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County Administrator's Report 14. 7.
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| BCC Regular Meeting |
Budget & Finance Consent |
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| RECOMMENDATION: |
Recommendation Concerning Approval to Issue Fiscal Year 2018-2019 Purchase Orders Totaling $50,000 or Greater - Eric Kleinert, Human Resources Department Director
That the Board approve the issuance of two additional Fiscal Year 2018-2019 Purchase Orders and/or Blanket Purchase Orders from previously awarded or approved annual requirement Contracts or Contractual Agreements for the Human Resources Department:
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Vendor/Contractor
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Not-To-Exceed Amount |
Contract |
| A. |
The Lincoln National Life Insurance Company
(Jan – Sep 2019)
Vendor # 425648
Long Term Disability
Cost Center 150113
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$65,000 |
Bidding process completed by USI on behalf of the County. Contract approved on 09/06/2018 Board Meeting; effective 01/01/2019. |
| B. |
Humana Insurance Company
(Jan – Sep 2019)
Vendor # L21633
Vision Care Insurance
Cost Center 150114
Vision Care Coverage
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$95,000 |
Bidding process completed by USI on behalf of the County. Contract approved on 09/06/2018 Board Meeting; effective 01/01/2019. |
[Funding: Fund 501, Worker’s Compensation, Health and Life Funds]
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| BACKGROUND: |
The Human Resources Department has two additional Purchase Orders that, during the course of the Fiscal Year, equal or exceed $50,000 to support the employee benefits. Issuance of these Purchase Orders is essential to ensure continuity of benefits for employees and retirees.
Long Term Disability – USI went out to bid for long term disability insurance in 2018 for the County and received six proposals. The County received a 24 month guaranteed rate for its voluntary long term disability insurance programs from Lincoln Financial Life Insurance, from January 1, 2019 through December 2020. All four plans received a cost reduction for the employees that elect coverage while maintaining the current plan designs. Total cost savings for the employees enrolled in the plan will be approximately $8,495 per year or $16,990 for the length of the Contract.
The awarding of a three-year Contract to Lincoln National Life Insurance Company for Long Term Disability Insurance, effective January 1, 2019, for a period of 24 months, was approved on the September 6, 2018 Board meeting (CAR-II, Item 33). Savings for the long term disability and life insurance Contracts was a bundle deal through Lincoln National Financial Life Insurance Company.
In addition, we are changing the method of paying the premiums in that the Board will pay for all agencies. Employees pay for the premiums and the premiums will be passed through a revenue account. The vendor will receive one reimbursement check instead of multiple checks. The Human Resources Department will reconcile the bill on a monthly basis.
Human Insurance Company - USI went out to bid for vision insurance coverage in 2018 for the County and received seven proposals. The County received a 36 month guaranteed rate from Humana Insurance Company for January 1, 2019 to December 2021, which reduced the cost of vision care for the employees. The awarding of a three-year Contract to Humana Insurance Company for vision care administration, effective January 1, 2019 to December 31, 2021, for a period of 36 months, was approved on the September 6, 2018 Board meeting (CAR-II, Item 29.)
In addition, we are changing the method of paying the premiums in that the Board will pay for all agency’s premiums. Employees pay for the premiums and the premiums will be passed through a revenue account for the Board to pay the premiums. The vendor will receive one reimbursement check instead of multiple checks. The Human Resources Department will reconcile the bill on a monthly basis. |
| BUDGETARY IMPACT: |
Funding for the above Purchase Orders is through Fund 501, Worker’s Compensation, Health and Life Fund.
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| LEGAL CONSIDERATIONS/SIGN-OFF: |
This is in accordance with Florida Statutes 112.09 and 112.0801.
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| PERSONNEL: |
N/A
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| POLICY/REQUIREMENT FOR BOARD ACTION: |
County Ordinance, Chapter 46, Article II, Section 46-64 providing for Board approval of Contracts of $50,000 or greater.
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| IMPLEMENTATION/COORDINATION: |
Upon Board approval, the Human Resources Department will generate a Purchase Order as an instrument for placing orders and making payments to provide services. The Human Resources Department will coordinate with the Office of Purchasing.
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