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File #: 21-469    Version: 1 Name:
Type: Contract Status: Multi-Year Contract
File created: 6/24/2021 In control: City Council
On agenda: 7/27/2021 Final action:
Title: Approve a multi-year renewal of United Healthcare Medicare Advantage Plan for eligible retirees 65 and over from January 1, 2022 to December 31, 2022 and payments to eligible retirees for Medicare Part B reimbursement.
Attachments: 1. 2009-150(Amending resolution 2008-133 to include a 100_ health ins. premium (3).pdf, 2. 2021 Medicare Part B Rates.pdf, 3. 070921 - Cocoa - Medicare Retiree UHC 2022 Renewal Evaluation.pdf, 4. 070921 - Cocoa - UHC 2022 Medicare Advantage Plan Summary Rate Page.pdf
Date Ver.Action ByActionResultAction DetailsMeeting DetailsVideo
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CITY COUNCIL AGENDA ITEM

Memo Date: July 12, 2021
Agenda Date: July 27, 2021
Prepared By: Tammy B. Gemmati, Administrative Services Director
Through: Stockton Whitten, City Manager
Requested Action:
title
Approve a multi-year renewal of United Healthcare Medicare Advantage Plan for eligible retirees 65 and over from January 1, 2022 to December 31, 2022 and payments to eligible retirees for Medicare Part B reimbursement.
End

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BACKGROUND:

On November 24, 2009, the Cocoa City Council created Resolution 2009-150, amending Resolution 2008-133 which requires Medicare eligible retirees to elect the City's selected Medicare Insurance Plan for health insurance coverage. The resolution also requires Medicare eligible retirees to elect both Medicare Parts A & B. Although, Medicare Part A is at no cost to the retiree, the City reimburses eligible retirees on a quarterly basis for the cost of Medicare Part B. The City also pays the Medicare Advantage United Healthcare (UHC) premium for eligible retirees.

Due to hospital limitations in the local area, on June 23, 2015 Council approved a multi-year contract from September 1, 2015 to December 31, 2015, to replace the previous provider of Aetna for Medicare Advantage Plans with United Healthcare (UHC). Since that time the City has had six calendar plan renewals with UHC covering the 2016 - 2021 plan years.

The Medicare Advantage Plan with UHC for the 2021 calendar plan year is $369.60 per covered member. The ACA Insurer Fee is one of many fees implemented by Congress and intended to help fund implementation of the Affordable Care Act (ACA). The fee has not been charged to our plan since the 2020 calendar year and for the 2022 plan renewal, Congress has continued to waive the ACA Insurer Fee. There was a slight decrease to the base premium bringing it to $362.21. Below is a summary of the 2022 renewal for your reference:

Premium/Fee
2021
2022
Base Premium
$369.60
$362.21
Insurer Fee
N/A
N/A
Total Month...

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