HomeMy WebLinkAboutR-76-0283Mot. 76.u167;168;169
RFC/f1
2/20/76
RESOLUTION NO, 76-283
A RESOLUTION ALLOCATING THE SUM OF $389,032
FOR PAYMENT TO THE EQUITABLE LIFE ASSURANCE
SOCIETY OF THE UNITED STATES TO PROVIDE GROUP
LIFE AND HEALTH INSURANCE TO CITY OF P$IAMI
EMPLOYEES AS AN INCREASED PREMIUM FOR THE
BALANCE OF TtHE FISCAL YEAR ENDINGG SEPTEMBER 30,
1976, AND RECOGNIZING THE FIRM OF EDWIN H. COLE,
C.L.U. & ASSOCIATES, I;C. AS SERVICING AGENT FOR
WHICH PAYMENT IS TO DE MADE BY THE CARRIER OF
THE SERVICING AGENT'S COPMiISSION BASED UPON THE
PREMIUM FOR THE PERIOD COMMENCI';G FEBRUARY 1,
1976 THROUGH THE RENEWAL PERIOD ENDING SEPT-
EMBER 30, 1976 AT THE ESTADLISIiED COMMISSION
RATE NOT TO EXCEED A TOTAL OF $ 6 ,000.
WHEREAS, the Equitable Life Assurance Society of the
United States was selected to provide Group Life and health
Insurance to City of Miami employees effective February 1, 1975,
at an estimated annual premium of $2,801,592 with the City's share
being $1,334,789 and the contribution by employees and retirees
being $1,466,803; and
WHEREAS, the City of Miami was advised by the carrier that
a change in premium effective February 1, 1976 would increase
the total annual premium 64.9% or $2,020,457 thereby making the
total annual estimated premium $5,139,095; and
WHEREAS, a request to the carrier for a reduction in the
renewal period from one year to eight months to end September 30,
"DOCUMENT IN EX
ITEM NO
WHEREAS, efforts by the agent of record to nave tiro ..Ca ter
reduce its need for estimated annual reserves by approximately
$200,000 successfully resulted in making the final adjusted premium
increase between February 1, 1976 and September 30, 1976 equal
$1,095,681 or an annual increase of 52.7%, with the agent of
record assuming the duties of a servicing agent and accordingly
1976 was complied with;
and
CITY COMMISSION
MEETING OF
MAR 4 JJ �"
RESOLUTION NO 7 4 4
REMARKS:...,
becoming entitled to receive commissions to be paid by the
Equitable Life Assurance Society of the United States based
upon the premium for the period commencing February 1, 1976
through the renewal period ending September 30, 1976 at the
established commission rate not to exceed a total of $6,000;
and
WHEREAS, the additional amount which will be paid by the
City for the eight month period over and above the amount
budgeted for group insurance will be $258,595; further, with
the City's agreement to absorb the entire increase for the month
of February, 1976, with no increase in the contribution by
employees and retirees for this month, an additional amount of
$110,154 will be paid by the City; further, an additional amount
of $20,283 will be paid by the City for the portion of the
increase attributable to retiree contribution for the month of
March thereby rendering the entire total increase to the budgeted
estimate payable by the City for the balance of this fiscal year
ending September 30, 1976 $389,032;
NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE
CITY OF MIAMI, FLORIDA:
Section 1. The sum of $389,032 be and the same is hereby
allocated for the payment of the total increase to the original
budgeted estimate payable by the City to the Equitable Life Assur-
ance Society of the United States for the City's contribution to
provide coverage to City of Miami employees for Group Life and
Health Insurance for the balance of the fiscal year ending
September 30, 1976, from funds to be determined by the
City Monr::ger..
Section 2. The firm of Edwin H. Cole, C.L.U. & Associ-
ates, Inc. be and the Same is recognized as servicing agent
of the Equitable Life Assurance Society of the United States
for which he is to be paid the servicing agent's commission
by said company based upon the premium for the period com-
mencing February 1, 1976 through the renewal period ending
September 30, 1976 at the established commission rate not to
exceed a total of $6,000.
PASSED AND ADOPTED this 4 day of MARCH , 1976.
D. SOUTHERN
MAURICE A. FERRE
MAYOR/9
City Clerk
PREPARED AND APPROVED BY:
Robert F. Clark, Assistant City Attorney
APPROVED AS TO FORM AND CORRECTNESS:
a6,
. Lloyd, City A"torn