Employee Health Benefits Plan

APPROVED MINUTES BOARD OF TRUSTEES FOR THE CITY OF GALVESTON EMPLOYEE HEALTH BENEFITS PLAN REGULAR MEETING October 25, 2021 1. Declaration of a Quorum, Call Meeting to Order, and Roll Call. With a quorum present, the October 2021 Meeting was called to order at 2:02 p.m. by Chairman Xavier Hancock. The following Trustees and persons were in attendance: Xavier Hancock (Chair) - Trustee Brent Weegar – HUB International Christopher Anderson (Vice-Chair) – Trustee Mike Weaver – HUB International Kent Etienne – Trustee Julian Fontana – HUB International Michael Loftin – Trustee Donna Fairweather – City Staff Andrew Jefferies – Trustee Christy Shinn – City Staff Susan Keeble – Trustee 2. Conflicts of Interest. None. 3. Public Comment on Agenda Items and Non-Agenda Items. The City Council adopted a policy requiring that agendas for all City board, commission, and committee meetings include a section designated for public comment on both agenda items and non-agenda items. Members of the public may submit a public comment using the web link below. All comments submitted prior to the meeting will be provided to the Board of Trustees. https://forms.galvestontx.gov/Forms/PublicComment A. Agenda Items B. Non-Agenda Items No Public Comment was received. 4. Approval of the Minutes for the Regular Board Meeting of September 28, 2021. Motion to approve the Minutes from the September 28, 2021 Meeting made by Andrew Jefferies with a second by Michael Loftin. Unanimously Approved by those Trustees present. 5. Receive financial reports as of August 2021 to include large claim cases and plan reimbursements. Discuss financial projections for FY2021 and plan year 2022. Julian Fontana with HUB provided the board financial reports for each entity and the plan as a whole. There is still some runout claims for the Port. The report is the fiscal report through August 2021. The plan is running at 127% of costs as premium equivalent. The plan is at 94% of maximum claims. The plan has 15 large claimants over $75,000. Two claimants are above the $200,000 specific stop loss deductible. 24% of paid claims are for the 15 large claimants. This is in line with the norm. The Park Board is running at 104% costs as premium equivalent. They have a larger utilization of medical over prescription. The Park Board is at 76% of maximum claims and there are three large claimants over $50,000 from the Park Board. Large claimants are 28% of paid claims for the Park Board. The City is at 122% of costs as premium equivalent and is at 95% of maximum claims. City retirees are at a higher utilization for prescription than the norm. There are 13 large claimants over $75,000 and one of them is over the $200,000 stop loss deductible. Large claimants are 22% of paid claims for the City. The Port report tacks claims incurred before the July termination from the plan. Some run out claims were paid in August. The claims were largely offset by stop loss reimbursement.  APPROVED MINUTES BOARD OF TRUSTEES FOR THE CITY OF GALVESTON EMPLOYEE HEALTH BENEFITS PLAN REGULAR MEETING October 25, 2021 Mike Loftin provided the board a report from the City finance department. The report shows FY 20 actual numbers, the FY 21 amended budget, the estimate for next year, and what is estimated for now. It was estimated that there would be $12.5 million in contributions and $12.9 in costs. Medical claims are about $160,000 higher than expected. Total claims expense was up $500,000. The ending fund balance of $1.4 is possible due to additional contributions to the plan. 6. Receive update on plan premium changes for plan year 2022. Kent Etienne informed the board that information was sent out regarding plan changes. Open Enrollment wrapped up last week. All new information was provided to plan members. The changes did include premium changes to help with increased shared costs. Employee Only premium is going from $50 to $57.50 and the family rate is going from $330 to $379.50 per month. This is a small increase but the board should be prepared for any future changes. The plan is to look at demographics of the plan and consider offering different plans such as a high deductible option. The City is looking at this now to see if it can be offered next year. The City is tracking data to make informed decisions. 7. Discuss tentative date(s) for next Board Meeting. Tentatively agreed upon for Wednesday, November 17, 2021 at 10:00 a.m. 8. Adjournment. The meeting was adjourned at 2:42 p.m. ______________________________ Wednesday, November 17, 2021 Xavier Hancock, Chair Date Approved