Business Services Action Item

DATE:	Tuesday, March 6, 2018
TO:	School Board Members
FROM:	Jeff Eakins, Superintendent
SUBJECT / RECOMMENDATIONS
Accept the Highest Ranking Reply from Humana Medical Plan, Inc. - Invitation to Negotiate (ITN) #17144-DST-IV Group Health Plan Services ITN (Business Services Division)
EXECUTIVE SUMMARY
On November 1, 2017, Procurement Services, in conjunction with the Employee Benefits Department, issued an ITN to secure a group health plan provider for 2019. Three replies were received and evaluated by a committee of District personnel and representatives from the Hillsborough School Employees Federation, Hillsborough Classroom Teachers Association, Hillsborough Association of School Administrators, and Hillsborough Educators Association - Retired. After evaluation, the committee determined that Humana Medical Plan, Inc., be recommended for award. Without any plan design changes for 2019, the maximum increase in premium for 2019 is 3.3%. The national trend is 8.9%. The District's Insurance Committee will now work to determine appropriate plan design changes for 2019, and will bring those results to the Board, at a future meeting. The initial term of this agreement will be for 1 year, beginning January 1, 2019, with a 1-year renewal. There is a 30-day termination for convenience clause included in this contract.  This contract will be reviewed and evaluated annually and may be renewed by the Superintendent, per the terms of the specifications.
STRATEGIC OBJECTIVES
• Establish a strong foundation of financial stewardship
FINANCIAL IMPACT (Budgeted:  Yes)
Expenditures for January 1, 2019, through December 31, 2019, are projected to be $161,447,149.  Based on the anticipated enrollment of 24,407 employees (including opt outs), funds in the amount of $161,447,149 will be budgeted in the Employee Benefits Budget for the agreement period of January 1, 2019, through December 31, 2019.
EVALUATION
Contract administration and evaluation is performed by the Project Manager (the "End User") and the Procurement Officer, who function as a team, by utilizing an online vendor performance report or via in-person reviews. The evaluation consists of an assessment of the vendor-provided goods and services, deliverables, and compliance with contractual requirements. The resulting data will support renewal decisions and/or alterations to a new agreement.
SUBMITTED BY:  Corey A. Murphy, General Manager, Procurement Services Dr. Tracy Schatzberg, General Manager, Employee Benefits & Insurance

Dr. Marie Whelan		Gretchen Saunders
Interim Chief Human Resources Officer 813-840-7328		Chief Business Officer (813) 272-4270
		C 6.02
Hillsborough County Public Schools (Florida) * Mtg.#20180306_865 (Board Meeting) * Section C Item# 6.02