HomeMy WebLinkAboutCC RESO 16,225RESOLUTION NO. 16,225
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
NATIONAL CITY AUTHORIZING THE CITY MANAGER TO EXECUTE
A LETTER AGREEMENT WITH ROBERT B. CLARK FOR ROBERT B. CLARK
TO CONTINUE GROUP INSURANCE CONSULTING SERVICES
WHEREAS, the City of National City has contracted
with Robert B. Clark for Group Insurance Consulting Services
from April 15, 1988 to April 15, 1990; and
WHEREAS, Mr. Clark has provided effective
assistance to the City; and
WHEREAS, there is a continuing need for such
services; and
WHEREAS, Robert B. Clark has submitted a proposal
to continue to provide such services.
NOW, THEREFORE, BE IT RESOLVED by the City Council
of the City of National City that the City Council does
hereby award an agreement to continue Group Insurance
Consulting Services from April 15, 1990 to April 15, 1991 to:
ROBERT B. CLARK
BE IT FURTHER RESOLVED by the City Council of the
City of National City, California that the City Manager is
hereby authorized to execute on behalf of the City, a letter
agreement dated March 27, 1990 between ROBERT B. CLARK and
the City of National City to provide group insurance
consulting services. A copy of said letter agreement is on
file in the Office of the City Clerk.
PASSED and ADOPTED this 17th day of April, 1990.
ATTEST:
NE :�.
LORI ANNE PEOPLES, ITY CLERK
APPROVED AS TO'ORM:
GEORGE H. EISER, III
CITY ATTORNEY
�Z
GEORGE I. WATERS, MAY MAYOR
ROBERT B. CLARK • GROUP INSURANCE CONSULTANT
March 27, 1990
Mr. Richard D. Schulman
Personnel Director
City of National City
1243 National City Boulevard
National City, California 92050
Dear Mr. Schulman:
This letter constitutes my proposal to provide group insurance
consulting services to the City of National City for the period
April 15, 1990 to April 15, 1991.
BACKGROUND
From 1978 to 1988, I provided group insurance consulting services
to the City of National City while associated with a local
consulting firm (for the last five years of that period as an
independent contractor). For the two year period April 15, 1988 to
April 15, 1990, I have provided consulting services as an
independent, non-affiliated consultant.
PROPOSED CONSULTING SERVICES
1. Continue to review The Travelers request for payment of $68,370
in premium allegedly due for the plan year ending July 1, 1989, and
assist the City in demonstrating that this request is unjustified.
2. Advise regarding the options available for health insurance
coverage (for example, review the plans offered through PERS). It
is assumed that the benefits currently provided by The Travelers
(life, dental, and health) will be cancelled as of July 1, 1990.
3. Meet with City management and employee representatives to
discuss options and possible benefit revisions for the life
insurance and dental coverages.
4. Solicit and evaluate quotations for life insurance and dental
coverages. Provide the City with a written' report summarizing
results of the bids, and assist with implementation of the selected
plans.
5. Assist the City with any administrative or claims problems
arising under any of the City's group plans (including Kaiser,
Health Net, and the LTD plan underwritten by Standard Insurance
Company).
6. Advise the City regarding the possible effect on costs of
Kaiser's "Adjusted Community Rating" system, implemented in
January, 1990.
386 EAST H STREET, SUITE 209-201 • CHULA VISTA, CA 92010 • (619) 482-1518
Mr. Richard D. Schulman
March 27, 1990
Page 2
7. Advise regarding the effect on the City's group plans of any
state or federal legislation (such as the continuation provisions
of COBRA).
FEES
Based on an hourly rate of $65 (which has not been increased for
the last six years), the maximum fees for the services described
above will range from $3500 to $4500, depending on the services
reguired for the health insurance plan. (Consulting fees of $4000
were paid for the current year, not including $975 paid for special
Section 89 services.) However, the fees billed to the City will be
reduced by commissions received from Health Net, which are expected
to total about $2500 (based on current enrollment). Fees billed to
the City would therefore be $1000 to $2000. It should be noted that
commissions are built into Health Net's rates, which do not
decrease if commissions are not received. (Conversely, rates do not
increase upon payment of commissions.)
QUALIFICATIONS
My background includes 12 years' experience as a group underwriter
with three major insurance companies, as well as 12 years'
experience as a consultant. My consulting experience includes
providing services to some of the largest employers in San Diego
County, such as the City of San Diego, Sea World, the San Diego
Zoo, and Scripps Memorial Hospitals.
If this proposal is accepted, please sign the enclosed copy of this
letter and return it in the envelope provided. I have enjoyed very
much working with you and other members of City management, and
look forward to continuing to be of service to the City of National
City.
Sincerely,
Robert B. Clark
AUTHORIZED BY CITY COUNCIL
RESOLUTION NO. 16,225
cCab-, City c anager