HomeMy WebLinkAboutItem 24 - Dental Plan MEMO TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: BRUNO RUMBELOW, CITY MANAGER
MEETING DATE: SEPTEMBER 17, 2024
SUBJECT: APPROVAL TO RENEW DENTAL PLAN ADMINISTRATIVE SERVICES
AGREEMENT
RECOMMENDATION: City Council to consider approval to renew contract for third-party
administrative services with CIGNA for the City's self-funded dental plan.
FUNDING SOURCE: Funds are available in General Fund (Risk Management) in the estimated
annual amount of$36,000.
BACKGROUND: The purpose of this contract is to establish annual pricing for third-party
administration (TPA) for the City's self-funded Dental Plan. The TPA
processes and pays dental claims on behalf of the City and provides
access to network discounts. They also provide education and other oral
health programs to our members.
CIGNA's network includes over 151,000 providers nationally. CIGNA
process nearly 2,500 claims annually for the City's dental plan. CIGNA
has agreed to a three-year contract without a rate increase. CIGNA has
provided these services in the past with successful results.
Staff recommends approval.