Employee Benefit Trust Minutes - 10/14/2016 City of Wichita Falls
Employee Benefits Trust Board Minutes
October 14th, 2016
The meeting was held in the City Council Conference Room, 1300 Seventh Street,
Wichita Falls, TX 76301.
Present: Glenn Barham, Mayor
Darron Leiker, City Manager
Jim Dockery, Deputy City Manager
Kinley Hegglund, City Attorney
Christi Klyn, Human Resources Director
Pat Halverson, Director of Finance
Angela Bosma, Employee Benefits Specialist II
Brittany Franklin, Employee Benefits Specialist I
Brent Weegar, IPS Advisors, Principal
Rebekah Ross, IPS Advisors, Sr. Account Executive
Bennett Champagne, IPS Advisors, Corporate Benefits Analyst
Agenda Items:
Meeting was called to order at 10.00 a.m.
II. Minutes from previous meeting were approved.
III. Financial report was presented and discussed.
IV. IPS Best and Final Offers (BAFO) Request for Proposal (RFP) Recommendations
and Plan Design Confirmation
a. RFP — BAFO Responses:
i. Third Party Administrators (TPA): BCBSTX (Incumbent) and Cigna
ii. Medical Stop Loss: Stealth [Highmark] (Incumbent) and SA Benefit
Services
iii. Pharmacy Benefits Manager: Express Scripts (Incumbent), BCBSTX
and Cigna
iv. Dental —ASO: Humana (Incumbent), BCBSTX, and Cigna
v. Life and Disability: Sun Life (Incumbent)— no response and Symetra
vi. Optional Vision: Humana (Incumbent), Avesis, and Superior Vision
vii. EAP: Deer Oaks (Incumbent) and Interface
b. 2017 Recommendations:
i. TPA: BCBSTX due to proposed -3.7% decrease to their administrative
fees and rate caps on their administrative fees of +4% for years 2 and 3
of the contract.
ii. Stop Loss: pending; Stop Loss vendors require claims data through
October (TBD)
iii. Health Plan Design and Contributions:
1. Continue HDHP with H.S.A. and Catastrophic Plans
2. Discontinue Enhanced (High) Plan and make no significant
changes to Core, Catastrophic or HDHP/H.S.A.; increase
premiums for Core plan only.
3. Renewal with Express Scripts due to additional AWP discounts
and more than double of 2016 rebate guarantees for 2017; final
pricing provided approximately 3% additional savings over other
offers; and the City will be allowed to retain current network,
formulary and pharmacy plan design.
4. Renewal with Humana due to strongest provider network (no
network disruption).
5. Change to Superior Vision. Rates will receive a +4.7% increase
over current rates and will be guaranteed for 4 years. Superior
Vision significantly increases in network access by including big
box retail chains (Walmart, Sam's, etc.) that are not currently in
the Humana network.
6. Change to Symetra Life and Disability due to a substantial match
of the current plan of benefits, while the City will experience a
-23.9% (or -$28,455) reduction to annual premium costs, and
rates are guaranteed for 3 years.
7. Renewal with Deer Oaks EAP. Rates will renew at no increase
and will be guaranteed for 2 years.
V. Open Session — no business.
VI. Meeting was adjourned.