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<br />. <br /> <br />. <br /> <br />~- <br /> <br />Pg. 2 <br /> <br />cost of purchasing the benefit from the City. Additionally, the <br />City benefits from paying payroll taxes on the net payroll amounts <br />rather than gross payroll totals. This could prove to be a win-win <br />situation for the City and the employees. At least, this option <br />would minimize employee out-of-pocket expenses nearly 20% while <br />also saving the City in payroll taxes. <br /> <br />We have asked Neal Welch of Alta Health Strategies to address <br />Council on the necessity of the employee contribution and the <br />positive effects of a cafeteria-style benefit option for major <br />medical insurance beginning October 1, 1987. We expect to have Mr. <br />Welch present at the July 27, 1987 Regular Council Meeting. <br /> <br />Should you have any questions or concerns please advise. <br />