01-20-05 Chapter 172 Employee Retiree Insurance and Benefits Board Meeting

Browse Search

The synergy of this group is capable of reinventing the wheel. The concept is to build a large single employer based model using proven managed care techniques and principles necessary to spread risk and manage claims for long term cost stabilization. Remember, the concept is to build (1000 member units) to spread risk actuarially; similar to larger entities, minimizing large claim impact on smaller separate entities. In review, the HGAC-Rl group medical model will be a health insurance purchasing cooperative on a regionalized basis. Following are points unmatched by any cooperative offered in today's marketplace. 1. The HGAC-Rl model will manage care on a local Houston area regional basis. Houston is the managed care capital of Texas, which is the best place for us to be. 2. The HGAC-Rl model will act as a single employer model. It will not be a number of separate entities with different agendas buying different programs from a purchasing cooperative. 3. The HGAC-Rl model will allow competitive bidding and receive bids from all of the traditional carriers. The participating entities will control the plan, not the vendor. 4. All Cities will have access to multiple products for all employees be it PPOs, HMOs, HSAs etc.... 5. State of the art member care coordination and disease management programs. 6. GASB 45 Retiree liability healthcare solutions. 7. An equal role in decisions necessary to steer the plan in the out years. C-CBS is ready to take the next step. C-CBS will enter into a contract with the HGAC-Rl Member Board to provide services for the purpose of delivering a cooperative purchasing group medical plan and other group benefits to HGAC-R1 for consideration with a target date of October 1, 2005. A board will be established made up of one (1) representative of each member entity, one (1) vote. We will set up by-laws early on. The following services are necessary to deliver a group medical product for final consideration by The HGAC-R1 Board. C-CBS will agree to the following services, but will not be limited only to the contracted services for the Request For Proposal (RFP) process, which include; 1. Provide overall leadership and a lead advisory role for steering this development process. 2. Develop strategy for positioning the HGAC-Rl Cooperative in the most favorable light possible with the market. The market consists of (5) qualified group medical carriers that are capable of being partners with HGAC-Rl; Aetna, Blue Cross/Shield, Cigna, Humana, and United Healthcare. Chapter 791(s) are not standard operating procedures for the carrier marketplace. It will be imperative that we present an RFP package to the market