Reso 2024-3698 - Laserfiche WebLink

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��c �t f5fl�k �y�. rr o� su« r� City of Sunny Isles Beach 18070 Collins Avenue Sunny Isles Beach, Florida 33160 (305) 947-0606 City Hall (305) 949-3113 Fax MEMORANDUM TO: Honorable Mayor and City Commissioners FROM: Stan Morris, City Manager DATE: August 15, 2024 RE: Personnel Policy Amendment RECOMMENDATION: It is recommended that the City Commission approve this resolution. REASONS: Based on the exorbitant increase to our health insurance costs year over year, I was tasked by this Commission to look at how we could mitigate these increases for the future. Insurance plan rates are based on actual medical claims incurred by members of the covered group. The actual medical claims of our group have consistently increased substantially each year resulting in a proposed rate increase of 35% last year which resulted in changing our health insurance provider. Based on the direction I was given by this Commission, we looked at options as to how we can avoid the same scenario for next year. During our global review with our insurance broker, it was noted that there is a policy that a previous city commission approved in January, 2019 that is extraordinary. This policy provides for health insurance benefits for charter officers that is separate from the city, without the requirement that the charter officer be retired. This extraordinary policy is not required under Section 112.0801, Florida Statutes, which regulates group insurance participation for retired employees, and may therefore be lawfully rescinded. This is the only item that was identified as a future cost savings that would not have a negative impact on our current and future employees. If the city commission decides to rescind this benefit, it would need to be effective soon to realize any cost savings for this upcoming renewal. Now is the time to determine if this is a benefit that this current Commission wishes Item Number: 10.1-1 245