CONSULTANT CITY HEALTH BENEFITS
OCT 22 '96 08:19 FR WITTNER COMPANIES
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813 345 8509 TO 5624877
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CITY OF CLEARWATER
Ongoing Consulting Services
October 15, 1991
SCOPE OF SERVICES TO BE RENPERED
. Follow through on the Board action of 09/26/91--renewal of the CIGNA Health Access Plan and
HMO on a minimum premium funding basis.
Coordinate the open transfer period
. Coordination of the communication material.
. Coordination the open transfer meeting schedule.
. Monitor the paperwork process for assignment of employees to the proper
medical plan.
. See that the ill cards are receive in a timely and accurate fashion.
. Make sure that the HMO primary care physician selections are accurate.
. Make the Section 125 presentations at the scheduled meetings.
Minimum premium banking arrangements
. Bank accounts are established.
. Appropriate City personnel trained to understand the cash flow mechanics of the
banking arrangement.
. Proper up front deposit by the City in place.
. Establish lines of communication between CIGNA and the City for questions
relative to the ongoing banking requirements.
Plan Document needs:
. The minimum premium plan document with amendments for the claims reserve,
prepared, reviewed, signed, and in place prior to January 1, 1992.
. Coordinate necessary revision of the Pl~n D0cuments and the Summary Plan
Descriptions relative to benefit changes and that these are distributed to
employees.
. Attend monthly insurance committee meetings as dictated by the City.
. Coordinated with the Union's consultant Oudy Plotz) as directed by the City.
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-WrITNER & COMPANY
OCT 22 '96 08:20 FR WITTNER COMPANIES
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813 345 8509 TO 5624877
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. Group Term Life Insurance
The revision of the "$.25 Plan" to the $2,500 pro~r::.."
. Coordinate with Prudential to enroll all eligible employees in the $2,500 Plan.
. Coordinate the monthly billing for timeliness and accuracy.
. Proper Plan Document and Summary Plan Description revisions.
. Ensure that the 1991 dividend is paid in a timely and accurately fashion.
The group term life plan for management employees
. Coordinate with Prudential to properly communicate with the management
personnel.
. Monitor the enrollment.
. Be sure that the optional plan meets the Prudential's minimum 25 percent
participation requirement.
. Coordinate the monthly billing for timeliness and accuracy.
. Coordinate the preparation of the Plan Document and Summary Plan Description
and distribution to the management employees.
. Short Term Voluntary Disability Plan
. Serve on a sub-committee made up of Judy Plotz, Sharon Walton, and others.
. Meet with Ken Stucker to review his Voluntary Short Term Disability proposal
for the City.
. Make recommendations
. Review and coordinate "walk-in clinic issue"
Review the current contract with Doctors' Walk-in Clinic.
Do a feasibility study of "carving out" certain areas such as drug testing, physicals, and
minor "walk-in" claims from the CIGNA coverage and its impact on the minimum
premium funding; compared to capitated walk-in clinic charges as recommended by the
Union alternative.
Make recommendations to the City.
. Begin the process of assimilation of three years historical data for a formal bid of the medical
plan.
Historical overview of the evolution of the benefit plans.
Month by month enrollment, premium, and claims in each of the plans for 36 months.
Assimilation of the appropriate shock loss claims infonnation during the same time
period .
Accumulate run out claims data for terminated coverages.
Description of the funding methods in place.
Benefit changes during the same 36-month time frame.
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-WITfNEI{ & COMPANY
OCT 22 '96 08:20 FR WITTNER COMPANIES
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. Begin a review of the various manage care networks available in Clearwater, Pinellas County
and the Tri-County area specifically addressing networks (hospitals and physicians) and discount
arrangements in the carrier specific area such as CIGNA and "free standing networks" such as
through Morton Plant Hospital.
. Educate the insurance committee on all aspects of self-insurance to include definitions, terms,
concepts--ASOITPAlE:Acess Stop LosslFlexible spending accounts/FLEX Plan/Cafeteria Plans,
etc.
. Settlement of 1991 experience rated dividend.
. Solicit input from the unions relative to their desires on preferable hospital/physician networks.
. Prepare the bid specifications for the Group Medical and Group Tenn Life including the criteria
for the selection to be used.
TIME LINES "(Time lines as shown herein are subject to adjustment as requested by the City.)
Attend pre-bid conference with interested bidders and City Staff.
Clarify bidder questions.
Review the bids.
Follow up post-bid negotiations.
Recommendations to the Insurance Committee and the City commission.
Implementation
. September 27, 1991 to December 31, 1991
Do the necessary follow up and coordination (as outlined in the scope of services) to
have everything in place for January 1, 1992.
. Monthly--meet with the Insurance Committee on an as needed basis as directed by the City
. March and April of 1992
Work with Risk Management to put the structure in place to assimilate the necessary
historical claims data and census. This will also include a process for monthly updates
as the claims information becomes available.
Do a preliminary review of the various managed care networks, ASO and TP A markets,
excess stop loss markets, etc.
If directed by the Commission, do the feasibility study and recommendations on the
walk-in clinic concept.
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-WlTINER & COMPANY
OCT 22 '96 08:21 FR WITTNER COMPANIES
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813 345 8509 TO 5624877
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P.05/06
. June 1 - 15, 1992
Prepare actual bid specifications for the market place.
Bid specifications approved by City Staff.
Bids released to public by City purchasing Manager.
. Mid-August, 1992
Bid received
. Mid~August to mid-September
All bid reviewed
Analysis
Post-bid negotiations
Recommendations to the Insurance Committee
. Last Commission meeting in September
Recommendation to the Commission
Approval of recommendations
. October 1 through mid-November
Preparation of all enrollment material
If changing carriers (and therefore, networks). a complete re-enrollment will be
necessary .
. Mid-November to December 31, 1992
Review all the material for accuracy.
Enter into the payroll system and begin proper deduction.
. January 1. 1993
Effective date of new program
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--WITfNER & COMPANY
OCT 22 '96 08:21 FR WITTNER COMPANIES
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813 345 8509 TO 5624877
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P.06/06
COSTS FOR SERVICES
. $9,600 inclusive fee for 1992.
. Includes attendance at meetings, research by staff. support staff timet etc.
. Includes all activities listed in Scope of Services section.
. Payment schedule - $800 ,per month
WITTNER & COMPANY
CITY OF CLEARWATER
1~'1\
Date
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----WITI'NER & COMPANY
** TOTAL PAGE.06 **
FROM :
TEL:
MAR. 5.1997 4:25 AM P 1
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City of Clearwftter
P.O. Box 4148, Clearwftter, A. 34618
FAX
Dale: 03104197
Numbor of pages including cover sheet:
6
Phono:
Fax phone:
cc:
6760
6426
Phone:
Fnx ph()nc:
S62~4815
562-4877
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To:
From:
John Camssas
Annn Fierstoin
Legal Dept.
Anna Fierstein
REMARKS: 0 Urgent 0 For your review 0 Repl)' ASAJ) 0 Please comme~t
Per Ollt telephone conversation a"ftchcd Is documentation showing approval oflhe incl'cnse from SHOO/month to $J200/monlh.
TIlanks for y()ur auistancc.
Re~;:,,'r~D
MAR 04 199t,
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CITY ATTOR~EY
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Interoffice Correspondenet' Sheet
H. Michael ~. Human Resources Director !
S.G. Hlghsml~uman Resources Manager I
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To:
From:
Date: October 11, 1996
CC: Kathy S. Rice, Deputy City Manager
RE: Tom Rlcharme, Wittner Company, City's Insurance Agent
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The purpose 01 this memo Is to request approval to increase tha annual purctsa
order of $9,600 to $14,000 for the services of the City's Insurance Agent. :
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Mr. Rlcharme has provided consultant services for the City at the same annu~1 rate
for the past five years. During this time Mr. Rlcharme has prepared RFP's fo~ health,
EAP/Mental Health and Substance Abuse coverage, dental, long term disability and
various life Insurance coverages. The Benefits budget for fiscal year 199611 !~97
Includes the $'4,000 for the City's Insurance Consultant. i
During the winter/spring of 1991 the City's Insurance Agent may be request,kt to
prepare RFP's for the health, dental, EAP/Mental Health Bnd SubstBnce Abuse
coverages elong with the City's life insurance benefits Mr. Rlcharme has had :the
experience and background to continue to provide this service. .
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In addition to providing professional unbiased, detailed data to Senior Managl~ment,
the Insurance Committee Members, and the Human Resources Department, '~r.
Rlcharme has attended Commission Meetings and others upon request to make
presentations of financial accessments. I
The Insurance Committee Members have an excellent working relationship (a~ well
a8 I) with Mr. Rlcharme. i
Please advise me If there Is any additional information you require to substantiate this
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request. :
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See attached Justification.
4tfllltd.~
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FROM
TEL:
OCT U '9& 15;22 FR JITTNER COMPf.lI"IES
MAR. 5.1997
B13 345 8509 TO 5624177
4:26 AM
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· .FACSIMILf; TRANSMITTAL""
FAX NO.:
PAGE(S):
56%-4177
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October 11. 1996
SUB.n O. Hisbsmitb
Manager, JI,UIUUl ltesoureea Bmployce Relations
City of Clearwater
P.O. Box 4'748
Clearwater. FL 3461R
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My rolatiooship with the City began in the summer of 1991 with a ODe: tunc S l,SOO lbo fur usiJtin, the i
City wilb lito lan\lRIY 1, 1992 medical renewal DClgUtiati(1Ul. I successfully reduced the ret1(:wal inCreaJf
(m" J.S% to zero.
1996 Consulting P..
Dear Susan:
In 19921 was rctainr.d 00 An <maaPJa buis.. tho City's])oQefiU COI\IUltant at a moDtbl)' tetain~ fee oil
$800. This $800 has bceIl unclwJACd 1tom January J, 1992 to December 31, 1996. i
Thcro have bem occasional spn<:jRI pr()jcctl; durina1hc pan four yun that baa required one-timo fees pt1
projact.
During the la&\ four years) havc:
bid the mcdinal plan twice. Tho second tintc resull.od in die three y('Ar PmdentiRl plan that is i..
place.
bj~ boCh life il\luranco pll11l5. lQUlting in three year coatraots at . fi.oct priCD
- bid tb9 dcn1aJ, statutory 1i& and 1hc LTD twice.
dcJipoct. and dowlopod the promotional mR1Wi1ll used fUr the annual open cnro1lmeot proces5.
. been in anendamlD at all lnsul'lUCt C()lUI1\iuce maatings.
carv06 out and iD\elP-ated the HAP and I11C!II1al health ~ of1hc medical plan.
o preputd an RPP for outsonn:inj!, of pcn~iOll adnlmf.tration services (evaluation and
rocommendation imminent). i
sorved as . rt8OUt't.o for tho roity an a wide variety ofbanefi~ issues including but not lirnitod to:
COBRA. Scotion 125 Cafct&:lJa Plan. PM)''', mediCAl trend., medical self insuranco, developm~nt
oI1he rhree tier medical. on.going It:gislative compliance, etc.
.... CENlfW. AVENUE. SUITE 400.61. PETERSRlIRO. f'LORIDA 33110
P.O. BOX 11629 33rJ31G2V. (813) 384-3000' fAX (813) 345-3482
FROM
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TEL:
OCT 11 · 9G 15! 22 FR 1 TTNER CQMPr.lN1 ES
M.. SUI8A Highsmith
Ootobtv 11,1996
Pili' :2
MAR. 5.1997 4:27 AM P 4
813 345 8509 TO 5p241n P.02/0)
. My expertise and involvameol bas lived cbe City (MIl' 52,000,000 in prcmjum increuos since my
lnvolvcmcot bogan.
. Projects tor 1997:
- RFP for D\edicaJ
JUT for both liib plans
RFP for ItatUtDIy life
RFP fPr VPlUDtftI)' cbtal
I have the rcspoct of tho JWlUJ~ Comminoo and tho City'. Human RcaourtCl department, U well as
QOntinuiw. with the City In terms oflnng tllnn uoderstadiDa ofthc City', bemfitli.
Sinc0r'81y,
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Tom Richarme, CUJ
Stll1ior C01l5UllaDt
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FROM
TEL:
MAR. 5.1997 4:27 AM P 5
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Suaan Hl9hamlth
From:
Sent:
To:
Subject:
George McKibben
Wednesday, October 16,1996 11:01 AM
Susan Highsmith
RE: Purchase Order
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Sec.2.564 Item 1 (f) - Profeasional S8\'Vice$ under CCNA include Engineers. Architects. landscape ArC)ttects, but
not Insurance consultants. I recommend that we bid this service this year. In the past, we have justified keeping
Wittner because they have the corporate knowledge. This price increase should justify re-bidding.
From: Sus.n Hlgttamlth
Senl: Friday, October 11. 1996 8:34 AM
To: GeOlg8 McKibben
Co: Anne Fierstein
Subject: Purchase Ofder
Sec. 2564 Exceptions to bid procedures. Item 1 (f) is listed as an exception as follows:
Professional services subject to the Florida Consultants Competitive Negotlatlons Act.
The City's Insurance Consultant. Tom Richarme from Wittner Company has been the City's consulttlnt since
OCtober 1991 for an annual fee 01$9.600 For calender year 1997, he has requested an annu81 tee:of
$14,000. I am requesting approval (from Betty Deptula) to increase the purchase order to accomod .te the
increase and have put the 14.000 in the 1996/97 budget. Is there anything to prohibit this recommMdation In
the purchase order mles and regulations? I will be out of the office this morning, but please ~mlll r'le end
Anna Fierstein with your response or call Anna at 4875. Thanksl
JII' 81,b..I",
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FROM I Ct. EARWt1TER CLTY /1(iR. OFF . TO
Clty of Clearwater
FAX #
(813) s6'1-+877
MAR. 5.1997
4RN RESOURCES
4:28 AM P 6
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