HomeMy WebLinkAbout2019-201-3330 Renewal Avemed Employee Group Medical Insurance RESOLUTION NO. 2019-201-3330
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
MIAMI GARDENS, FLORIDA, AUTHORIZING THE CITY
MANAGER TO RENEW THAT CERTAIN AGREEMENT WITH
AVMED, INC., FOR EMPLOYEE GROUP MEDICAL INSURANCE
FOR CALENDAR YEAR 2020; PROVIDING FOR THE ADOPTION
OF REPRESENTATIONS; PROVIDING FOR AN EFFECTIVE
DATE.
WHEREAS, in 2013, the City conducted a formal bid to obtain Employee Health
Insurance Plan services for Calendar Year 2014, and
WHEREAS, the contract was awarded to AvMed, Inc. ("AvMed"), with a one point
five percent (1.5%) rate increase for HMO Plan Coverage and eight point five percent
(8.5%) rate increase for POS Plan coverage, with the option to renew annually, as
agreeable by both parties, and
WHEREAS, the City's Group Health Insurance coverage expires December 31,
2018, and
WHEREAS, AvMed proposed a forty percent (40%) rate increase to our current
2018 in-force rates and current benefits to renew the City's Group Employee Health
Insurance for Calendar Year 2019, and
WHEREAS, after staff negotiations AvMed agreed to a twenty-seven percent
(27%) increase from our current 2018 in-force HMO rates, resulting in a thirteen percent
(13%) savings compared to the initial proposal, with no change to benefits, and
WHEREAS, the City engaged an agent of record/insurance broker (PRIA) to
provide professional services related to the City's Health Insurance, and other related
programs, and
WHEREAS, the Firm selected was tasked with providing a viable and very
competitive carrier for Health Insurance, and
WHEREAS, PRIA provided quotes from Health Insurance Carriers with
comparable benefit coverage as our current AVMED plan, and
WHEREAS, the average increase with these comparable carriers was a 47.9%
increase to HMO premium; a 46.8% increase to POS premium and a 19.6% increase to
the POS Choice premium, and
WHEREAS, the City has negotiated an overall 18% insurance premium increase
for the 2020 fiscal year.
WHEREAS, City Staff recommends the City Council authorize the City Manager
to renew that certain Agreement with AvMed for employee group medical insurance for
Calendar Year 2020,
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF MIAMI GARDENS, FLORIDA AS FOLLOWS:
Section 1 : ADOPTION OF REPRESENTATIONS: The foregoing Whereas
paragraphs are hereby ratified and confirmed as being true, and the same are hereby
made a specific part of this Resolution.
Section 2: AUTHORIZATION: The City Council of the City of Miami Gardens
hereby authorizes the City Manager to renew that certain Agreement with AvMed, Inc.,
for employee group medical insurance for Calendar Year 2020, with no change to
benefits and a 18% increase in premiums.
Section 1 EFFECTIVE DATE: This Resolution shall take effect immediately
upon its final passage.
PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF MIAMI
GARDENS AT ITS REGULAR MEETING HELD ON SEPTEMBER 25, 2019.
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Resolution No. 2019-201-3330
r
OLIV R GILBERT, III, MAYOR
ATTEST:
MARIO BATAILLE, CITY CLERK
PREPARED BY: SONJA KNIGHTON DICKENS, CITY ATTORNEY
SPONSORED BY: CAMERON D. BENSON, CITY MANAGER
Moved by: Councilman Williams Jr.
Seconded by Councilman Williams
VOTE: 7-0
Mayor Oliver Gilbert, III X (Yes) (No)
Vice Mayor Rodney Harris X (Yes) (No)
Councilwoman Katrina Wilson X (Yes) (No)
Councilman Erhabor Ighodaro, Ph.D. X (Yes) (No)
Councilwoman Lillie Q. Odom X (Yes) (No)
Councilman Reggie Leon X (Yes) (No)
Councilman David Williams Jr X (Yes) (No)
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Resolution No. 2019-201-3330