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5.f) Staff Report-2015 Health InsuranceSCANDIA Staff Repovt Date of Meeting: October 21, 2014 To: City Council From: Kristina Handt, City Administrator Re: 2015 Health Insurance Background: Last year the Council approved switching health insurance carriers from Blue Cross Blue Shield to Health Partners. The plan description was similar- $1500 individual/ $3000 family deductible. The City covers 100% of single coverage and 80% of family coverage. The Council also continued to contribute to an HSA since this was a high deductible plan. The contributions are $105/month for individual coverage and $140/month for family coverage. The change resulted in a $16,000 savings to the City. At the October work session the Council indicated their desire to renew the current health insurance plan for 2015 but to plan to look closer at changes in the following year. Issue: What health insurance plan should the City approve for 2015? Proposal Details: Included in your packet is a resolution to continue with the current plan and contributions for 2015. Health Partners must be notified by the first week in November if the City plans to change plans for the coming year. Fiscal Impact: The monthly premium for the group will increase from $3,536.20 to $4,817.91 beginning in December. This results in approximately a $10,000 increase for the 2015 budget. These funds are included in the draft budget. Options: 1) Approve Resolution 10-21-14-01 2) Amend and then Approve Resolution 10-21-14-01 3) Do not approve Resolution 10-21-14-01 Recommendation: Option 1