HomeMy WebLinkAboutR-75-0085was the low bidder; and
RAS/cs
1/17/75
RESOLUTION ND. 75-85
A RESOLUTION ACCEPTING A BID OF THE EQUITABLE
LIFE ASSURANCE SOCIETY OF THE UNITED STATES,
RECEIVED ON SEPTEMBER 20, 1974, PROVIDING
GROUP INSURANCE COVERAGE FOR CITY EMPLOYEES
FOR A PERIOD OF ONE YEAR, COMMENCING FEB-
RUUARY 1, 1975, AND RENEWABLE ANNUALLY;
AUTHORIZING AND DIRECTING THE CITY MANAGER
OF THE CITY OF MIAMI TO ENTER INTO AGREE-
MENT WITH THE EQUITABLE LIFE ASSURANCE
SOCIETY OF THE UNITED STATES.
WHEREAS, pursuant to Resolution No. 74-502, the
City of Miami advertised for bids for group insurance cover-
age for city employees; and
WHEREAS, pursuant to Resolution No. 74-501, the
city manager retained the services of an actuary to analyze
and evaluate the bids received for group insurance for city
employees; and
WHEREAS, the actuarial analysis and evaluation con-
cluded that the Equitable Life Assurance Society of the United States
"DOCUMENT NDEX
ITEM NO. "
WHEREAS, over 60 per cent of the eligible employees
of the City of Miami have, pursuant to a formal election,
elected the Equitable Life Assurance Society of the United States
to underwrite the group insurance plan for City of Miami em-
ployees;
NOW, THEREFORE, BE IT RESOLVED BY THE COM'IISSION OF
THE CITY OF MIAMI:
Section 1. Tnat the city manager of the City of
Miami be and he is hereby authorized and directed to enter
into an agreement with the Equitable Life Assurance Society
of the United States, providing group insurance cov
CITY COMMISSION
MEETING OF
JAN 231915
ammo t4Q...75.1
NEMARKS:
City employees for a period of one yea, commending February 1,
1975, and renewable annually in acCotdance with the bid of EqUita..-
ble Life Assurance Society of the United States, received on
September 20, 1974.
PASSED 'AND ADOPTED this 23 day of JANUARY
, 1975.
ATTEST:7 /
H. D. 4OUTHERN
C.E'PY CLERK
.;
PREPARED AND APPROVED BY:
t I
RONALD A. SILVER
Assistant City Attorney
APPROVED AS TO FORM AND CORRECTNESS:
we'
..10iiN S. LLOYD,
(City Attorney
//,
MAURICE A. FERRE
M A Y O R
Bi MAJILITY
io+ id ntal beath InSu Sande kept �3, l9
DATE BIDS RECEIVED
Pihanee
BIbbER
TYPE OF SECURITY
AMOUNT
FOR
ACCOUNTING
USE
Charles R. Tho cison
Jtoi th .n ,ar.te:.., t ; fe Ana Ga.sualty
1750 Hennepin Ave.
Minneapolis. Minn.
Norman Lodin, Gen Agt.
MaGoabees
Mutual Life Ins. Cv.
Norman Lodin, Gen. Agt.
National Casualty Co. Detroit
Mich.
George A. Stuart, Jr.
Urritrd-Mates Fi.ie l l.y dnd Gu
Ins. Companies
rah ty
0190 Biscayne
Miami,Florida 33138
Boulton Life Agency Inc.
9165 Park Drive
Miami Shores, Florida 33138
Ruel Insurance Corporation
Tv-al/piers Tn m anr.e Co
1024 S. Miami Ave.
Miami, Florida
A.H. Patten & Co.
Nation Wide Insurance Company
-r-
530 Seybold Bldg.
Miami.Florida
A.H. Patten & Co.
Continental Casualty Co.
el
530 Seybold Bldg.
Miami,Florida
ki
Received the above described checks this
day of 19
FOR ACCOUNTING DI\ ISION
DATE
CITY OF MIAMI, FLO...MA
REQUISITION FOR ADVERTISEMENT FOR BIDS
BID No.73-7" 85
WIC('
ISSUING DEPARTMENT__ _
DIVISION
Lccioeicial 1nsurartc2.-'
SIDS TO BE SECURED FOR
Purci4asiu',.
N° A
FOR THE DEPARTMENT OF:
.(1-3t.m 1,er 13 , 1 '.474
ADVERTISE ON : _
ESTIMATED COST:
CONTRACTUAL: $
PROJECT:
INCIDENTAL
TOTAL
SOURCE OF FUNDS:__
To be filled in by
FINANCE DEPARTMENT
n at e
BIDSTO BE RECEIVED ON:
Approved By:
JOB NO __ • —
Septei3ber
Date
Director of Issuilt., Departmert
FUNDS AVAILABLE FOR PROJECT INVOLVED Otec.7.0/444,0034:11,
PROJECT CODE
AD CODE
=
To be filled in by
PURCHASING AGENT :
ADVERTISE IN
v
•I ar
arios L ricas
I jTly:I o axat.• (77-IT: Amount.
i e rt LJ,c!; s
New paper Arnoont
•
Purchase Order No.
Purchase Order Nu.
COPIES TO: Purchasing (Orig.) — City Alanager City CA',•rk — Fxpt•wiituri, Contra! — Dtpu.trarn: Oilwr I).
Wtote Green Pk Canary Blur
Form No. 1043
Legal Advertisement
Bid :io, 73-74-185
Sealed bids for' Accidental "oath Insurance to comply
with Florida Statutes, Chapter 67-408 and 67-443,
providinn for coverage for Firemen and Lahr Enforcer1ent
Uffi cers and for all other employees ,1i 1 1 be received
by the City 'ianaryer and the City Clerk of the City
of Florida, no later than
• 2:03 P.;4. o'clock; Se nte;iber 23, 1974
in the City Clerk's office, 1st floor of i+iani City
Hall, 3503 Pan American "rive, Dinner Key, iii anti ,
Florida 33133, at which ti-'e and place they will be
publicly opened and read. All bids shall be sub-
mitted in accordance to instructions to bidders ,which
nay be obtained fro;! the Purchasing Division, 3531
Pan American Drive, Dinner K2y, Florida 33133,
tel enhone 445-4745.
BID SECURITY
ittm Health insurance for City Eftployees 8ept, 20 19/4
DATE BIDS RECEIVED
f.t
Finance
j2/
•
.3' C.
BIDDER
'
TYPE OF SECURITY
AMOUNT
FOR
ACCOUNTING
USE
"AmeriCan Health Plan
cf -.,,e./
.jemi,
e tL c at c-: 3
- "r
it t ) e e • tp.
1: ' (' - /7 1. e (...„„)
1/01 N.E. 164th St
.. 0 4,.
N. Miami Beach,FlOrida
33162
67
The Prudential Insurance
. ..
,
, .
f, ;
7/2/ y ..' V. e/ . (
Company of America
IiiiMIAMS. no•awortv...00.4aml.s.,14, * ilJI . 0
0
.-
%/The Equitable Life
Assurance
"2,
6" ,' •
ii,";,
A't&-
i) .-,.. hi; ,/_.*.,,
0'77- ,-e- 9' /
}
Society of the iinited
Box 1055
States
#7,1 01,/-•_ ,L
,,
New York, N.Y. 10001
---
The Travelers Insmiance
Companies
-:/,, -
J
- — • -, .4
'i
Box 520030
/
Miami,Florida
-s...._,.
"John Hancock Mutua
Life Ins. Co.
A. POO
'VW
SJ r - S'Sla
Suite 100 2200 Pa
Northlake Office P.rk
k ake Drive N.E.-
orP4.4,,e-resoa
Atlanta, Georgia
30345
doe-
Aroa •00P1
---.
Florida Combined I
s. Agency Inc.
Box 2468
TOL.-
Jacksonville,Flori.a
I.-----
Aetna Life & z Casualty
-,,:"/ - / .•.•
- -
Co.
,hi.,,
.
—
/
xl „L •
100 Biscayne Blvd.
Suite 1400
,,.(
• a , .,
Miami,Florida 33132
e',1(
-tMetropolftan Life
One Madison Ave.
rriZA4PAPOP
New York N.Y. 10010
........._
f-
._ _.
Vigashington Nat1 Ins.
Co
1630 Chicago Ave.
re
4 dr 4,4".40004.•
Evanston. Illinois
Received the above describ-d checks this
day of 19
ir
FOR. ACCOUNTING DI 'SION
"4 ;0-,
BID SECURITY
ITEM,
DATE BIDS RECEIVED
Page #2
BIDDER
TYPE OF SECURITY
AMOUNT
FOR
ACCOUNTING
USE
`27-7Mr. Richard J. Ros
e/o vtioitable, td.f
nberg
‘r
L EEC
4
fr
,��a
540 Madison Avenue
N. Y. 10022
at-
e6'
ode .yel
.1,a�
•
6-
�,e �y
�°
Ge. ea 1 n'r' a.ay
� Nae `a
fi
r
'pytiedr
aab1 O a �
• r esea,iG'N•,a°
'0iN,ea.
,NO
3 b`�
a5 .ev- .�'ti
fi'S. ��0
y(4 e
otx
% , ,-1
(_.
tV.
%i
` .�.;
C'-�s`
-
'% I
C�
v. 1 O ,� fi
1.
4 yae�a�ersp
'� e e L k,,,,6.�e
a,�
• .ced" 09e
...-15 i
��O J
Received the ohove descri^d checks this
day of
19
FOR ACCOUNTING DIVISION
r-'
PLEASE NOTE: DID -OPENING FOR HEALTH INSURANCE FOR CITY
EMPLOYEES (CITY OF MIAMI) HAS BEEN
RESCHEDULED FOR MON.SEPT.30 AT 2 P.M.
PLEASE HAVE REPRESENTATIVE PRESENT IF
DESIRED,
RALPH G. ONGIE
ASSISTANT CITY CLERK
CITY OF MIAMI
CITY OF ;.MInt+i, FLORIDA
INTER -OFFICE MEMORANDUM
TO Honorable tiicrnber s of the
City Co3-nnission
`fiOM P. W. Andrews
City Manager
eNCLO;uz=s
Ji-VI 1 7 1915
Resolution Authorizing Change of
Group Insurance Benefits and
Group Insurance Carrier
In 1969 when the vote of the employees did not meet the requirements of the
State law to authorize a change in benefit plan and carrier, discussions were
reopened with employee groups in preparation for the time when another
attempt to change the benefits would be appropriate. In July of 1972, the City Manager
requested that the employee organizations appoint representatives to an
Employee Insurance Committee to investigate and recommend needed changes
to the Group Insurance Plan.
This Committee has labored, meeting on the average of at least once a month,
gathering data and interviewing any and all insurance companies that were willing
to supply information to the Committee for their review. By the end of 1973 the
Committee felt it vas prepared to recommend benefit changes to update the Group
Insurance Plan, recognizing which were the most pressing needs of the employees.
By the summer of 1974 specification preparation was completed and prepared
for submission of bid under four different plans to obtain the maximum benefit to
the employee, considering the priorities of coverage requirements and staying
within cost limits to the City as had been negotiated through the employee contracts.
In July of 1974, announcement soliciting bids was published for all sealed bids to
be submitted to the City Clerk by 4:00 P.M., September 20, 1974. The bids
received were forwarded to A. S. Hansen, Inc., who had been retained as actuary
to analyze and evaluate the proposals with reference to their compliance with the
bid specifications and to analyze that the cost submitted was based upon the
assumptions as provided in the bid specifications.
Upon receipt of this analysis in November, the Employee Insurance Committee
narrowed the selection, as recommended by A. S. Hansen, Inc., to the three
companies with the lowest qualified bids. The Committee, where necessary,
interviewed the companies involved with reference to details of the proposed
administration of their plan to select the company that they felt could provide the
best service at the lowest cost to the City and the employee.
Page 1 of 2
17 197:
honorable it embers of the City Commission
The recommendation of the. 1 i pluyou Insurance Committee was then presented
to the members of the Group Insurance Plan fur t1u it approval, as require(! by
State law, of the proposed benefit: change and the recommended carrier to admin-
ister the proposed plan. This vote was held bc-Aween January 9 and 11, 1975,
and the sealed ballot boxes z ere delivered to the City Clerk for his tabulation
and certification.
There were 3, 309 active members eligible to express their preference and
1,124 retirees, for a total eligible vote of 1,433. The number of votes cast
was 4,021, or 90.770 of the eligible enrolled members. The number expressing
their preference for the new proposed plan and change in carrier was 3,811) or
85. 97 % of those eligible to vote. The requirement by State law to effectuate a
change is 60% of the eligible enrolled members. Of the number casting their
preference vote, 94, 78% voted for the change of plan and a change of carrier.
The bids submitted by Equitable Life Assurance Society of the United States,
the recommended carrier as approved by the ballot, ,vould implement the Plan
effective February 1, 1975, if approved by the City Commission. The contract
will be for one year guaranteed premiums, renewable with the premium guarantee
of each year of renewal. Any changes of premium requested by the carrier are to
be received thirty days prior to the renewal date.
The Employee Insurance Committee met with representatives of the Health
:Maintenance Organization on January 15, 1975, as requested by the City
Commission at the meeting of January 9, 1975. The representative of H. M. 0.
indicated at the meeting that he had erred in his calculation in the H.M.O. bid
by incorrectly calculating their monthly life insurance cost at $1. 00 per month
instead of $15.00 per month, and that their statements at the Commission meeting
of January 9, 1975 that their plan was a lower cost than the reconnunended bid
was probably in error.
The Committee further concluded from the presentation by the H.M.O. that their
plan is not practical for the City of Miami at this time and invited the H.M. O. to
contact the City at a future date when they are better equipped to provide the
complete services needed, and that consideration would be given to them when
the policy comes up for renewal..
The Committee has operated under 11ie auspices of the Labor Relations Office
and :meetings have b.-!en held with a representative of the City Ivianager% Office
present.
Page 2 of 2
LAW OFFICES
ALAN H. ROTHSTEIN
Vice -Mayor J.L, Plummer, Jr.
City of Miami
Dinner Key
Coconut Grove, Fla.
CITY NATIONAL RANK 6 U I L 0 I N G
SuITE 113S
-� 2S WEST �" LAGLER STPEE7
MIAMI. FLORIDA 33130
3 7 9• 9 3 3 6
January 22, 1975
Re: American Health Plan, Inc, and the
City of Miami Employees Insurance Coverage Plan.
Dear Vice -Mayor Plummer:
Please be advised that your Insurance Committee met with
Dr. Harwitz and myself and had a very fruitful meeting. It was
the conclusion and opinion of the members of the Committee that
the Commission should proceed to act on the present Equitable
Plan at its next Commission meeting, and that the Committee should
stay intact and work together towards a full analysis of incorpo-
rating an H.M.O. type of plan in the program to be presented to
the employees in the future when the federal regulations become
available, or perhaps next year when the bids for new plans come
up.
Both Dr. Harwitz and myself concur with the Committee in
the conclusion that further exploration of how to implement a Health
Maintenance Organization for the City is definitely required.
I think that the Committee and the Administrative Staff wou1c
do well to work towards this goal and that Dr. Harwitz personally"
stands ready to assist in any way he can and he should be communi-
cated with directly.
matter.
AHR:vls
Many thanks for your kind cooperation and attention to this
Sincerely,
/
r/•
•, <<
Alan H. Rothstein