Laserfiche WebLink
i <br /> Elk River <br /> Municipal Utilities UTILITIES COMMISSION MEETING <br /> TO: FROM: <br /> Elk River Municipal Utilities Commission Wage and Benefits Committee: <br /> John Dietz—Chair John Dietz, Troy Adams, Mark Fuchs, Theresa <br /> Daryl Thompson— Vice Chair Slominski <br /> Al Nadeau—Trustee <br /> MEETING DATE: AGENDA ITEM NUMBER: <br /> October 8, 2013 5.4 <br /> SUBJECT: <br /> Wage and Benefits Committee Update: Health and Dental Insurance <br /> BACKGROUND: <br /> At the September Commission meeting, staff updated the commission that our health insurance <br /> renewal was a 22% increase for 2014. The Wage and Benefits Committee met to review <br /> alternatives for health insurance on September 17`h and October Is'. Six different alternative <br /> plans were reviewed and discussed, in addition to the 100% hospitalization plan currently <br /> offered. <br /> The dental insurance renewal for 2014 was received and it is a 5.9% increase, however this is <br /> only approximately $2,000 in premium dollars. The committee is not recommending any change <br /> to the employee deduction for dental. The LTD and life insurances remain unchanged for 2014. <br /> DISCUSSION: <br /> Alternative health plans were brought forward to consider offering in addition to our current <br /> plan, since we have the capability to offer two plans. The employees would then have the option <br /> to choose a plan to participate in. The committee selected the best of the alternatives compared <br /> to what we currently offer, and that is an HSA plan that is 100% coverage after meeting the <br /> deductibles of single $1,250 and family $2,500. <br /> It was suggested that we consider an adjustment to the current employer/employee share of <br /> 80%/20% to be adjusted to 75%/25% for the current plan. This is currently in our Employee <br /> Handbook as policy for an 80%/20% sharing. If this was to be changed, the commission would <br /> need to change the policy. <br /> It was also suggested that we consider the employer contributing an amount towards the <br /> deductible in the HSA accounts to encourage participation. The suggested contribution would be <br /> funded from the employer's premium savings for those selecting to go to an HSA. As a starting <br /> point, the contribution was suggested as the difference of the savings between the current plan <br /> and the HSA plan premiums. This would then be an equal contribution from the employer to <br /> RA INATURE� <br /> 3 Page 1 of 2 <br /> Reliable lProvide� <br /> POWERED TO SERVE <br /> 48 <br />