HomeMy WebLinkAbout~Master - Renewal of Administrative Services Agreement with Wellmark Blue Cross Blue Shield RESOLUTION NO. 15-248
RESOLUTION APPROVING RENEWAL OF HEALTH INSURANCE
ADMINISTRATIVE SERVICES CONTRACT WITH WELLMARK BLUE CROSS BLUE
SHIELD OF IOWA
FOR THE CITY OF AMES, IOWA
WHEREAS, 11 years ago, the City sought alternative bids for administrative services and
excess coverage for our self-insured health and pharmacy programs, and at that time, the City added
requirements developed by an internal Health Insurance Team whose final report and recommendations
served as the basis for the request for proposal (RFP); and,
WHEREAS, the RFP yielded three quotations, and the City Council subsequently approved
award of the administrative services and excess coverage to Wellmark Blue Cross Blue Shield of Iowa;
and,
WHEREAS,Wellmark has provided good customer service and has had a commendable record
of accurate and timely claims payments; and,
WHEREAS,Wellmark also has advantageous contractual relationships with medical providers
in Ames and throughout Iowa that allow the City to receive significant discounts on services received;
and,
WHEREAS, Wellmark has a proven record of being able to administer the existing plans and
has been a willing and capable partner in our efforts to improve the health status of employees and their
families through quality programs and health promotion; and,
WHEREAS, effective July 1, Wellmark will charge $42.26 per employee per month in
administrative and access fees for a yearly estimated total of$273,845,and this is an increase of 1.98%
from 2014/15; and,
WHEREAS,the total increase for these Wellmark administrative fees,access fees,and stop loss
coverages will be 8.79% for 2015/16, and this expense can be covered by the 9% health insurance
increase that was included in the adopted FY 2015/16 budget.
NOW,THEREFORE,BE IT RESOLVED by the City Council of the City of Ames,Iowa,that
the contract renewal with Wellmark Blue Cross Blue Shield of Iowa for administrative services,
specific and aggregate excess insurance, and access fees for benefits effective July 1, 2015, through
June 30, 2016, is hereby approved.
ADOPTED THIS 28th day of April, 2015.
Diane R. Voss, City Clerk Ann H. Campbell, Mayor
Introduced by: Nelson
Seconded by: Goodman
Voting aye: Betcher, Corrieri, Gartin, Goodman, Nelson, Orazem
Voting nay: None Absent: None
Resolution declared adopted and signed by the Mayor this 28th day of April, 2015.