HomeMy WebLinkAboutResolutions - 2012.06.21 - 20434June 21, 2012
MISCELLANEOUS RESOLUTION #12173
BY: HUMAN RESOURCES COMMITTEE — JOHN SCOTT, CHAIRPERSON
IN RE: HUMAN RESOURCES DEPARTMENT BENEFIT ADMINISTRATION DIVISION -
INCREASE IN PRESCRIPTION CO-PAYS AND EMERGENCY ROOM CO-PAYS FOR COUNTY
MEDICAL PLANS
To the Oakland County Board of Commissioners
Chairperson, Ladies and Gentlemen:
WHEREAS Oakland County is continually reviewing and evaluating the benefit programs
offered to County employees and retirees; and
WHEREAS it is important to maintain a balance between the needs of the County
workforce and the needs of the County citizens; and
WHEREAS proactive financial management has allowed the County to plan for future
challenges while carefully weighing all options; and
WHEREAS the County has been proactive in making incremental changes to the benefit
and retirement packages of County employees and retirees over time; and
WHEREAS in keeping with the effort to make incremental changes over time, the
County Executive is proposing a change to employee and retiree health care plans beginning
January 1, 2013; and
WHEREAS the prescription drug co-pay levels are proposed to increase from the current
levels of $51$10/$25 to $5/$20$40 for all non-represented employee medical plans and for
retiree medical plans; and
WHEREAS an emergency room co-pay of $100 is recommended to be implemented for
all non-represented employees and for retiree medical plans for non-emergency conditions; and
WHEREAS these changes are designed to encourage the use of generic prescription
drugs and the use of physician office visits and/or urgent care centers for non-emergency
related care, which are a more cost effective medical care delivery method.
NOW THEREFORE BE IT RESOLVED that the Oakland County Board of
Commissioners authorizes the following changes to the medical and prescription drug plans for
eligible County employees and retirees:
1. Increase the prescription drug co-pay levels from $51$10/$25 to $51$20/$40,
2. Establish an emergency room visit co-pay of $100 for non-emergency conditions.
BE IT FURTHER RESOLVED that these proposed changes apply to all non-represented
employees, represented employees whose bargaining agreements provide for these changes,
and to all retirees, effective January 1, 2013.
Chairperson, on behalf of the Human Resources Committee, I move the adoption of the
foregoing resolution.
HUMAN RESOURCES COMMITTEE
Human Resources Committee Vote:
Motion carried unanimously on a roll call vote wilth,Scett and Nuccio absent
Resolution #12173 June 21, 2012
The Chairperson referred the resolution to the Finance Committee. There were no objections.
FISCAL NOTE (MISC. #12173) July 18, 2012
BY: FINANCE COMMITTEE, TOM MIDDLETON, CHAIRPERSON
IN RE: HUMAN RESOURCES DEPARTMENT / BENEFIT ADMINISTRATION DIVISION-
INCREASE IN PRESCRIPTION CO-PAYS AND EMERGENCY ROOM CO-PAYS FOR
COUNTY MEDICAL PLANS
TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS
Chairperson, Ladies and Gentlemen:
Pursuant to Rule XII-G of this Board, the Finance Committee has reviewed the above referenced
resolution and finds:
1. The proposed changes to the health care benefits provided to county employees
include prescription and emergency room co-pays.
2. It is estimated that annual cost savings will be $850,000. It is estimated that
there would be approximately $250,000 in savings in regards to the $100
emergency room visit co-pay and approximately $600,000 in savings regarding
the changes in prescription drug co-pay levels from $5/$10/$25 to $5/$20/$40.
3. Since the county is self-insured for health care, the actual health care savings
cannot be determined until the program is fully implemented. Therefore no
budget amendments are recommended at this time.
4. Future medical plan rates will be adjusted to reflect the actual cost related to
these co-pay changes.
FINANCE COMMtT-TEE
FINANCE COMMITTEE
Motion carried on a roll call vote with Woodward voting no and Quarles absent.
Resolution #12173 July 18, 2012
Moved by Scott supported by Covey the resolution (with fiscal note attached) be adopted.
AYES: Crawford, Dwyer, Gershenson, Gingell, Hatchett, Jackson, Long, Matis, McGillivray,
Middleton, Nash, Nuccio, Potts, Quarles, River, Runestad, Scott, Taub, Weipert, Woodward,
Zack, Bosnic, Covey. (23)
NAYS: None. (0)
A sufficient majority having voted in favor, the resolution (with fiscal note attached) was adopted.
riS HESOLUTION
r.',OUNTY EXECUTIVE
UANT TO MCL. 45.559A (7)
STATE OF MICHIGAN)
COUNTY OF OAKLAND)
I, Bill Bullard Jr., Clerk of the County of Oakland, do hereby certify that the foregoing resolution is a true
and accurate copy of a resolution adopted by the Oakland County Board of Commissioners on July 18,
2012, with the original record thereof now remaining in my office.
In Testimony Whereof, I have hereunto set my hand and affixed the seal of the County of Oakland at
Pontiac, Michigan this 18th day of July, 2012.
R,L2c2_ 094.
Bill Bullard Jr., Oakland County