LEGISLATIVE RESEARCH CENTER
File #: 16-1413    Name:
Type: Consent Item Status: Passed
File created: 11/28/2016 In control: Broken Arrow City Council
On agenda: 12/6/2016 Final action: 12/6/2016
Title: Approval of and authorization to execute a renewal agreement with CoreSource, Inc. to continue to provide third party administration for the employee health and dental plan
Attachments: 1. Exhibit A Installation, Administrative and Additional Service Fees, 2. Renewal Letter, 3. CoreSource Agreement
Broken Arrow City Council
Meeting of: 12-06-2016

To: Mayor and City Council
From: Office of the City Manager
Title:
title
Approval of and authorization to execute a renewal agreement with CoreSource, Inc. to continue to provide third party administration for the employee health and dental plan
End
Background:
The City provides a comprehensive health and dental plan for its employees and their families. Since 1989, our plan has been self-insured. With this concept, the City contracts with a third party administrator to administer the plan and pay claims. On October 6, 2015 the Council approved an agreement with CoreSource, Inc. to provide third party administration for the employee health and dental plan for calendar year 2016.

The agreement includes an automatic renewal for one year periods if agreed upon by both parties. The renewal for calendar year 2017 includes a slight increase in administrative fees from $15.04 to $15.49. The PPO access fee will also increase from $3.50 to $3.70. All other terms of the agreement remain the same. The proposed annual fee for CoreSource, Inc. third party administration services is $167,793.60.

Staff recommends approving the agreement for another renewal term.

Cost: $167,793.60
Prepared By: Jannette McCormick, Human Resources Director
Reviewed By: Finance Department
Assistant City Manager of Administration
Legal Department

Approved By: Michael L. Spurgeon, City Manager

Attachments: Exhibit A Installation, Administrative and Additional Service Fees
Renewal Letter
CoreSource Agreement


Recommendation:
Approve the renewal with CoreSource, Inc. to provide third...

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