical and dental insurance is PREMERA
Blue Cross Blue Shield of Alaska , VSP for vision insurance, and UNUM for both life and
supplemental life insurance; and,
WHEREAS, PREMERA Blue Cross Blue Shield of Alaska has provided a no-shop renewal quote
plus a one-month premium holiday for continuing group medical and dental . coverage at a
premium increase of 3.13% and minor changes to plan provisions ; and ,
WHEREAS , VSP has provided a renewal quote with no increase; and ,
WHEREAS , UNUM has provided a quote with no change in rate pe r $1,000 of insurance but a
requested increase in the maximum amount of basic life insurance provided by the City from the
lesser of one and one-half (1 1/2) an employee's base pay or $65,000 to the lessor of one and
one-half (1 1/2) an employee 's base pay or $100,000; and ,
WHEREAS, the estimated increase in the maximum City provided life in suran ce amount is
estimated to cost $20, 784 annually; and ,
WHEREAS, providing quality major medical, dental, vision, life, and supplemental life ins ura nce
is a component of a comprehensive compensation package wh ich allows the City to recruit and
retain quality employees to provide the services of the City for its residents.
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA:
Section 1. That the City Council authorizes the City Manager to e xec ute a contract with
PREMERA Blue Cross Blue Shield of Alaska to provide group medical and dental insurance to
the employees of the City of Kenai effective July 1, 2019 for an estimated ann ual prem iu m of
$2,368,161.
Section 2. That the C ity Council authorizes the City Manager to execute a contract with VSP
to provide vision insurance to the employees of t he City of Kena i effective July 1, 2019 for an
estimated annual premium of $15,858 .
Resolution No. 2019-33
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Section 3. That the City Council authorizes the City Manager to execute a contract with
UNUM to provide life and supplemental life insurance to the employees of the City of Kenai
effective July 1, 2019 for an estimated annual premium of $20, 784.
Section 4. That this resolution takes effect immediately upon passage.
PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 15th day of May, 2019.
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Approved by Finance:~
I
BRIAN GABRIEL SR , MAYOR