HCPS FL Logo Business Services
Action Item
DATE: Tuesday, July 19, 2016
TO: School Board Members
FROM: Jeff Eakins, Superintendent
SUBJECT / RECOMMENDATIONS
Accept the Reply Submitted by Humana Medical Plan, Inc. – Invitation to Negotiate (ITN) #15130A-DST Group Health Plan Services (Business Services Division)
EXECUTIVE SUMMARY
On April 8, 2016, Procurement Services, in conjunction with the Employee Benefits Department, issued an ITN to secure a group health plan provider.  Three replies were received and evaluated by a committee of district personnel and representatives from the Hillsborough School Employees Federation, Hillsborough Classroom Teachers Association, and the Hillsborough Association of School Administrators. After evaluation and presentations, the committee determined that Humana Medical Plan, Inc. be recommended for award. Final negotiations resulted in no plan design changes and a rate decrease of 0.33 percent for 2017 (the national trend is an increase of 7.2 percent). A chart is attached identifying the monthly costs for both the district and  employees costs. Highlights of the 2017 renewal include:

  • No increase in the district, employee, or dependent coverage on any plan or tier
  • Employee cost for CoverageFirst Local remains $0
  • Up-front benefit allowance for CoverageFirst Local increase from $750 to $1,000
  • Eligible retirees may participate in the program at 100 percent of the total premium cost
  • Wellness Program

The initial term of this agreement will be for 1 year, beginning January 1, 2017, with 1-year renewals for 9 years.  The Superintendent is authorized to approve any renewals, per the terms of the specifications.
STRATEGIC OBJECTIVES
• Establish a strong foundation of financial stewardship
FINANCIAL IMPACT (Budgeted:  Yes)
Expenditures for January 1, 2016, through December 31, 2016 are projected to be $153,742,072.00.  Based on the anticipated enrollment of 25,474 employees, funds in the amount of $153,237,627.00 will be budgeted in the Employee Benefits Budget for the agreement period of January 1, 2017, through December 31, 2017.
EVALUATION
Contract administration or evaluation is performed by the Project Manager (end user) and Procurement Officer, who function as a team. Reviews are performed annually or by utilizing an online vendor performance report. Prior to soliciting a new contract, the Contract Administration team must first give consideration to the specifications and supporting data of the expiring contract. 
SUBMITTED BY:  Corey A. Murphy, General Manager, Procurement Services
Stephanie Woodford, Chief Human Resource Officer
Gretchen Saunders   Dr. Alberto Vázquez
Chief Business Officer
(813) 272-4270		   Chief of Staff
(813) 272-4986
    C 6.20
Hillsborough County Public Schools (Florida) * Mtg.#20160719_764 (Board Meeting) * Section C Item# 6.20