HomeMy WebLinkAbout12-15-14 Special Meeting of La Porte City Council
LOUIS R. RIGBYDARYL LEONARD
MayorCouncilmember District 3Councilmember District 3
JOHN ZEMANEKTOMMY MOSER
Councilmember At Large ACouncilmember At Large ACouncilmember District 4Councilmember District 4
DOTTIE KAMINSKIDOTTIE KAMINSKIJAY MARTIN
Mayor Pro-TemCouncilmember District 5Councilmember District 5
Councilmember At Large BCouncilmember At Large B
MIKE CLAUSEN
Councilmember District 6Councilmember District 6
DANNY EARP
Councilmember District 1Councilmember District 1
CHUCK ENGELKENCHUCK ENGELKEN
Councilmember District 2Councilmember District 2
CITY COUNCIL MEETING AGENDACITY COUNCIL MEETING AGENDA
Notice is hereby given of a Special Meeting of the La Porte City Council to be held December 15, Notice is hereby given of a Special Meeting of the La Porte City Council to be held December
15,
2014, beginning at 5:00 PM in the City Hall Council Chambers, 604 W. Fairmont Parkway, La Porte, 2014, beginning at 5:00 PM in the City Hall Council Chambers, 604 W. Fairmont Parkway,
La Porte,
Texas, for the purpose of considering the following agenda items. All agenda items are subject to Texas, for the purpose of considering the following agenda items. All agenda items are
subject to
action.
1.CALL TO ORDERCALL TO ORDER
2.PUBLIC COMMENTSPUBLIC COMMENTS (Limited to five minutes per person.) (Limited to five minutes per person.)
3.CONSENT AGENDACONSENT AGENDA
(All consent agenda items are considered routine by City Council and will be enacted by (All consent agenda items are considered routine by City Council and will be enacted by
one motion. There will be no separate discussion of these items unless a Councilmember requests an item be one motion. There will be no separate discussion of these items unless a Councilmember
requests an item be
removed and considered separately.)removed and considered separately.)
(a)Consider approval or other action regarding Minutes of the regular meeting held December 8, Consider approval or other action regarding Minutes of the regular meeting held December
8,
2014 2014 -- P. Fogarty P. Fogarty
4.AUTHORIZATIONSAUTHORIZATIONS
(a)Consider authorizing the renewal of the City's Stop Loss Coverage Consider authorizing the renewal of the City's Stop Loss Coverage -- A. Curry A. Curry
5.ADMINISTRATIVE REPORTSADMINISTRATIVE REPORTS
6.COUNCIL COMMENTSCOUNCIL COMMENTS regarding matters appearing on the agenda; recognition of community regarding matters appearing on the agenda; recognition of community
members, city employees, and upcoming events; inquiry of staff regarding specific factual information members, city employees, and upcoming events; inquiry of staff regarding specific
factual information
or existing policies or existing policies Councilmembers Clausen, Martin, Moser, Kaminski, Zemanek, Leonard, Councilmembers Clausen, Martin, Moser, Kaminski, Zemanek, Leonard,
Engelken, Earp and Mayor RigbyEngelken, Earp and Mayor Rigby
7.ADJOURNADJOURN
In compliance with the Americans with Disabilities Act, the City of La Porte will provide for reasonable In compliance with the Americans with Disabilities Act, the City of La Porte
will provide for reasonable
accommodations for persons attending public meetings. To better serve attendees, requests should be received accommodations for persons attending public meetings. To better serve attendees,
requests should be received
24 hours prior to the meeting. Please contact Patrice Fogarty, City Secretary, at 281.470.5019.24 hours prior to the meeting. Please contact Patrice Fogarty, City Secretary, at 281.470.5019.
CERTIFICATIONCERTIFICATION
I certify that a copy of the December 15, 2014, agenda of items to be considered by the City Council was posted on the I certify that a copy of the December 15, 2014, agenda of items
to be considered by the City Council was posted on the
City Hall bulletin board on December 9, 2014.City Hall bulletin board on December 9, 2014.
Council Agenda Item Council Agenda Item
December 15, 2014 December 15, 2014
1.CALL TO ORDERCALL TO ORDER
2.PUBLIC COMMENTSPUBLIC COMMENTS (Limited to five minutes per person.) (Limited to five minutes per person.)
3.CONSENT AGENDACONSENT AGENDA
(All consent agenda items are considered routine by City Council and will be enacted by (All consent agenda items are considered routine by City Council and will be enacted by
one motion. There will be no separate discussion of these items unless a Councilmember requests an item be one motion. There will be no separate discussion of these items unless a Councilmember
requests an item be
removed and considered separately.)removed and considered separately.)
(a)Consider approval or other action regarding Minutes of the regular meeting held December 8, Consider approval or other action regarding Minutes of the regular meeting held December
8,
2014 2014 -- P. Fogarty P. Fogarty
****************************************************************** ******************************************************************
Council Agenda Item Council Agenda Item
December 15, 2014 December 15, 2014
3.CONSENT AGENDACONSENT AGENDA
(All consent agenda items are considered routine by City Council and will be enacted by (All consent agenda items are considered routine by City Council and will be enacted by
one motion. There will be no separate discussion of these items unless a Councilmember requests an item be one motion. There will be no separate discussion of these items unless a Councilmember
requests an item be
removed and considered separately.)removed and considered separately.)
(a)Consider approval or other action regarding Minutes of the regular meeting held December 8, Consider approval or other action regarding Minutes of the regular meeting held December
8,
2014 2014 -- P. Fogarty P. Fogarty
****************************************************************** ******************************************************************
LOUIS RIGBY
Mayor
DARYL LEONARD
JOHN ZEMANEK
Councilmember District 3
Councilmember At Large A
TOMMY MOSER
DOTTIE KAMINSKI
Councilmember District 4
Mayor Pro Tem
JAY MARTIN
Councilmember At Large B
Councilmember District 5
DANNY EARP
MIKE CLAUSEN
Councilmember District 1
Councilmember District 6
CHUCK ENGELKEN
Councilmember District 2
MINUTES OF THE REGULAR MEETING OF THE
CITY COUNCIL OF THE CITY OF LA PORTE
DECEMBER 8, 2014
Monday, December 8, 2014,
The City Council of the City of La Porte met in a regular meeting on at the City
6:00 p.m
Hall Council Chambers, 604 West Fairmont Parkway, La Porte, Texas, at . to consider the following
items of business:
1. CALL TO ORDER
Mayor Rigby called the meeting to order at 6:00 p.m. Members of Council present: Councilmembers
Kaminski, Clausen, Earp, Zemanek, Engelken, and Martin. Absent: Councilmembers Moser and
Leonard. Also present were City Secretary Patrice Fogarty, City Manager Corby Alexander, and
Assistant City Attorney Clark Askins.
2. INVOCATION
- The invocation was given by Councilmember Jay Martin.
3. PLEDGE OF ALLEGIANCE
-The Pledge of Allegiance was led by Councilmember Mike Clausen.
4. PRESENTATIONS, PROCLAMATIONS, and RECOGNITIONS
(a)
Recognition City of La Porte Fire Department Medal of Valor Mayor Rigby
Mayor Rigby recognized firefighters Vanessa Villafuerte; Antonio Elko; Ronnie Thibodeaux; Tyler
McElroy and Daniel West for being recipients of the City of La Porte Fire Department Medal of Valor
for outstanding and brave performance in the line of duty.
(b)
Recognition Employee of the (Third) Quarter Sergeant Lance Cook (Criminal Investigations)
Mayor Rigby
Mayor Rigby recognized Sergeant Lance Cook for receiving Employee of the (Third) Quarter.
5.PUBLIC COMMENTS
(Limited to five minutes per person.)
Georgia Dean, 11003 N. H St., addressed Council with concerns of drainage and runoff issues from a
stated the neighbors did not obtain permits from the City, and she has
continuous standing water which has many detrimental effects, not the least of which is a loss of trees
on her property.
6. CONSENT AGENDA
(All consent agenda items are considered routine by City Council and will be enacted by
one motion. There will be no separate discussion of these items unless a Councilmember requests an item be
removed and considered separately.)
17
Page of
December 8, 2014, Council Meeting Minutes
(a)
Consider approval or other action regarding the minutes of the Regular Meeting held on
November 10, 2014 P. Fogarty
(b)
Consider approval or other action regarding a Resolution appointing one representative and one
alternate to the H-GAC 2015 General Assembly and Board of Directors P. Fogarty
(c)
Consider approval or other action authorizing the City Manager to execute a revised agreement
between the City of La Porte and the La Porte Girls Softball Association regarding the use of
Designated Facilities at Little Cedar Bayou Park R. Epting
(d)
Consider approval or other action regarding Ordinances 2007-IDA-138 and 2007-IDA-130
executing Industrial District Agreements between the City of La Porte and Vigavi Realty, LLC.
K. Powell
(e)
Consider approval or other action regarding an Ordinance authorizing the City Manager to
execute a Water Service Agreement and a Sanitary Sewer Service Agreement with Vigavi
Realty, LLC., for its development at 11800 Fairmont Parkway in the Bayport Industrial District
T. Tietjens
(f)
Consider approval or other action regarding an Ordinance authorizing the City Manager to
execute a Water Service Agreement and a Sanitary Sewer Service Agreement with GSL
Partners Sub 51, LLC., for its development at 4130 New West Drive in the Bayport Industrial
District T. Tietjens
(g)
Consider approval or other action regarding an Ordinance authorizing the City Manager to
execute a Water Service Agreement and a Sanitary Sewer Service Agreement with GSL
Partners Sub 51, LLC., for its development at 9655 New Century Drive in the Bayport Industrial
District T. Tietjens
(h)
Consider approval or other action regarding an Ordinance vacating, abandoning and closing the
stnd
North 1 Street and North 2 Street Rights-of-Way between North L Street and Union Pacific
Railroad and authorizing the City Manager to execute deeds to the adjacent owners for the
subject rights-of-way T. Tietjens
(i)
Consider approval or other action awarding RFP #14504 for Debris Removal J. Suggs
(j)
Consider approval or other action awarding Vehicle Replacements for Fiscal Year 2014-2015
through Texas BuyBoard D. Mick
(k)
Consider approval or other action awarding Bid # 15004 for Plastic Garbage Bags D. Mick
(l)
Consider approval or other action to roll over the requested encumbrances from Fiscal Year
2014 to Fiscal Year 2015 M. Dolby
Regarding Items D and E, Councilmember Earp questioned why the agreement was issued and signed
in 2007 and the City is now approving the agreement. Finance Director Michael Dolby advised the
original Ordinance was written in 2007, and the Water Service and Sanitary Sewer are separate
agreements. Councilmember Earp questioned if the City was fine with the water and sewer capacity.
Public Works Director Dave Mick advised the water and sewer is only for domestic use, not process
water; and there will not be an impact to the City.
27
Page of
December 8, 2014, Council Meeting Minutes
Regarding Item C, Councilmember Martin questioned if the City has an agreement with the La Porte
Little League Baseball Association. Parks and Recreation Director Rosalyn Epting responded yes.
Councilmember Martin questioned if the duration of each of the agreements is the same. Ms. Epting
responded both are a 5-year agreement with an extension of 5 years. Councilmember Martin asked if
the matching funds are the same. Ms. Epting responded the City maintains the turf areas and the
Associations maintain the dirt.
Regarding Item K, Councilmember Zemanek questioned if the new garbage bags are the same
thickness as current bags are. Public Works Director Dave Mick advised the bags are the same and
have been for a number of years.
Councilmember Clausen moved to approve the Consent Agenda pursuant to staff recommendations;
and regarding Item 6b, Councilmember Engelken is appointed representative and Councilmember
MOTION PASSED.
Martin is appointed alternate. Councilmember Kaminski seconded.
Ayes: Mayor Rigby, Councilmembers Engelken, Zemanek, Clausen,
Kaminski, Earp and Martin
Nays: None
Absent: Councilmembers Moser and Leonard
Resolution 2014-11:
Prior to council action, Assistant City Attorney Clark Askins read the caption of A
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA PORTE, TEXAS, SELECTING A
REPRESENTATIVE AND AN ALTERNATE TO THE HOUSTON-GALVESTON AREA COUNCIL 2015 GENERAL
ASSEMBLY AND BOARD OF DIRECTORS.
Ordinance 2014-3552:
Prior to council action, Assistant City Attorney Clark Askins read the caption of AN
ORDINANCE AUTHORIZING THE EXECUTION BY THE CITY OF LA PORTE OF AN INDUSTRIAL DISTRICT
AGREEMENT WITH VAGAVI, REALTY LLC 11804 FAIRMONT PARKWAY FOR THE TERM COMMENCING
JANUARY 1, 2008, AND ENDING DECEMBER 31, 2019, MAKING VARIOUS FINDINGS AND PROVISIONS
RELATING TO THE SUBJECT, FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW, AND PROVIDING
AN EFFECTIVE DATE HEREOF.
Ordinance 2014-3553:
Prior to council action, Assistant City Attorney Clark Askins read the caption of AN
ORDINANCE AUTHORIZING THE EXECUTION BY THE CITY OF LA PORTE OF AN INDUSTRIAL DISTRICT
AGREEMENT WITH VAGAVI, REALTY LLC 11804 FAIRMONT PARKWAY FOR THE TERM COMMENCING
JANUARY 1, 2008, AND ENDING DECEMBER 31, 2019, MAKING VARIOUS FINDINGS AND PROVISIONS
RELATING TO THE SUBJECT, FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW, AND PROVIDING
AN EFFECTIVE DATE HEREOF.
Ordinance 2014-3554:
Prior to council action, Assistant City Attorney Clark Askins read the caption of AN
ORDINANCE APPROVING AND AUTHORIZING A WATER SERVICE AGREEMENT AND A SANITARY
SEWER SERVICE AGREEMENT BETWEEN THE CITY OF LA PORTE AND GIGAVI REALTY, LLC (11800
FAIRMONT PARKWAY), MAKING VARIOUS FINDINGS AND PROVISIONS RELATING TO THE SUBJECT;
FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE
HEREOF.
Ordinance 2014-3555:
Prior to council action, Assistant City Attorney Clark Askins read the caption of AN
ORDINANCE APPROVING AND AUTHORIZING A WATER SERVICE AGREEMENT AND A SANITARY
SEWER SERVICE AGREEMENT BETWEEN THE CITY OF LA PORTE AND GSL PARTNERS SUB 51, LLC
(4130 NEW WEST DR.), MAKING VARIOUS FINDINGS AND PROVISIONS RELATING TO THE SUBJECT;
FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE
HEREOF.
37
Page of
December 8, 2014, Council Meeting Minutes
Ordinance 2014-3556:
Prior to council action, Assistant City Attorney Clark Askins read the caption of AN
ORDINANCE APPROVING AND AUTHORIZING A WATER SERVICE AGREEMENT AND A SANITARY
SEWER SERVICE AGREEMENT BETWEEN THE CITY OF LA PORTE AND GSL PARTNERS SUB 51, LLC
(9655 NEW CENTURY DR.), MAKING VARIOUS FINDINGS AND PROVISIONS RELATING TO THE SUBJECT;
FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE
HEREOF.
Ordinance 2014-3557:
Prior to council action, Assistant City Attorney Clark Askins read the caption of AN
ST
ORDINANCE VACATING, ABANDONING AND CLOSING A PORTION OF THE NORTH 1 STREET AND
ND
NORTH 2 STREET RIGHTS-OF-WAY, AND AUTHORIZING THE EXECUTION AND DELIVERY OF DEEDS
TO THE ADJOINING LANDOWNERS, FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND
PROVIDING AN EFFETIVE DATE HEREOF.
7. PUBLIC HEARINGS AND ASSOCIATED ORDINANCES
(a)
Public hearing to receive comments regarding recommendation by the Planning and Zoning
Commission to approve an
Lot Residential (LL), to Low Density Residential (R-1) E. Ensey
City Planner Eric Ensey presented a summary.
The public hearing was opened at 6:24 p.m. There being no Council or public comments, the public
hearing closed at 6:27 p.m.
(b)
Consider approval or other action regarding an Ordinance adopting an update to the Future Land
Use Plan Component of the Comprehensive Plan of the City of La Porte for a tract of land owned by
Joe Chambers E. Ensey
City Planner Eric Ensey presented a summary.
Councilmember Zemanek moved to approve an Ordinance adopting an update to the Future Land Use
Plan Component of the Comprehensive Plan of the City of La Porte for a tract of land owned by Joe
MOTION PASSED.
Chambers. Councilmember Earp seconded.
Ayes: Mayor Rigby, Councilmembers Engelken, Zemanek, Clausen,
Kaminski, Earp and Martin
Nays: None
Absent: Councilmember Moser and Leonard
Ordinance 2014-3558:
Prior to council action, Assistant City Attorney Clark Askins read the caption of AN
ORDINANCE ADOPTING AN UPDATE TO THE FUTURE ALND USE MAP COMPONENT OF THE
COMPREHENSIVE PLAN OF THE CITY OF LA PORTE, TEXAS UPON RECOMMENDATION OF THE
PLANNING AND ZONING COMMISSION OF THE CITY OF LA PORTE, TEXAS, FINDING COMPLIANCE WITH
THE OPEN MEETING LAW; AND PROVIDING AN EFFECTIVE DATE HEREOF.
(c)
Public hearing to receive comments regarding recommendation by the Planning and Zoning
Commission to approve Rezone Request #14-92000003 for the rezoning of a 0.380 acres located on
E. Ensey
City Planner Eric Ensey presented a summary.
47
Page of
December 8, 2014, Council Meeting Minutes
The public hearing was opened at 6:29 p.m. There being no Council or public comments, the public
hearing closed at 6:31 p.m.
Consider approval or other action regarding an Ordinance amending Chapter 106 Zoning of the
(d)
Code of Ordinances of the City of La Porte by changing the zoning classification from Large Lot District
(LL) to Low Density Residential District (R-1) for a 0.380 acre tract of land located on the south side of
E. Ensey
City Planner Eric Ensey presented a summary.
Councilmember Earp moved to approve an Ordinance amending Chapter 106 Zoning of the Code of
Ordinances of the City of La Porte by changing the zoning classification from Large Lot District (LL) to
Low Density Residential District (R-1) for a 0.380 acre tract of land located on the south side of Bois
MOTION PASSED.
. Councilmember Zemanek seconded.
Ayes: Mayor Rigby, Councilmembers Engelken, Zemanek, Clausen,
Kaminski, Earp and Martin
Nays: None
Absent: Councilmembers Moser and Leonard
Prior to council action, Assistant City Attorney Clark Askins read the caption of Ordinance 2014-3559: AN
ORDINANCE
PORTE BY CHANGING THE ZONING CLASSIFICATION FROM LARGE LOT DISTRICT (LL) TO LOW
DENSITY RESIDENTIAL DISTRICT (R-1) FOR A .380 ACRE TRACT OF LAND HEREIN DESCRIBED; MAKING
CERTAIN FINDINGS OF FACT RELATED TO THE SUBJECT; FINDING COMPLIANCE WITH THE OPEN
MEETING LAW; AND PROVIDING AN EFFECTIVE DATE HEREOF.
8. REPORTS
(a)
Receive report of La Porte Development Corporation Board Councilmember Engelken
Councilmember Engelken provided a report from the La Porte Development Corporation Board meeting
held on November 17, 2014.
9. ADMINISTRATIVE REPORTS
Christmas Holidays, Wednesday, December 24, 2014, and Thursday, December 25, 2014.
La Porte Redevelopment Authority/La Porte Tax Reinvestment Zone Number One Meeting,
Wednesday, December 10, 2014.
City Manager Corby Alexander advised Council, Staff will contact Ms. Georgia Dean regarding her
situation and report back to Council. In addition,
Court meeting regarding a grant for the Historic Dewalt Schoolhouse; and the City received the award
letter today.
10. COUNCIL COMMENTS
regarding matters appearing on the agenda; recognition of community
members, city employees, and upcoming events; inquiry of staff regarding specific factual information
or existing policies Councilmembers Clausen, Martin, Moser, Kaminski, Zemanek Leonard, Engelken,
Earp, and Mayor Rigby.
Councilmembers Clausen congratulated the firefighters for receiving the City of La Porte Fire
Department Medal of Valor and thanked everyone for attending the meeting; Councilmember Martin
congratulated the firefighters for receiving the City of La Porte Fire Department Medal of Valor and
Page 5 of 7
December 8, 2014, Council Meeting Minutes
Lance Cook for receiving Employee of the (Third) Quarter, commented he thought Christmas on Main
Street was well attended, and thanked Staff for their hard work; Councilmember Kaminski thanked the
Fire Department, commented Main Street was well attended despite the rain, thanked staff for the well-
attended food drive this past Saturday and wished everyone a Merry Christmas; Councilmember
Zemanek congratulated the firefighters for receiving the City of La Porte Fire Department Medal of
Valor and Lance Cook for receiving Employee of the (Third) Quarter, requested a report from Staff on
rd
the progress of the Animal Shelter and Adoption Center, a status report for the 3 Street Drainage
Improvements and wished everyone a Merry Christmas, Happy New Year and safe holiday season;
Councilmember Engelken congratulated the firefighters for receiving the City of La Porte Fire
Department Medal of Valor and Lance Cook for receiving Employee of the (Third) Quarter, commented
he hope the City can reach a resolution for Ms. Dean and wished everyone a Merry Christmas, Happy
New Year and a safe holiday season; Councilmember Earp congratulated the firefighters for receiving
the City of La Porte Fire Department Medal of Valor and Lance Cook for receiving Employee of the
(Third) Quarter and wished everyone a Merry Christmas; and Mayor Rigby congratulated the firefighters
for receiving the City of La Porte Fire Department Medal of Valor and Lance Cook for receiving
Employee of the (Third) Quarter and commented Christmas on Main Street was well attended and
thanked everyone that was involved in planning the event.
11.EXECUTIVE SESSION:
The City reserves the right to meet in closed session on any agenda item
should the need arise and if applicable pursuant to authorization by Title 5, Chapter 551, of the Texas
Government Code, including, but not limited to, the following:
Texas Government Code, Section 551.072
For the purpose of deliberating the purpose of the
purchase, exchange, lease or value of real property: former Parks and Wildlife surrounding property.
Texas Government Code, Section 551.071 (1) (A)
Consultation with City Attorney: Pending or
Contemplated Litigation Michael Williams vs City of La Porte.
City Council recessed the regular Council meeting to convene an executive session at 6:38 p.m. for the
purpose of deliberating the purchase, exchange, lease or value of real property: former Parks and
Wildlife surrounding property; and the purpose for consultation with City Attorney: Pending or
Contemplated Litigation Michael Williams v. City of La Porte.
12. RECONVENE
into regular session and consider action, if any on item(s) discussed in executive
session.
Council reconvened into the regular Council meeting at 6:38 p.m.
Regarding the executive session pertaining to Section 551.072, for the purpose of deliberating the
purchase, exchange, lease or value of real property: former Parks and Wildlife surrounding property,
Councilmember Clausen moved to reject the offer received for the former Parks and Wildlife
MOTION PASSED.
surrounding property. Councilmember Earp seconded.
Ayes: Mayor Rigby, Councilmembers Martin, Clausen, Kaminski,
Engelken, Zemanek, and Earp
Nays: None
Absent: Councilmembers Moser and Leonard
Regarding the executive session pertaining to Section 551.071 (1) (A) Consultation with City
Attorney: Pending or Contemplated Litigation Michael Williams v. City of La Porte, no action was
taken.
67
Page of
December 8, 2014, Council Meeting Minutes
13.ADJOURN
There being no further business, the meeting adjourned at 7:08 p.m.
_______________________________
Patrice Fogarty, City Secretary
Passed and approved on December 15, 2014.
________________________________
Mayor Louis R. Rigby
77
Page of
December 8, 2014, Council Meeting Minutes
REQUEST FOR CITY COUNCIL AGENDA ITEMREQUEST FOR CITY COUNCIL AGENDA ITEM
December 15, 2014December 15, 2014AppropriationAppropriation
Agenda Date Requested:Agenda Date Requested:
Reinsurance Reinsurance
Allison Curry Allison Curry
Requested By:
Source of Funds:Source of Funds:
Premiums Premiums
Human Resources Human Resources
Department:
01461445156012 01461445156012
Account Number:Account Number:
Report:Resolution:Resolution:Ordinance:Ordinance:
$435,000 $435,000
Amount Budgeted:Amount Budgeted:
Other:
$380,264.28 $380,264.28
Amount Requested:Amount Requested:
Attachments :Attachments :
Budgeted Item:Budgeted Item:YESYESNONO
1. Quote Comparison1. Quote Comparison
2. Claims History2. Claims History
3. Historical Large Claims 3. Historical Large Claims
SUMMARY & RECOMMENDATIONSSUMMARY & RECOMMENDATIONS
On October 16, 2014, a Request for Proposal for Stop Loss Reinsurance was sent to 12 different Stop Loss On October 16, 2014, a Request for Proposal for Stop Loss Reinsurance was sent
to 12 different Stop Loss
carriers. The City purchases stop loss insurance to protect against high claims exposure. Specific stop loss covers carriers. The City purchases stop loss insurance to protect against
high claims exposure. Specific stop loss covers
individual member claims in excess of $165,000. The City is reimbursed for any single claim in excess of individual member claims in excess of $165,000. The City is reimbursed for
any single claim in excess of
$165,000. Stop loss proposals include Aggregate insurance. Aggregate insurance covers the entire health plan $165,000. Stop loss proposals include Aggregate insurance. Aggregate
insurance covers the entire health plan
claims and will reimburse if claims exceed 125% of expected claims. The City had a budget amount of $435,000, claims and will reimburse if claims exceed 125% of expected claims. The
City had a budget amount of $435,000,
which was based on the health plan claims running approximately 30% higher than the prior fiscal year. which was based on the health plan claims running approximately 30% higher than
the prior fiscal year.
Of the 12 carriers that were solicited, 2 submitted proposals; and 10 vendors did not submit a proposal. Many of Of the 12 carriers that were solicited, 2 submitted proposals; and 10
vendors did not submit a proposal. Many of
the non proposing vendors indicated they did not have competitive rates to provide. The two quotes for the current the non proposing vendors indicated they did not have competitive
rates to provide. The two quotes for the current
plan design resulted in a 9.45% premium increase and an increased maximum claims liability for the aggregate plan design resulted in a 9.45% premium increase and an increased maximum
claims liability for the aggregate
stop loss of 33.36%. These increases are a reflection of the claims experience during the past 12 months. The stop loss of 33.36%. These increases are a reflection of the claims experience
during the past 12 months. The stop loss of 33.36%. These increases are a reflection of the claims experience during the past 12 months. The stop loss of 33.36%. These increases
are a reflection of the claims experience during the past 12 months. The
increase in the maximum claims liability means that the City will have exposure to potentially higher claims increase in the maximum claims liability means that the City will have exposure
to potentially higher claims
payments before the Aggregate insurance will reimburse the City. payments before the Aggregate insurance will reimburse the City.
Currently, the CityCurrently, the Citys stop loss coverage takes effect when an individual employees stop loss coverage takes effect when an individual employees annual claims reach
$165,000. s annual claims reach $165,000.
The Citys benefits consultant did review quotes lowering the Specific Deductible to $150,000; however, this s benefits consultant did review quotes lowering the Specific Deductible
to $150,000; however, this
option resulted in an approximate 24% rate increase. As a result, it was the consultantoption resulted in an approximate 24% rate increase. As a result, it was the consultants recommendation
to stay s recommendation to stay
at the current $165,000 Specific Level. The 9.45% increase comes in below the budgeted 20% increase, and the at the current $165,000 Specific Level. The 9.45% increase comes in below
the budgeted 20% increase, and the
City would continue with Voya as the Reinsurance provider. City would continue with Voya as the Reinsurance provider.
Action Required of Council:Action Required of Council:
Consider approval or other action to renew the CityConsider approval or other action to renew the Citys Stop Loss Coverage with Voya at an s Stop Loss Coverage with Voya at an
annual premium of $380,264.28.annual premium of $380,264.28.
Approved for City Council AgendaApproved for City Council Agenda
Corby D. Alexander, City ManagerCorby D. Alexander, City ManagerDateDate
40.1896.19
$7,009,110.00
$2,058,390.00
Medical + RxMedical + Rx
$584,092.50
$340,774.56$363,679.56
$22,905.00$30,306.63
$28,397.88$1,121,458$1,000,000$16,244.04
$1,908.75$1,557.58
$ $
Unlimited
Symetra
$200,000
Aetna41.58%
$75.73
24/12$5.09
24/12
4.68%
N/AN/A
46.16
108.13
$6,965,550.00
$2,014,830.00
Medical + RxMedical + Rx
$580,462.50
$384,706.32$405,541.32
$20,835.00$33,795.11
$32,058.86$1,000,000$58,105.80
$1,736.25$1,547.90
$
Unlimited
Symetra
$175,000
$
Aetna40.70%16.72%
$85.49
24/12$4.63
24/12
N/AN/AN/A
49.17
114.21
$6,943,410.00
$1,992,690.00
Medical + RxMedical + Rx
$578,617.50
$407,019.24$426,999.24
$19,980.00$35,583.27
$33,918.27$1,180,380$1,000,000$79,563.72
$1,665.00$1,542.98
$
Unlimited
Symetra
$165,000
$
Aetna40.25%22.90%
$90.45
24/12$4.44
24/12
N/AN/A
Stop Loss Renewal Analysis
Effective Date: 1/1/2015
44.11
119.06
Voya Financial
City of La Porte
$6,900,030.00
$1,949,310.00
Medical + RxMedical + Rx
$575,002.50
$412,552.20$431,587.20
$19,035.00$35,965.60
Renewal 2
$34,379.35$1,104,005$1,000,000$84,151.68
$1,586.25$1,533.34
$
Unlimited
$150,000
$
Aetna39.37%24.22%
$91.68
$4.23
24/12
PAID
N/AN/A
38.62
104.25
Voya Financial
$6,602,040.00$1,651,320.00
Medical + RxMedical + Rx
$550,170.00
$361,229.28$380,264.28
$19,035.00$31,688.69
Renewal 1
$30,102.44$1,000,000$32,828.76
$1,586.25$1,467.12
$
Unlimited
$165,000
$
Aetna33.36%
$80.27
$4.23
9.45%
PAID
PAID
N/AN/AN/A
34.7994.96
Voya Financial
$4,950,720.00
Medical + RxMedical + Rx
$412,560.00
Additional Comments: Rates include 0% Commission
$328,400.52$347,435.52
$19,035.00$28,952.96
$27,366.71$1,000,000
$1,586.25$1,100.16
$ $
Unlimited
Current
$165,000
Aetna
$72.98
$4.23
PAID
PAID
N/AN/AN/An/an/an/an/a
137238375
Lifetime Maximum Reimbursement
Aggregate Monthly Premium
Monthly Attachment Factor
Maximum Reimbursement
Aggregate Annual Premium%
Total Monthly Premium
Annual Attachment Factor
AGGREGATE RETENTION
Total Annual Premium
Specific Monthly Premium
Percent Difference
Specific Annual Premium
Annual Difference
Monthly Accomodation
SPECIFIC RETENTION
TOTAL FIXED COSTS
Aggregating Specific
Family
Single
Aggregate Factors
Stop Loss Carrier
Annual Difference
Composite
Aggregate Rate
Specific Rates
TPA / Network
Run-In Limit
CoveragesCoverages
CompositeComposite
Corridor
ContractContract
Page: 1
January 1, 2014-September 30, 2014January 1, 2013-December 31, 2013January 1, 2012-December 31, 2012
60,05930,7071,00291,768201,56682,383283,950
Over Specific Over Specific Over Specific
($165,000)($165,000)($165,000)
------------
$ $
$ $
$ $
86,907.1783,505.5480,118.8876,413.461,042,348164,740139,875121,800426,415366,566247,383164,173953,243
225,058.66195,707.36166,002.01128,634.5594,36180,760
AmountAmountAmount
$ $ $ $
$
$
TotalTotalTotal
High Dollar Claimant Report - 2014
Intense pain in lower limb (reflex sympathetic dystrophy)
City of La Porte
Claimants > $72,500Claimants > $72,500Claimants > $72,500
DiagnosisDiagnosisDiagnosis
Poisoning by drugs or medicinal substances
Mechanical loosening of prosthetic joint
Degenerative joint disease in lower leg
2
Open fracture of tibia (lower leg)
Degenerative disc in lower back
Malnutrition related to diabetes
Septicemia (blood poisoning)
Skin infection of foot
Pancreatic cancer
Respiratory failure
Kidney stone(s)Kidney stone(s)Kidney stone(s)
Premature birth
Brain aneurysm
RelationshipRelationshipRelationship
Dependent
EnrolleeEnrolleeEnrolleeEnrolleeEnrolleeEnrolleeEnrolleeEnrollee
SpouseSpouseSpouseSpouseSpouseSpouseSpouse
HRA 1000HRA 1000HRA 1000HRA 1000HRA 1000HRA 1000HRA 1000
PlanPlanPlan
PPOPPOPPOPPOPPOPPOPPOPPOPPO
Ret <65Ret <65Ret <65Ret <65
ActiveActiveActiveActiveActiveActiveActiveActiveActiveActiveActiveActive
ClassClassClass
1234567812312345
11/10/2014
January 1, 2014-October 31, 2014January 1, 2013-December 31, 2013January 1, 2012-December 31, 2012
Over Specific Over Specific Over Specific
32,157 1,189$ 100,761$ 201,566$ 283,950
$ 67,415 82,383
($165,000)($165,000)($165,000)
- - - - - -$ - - -$ - - - -
$ $
$
$ $
$
1ActiveHRA 1000EnrolleeOpen fracture of tibia (lower leg)232,415.272ActivePPOSpouseSepticemia (blood poisoning)197,156.883ActivePPOSpouseDegenerative joint disease in lower leg166,188.774Ret
<65PPOEnrolleeMalnutrition related to diabetes128,634.557Ret <65PPOEnrolleeDegenerative disc in lower back81,166.268Ret <65PPOSpouseMechanical loosening of prosthetic joint76,568.699ActivePPOSpouseA
neurysm in blood vessel in chest76,255.231ActiveHRA 1000EnrolleeSkin infection of foot164,7403ActivePPOSpouseIntense pain in lower limb (reflex sympathetic dystrophy)121,80094,3615ActiveHRA
1000SpousePoisoning by drugs or medicinal substances80,760
87,285.4183,505.541,129,177139,875426,415366,566247,383164,173953,243
ClassPlanRelationshipDiagnosisAmountClassPlanRelationshipDiagnosisAmountClassPlanRelationshipDiagnosisAmount
TotalTotalTotal
High Dollar Claimant Report - 2014
City of La Porte
Claimants > $72,500Claimants > $72,500Claimants > $72,500
1
1ActiveHRA 1000EnrolleePancreatic cancer
2Ret <65PPOEnrolleeRespiratory failure
5ActiveHRA 1000SpouseKidney stone(s)2ActivePPOEnrolleeKidney stone(s)4ActiveHRA 1000SpouseKidney stone(s)
6ActiveHRA 1000DependentPremature birth
3Ret <65PPOEnrolleeBrain aneurysm
12/1/2014
High Dollar Claimant Report - 2014
City of La Porte
2
12/1/2014
January 1, 2011-December 31, 2011
January 1, 2010-December 31, 2010January 1, 2009-December 31, 2009
Over Specific Over Specific Over Specific
$ 105,797$ 144,736$ 118,729$ 180,886$ 50,789$ 50,789
38,939 62,158
($165,000)($165,000)($165,000)
- - - - - - - - - - - - -
$
$ $
$
$$
1ActivePPOSpouseLung/bronchus cancer270,7973ActivePPOEnrolleeLung/bronchus cancer121,3994ActivePPOSpouseHerniated disc in lower back, no spinal damage118,11676,10674,70781,92470,54860,66891,04474,658
64,28160,548
203,939865,063283,729227,158147,275871,301215,789105,881612,201
ClassPlanRelationshipDiagnosisAmountClassPlanRelationshipDiagnosisAmountClassPlanRelationshipDiagnosisAmount
TotalTotalTotal
High Dollar Claimant Report - 2014
City of La Porte
Claimants > $72,500Claimants > $72,500Claimants > $72,500
3
5Ret <65PPOSpouseIrregular heart beat6Ret <65PPOEnrolleeNo diagnosis stated1ActivePPOEnrolleeNo diagnosis stated2ActivePPOSpouseNo diagnosis stated3ActivePPOSpouseNo diagnosis stated4ActivePPOEnrolle
eNo diagnosis stated5ActivePPOEnrolleeNo diagnosis stated6ActivePPOSpouseNo diagnosis stated1ActivePPOSpouseNo diagnosis stated2ActivePPOSpouseNo diagnosis stated3ActivePPOEnrolleeNo
diagnosis stated4ActivePPOEnrolleeNo diagnosis stated5ActivePPOSpouseNo diagnosis stated6ActiveHRA 1000SpouseNo diagnosis stated
2ActiveHRA 1000EnrolleeProstate cancer
12/1/2014