April 11, 2016 EBTSPECIAL MEETING OF THE CITY OF NEUERLAN11:3-
EMPLOYEE BENEFITS TRUST
5:03 p_m_
Y. MEETING
April 11, 2016
The meeting was called to order at 5:03 p_m_ by Chairperson R. A. Nugent at the
Nederland City Office Building, 207 N. 12- Street, Nederland, Texas_
2_ APPROVAL OF MINUTES
A motion was made by Vice -Chairman Albanese and seconded by Trustee Austin to
approve the minutes of the May 11, 2015 meeting of the Employee Benefits Trust as
written_ MOTION CARRIES_
Ayes: Chairperson Nugent, Trustees Austin, Neal, Albanese, and Belaire.
Noes: None_
3. VISION INSURANCE
Holly Guidry, E>irector of Human Resources, stated the City began utilizing VSP in 2011
to provide a voluntary (employee pays entire cost) vision insurance product_ Currently
98 of 114 full-time employees and 9 retirees are enrolled in the voluntary product.
The 2013 VSP quote included a four-year cost guarantee which is within benchmarks
of other products.
A motion was made by Trustee Neal and seconded by Vice -Chairman Albanese to
award a bid to VSP For employee vision insurance. MOTION CARRIED.
Ayes: Chairperson Nugent, Trustees Austin, Neal, Albanese, and Balaire.
Noes: None.
4_ LONG-TERM OISAB;,LITY INSURANCE
Mrs. Guidry reported City Council authorized the solicitation of bids of employee group
benefits for life and long-term disability insurance at the January 25• 2016 meeting.
The current provider for the last 3 years was Mutual of Omaha with a renewal premium
quote of a 24% increase_ The City received 9 quotes from the bidding process of which
5 companies were uncompetitive_ Lincoln substantially matches the current plan
design and has offered improvements, such as increasing the Accelerated Max Death
Benefit_ Staff requested vendors to increase the Basic Life Benefit cap from $114,000
to $150,000 which would allow a greater number of employees to be able to receive
their double base salary up to the cap_ Lincoln provides a 10% cost decrease in
premium and a 3 -year cost guarantee_
A motion was made by Trustee Neal and seconded by Vice -Chairman Albanese to
award a bid to Lincoln for employee life and long-term disability insurance_ MOTION
GARRIE�.
Ayes: Chairperson Nugent, Trustees Austin, Neal, Albanese, and Belaire.
Noes: None_
S. DENTAL INSURANCE
Mrs. Guidry explained United Concordia is the City's current dental provider. They
were awarded a bid last year which included a 2 -year premium cost guarantee.
Coverage will stay the same with the same provider.
A motion was made by Trustee Austin and seconded by Trustee Neal to award a bid to
United Concordia for employee dental insurance. MOTION CARRIED.
Ayes: Chairperson Nugent, Trustees Austin, Neal, Albanese, and Belaire.
Noes: None.
6. HEALTH INSURANCE
Mrs. Guidry stated the City received a renewal increase of 3% which is very
competitive. The current loss ratio is 90%. An 85% loss ratio is considered the "break
even" for insurance companies. Due to TML-IEBP's competitive renewal, the City did
not solicit bids for health insurance.
A motion was made by Trustee Austin and seconded by Trustee Neal to award bids
received for employee health insurance to TML Intergovernmental Employee Benefits
Pool utilizing Plan 6, as the standard plan with employee contribution at $548.90 for
employee only, $940.39 for employee + spouse, $692.68 for employee + children and
$1,163.89 for employee + family as recommended by IPS and the City of Nederland
Insurance Committee. MOTION CARRIED.
Ayes: Chairperson Nugent, Trustees Austin, Neal, Albanese.
Noes: None.
7. ADJOURN
There being no further business a motion was made by Trustee Austin and seconded
by Vice -Chairman Albanese to adjourn the meeting at 5:26 p.m. MOTION CARRIED.
Ayes: Chairperson Nugent, Trustees Austin, Neal, Albanese, and Belaire.
Noes: None.
R. A. Nugent, Chairperson
City of Nederland Employee Benefits Trust
ATTEST:
Craig Belaire, Secretary
City of Nederland Employee Benefits Trust
CITY OF NEDERLAND
EMPLOYEES BENEFITS TRUST MEETING ATTENDANCE SHEET
NAME TITLE PRESENT ABSENT
R. A. Nugent Mayor I ✓
Talmadge Austin Council Member —Ward I I V
Billy Neal Council Member —Ward II I V
Don Albanese I Council Member— Ward III
Craig Belaire I Council Member— Ward IV ✓
Chris Duque I City Manager
Gay Ferguson I City Clerk
Jesse Branick I City Attorney I ✓
Cheryl Dowden I Director of Finance
Darrell Bush I Police Chief I V
Gary Collins I Fire Chief
Steve Hamilton Director of Public Works
George Wheeler Building Official
Victoria Klehn Librarian V/
Holly Guidry Human Resources Director
�JoniUnderwood Executive Secretary I V/
Angela Fanette Parks Director I v
s
R. A. Nugent, M or
a ergu n,ity Cler
Axil 11, 2016
Date