HomeMy WebLinkAbout09/26/1995 BAKERSFIELD
Jacquie Sullivan, Chair
Patricia J. DeMond
Mark Salvaggio
Staff: John W. Stinson
Special Meeting
AGENDA
PERSONNEL COMMITTEE
Tuesday, September 26, 1995
4:00 p.m.
City Manager's Conference Room
1501 Truxtun Avenue, Suite 201
Bakersfield, CA
1. ROLL CALL
2. APPROVAL OF AUGUST 1, 1995 MINUTES
3 PRESENTATIONS
4. PUBLIC STATEMENTS
5. DEFERRED BUSINESS
6. NEW BUSINESS
A. RETIREE MEDICAL INSURANCE
7. ADJOURNMENT
FILE COPY
NOTICE OF SPECIAL MEETING
OF THE
PERSONNEL COMMITFEE
OF THE COUNCIL
OF THE CITY OF BAKERSFIELD
NOTICE IS HEREBY GIVEN that the Personnel Committee of the City Council will hold
a Special Meeting for the purpose of a Committee Meeting on Tuesday, September 26, 1995,
at 4:00 p.m., in the City Manager's Conference Room, Second Floor, City Hall, Suite 201,
1501 Truxtun Avenue, Bakersfield, CA, to consider:
1. ROLL CALL
2. APPROVAL OF AUGUST 1, 1995 MINUTES
3. PRESENTATIONS
4. PUBLIC STATEMENTS
5. DEFERRED BUSINESS
6. NEW BUSINESS
A. RETIREE MEDICAL INSURANCE
7. ADJOURNMENT
Joh~ W. Stinson, Assistant City Manager
FILE COPY
BAKERSFIELD
Alan T Manager _Jacquie Sullivan, Chair
Staff: John W. Stinson Patdcia J. DeMond
Mark Salvaggio
AGENDA SUMMARY REPORT
PERSONNEL COMMITrEE
Tuesday, August 1, 1995
4:00 p.m.
City Manager's Conference Room
City Hall, Suite 201
1501 Truxtun Avenue
Bakersfield, CA 93301
1. ROLL CALL
Call to Order 4:00 p.m.
Present: Councilmembers Jacquie Sullivan, Chair; Patdcia J. DeMond;
and Mark Salvaggio
2. APPROVAL OF MAY 25, 1995 MINUTES
Approved as submitted.
3. PRESENTATIONS
None
4. PUBLIC STATEMENTS
None
AGENDA SUMMARY REPORT
PERSONNEL COMMITTEE
Tuesday, August 1, 1995
Page -2-
5. DEFERRED BUSINESS
None
6. NEW BUSINESS
A. HEALTH CARE CONSULTANT SERVICES
The Personnel Committee met and reviewed the proposed consultants agreement.
The Committee reviewed the proposed plan of work with the consultant, Herb
Kaighan. Staff explained the recommendation to utilize the consultant to perform
basic work activities, specifically, the negotiation and renewal of annual contracts
with the city's health care providers. At the request of the Committee,
Mr. Kaighan indicated that he would include as part of the Basic Annual Activities
at no additional charge a preliminary review of both SISK (Self Insured Schools
of Kern) and PERS (Public Employees Retirement System) as possible health plan
alternatives. The Committee concurs with staff that a marketing of the health
plans is not recommended at this time and that it would be premature to perform
an actuarial analysis of the retiree health benefits until that issue is resolved.
The Committee discussed with staff the progress of the retiree health care issue
and requested that the City Council be provided a copy of the report prepared by
the Health Care Consultant. The Committee also requested that staff resolve the
retiree health care issue in a timely manner.
Based upon the work plan presented by staff and the consultant which would
include the Basic Work Activities with a preliminary review of SISK and PERS at
no additional cost, the Committee recommends approval of the consultants
agreement.
B. MEMORIAL HOSPITAL/MERCY HOSPITAL MERGER
Staff requested guidance from the committee regarding their concerns related to
the proposed Memorial Hospital/Mercy Hospital merger. Staff indicated that there
is very little information available regarding the specifics of the merger which
makes it difficult to evaluate impacts on the City. Staff will be meeting with
representatives from SISK and Kern County to see if they have any information
AGENDA SUMMARY REPORT
PERSONNEL COMMITTEE
Tuesday, August 1, 1995
Page -3-
and will also send letters of inquiry to both hospitals to gain additional
information. Staff will also attempt to find out which governmental regulatory
agencies may be involved in the proposed merger. -
Councilmember Salvaggio shared several letters received by himself and the
Mayor and requested that they be distributed to the full CoUncil for information.
'7. ADJOURNMENT
The meeting was adjourned at 5:00 p.m.
Staff present: City Manager Alan Tandy; Assistant City Manager John W. Stinson; and
City Attorney Judy Skousen.
Others present: Herbert V. Kaighan, Health Care Consultant; and Marc Benjamin, The
Bakersfield Californian.
cc: Honorable Mayor and City Council
RETIREE MEDICAL PLAN DESIGP
· Should encourage managed' care options.
· Should encourage use of Medicare. when eligible (Employees hired after
1985 are all eligible).
· Rates should recognize participation in Medicare and Medicare Risk
optional coverages
· Promote equity of benefit for those now in plan.
· Identify subsidies and their rationale.
· Limit future liability for growing uncontrollable costs.
· Identify benefits for disability retirees.
· Pursue options for retirees outside the HMO coverage area.
· Be flexible to be able to respond to a changing health care environment.
· Legal constraints (collective bargaining and statutory).
RETIREE MEDICAL PLAN OPTIONS
General Recommendations:
· Implement Medicare Risk option for retirees with the City contributing the
fiat dollar amount of the Medicare Premium ($46.10). The City would
reserve the right to modify or delete this practice in the future in response
to significant changes in medical plans by providers, economic or legal
conditions.
· Require that employees not yet hired will participate in the retiree medical
plan only as follows:
1. Employees must retire from service with the City of Bakersfield and
have a minimum twenty (20) years service with the City of ..
Bakersfield.
2. Eligible retirees will receive a rate contribution from the City based on
3% of the lowest (HMO or Fee For Service) single coverage rate
(either under 65 or over 65 depending on the retirees age) per full
year of service up to a maximum of thirty years service or 90% of the
applicable ,rate.
3. All retirees eligible for Medicare Part B are required to enroll as a
condition of participation in the City's retiree medical plans.
4. Disability retirees are eligible to participate and receive credit for their
actual years of service only.