HomeMy WebLinkAboutSR - C27650 - Employee Dental BenefitsJCF
CITY OF PALM DESERT
HUMAN RESOURCES DEPARTMENT
STAFF REPORT
REQUEST: Request for approval of Contract No. C27650 with Delta Dental through
June 30, 2009.
SUBMITTED BY: Lori Carney, Human Resources Manager
CASE NOS. N/A
DATE: May 8, 2008
CONTENTS: Staff Report
Contract C27650 Delta Dental
Recommendation:
By Minute Motion authorize Mayor to approve Contract No. C27650 with Delta Dental
through June 30, 2009.
Executive Summary:
A yes vote will approve an additional Delta Dental contract for HMO style employee dental
benefits through June 30, 2009.
Discussion:
The City receives broker services from A.B.D. for dental, vision, life and long/short term
disability insurance. A.B.D. negotiates rates and contracts on our behalf as part of a municipal
pool. The City approved Contract No. C26820 with Delta Dental to provide employee dental
benefits July 1, 2007 through June 30, 2009.
A.B.D. has presented the City with an alternative plan through Delta Dental, which provides
HMO style plan administration for dental services. This plan will be offered to employees in
addition to our current indemnity plan as an alternative. The proposed plan is available at a
lower premium cost, which represents a savings to the City, and would result in lower out-of-
pocket costs for employees who choose it.
G:V-IRWR Group DocumentslStaf Reports'Detta Dental HMO Contract 2008-2009.docx
It is predicted that relatively few employees will enroll in this plan; however it does provide
options for those employees for who control of out-of-pocket costs outweighs personal choice in
their dental providers. The monthly premium per employee is as follows:
Employee Only
Employee + 1 dependant:
Employee + 2 or more:
$19.02
$34.27
$50.71
These premiums are significantly lower than our current PPO/Indemnity Dental plan premiums.
The benefit for employees who choose this plan is that the out-of-pocket costs are lowered by
using a "gatekeeper" dentist and receiving preauthorization for treatments.
Fiscal Impact:
There is no increase in costs associated with approving this contract. Depending upon the
number of employees who enroll in the plan there could be a modest costs savings.
Submitted by:
Lori Carney,
Human Res ces Manager
Approval:
- "Carlos Ort ga,
City Mana• -r
Division Head:
Sheila Gilligan
Assistant City Manager Community Services
Paul Gibson,
Finance Director
CITY COUNCIL/ ACTION:
APPROVED V DENIED
RECEIVED OTHER
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Original on File withJCity Clerk's Office
G:IHRIHR Group Documents \Staff Reports\Delta Dental HMO Contract 2008-2009.docx
M I:II,:i:li
January 16, 2008
Lori Carney
Human Resources
City of Palm Desert
73-510 Fred Waring Drive
Palm Desert, CA 92260
RE: Delta Care Group # 02012-0074 & 0075 (COBRA)
Dear Lori:
Please find enclosed two (2) copies of the DeltaCare Group contract and two (2) copies of the
HIPPA Business Associates Addendum.
I have reviewed them for accuracy. Please obtain signatures on the signature pages and
return a copy to me in the enclosed envelope. Please retain a signed copy for your files.
Should you have any questions, please call me at (310) 543-9995.
Sincerely,
Deirdre Dwane
Account Manager
Enclosures
cc: Kristin Yokoyama
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