ITEM TITLE:
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Consider extending the current contracts with BlueCross BlueShield (BCBS) for the purpose of providing health care insurance coverage for City of Lawton retirees over the age of 65 for an additional year, as authorized by the contract.
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INITIATOR: Human Resources Director, Craig Akard
STAFF INFORMATION SOURCE: Human Resources Director, Craig Akard
BACKGROUND: The City of Lawton is currently under contract through December 31, 2021 for Retiree over 65 health insurance with BCBS. The proposed contract extension includes an overall premium decrease. BCBS has agreed to an extension with the same terms and conditions that are current in effect. The premium decreases are depicted below:
Stop Loss Current New
Premium Rates Premium Rates
Medicare Supplement Plan F $227.55 $222.00
Rx PDP Plan $226.20 $218.00
TOTAL $453.75 $440.00
EXHIBIT: Contracts are on File in the City Clerk’s Office
KEY ISSUES: Does the City of Lawton wish to extend the contracts with BlueCross BlueShield for an additional year to include the overall premium decrease?
FUNDING SOURCE: N/A - Premiums are paid solely by the retiree
STAFF RECOMMENDED COUNCIL ACTION: Approve extending the current contracts with BlueCross BlueShield for the purpose of providing health care insurance coverage for eligible City of Lawton retirees over the age of 65 for an additional year, as authorized by the contracts.