HomeMy WebLinkAboutItem 09 - Post-65 Retiree Health Insurance MEMO TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: BRUNO RUMBELOW, CITY MANAGER
MEETING DATE: NOVEMBER 21 , 2017
SUBJECT: APPROVAL TO RENEW ANNUAL CONTRACTS FOR POST-65
RETIREE HEALTH INSURANCE
RECOMMENDATION:
City Council to consider approval to renew annual contracts with Aetna Inc. and Group
Administrative Concepts for post-65 retiree health insurance.
FUNDING SOURCE:
Funds are available in account 100-45670-109-001 (Retiree Health Claims and Premiums)
in the annual estimated amount of $600,000.00.
BACKGROUND:
The City of Grapevine retirees age 65 and over (Medicare eligible) currently have the
option of a Medicare Advantage PPO (Part C) and Medicare Rx Plan (Part D) with Aetna
or a Medicare supplement (Part F) and Medicare Rx Plan (Part D) with Group
Administrative Concepts. Both policies provide services and programs beyond the
coverage of original Medicare. Retiree premiums for these plans are partially subsidized
by the City. This contract will renew both policies.
Request for proposals were taken in accordance with Texas Local Government Code
Chapter 252.022. The RFP public notice was placed in the Fort Worth Star-Telegram on
August 23 and 30, 2016. The contract was for one year with four optional, one year
renewals. If approved, this will be for the first renewal option.
Staff recommends approval.
MH/GJ