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HomeMy WebLinkAbout~Master - Renewal of administrative services contract Flexible Spending Account benefit RESOLUTION NO. 15-681 RESOLUTION APPROVING FLEXIBLE SPENDING ADMINISTRATIVE AND CLAIMS PROCESSING SERVICES RENEWAL FOR THE CITY OF AMES WHEREAS,Flexible Spending Accounts provided to benefit-eligible City employees allow employees to set aside a portion of their earnings to pay for qualified medical and dependent care expenses; and, WHEREAS, money deducted from an employee's pay into a Flexible Spending Account is not subject to payroll taxes,resulting in payroll tax savings to both the employee and the City; and, WHEREAS, over the past several years,the City has contracted with Wellmark Blue Cross Blue Shield to administer the flexible reimbursement program, and this includes automatic reimbursement of health and pharmacy claims processed through Wellmark,as well as direct deposit of reimbursements when elected; and, WHEREAS,effective January 1,2016,Wellmark will charge $5.25 per contract per month in claims processing fees and $400 in annual administration fees, and the charge per contract per month is a 4.7% or $.25 increase from 2015; and, WHEREAS, the annual administration fee will remain at the same rate as 2015. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Ames, Iowa, that renewal for administrative and claims processing services for the Flexible Spending Account benefit with Wellmark Blue Cross Blue Shield of Iowa from January 1,2016,to December 31,2016, is hereby approved. ADOPTED THIS l Oth day of November, 2015. CdA�a-_LA� a& www"y"-wl- UV. eA*6t1AAd11 Diane R. Voss, City Clerk Ann H. Campbell, Mayor Introduced by: Goodman Seconded by: Betcher Voting aye: Betcher, Gartin, Goodman,Nelson, Orazem Voting nay: None Absent: Corrieri Resolution declared adopted and signed by the Mayor this I Oth day of November, 2015.