07-06-1998 CC MIN - Laserfiche WebLink

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Elk River City Council Minutes Page 4 July 6, 1998 COUNCILMEMBER THOMPSON MOVED TO ADOPT RESOLUTION 98-78 ACCEPTING BID AND AUTHORIZING EXECUTION OF CONTRACT IN THE MATTER OF THE BOSTON STREET, RAILROAD DRIVE, GUARDIAN ANGELS/LAKE ORONO, JACKSON/HOLT UTILITY, AND SCHOOL STREET IMPROVEMENTS OF 1998 CONTINGENT UPON THE CITY RECEIVING THE EASEMENTS FROM THE SCHOOL DISTRICT FOR THE EAST SIDE OF PROCTOR AND AN AGREEMENT FROM THE SCHOOL DISTRICT TO PAY 50 PERCENT OF THE WEST SIDE IMPROVEMENT. COUNCILMEMBER FARBER SECONDED THE MOTION. THE MOTION CARRIED 5-0. 4.2. Telephone and Voice Mail Year 2000 Compliance Assistant City Administrator Lori Johnson provided quotes to the Council to update the city's voice mail and to make the telephone and voice mail year 2000 compliant. She indicated that the price for the voice mail system is `$$9,594.54 and the pdce to bring the phone system into compliance for the year 2000 is `$$6,732.59. COUNCILMEMBER HOLMGREN MOVED TO AUTHORIZE THE FOLLOWING EXPENDITURES TO COME FROM THE COUNCIL CONTINGENCY FUND: $9,594.54 PAYABLE TO AVT CALLXPRESS 3 TO UPGRADE THE TELEPHONE SYSTEM; AND $6,732.59 PAYABLE TO THE EXECUTONE SWITCH WHICH WILL BRING THE PHONE SYSTEM INTO COMPLIANCE FOR THE YEAR 2000. COUNCILMEMBER THOMPSON SECONDED THE MOTION. THE MOTION CARRIED 5-0. 4.3. Consider Health and Dental Insurance Proposals Assistant City Administrator Lcd Johnson explained that the city's non union health and dental insurance contracts with Medica will exlbire on July 31. She indicated that the city no longer qualifies to be pad of the Minnesota Chamber Coalition and, therefore, staff has requested proposals for insurance coverage. She indicated that the city received proposals from Medica, Blue Cross and Blue Shield, League of Minnesota Cities Insurance Trust, Epic Life, and Hanratty and Associates. Lori Johnson informed the Council that after reviewing premium rates and coverage, Medica and Blue Cross/Blue Shield were selected as the two best proposals. Lori distributed a handout explaining the rates from Blue Cross and Medica. Representatives from Hanratty and Associates gave a presentation to the Council regarding a self funding select 105 program. The consultants indicated that although there would be risks involved to the city by picking up the deductible for city employees and family members, they felt that the city and employees would come out ahead with this type of proposal. Barry Rosenberg, the city's insurance consultant, indicated that he did not feel the city was in a position to assume any additional dsk and recommended that the city stay with a fixed cost insurance coverage. He further indicated that it was his recommendation that the city renew with Medica. Councilmember Diefz questioned why the city does not consider a policy which offers a `$200 deductible or an 80/20 plan so as to lower the insurance premium cost to the employees. Lori Johnson indicated that this could be a possibility.