HomeMy WebLinkAbout2007-10-22 Regular Meeting, Public Hearing and Workshop Meeting
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MINUTES OF REGULAR MEETING PUBLIC HEARING AND WORKSHOP MEETING
OF THE LA PORTE CITY COUNCIL
October 22, 2007
1. CALL TO ORDER
The meeting was called to order by Mayor Porter at 6:03 pm.
Members of City Council Present: Mayor Pro Tern Rigby, Council members Tommy Moser,
Mike Clausen, Georgia Malone, Howard Ebow, Mike Mosteit, Chuck Engelken and Mayor
Porter.
Members of Council Absent: Barry Beasley
Members of City Executive Staff and City Employees Present: Assistant City Attorney
Clark Askins, City Manager Ron Bottoms, Assistant City Manager John Joerns, Parks and
Recreation Director Stephen Barr, Planning Director Wayne Sabo, Interim Finance Director
Michael Dolby, City Secretary Martha Gillett, Director of Public Works Steve Gillett,
Purchasing Manager Susan Kelley, Building Official Debbie Wilmore, Assistant Fire Chief
John Dunham, Fire Chief Mike Boaze, Human Resources Manager Robert Swanagan, Risk
Manager Bill Rankin, Detective Huckabee, EMS Chief Ray Nolen, Emergency Management
Coordinator Jeff Suggs, Golf Pro Alex Osmond, Golf Superintendent Dennis Hvlavaty and
Chief of Police Richard Reff.
Others Present: John Handy of Houston Chronicle, Adam Yanelli of Bay shore Sun, Karen
Wilhelm of Light of Christ Church, Char Lynch of Port of Houston, Phillip Hoot, David
Janda, Jeremy Henricks, Charlene Fox, Cheryl Harper, Jason Carter, Ronda Lunsford,
Myriam Martinez, Leonard Zlomke, Robyn Gallion and other citizens.
2. Karen Wilhelm ofthe Light of the Christ Lutheran Church delivered the invocation.
3. Mayor Malone led the Pledge of Allegiance.
4. PRESENTATIONS / PROCLAMATIONS
The Bay Area Convention & Visitor's Bureau was not present at the meeting and has
postponed this presentation until the Nov. Ith Meeting.
5. Consent Agenda
A. Consider approving Minutes of the Regular Meeting and Public Hearing of La Porte
City Council held on October 8, 2007.
B. Council to consider to approval or other action declaring an emergency, based on the
health, safety and welfare of the city and authorizing the expenditure of up to
$68,000.00 for the replacement and installation of water line crossings on Barbour's
Cut Blvd. at North Broadway Street and North 8th Street.
C. Council to consider approval or other action awarding bid # 08003 for the purchase
of 30,000 rolls of 1.5 mi1.30 gallon plastic garbage bags from Dyna Pak, Inc. in the
amount of$105,300.00.
City Council Regular Meeting and Workshop Meeting -October 22, 2007
Page
2
D. Council to consider approval or other action awarding bid # 08002 in the amount of
$157,497. with a contingency of $7,874. to provide landscaping and irrigation for
five entrances signs for the City of La Porte.
E. Council to consider approval or other action awarding bid # 08004 for liquid
chlorine to DXI Industries, not to exceed $33,000.00.
F. Council to consider approval or other action awarding bid # 08001 for chemical and
fertilizer to UAP in the amount of$57,063.01.
G. Council to consider approval or other action regarding Ordinance 3035 authorizing
the City Manager to execute a contract with the Association of Bayport Companies
for the City of La Porte Emergency Medical Services to companies within the
Bayport Industrial District by the City of La Porte Emergency Medical Services
Division.
H. Council to consider approval or other action regarding three ordinances 3036/-IDA
2000-85, (Industrial District District), Ordinance 3037 (Water Service Agreement)
and Ordinance 3038 (Sanitary Sewer Service Agreement) with GSL Investments,
Inc.(T.D. Williamson Lessee) to it's site at 9409 New Century Drive in Bayport
North Industrial Park.
I. Council to consider approval or other action regarding three ordinances 3039/-IDA
2000-86, (Industrial District Agreement), Ordinance 3040 (Water Service
Agreement) and Ordinance 3041 (Sanitary Sewer Service Agreement) with GSL
Investments, Inc. (T.D. Williamson Lessee) to it's site at 9407 New Century Drive
in Bayport North Industrial Park.
Council pulled items C and D for discussion.
Motion was made bv Council member Engelken to approve consent agenda as
presented. Second by Council member Mosteit.
Ayes: Mayor Porter, Mayor Pro Tern Rigby, Moser, Clausen, Engelken, Mosteit, Ebow,
and Malone
Nays: None
Abstain: None
Absent: Beasley
6. PETITIONS, REMONSTRANCES, COMMUNICATIONS, AND CITIZENS AND
TAX PAYERS WISHING TO ADDRESS COUNCIL ON ANY ITEM POSTED ON
THE AGENDA.
Cheryl Harper - 210 Pine Bluff - Ms. Harper spoke representing Mr. Pfirman on this
property. She requested an additional 6-9 months to make repairs and noted Mr. Pfiiman
was willing to make all repairs.
Leonard Zlomke - 209 South Lobit - Mr. Zlomke informed the City Council he is not
able to afford the repairs that are needed on this property but would like some additional
time so he can salvage some of the materials.
City Council Regular Meeting and Workshop Meeting -October 22, 2007
Page 3
Council took an Executive Session out of order at this time. See Executive Session Section.
7. Council to consider approval of or other action regarding Resolution 2007-17
designating the Representatives for Houston-Galveston Area Council for 2008 General
Assembly and Board of Directors.
City Attorney read: RESOLUTION 2007-17, A RESOLUTION DESIGNATING
REPRESENTATIVE AND AL TERNA TE OF THE GENERAL ASSEMBLY OF THE
HOUSTON-GALVESTON AREA COUNCIL TO THE BOARD OF DIRECTORS
FOR THE YEAR 2008.
Motion was made by Council member Clausen to approve Resolution 2007-17
appointing Chuck Engelken as the Representative and Georgia Malone as the Alternate.
Seconded by Councilmember Rigby.
Ayes: Mayor Porter, Mayor Pro Tern Rigby, Moser, Clausen, Engelken, Mosteit, Ebow,
and Malone
Nays: None
Abstain: None
Absent: Beasley
8. Council to consider approval of or other action regarding Resolution 2007-18 expressing
support for federal efforts to establish the Buffalo Bayou Heritage Area Energy Capital
of the W orId.
City Attorney read: RESOLUTION 2007-18, A RESOLUTION EXPRESSING THE
CITY OF LA PORTE'S SUPPORT FOR FEDERAL EFFORTS TO ESTABLISH THE
BUFFALO BAYOU HERITAGE: THE ENERGY CAPITAL OF THE WORLD.
Motion was made by Council member Clausen to approve the Resolution as presented.
Seconded by Council member Malone. The motion carried.
Ayes: Mayor Porter, Mayor Pro Tern Rigby, Moser, Clausen, Engelken, Mosteit, Ebow
and Malone.
Nays: None
Abstain: None
Absent: Beasley
9. Public Hearing - Council to conduct second of two public hearings to receive public
comment prior to institution of proceedings to annex the industrial districts and provide Staff
with any direction resulting from the hearing if applicable.
Open Public Hearing - Mayor Porter opened the Public Hearing at 6:38 p.m.
Planning Director Wayne Sabo presented summary and recommendation and answered
Council's questions.
Public Input: There were no citizens wishing to speak on this item.
Recommendation of Staff - to continue with the annexation timeline until further directed.
The Public Hearing was closed at 6:41 p.m.
City Council Regular Meeting and Workshop Meeting -October 22, 2007
Page
4
10. Public Hearing - Council to conduct a public hearing to consider the Planning and Zoning
Commission's recommendation for keeping the domestic livestock ratio as per requirements
in Section 106-742 of the Code of Ordinances of the City of La Porte.
Open Public Hearing - Mayor Porter opened the public hearing at 6:42 p.m.
Planning Director Wayne Sabo presented summary and recommendation and answered
Council's questions.
Public Input: There were no citizens wishing to speak on this item.
Recommendation of Planning and Zoning Commission - to keep the domestic livestock ratio
as per requirements in Section 106-742 of the Code of Ordinances.
The Public Hearing was closed at 6:47 p.m.
11. Council to consider approval or other action regarding the Planning and Zoning
Commissions recommendation for keeping the domestic livestock ratio as per requirements
in Section 106-742 of the Code of Ordinances.
Motion was made by Council member Rigby to approve recommendation as presented by
Mr. Sabo. Seconded by Council member Clausen.
Ayes: Mayor Porter, Mayor Pro Tern Rigby, Moser, Clausen, Engelken, Mosteit, Ebow and
Malone.
Nays: None
Abstain: None
Absent: Beasley
12. Council to consider passage or other action regarding Ordinance No. 3018 and 3020-
regarding the condemnation of two substandard structures.
Building Official Debbie Wilmore presented summary and recommendation and answered
Council's questions.
Assistant City Attorney Clark Askins read: Ordinances 3018, CONSIDER APPROVAL OR
OTHER ACTION REGARDING ORDINANCE DECLARING THE BUILDING
LOCATED AT 202 S. BLACKWELL STREET, LOCATED IN CITY OF LA PORTE,
HARRIS COUNTY, TEXAS CONDEMNED, CONFIRMING THE IDENTITY OF THE
RECORD OWNERS TO ENTIRELY REMOVE OR TEAR DOWN SUCH BUILDINGS;
ORDERING THE SAID OWNER (S) TO COMMENCE SAID REMOVAL OR
DEMOLITION WITHIN TEN (10) DAYS FROM THE EFFECTIVE DATE OF THE
APPLICABLE ORDINANCE; AND TO COMPLETE SAID REMOVAL OR
DEMOLITION WITHIN THIRTY (30) DAYS FROM THE EFFECTIVE DATE OF THIS
ORDINANCE; ORDERING THE DANGEROUS BUILDING INSPECTION BOARD TO
PLACE A NOTICE ON SAID BUILDING (S) ORDERING THE CITY SECRETARY TO
FORWARD A COpy OF THE APPLICABLE ORDINANCE TO SAID OWNERS;
PROVIDING FOR THE REMOVAL OF SAID BUILDING (S) BY THE CITY OF LA
PORTE IF NOT REMOVED BY SAID OWNERS IN THE MANNER PROVIDED
HEREIN; PROVIDING AN EFFECTIVE DATE HEREOF; AND FINDING
COMPLIANCE WITH THE OPEN MEETINGS LAW.
City Council Regular Meeting and Workshop Meeting -October 22, 2007
Page
5
Motion was made by Council member Ebow to approve Ordinance 3018 to proceed forward
with demolition of the Blackwell Street location and not approve Ordinance 3020 and
remove the building on 8th Street from the demolition list. Second by Councilmember
Mosteit.
Ayes: Mayor Porter, Mayor Pro Tern Rigby, Moser, Clausen, Engelken, Mosteit, Ebow, and
Malone.
Nays: None
Abstain: None
Absent: Beasley
13. Council to consider approval or other action to regarding repealing ordinance No. 2007-
3015, or directing staff to proceed with demolition or other action.
Building Official Debbie Wilmore presented summary and recommendation and answered
Council's questions.
Assistant City Attorney, Clark Askins read: Ordinance 2007-3042, AN ORDINANCE
REPEALING ORDINANCE NO. 2007-3015, PROVIDING FOR THE CONDEMNATION
OF THE STRUCTURE LOCATED ON BLOCK 7, LOTS 31-33, PINE BLUFF, HARRIS
COUNTY, TEXAS, AND DECLARING SAME TO BE A PUBLIC NUISANCE,
CONTAINING A REPEALING CLAUSE, CONTAINING A SEVERABILITY CLAUSE,
FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING AN
EFFECTIVE DATE HEREOF.
Motion was made by Council member Clausen to deny approval of Ordinance No. 3042
repealing Ordinance 2007-3015. Seconded by Council member Malone.
Ayes: Moser, Ebow, Engelken, Clausen, Malone and Porter
Nays: Rigby and Mosteit
Abstain: None
Absent: Beasley
14. Council to consider changing dates of November and December Council Meeting dates due
to Holidays and consider recommendations to Staff.
It was the consensus of Council to hold one meeting in November on November 12, 2007
and move the December meetings to the first and third Monday's. If scheduling allows, only
have one meeting on the first Monday in December.
15. Council to consider approval or other action regarding Ordinance No. 2007-3024-B
amending the Budget for fiscal year 2007/2008.
Michael Dolby presented summary and recommendation and answered Council questions.
Assistant City Attorney Clark Askins read: Ordinance 2007-3024-B AN ORDINANCE
APPROVING AN AMENDMENT TO THE BUDGET FOR THE CITY OF LA PORTE,
TEXAS FOR THE PERIOD OF OCTOBER 1, 2007 THROUGH SEPTEMBER 30, 2008;
FINDING THAT ALL THINGS REQUISITE AND NECESSARY HAVE BEEN DONE IN
PREP ARA TION AND PRESENTMENT OF SAID BUDGET; FINDING COMPLIANCE
City Council Regular Meeting and Workshop Meeting -October 22, 2007
Page 6
WITH THE OPENS MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE
HEREOF.
Motion was made by Council member Rigby to approve Seconded by Council member
Moser.
Ayes: Moser, Rigby, Ebow, Engelken, Clausen, Mosteit, Malone and Porter Mayor
Nays: None
Abstain: None
Absent: Beasley
16. Council to consider approval or other action regarding the purchase of a Fire Truck.
Assistant Fire Chief Dunham presented summary and recommendation and answered
Council's questions.
Motion was made by Council member Rigby to approve the purchase of the Fire Truck.
Seconded by Council member Moser.
Ayes: Moser, Rigby, Ebow, Engelken, Clausen, Mosteit, Malone and Porter Mayor
Nays: None
Abstain: None
Absent: Beasley
17. Close Regular Meeting and Open Workshop at 7:30p.m.
A. Council discussed polling locations for May 7, 2008 General Election.
Council directed staff to move forward with using City Hall as a polling location
during General and Run-Off elections for districts 4 and 5 and use Baker Sixth
Grade Campus for General and Run-Off Elections for districts 1,2,3 and 6.
B. Council considered recommendations from the Board on code adoption and
provide staff with direction on adoption and implementation of the 2006 Code
Editions.
Staff will move forward and bring the back to Council for formal
recommendation.
C. Discussed amending the Regulation of Sex Offender Residency.
Staff was directed to move forward with Draft 2 and use the word recommended
rather than the word duty to pass out the notice..
18. Closed the Workshop at 8:10 p.m.
19. Administrative Reports
City Manager Ron Bottoms provided Council with the following Administrative Reports:
Upcoming TML Conference from November 7th through the 13th in Dallas, Texas. The
Coffee Symposium to be held on November 13,2007 at Hilton Americas- 1800 Lamar, in
City Council Regular Meeting and Workshop Meeting -October 22, 2007
Page 7
Houston. In addition, he informed Council he and Assistant City Manager John Joerns atted
a groundbreaking ceremony for Sylvan Beach Wellness Plaza.
20. Council Comments
Mayor Alton Porter, Mayor Pro Tern Rigby, Moser, Ebow, Malone, Engelken, Mosteit,
Clausen had comments.
21. EXECUTIVE SESSION- PURSUANT TO PROVISION OF THE OPEN MEETINGS
LAW, CHAPTER 551.071 THROUGH 551.076, 551-087, TEXAS GOVERNMENT CODE
(CONSULTATION WITH ATTORNEY, DELIBERATION REGARDING REAL
PROPERTY, DELIBERATION REGARDING PROSPECTIVE GIFT OR DONATION,
PERSONNEL MATTERS, DELIBERATION REGARDING SECURITY DEVICES, OR
EXCLUDING A WITNESS DURING EXAMINATION OF ANOTHER
WITNESS IN AN INVESTIGATION, DELIBERATION REGARDING ECONOMIC
DEVELOPMENT NEGOTIATIONS)
SECTION - 551.087 (DELIBERATION REGARDING ECONOMIC DEVELOPMENT NEGOTIATIONS)
MEET WITH CITY ATTORNEY
AND CITY MANAGER TO DISCUSS IDA
NEGOTIATIONS
SECTION - 551.072 (DELIBERATION OF REAL PROPERTY)
MEET WITH CITY ATTORNEY AND
CITY MANAGER TO DELIBERATE THE
VALUE OF REAL PROPERTY
551-074 (PERSONNEL MATTER)
MEET WITH CITY MANAGER TO
DISCUSS DUTIES
551.074 (PERSONNEL MATTER)
PERFORMANCE EV AULATION OF
JOHN JOERNS
First Executive Session - taken out of order as noted above.
Council convened to Executive Session at 6: 19 p.m. to discuss item 551.072 to meet with City
Attorney and City Manager to deliberate the value of real property.
Council returned to the table at 6:33 p.m. with no action taken.
Second Executive Session
Council convened to Executive Session at 8:21 p.m. to discuss items 551.074 to meet with City
Manager to discuss duties and to meet with John Joerns regarding performance evaluation. Item
551.087 deliberation regarding economic development negotiations was not needed.
Council returned to the table at 9:35 p.m. with no action taken.
22. Considerations and possible action on items considered in executive session.
First Executive Session
Council took no action on item 551.072.
City Council Regular Meeting and Workshop Meeting -October 22, 2007
Page 8
Second Executive Session
Council reconvened the regular meeting at 9:36 p.m.
Council took no action on items in Second Executive Session.
23. There being no further business to come before Council, the Regular Meeting was duly
adjourned at 9:37 p.m.
Respectfully sUbm~itted,
Vllt7d/
Martha Gilfett,~RM , CMC
City Secretary
Passed and approved on this 12th day of November 2007
~#?~
Mayor Alton E. Porter
c
REQUEST FOR CITY COUNCIL AGENDA ITEM
Appropriation
Agenda Date Requested: November 12.2007
Requested By: Wane J. sa'""/ifr."
Department: Planninl!
Source of Funds:
N/A
Account Number:
N/A
Amount Budgeted: N/A
Report: _Resolution: _Ordinance: -X-
Amount Requested: N/A
Exhibits:
A. Ordinance for San. Sewer Service Agreement
B. Sanitary Sewer Service Agreement
C. Area Map
Budgeted Item: _YES -X-NO
SUMMARY & RECOMMENDATION
GWB Investments, L.P. has approached the City for a Sanitary Sewer Service Agreement (SSSA) for "Best
Trucking", a 32.3303 acre site located at 13225 Baypark Road in the City's Bayport District (see Exhibit "F"
- Area Map). At its August 27, 2007 meeting, Council approved an Industrial District Agreement (IDA) and
Water Service Agreement (WSA) with the company.
Council has approved a policy to provide water and sanitary sewer service to companies located outside the
city limits and within the City's industrial districts. These companies are required by the policy to execute
and maintain an Industrial District Agreement with the City. GWB Investments, L.P. desires to obtain
sanitary sewer service under the terms of this policy.
Based on the company's stated demand for domestic and industrial process uses, the average daily
demand for sewer is 10,500 gpd which is within the policy's limit of 30,000 gallons per day. This demand
includes utilization of 5,000 gpd of water for the company's truck washing operations. The applicant will pay
one and one-half (1-%) times the City's current utility rate. Additionally, GWB Investments, L.P. is subject to
a one-time connection fee for its Sanitary Sewer Service Agreement in the amount of $11,000 for which
payment has subsequently been received.
The term of the company's SSSA expires on December 31, 2007, plus any renewals and extensions
thereof. However, the agreement shall automatically expire at such time as there is no effective IDA
between the parties or, if the city exercises the right of termination.
Staff recommends approval of a Sanitary Sewer Service Agreement with GWB Investments, Inc. as
submitted herein.
Action Required bv Council:
Approve an ordinance authorizing the City to enter into a Sanitary Sewer Service Agreement with GWB
I tments, L.P.
Ron Bottoms, City Manager
-.1/ /~/"1
Date
EXHmIT "A" (to Agenda Packet)
Ordinance for
Sanitary Sewer Service Agreement
ORDINANCE NO. 2007- $~
AN ORDINANCE APPROVING AND AUTHORIZING A SANITARY SEWER SERVICE
AGREEMENT BETWEEN THE CITY OF LA PORTE AND GWB INVES'l'MENTS ,
L.P.; MAKING VARIOUS FINDINGS AND PROVISIONS RELATING TO THE
SUBJECT; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND
PROVIDING AN EFFECTIVE DATE HEREOF.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE:
Section 1.
The
City
Council
hereby
approves
and
authorizes
the
contract,
agreement,
or other undertaking
described in the title of this ordinance, in substantially the
form as shown in the document which is attached hereto and
incorporated herein by the reference.
The City Secretary is
hereby authorized to attest to all such signatures and to affix
the seal of the City to all such documents. The City Manager is
hereby authorized to execute said contact, agreement, or other
undertaking described in the title of this ordinance.
Section 2.
The
City
Council
officially
finds,
determines, recites, and declares that a sufficient written
notice of the date, hour, place and subject of this meeting of
the City Council was posted at a place convenient to the public
at the City Hall of the City for the time required by law
preceding this meeting, as required by the Open Meetings Law,
Chapter 551, Texas Government Code; and that this meeting has
been open to the public as required by law at all times during
which this ordinance and the subject matter thereof has been
discussed, considered and formally acted upon.
The City Council
further ratifies, approves and confirms such written notice and
the contents and posting thereof.
Section 3.
This ordinance shall be effective from and
after its passage and approval, and it is so ordered.
ORDINANCE NO. 2007- 3of~
PASSED AND APPROVED, this
ATTEST:
idlJdftf.dd-dl
City Secretary
APP;;ZttJ L
Knox W. Askins
City Attorney
/!}vJ I-
PAGE 2
day of jJo/JemlJ/fr , 2007.
CITY OF LA PORTE
~.rp~
By:
Alton E. Porter
Mayor
D
REQUEST FOR CITY COUNCIL AGENDA ITEM
Appropriation
Agenda Date Requested: November 12. 2007
Requested By: Wayne J. sati'VP
I
Department: Plannin2
Source of Funds:
NA
Account Number:
NA
Amount Budgeted: NA
Report: _Resolution: _Ordinance: X
Exhibits: Ordinance
Boundary Map
SUMMARY
At the October 8, and October 22, 2007, meetings, the City Council conducted the two public hearings
required prior to institution of proceedings pursuant to the proposed annexation of the industrial districts.
As negotiations continue, Council directed staff to proceed with the annexation timeline. Council
previously received the draft service plans as required. Council received no public input at the hearings.
The Council may announce "beginning of proceedings" on November 12, 2007, and pass an actual
annexation ordinance effecting annexation of the properties currently subject to Industrial District
Agreements on a later date. The Council, however, would have aO maximum of 90 days, counting from
November 12, 2007, to finally pass an annexation ordinance. Current IDAs expire on December 31,
2007.
As a reminder, the Planning Department, as part of the process, has reviewed the Annexation Service
Plans that were used during the 1993 IDA renewal process for the Industrial Districts. Statutory Services
to be provided in 60 days include Police and Fire protection, EMS, solid waste collection, maintenance of
water and wastewater services, operation and maintenance of roads and streets to include lighting, parks
and any other public facility, building or service. The Capital Improvement Program (CIP) portion of the
Service Plan will initiate construction to extend utilities as needed within two (2) years of the effective
date of the plan
Staff's recommendation, since negotiations are continuing, is to pass an Ordinance to declare the intent to
annex and consider an actual annexation ordinance at a later date if necessary.
Action Required by Council:
Consider passing an Ordinance declaring intent to annex certain territories within Battleground Industrial
. ict and Bayport Industrial District.
Council A enda
Ron Bottoms, City Manager
II
ORDINANCE NO. 2007-~4
AN ORDINANCE DECLARING THE INTENTION OF THE CITY OF LA PORTE TO
INSTITUTE PROCEEDINGS TO ANNEX TERRITORY LOCATED WITHIN THE BAYPORT
INDUSTRIAL DISTRICT AND THE BATTLEGROUND INDUSTRIAL DISTRICT,
FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW, AND PROVIDING AN
EFFECTIVE DATE HEREOF.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE:
Section 1. The City Council of the City of La Porte hereby
declares its intention to institute annexation proceedings, to
annex the following described territory to the city of La Porte by
the passage of an ordinance of annexation extending the general
corporate limits of the City of La Porte for all purposes to
include within such territory property located in the Bayport
Industrial District and the Battleground Industrial District, now
situated within the exclusive extraterritorial jurisdiction of the
City of La Porte, and which is more particularly described in
Exhibits "A" and "B", attached hereto and incorporated by reference
herein.
As used herein, the term extraterritorial jurisdiction
shall have the same meaning ascribed to it as is ascribed to it in
the Municipal Annexation Act of 1963, compiled as Chapter 43, Texas
Local Government Code.
Section 2. On August 13, 2007, the City Council of the City
of La Porte directed the City's Planning Department to prepare a
Service Plan that provides for the extension of municipal services
to the area comprising the Battleground Industrial District and the
Bayport Industrial District. The proposed Service Plan shall be
made available for public inspection and explained to the
inhabitants of the area to be annexed at the public hearings.
Section 3. The City Council of the City of La Porte has
previously conducted two (2) public hearings at which persons
interested in the proposed annexation were given the opportunity to
be heard, said hearings having been held on or after the 40th day
but before the 20th day before the date of this ordinance declaring
the intention of the City of La Porte to institute proceedings to
annex territory located within the Bayport Industrial District and
the Battleground Industrial District. Each public hearing was
conducted in the City Council Chambers, City Hall, 604 West
Fairmont Parkway, La Porte, Texas, at 6:00 p.m., on October 8,
2007, and October 22, 2007, and notice of which was published in a
newspaper of general circulation in La Porte and in the area
proposed for annexation, and on the City of La Porte's internet
website.
Section 4. The institution of annexation proceedings, of
which notice is given by this ordinance, and which may precede
completion of annexation by no more than ninety (90) days, shall be
effective immediately upon passage and approval of this ordinance
by the La Porte City Council.
Section 5. The City Council officially finds, determines,
recites, and declares that a sufficient written notice of the date,
hour, place and subject of this meeting of the City Council was
posted at a place convenient to the public at the city Hall of the
City for the time required by law preceding this meeting, as
required by the Open Meetings Law, Chapter 551, Texas Government
Code; and that this meeting has been open to the public as required
by law at all times during which this ordinance and the subject
matter thereof has been discussed, considered and formally acted
2
upon.
The City Council further ratifies, approves and confirms
such written notice and the contents and posting thereof.
Section 6. This Ordinance shall be effective from and after
its passage and approval, and it is so ordered.
PASSED AND APPROVED, this 12th day of November, 2007.
CITY OF LA PORTE
By:
~?~
Alton E. Porter
Mayor
ATTEST:
lflldii/ ;il./IdII
Mar ha A. Gillett
City Secretary
APPROVED:
U~-r ~
Clark T. Askins
Assistant City Attorney
3
Battleground Industrial District
Metes & Bounds Description
BEGINNING at a point of intersection of the East right-of-way line ot North 1st Street and North right-of-Iine ot the Union
Pacific Railroad right-ot-way, said point being on the existing city limits line of the City of La Porte as it existed per City of
La Porte Ordinance No. 495, on March 20, 1956;
THENCE, Northwesterly coincident with the North right-of-way line of the Union Pacific Railroad to the point of intersection
with the West right-of-way line of Underwood Road, said point being on the city limit line of the City of La Porte as it
existed per City of La Porte Ordinance No. 1235 on November 5, 1980;
THENCE, North coincident with the West right-of-way line of Underwood Road as projected to a point of intersection with
the North right-ot-way line of Texas State Highway 225, point being on the existing city limits line ot the City ot La Porte as
it existed per City La Porte Ordinance No. 637 on November 27, 1961;
THENCE, Northwesterly coincident with the North right-of-way line of Texas State Highway 225 to its intersection with the
East right-of-way line of Texas 134 (Battleground Road), point being on the existing city limit lines of the City ot La Porte
as it existed per City of La Porte Ordinance No. 637 on November 27, 1961;
THENCE, in a Northerly direction along the Easterly right-ot-way line of the said Texas State Highway No. 134 to the point
where the same intersects with an imaginary line twenty-five hundred (2500) feet distant from, parallel to, and South of the
center line of the Houston Ship Channel, said imaginary line also being the City Limit line ot the City of Houston;
THENCE, in a Northeasterly direction along the said imaginary line twenty-five hundred (2500) feet distant from, parallel
to, and South of the said Houston Ship Channel, to the point where the same intersects with the Southerly boundary line
of the San Jacinto Battleground State Park of Texas;
THENCE, in a Southeasterly direction along the said Southerly boundary line of the said State Park to the southernmost
point of said boundary line;
THENCE, in a Northeasterly direction along the Easterly boundary line of said State Park, extended in the same direction,
to the point where the same intersects with an imaginary line twenty-five hundred (2500) feet distant from, parallel to, and
Southwest of the center line of the Houston Ship Channel;
THENCE, in a Southeasterly direction along an imaginary line twenty-five hundred (2500) feet distant from, parallel to,
and Southwest ot the said center line of the Houston Ship Channel, to the point where the said imaginary line intersects
with the North boundary line of the City of La Porte, the same also being the North boundary line of the La Porte
Independent School District;
THENCE, in a Westerly direction along the said North boundary line of the said City ot La Porte and La Porte Independent
School District to the point where said boundary lines intersection with the shore line of San Jacinto Bay;
THENCE, in a Southerly and Easterly direction and along the shore line and following the meanders of the shoreline of
said San Jacinto Bay, continuously following such shore line to the point where it intersects an imaginary line projected
North from the East right-ot-way line ot North 1 st Street;
THENCE, in a Southerly direction along said projection of the East right-of-line of North 1st Street and along the East right-
ot-way line of North 1st Street to its intersection with the South right-of-way line of the Union Pacific Railroad right-ot-way,
same being the POINT OF BEGINNING.
Provided, however, there shall be SAVED AND EXCEPTED from this annexation all territory within the boundaries
described herein that have been previously annexed by the City (it being the intention of the City Council of the City of La
Porte to annex all territory within the City's extraterritorial jurisdiction areas North of Texas State Highway 225 and South
ot the Houston Ship Channel and East of Texas State Highway 134 and West of Texas State Highway 146).
-------.-...
Bayport Industrial District
Metes & Bounds Description
BEGINNING at a point in the Richard Pearsall 1/3 League, A-625 , said point being in the South right-of-way
line of Fairmont Parkway (250 feet wide as existed on the 5th day of January, 1970 and as referred to in CLP
Ordinance No. 841), said point being also in the West right-of-way line of the Union Pacific Railroad;
THENCE, Westerly along the South right-of-way line of Fairmont Parkway to its intersection with the West line
of a 200 foot wide Harris County Flood Control District right-of-way for Willow Spring Gully which is designated
as Ditch No. B112-00-00;
THENCE, Southwesterly coincident with the meanders of the West line of the 200 foot wide right-of-way of
Willow Spring Gully, Harris County Flood Control District Ditch B112-00-00, to its intersection with the South
line of the W.M. Jones Survey, A482 and also being the North line of the George B. McKinstry Survey, A47;
THENCE, East with the North line of the George B. McKinstry Survey, A47 and the South line of the W.M.
Jones Survey, A482 and the corporate limit line of the City of Pasadena to the East line of the 200 foot wide
right-of-way of Willow Spring Gully, Harris County Flood Control District Ditch No. B112-00-00;
THENCE, Southwesterly with the East line of the 200 foot wide right-of-way of Willow Spring Gully, Harris
County Flood Control District Ditch B112-00-00 to a point 469 feet south of the North line of the George B.
McKinstry Survey, A47;
THENCE, East being 469 feet South of and parallel to the North line of the George B. McKinstry Survey, A-47,
to a point 200 feet West of the West line of that certain tract of land conveyed to Dart Industries and EI Paso
Products Co. a distance of 469 feet to its intersection with the North line of the George B. McKinstry Survey, A-
47;
THENCE, North, 200 feet West of and parallel to the West line of the property conveyed to Dart Industries and
EI Paso Products Co. a distance of 469 feet it its intersection with the North line of the George B. McKinstry
Survey, A47;
THENCE, Easterly along the North line of the George B. McKinstry Survey, A47 and the South line of the
W.M. Jones Survey, A-482 to its intersection with the center line of Big Island Slough;
THENCE, Southerly along the meanders of the center line of Big Island Slough to its intersection with a line
parallel to and 3,410 feet more or less measured at right angles South from the North line of the George B.
McKinstry Survey, A47, to a point for corner, said point being on the North line of that territory annexed to the
City of Houston by Ordinance No. 65-1555 B-R;
THENCE, Easterly along the North line of said territory described by Houston Ordinance No. 65-1555 B-R and
its Easterly extension, parallel to and 3410 feet more or less south of the North line of the George B. McKinstry
Survey, A47, and the South line of the W.M. Jones Survey, A482 and the Richard Pearsall 113 League, A-625
to its intersection with the West right-of-way line of the Union Pacific Railroad;
THENCE, North along the West right-of-way of Union Pacific Railroad to the POINT OF BEGINNING, it being
the intention of the City Council of the City of La Porte to annex all territory within the City's extraterritorial
jurisdiction areas South of Fairmont Parkway and West of the Union Pacific Railroad right-of-way, except those
areas hereinafter SAVED and EXCEPTED.
E
REQUE T FOR CITY COUNCIL AGENDA ITEM
Agenda Date Requested: Nove
ADDroDriation
Requested By: John Joerns
Source of Funds:
Department: Administration
Account Number:
Report:
Resolution:
Ordinance:
x
Amount Budgeted:
Exhibits:
Ordinance
Amount Requested:
Exhibits:
LPISD ADDointment
Budgeted Item: YES NO
Exhibits:
Harris Connty Appointment
SUMMARY & RECOMMENDATION
On October 31, 2007, a letter of notification was received from LPISD Board of Trustees President, Kathy Green,
reappointing Dr. Michael Say to the Board of Directors of the Tax Increment Reinvestment Zone #1 effective
November 1,2007 until the superintendent's position has been filled by the Trustees. The new superintendent will
then be appointed to take Dr. Say's place to serve on the TIRZ Board. This appointment automatically places Dr.
Say on the La Porte Redevelopment Authority.
On October 23,2007, the Commissioners Court of Harris County approved the reappointment of Lindsey R. Pfeiffer
to the Board of Directors of the Tax Increment Reinvestment Zone #1 effective November 1,2007 through October
31,2009. This appointment automatically places Mr. Pfeiffer on the La Porte Redevelopment Authority.
The City of La Porte normally ratifies the appointments from Harris County and LPISD.
~1
Date
!tJ~1
ORDINANCE NO. 2004-2782-T
AN ORDINANCE APPOINTING MEMBERS TO VARIOUS BOARDS, COMMISSIONS,
AND COMMITTEES, OF THE CITY OF LA PORTE; PROVIDING A SEVERABILITY
CLAUSE; CONTAINING A REPEALING CLAUSE; FINDING COMPLIANCE WITH
THE OPEN MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE HEREOF.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE:
. Indicates reappointment
Section 1.
The City Council of the City of La Porte hereby
makes the following appointments to the Airport Advisory Board for
the City of La Porte Municipal Airport, for terms expiring on
August 31st of the year indicated, or until their successors shall
have been duly appointed and qualified:
Position 1. - Debra Rihn
Position 2 . - Nick Hooke
Position 3. - * Hector Villarreal
Position 4. - * Tucker Grant
Position 5. - Steve Gillett
Position 6. - Eliminated by City Council
on 7/13/98 by Ord. 98-2265
2010
2010
2009
2009
2010
FAA Representative
William Gray
No Term
Airline Representative -
Dan Myhaver
No Term
Section 2. The City Council of the City of La Porte hereby makes
the following appointments to the Board of Directors of the City
of La Porte Reinvestment Zone Number One, for terms expiring on
August 31st of the year indicated, or until their successors shall
have been duly appointed and qualified:
Position 1 Peggy Antone 2009
Position 2 * Da ve Turnquist 2008
Position 3 Alton Porter 2009
Position 4 *Horace Leopard 2008
Position 5 Doug Martin 2009
Position 6 *J.J. Meza 2008
Position 8 *Chester Pool 2008
The City Council of the City of La Porte hereby ratifies the
following appointments by La Porte Independent School District and
Harris County:
Position 7 Dr. Say (LPISD) 2009
Position 9 Lindsay Pfeiffer (Harris Co.) 2009
Section 3. The City Council of the City of La Porte hereby
makes the following appointments to the Chapter 172 Employee
Retiree Insurance and Benefi ts Commi ttee, for terms expiring on
August 31st of the year indicated, or until their successors shall
have been duly appointed and qualified:
Citizen Position 1 George Van Dyke No Term
Citizen Position 2 Steve Valerius No Term
Retiree Participant - Sammy Jacobs No Term
Employee Participant - Karen Beerman No Term
Finance Staff Michael Dolby No Term
H.R. Staff Robert Swanagan No Term
Legal Staff Clark T. Askins No Term
Alternate Pos. 1 Matt Daeumer No Term
Alternate Pos. 2 Julie Graham No Term
Alternate position 1 may participate in all meetings of the
committee but is entitled to vote only in the absence of a regular
member; Alternate position 2 may participate in all meetings of
2
the corruni ttee but is entitled to vote only in the absence of a
regular member, where Alternate Pos. 1 member is not present, or
where more than one regular members are absent.
Section 4. The City Council of the City of La Porte hereby makes
the following appointments to the Fiscal Affairs Committee,
without term, or until their successors shall have been duly
appointed and qualified:
Date Appointed
Chairman Chuck Engelken 1998
Corrunittee Membe r - Barry Beasley 2004
Corrunittee Membe r - Howard Ebow 1998
Alternate Membe r - Louis Rigby 2004
Alternate Membe r - Torruny Moser 2004
Section 5. The City Council of the City of La Porte hereby
makes the following appointments to the Fire Code Review Board of
the City of La Porte, for terms expiring on August 31st of the
year indicated, or until their successors shall have been duly
appointed and qualified:
District 1 Tim Bird 2008
District 2 *Jeff Brown 2009
District 3 *Woodrow Sebesta 2009
District 4 *Floyd Craft 2009
District 5 Jim Bridge 2009
District 6 Lester Clark 2008
At Large-A *Bryan Moore 2009
At Large-B Paul Vige 2008
Mayor *Lynn Green 2009
3
Section 6. The City Council of the City of La Porte hereby
makes the following appointments to the La Porte Area Water
Authority, for terms expiring on August 31st of the year
indicated, or until their successors shall have been duly
appointed and qualified:
Position 1
Position 2
Position 3
Position 4
Position 5
Robert Roy
Dennis H. Steger
Steve Valarius
2009
2009
2009
2008
2008
Chester Pool
* Paul Berner
Section 7. The City Council of the City of La Porte hereby
appoints the following named persons, all of whom are residents of
the City of La Porte, and no more than four of whom are elected
ci ty officials or city employees, to serve as directors of the
City of La Porte Development Corporation without compensation, but
with reimbursement for actual expenses, for terms expiring on
August 31st of the year indicated, or until their successors shall
have been duly appointed and qualified:
Chuck Engelken
*Mike Clausen
Tommy Moser
*Bill Love
Ed Matuszak
*Pat Muston
Trent Wise
2009
2008
2009
2008
2009
2008
2009
Section 8. The City Council of the City of La Porte hereby
makes the following appointments to the La Porte Health Authority,
!i<,
4
for terms expiring on August 31st of the year indicated, or until
their successors shall have been duly appointed and qualified:
Health Authority Abdul R. Moosa, M.D. 2008
Alternate Robert D. Johnston, M.D. 2008
Medical Advisor/EMS Oscar Boultinghouse Contract
Section 9. The City Council of the City of La Porte hereby
makes the following appointments to the La Porte Redevelopment
Authority, for terms expiring on August 31st of the year
indicated, or until their successors shall have been duly
appointed and qualified:
Position 1 Peggy Antone 2009
Position 2 * Da ve Turnquist 2008
Position 3 Alton Porter 2009
Position 4 *Horace Leopard 2008
Position 5 Douglas Martin 2009
Position 6 *J.J. Meza 2008
Position 7 Dr. Say 2009
Position 8 *Chester Pool 2008
Position 9 Lindsay R. Pfeiffer, Chairman 2009
Section 10. The City Council of the City of La Porte hereby
makes the following appointments to the Main Street Advisory
Board, a new Board required by the Texas Historical Commission,
for terms expiring on August 31st of the year indicated, or until
their successors shall have been duly appointed and qualified:
Position 1- Edward Matuszak 2008
Position 2- Vicki Campise 2008
Position 3- Bill Manning, Jr. 2008
5
Position 4- Erik Nelson 2009
Position 5- *Jerry Carpenter 2009
Position 6- Mark Follis 2009
Position 7- Michaelyn Dunaway 2010
Position 8- Troy Pulver 2010
Position 9- Jennifer Pfeiffer 2010
Position 10 Position 10 Eliminated by Ordinance 2004-2782-
L on August 28th, 2006 by City Council action.
Position 11 Position 11 Eliminated by Ordinance 2004-2782-
L on August 28th, 2006 by City Council action.
There are also three (3) Ex Officio members of this Board:
1 the City of La Porte's Main Street Coordinator
2 the City Manager of the City of La Porte, or his
designee
3
the Manager of the La Porte-Bayshore Chamber of
Commerce
Section 11. The City Council of the City of La Porte hereby
makes the following appointments to the City of La Porte Planning
and Zoning Commission, for terms expiring on August 31st of the
year indicated, or until their successors shall have been duly
appointed and qualified:
Chairman * Pat Muston 2009
District 1 Doretta Finch 2008
District 2 *Nick Barrera 2009
District 3 *Kirby Linscombe, Jr. 2009
District 4 Dottie Kaminiski 2010
District 5 Paul Berner 2010
6
District 6 Claude Meharg 2008
Alternate 1 Hal Lawler 2010
Alternate 2 Les Bird 2008
Section 12. The City Council of the City of La Porte hereby
makes the following appointments to the Southeast Texas Housing
Finance Corporation Board of Directors, for terms expiring on
August 31st of the year indicated, or until their successors shall
have been duly appointed and qualified:
Director *Patricia Muston 2009
Section 13. The City Council of the City of La Porte hereby
makes the following appointments to the Zoning Board of
Adjustment, for terms expiring on August 31st of the year
indicated, or until their successors shall have been duly
appointed and qualified:
Position 1 Chester Pool 2009
Position 2 Bob Capen 2009
Position 3 Rod Rothermel 2009
Position 4 Charles Schoppe 2009
Position 5 George w. Maltsberger 2009
Alternate 1 *Lawrence McNeal 2008
Alternate 2 *Gilbert Montemayor 2008
The City Council of the City of La Porte hereby designates
George W. Maltsberger, of Position 5, to serve as Chairman of the
Zoning Board of Adjustment until the expiration of the member's
term of appointment as designated in this section, or until their
successor shall have been duly appointed and qualified.
7
Section 14. The City Council of the City of La Porte hereby
appoints the following named persons, all of whom are resident
electors of the City of La Porte or non-resident individuals
owning or operating a business within the City of La Porte, duly
verified by proof of an applicable tax statement or utility
account for such business, and each of whom the City Council deems
competent to serve on such Board by virtue of their experience and
training in matters pertaining to building construction, and none
of whom are employed by the City of La Porte, to serve as members
of the Building Codes Appeals Board for terms expiring on August
31st of the year indicated, or until their successors shall have
been duly appointed and qualified:
Position 1 Tom Campbell 2010
Position 2 Terry Bunch 2010
Position 3 Paul Larson 2009
Position 4 Ron Holt 2009
Position 5 Ken Schlather 2008
Position 6 John Elfstrom 2008
Position 7 Bruce Compton 2008
Section 15. The City Council of the City of La Porte hereby
makes the following appointment to the Fire Fighters Pension Board
of Trustees, to serve without term or until his successor shall
have been duly appointed and qualified:
City Council Representative *John Joerns No Term
Section 16. The City Council of the City of La Porte hereby
makes the following appointments to the Animal Shelter Advisory
8
Committee, without term, or until their successors shall have been
duly appointed and qualified:
Veterinarian - Donna Medford, DVM No Term
Rabies Control Authority - Richard Reff No Term
Animal Control Officer - Clarence Anderson No Term
Animal Welfare Rep. - Dana Dicker No Term
City Council At-large POSe A - Georgia Malone No Term
Section 17. If any section, sentence, phrase, clause or any
part of any section, sentence, phrase, or clause, of this
ordinance shall, for any reasons, be held invalid, such invalidity
shall not affect the remaining portions of this ordinance, and it
is hereby declared to be the intention of this City Council to
have passed each section, sentence, phrase or clause, or part
thereof, irrespective of the fact that any other section,
sentence, phrase or clause, or part thereof, may be declared
invalid.
Section 18. All ordinances or parts of ordinances in
conflict herewith are repealed to the extent of such conflict
only.
Section 19. The City Council officially finds, determines,
recites, and declares that a sufficient written notice of the
date, hour, place and subject of this meeting of the City Council
was posted at a place convenient to the public at the City Hall of
the City for the time required by law preceding this meeting, as
required by the Open Meetings Law, Chapter 551, Texas Government
Code; and that this meeting has been open to the public as
9
required by law at all times during which this ordinance and the
subject matter thereof has been discussed, considered and formally
acted upon.
The City Council further ratifies, approves and
confirms such written notice and the contents and posting thereof.
Section 20. This Ordinance shall be effective from and after
its passage and approval, and it is so ordered.
PASSED AND APPROVED,
this ;)f- day of /J~tE/J1tEf2-
, 2007.
By:
CITY OF LA RRTE
~~V~
Alton E. Porter
Mayor
ATTEST:
Gfh~;/ fI!utl
~ a . Gill tt
City Secretary
APPROVED:
y~~~
Clark T. Askins
Assistant City Attorney
10
La Porte
Independent School District
Dr. Michael W. Say
Superintendent
J}~dt ~
~ 30,2007
RECEIVED
OCT 2> 1 2001
BOARD OF TRUSTEES
Kathy Green
President
Jim Schul
Vice President
Bill Snead
Secretary
ASSISTANT CITY
MANAGER'S OFFICE
Larry Cox
Craig Huley
Edward Matuszak
Charleya Wheeler
Trustees
Mayor Alton Porter
City of La Porte
604 West Fairmont Parkway
La Porte, TX 77571
Re: Appointment to TIRZ Board
Dear Mayor Porter,
This letter is to inform you and the La Porte City Council that the Trustees of the La Porte
Independent School District would like to re-appoint Dr. Michael W. Say as the school
district's representative from now until the superintendent's position has been filled by the
Trustees. Our new superintendent will then be appointed to take Dr. Say's place to serve
on the TIRZ Board.
Thank you for your consideration of the Distri~t's proposal on this matter.
Sincerely,
r(~~
Kathy Green, President
LPISD Board of Trustees
/jw
cc: Board of Trustees
Dr. Michael Say
1002 San Jacinto Street
La Porte, Texas 77571
Public Information (281) 604-7001
Fax (281) 604-7010 www.lpisd.org
Superintendent (281) 604-7015
Business (281) 604-7046
Ctuniculunn(281) 604-7025
Human Resources (281) 604-7111
e'
.. I
,
'.
Sylvia R. Garcia
Commissioner
Downtown Office
1001 Preston, Suite 950
Houston, TX 77002
Tel: 713.755.6220
Fax: 713.755.8810
Baytown Annex
701 W. Baker Road.
Suite 104
Baytown, TX 77521
Tel: 281.427.7311
Fax: 281.837.1290
Clear Lake Annex
16603 Buccaneer Lane,
Suite 100,
Houston, TX 77062
Tel: 281.488.4678
Fax: 281.286.7450
Raul C. Martinez Annex
1001 S. Sgt. Macario
Garcia Dr., Suite 102
Houston, TX 77011
Tel: 713.924.3975
Fax: 713.924.3971
Jim Fonteno Annex
14350 Wallisvllle Road
Houston, TX 77049
Tel: 713.455.8104
Fax: 713.451.6714
Kyle Chapman
Pasadena Annex
7330 Spencer Hwy
Pasadena, TX 77505
Tel: 281.479.7770
Fax: 281.479.3075
C", n1.e(j~
.t1)
OCT 2 b 2007
CITY 8t::\,;N,.;;;; iAK{'S
OFFiCE
October 24, 2007
Alton E. Porter, Mayor
City of La Porte
604 W. Fairmont Parkway
La Porte, Texas 77571
RE: City of La Porte TIRZ #1
Dear Mayor Porter:
For your records, enclosed is your copy of the Commissioners Court approved court
letter regarding the reappointment of Lindsey R. Pfeiffer to the Board of Directors of
the City of La Porte Tax Increment Reinvestment Zone #1 by Commissioner Sylvia
R. Garcia effective November 1, 2007 through October 31, 2009.
Should you have any questions regarding this appointment, please call me at
713.755.6220.
Sincerely,
~!,~
Gloria E. Moreno
Agenda Director
GEM/cm
enclosures
c: Lindsey R. Pfeiffer
On this the 23rd day of October, 2007, the Commissioners Court of Harris County, Texas, sitting as the
governing body of Harris County, at a regular meeting of the Court, upon motion of Commissioner Lee,
seconded by Commissioner Eversole, duly put and unanimously carried,
IT IS ORDERED that Lindsey R. Pfeiffer be reappointed to the Tax Increment Reinvestment Zone, City
of LaPorte # I for a two year term effective November 1, 2007 through October 31, 2009.
The vote of the court on the above motion was:
AYES:
NOES:
ABSTENTIONS:
5 (Judge Emmett, Commissioners Lee, Garcia, Radack, and Eversole)
None
None
Presented to Commissioner's Court
(L-
\Y~'~
OCT 2 3 2007
APPROVE
Recorded Vol_ Page
.... ,
: I
- ,
,.
'.
Sylvia R. Gar cia
Commissioner
Downtown Office
1001 Preston, Suite 950
Houston, TX 77002
Tel: 713.755.6220
Fax: 713.755.8810
Baytown Annex
701 W. Baker Rood,
Suite 1 D4
Baytown, TX 77521
Tel: 281.427.7311
Fax: 281.837.1290
Clear Lake Annex
16603 Buccaneer Lane,
Suite 1 DO,
Houston, TX 77062
Tel: 281.488.4678
Fax: 281.286.7450
Raul C. Martinez A.nnex
1001 S. Sgt. Macono
Garcia Dr., Suite 1 D2
Houston, TX 77011
Tel: 713.924.3975
Fax: 713.924.3971
Jim Fonteno Annex
14350 Walllsvllle Road
Houston, TX 77049
Tel: 713.455.8104
Fax: 713.451.6714
Kyle Chapman
Pasadena Annex
7330 Spencer Hwy
Pasodeno, TX 77505
Tel: 281.479.7770
Fax: 281.479.3075
AGENDA ITEM
EXECUTIVE SESSION
Commissioners Court
Harris County Administrative Building
1001 Preston, 9th floor
Houston, Texas 77002
Dear Court Members:
October 15, 2007
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Please consider the following as an executive session item for the October 23, 2007
Commissioners Court Agenda.
Request the approval of the reappointment of Lindsey R. Pfeiffer to the Tax
Increment Reinvestment Zone - City of La Porte #1 for a two year term effective
November 1, 2007 through OCtober 31, 2009. . ,
Vote of the Court:
Judge Emmett
Comm. Lee
Comm. Garcia
Comm. Radack
Comm. Eversole
SRCicrn
0_ fl C
I~ C.OV' - Lee.lAG
G::.~ ~vc~~p ... CC~{),!c
.1""; t
r ([1 iY" ':. <;,~. .~'_ s. r (..1' ~ - .l..! - Ci;.~t:'~' ~
'No
o
B
B
Abstain
~
Sincerely,
1w-Yl .
~~ia R..;~
CommlsslOr;tta
Harris County Precinct Two
-
Presented to Commissioner's Court
OCT'2 310Ql
APPROVE' L-. . ~
Recorded VoL- Page
REQUEST FOR CITY COUNCIL AGENDA ITEM
Appropriation
Source of Funds: NA
Account Number: NA
Amount Budgeted: NA
Amount Requested: NA
Bude:et Item: NA
Agenda Date Requested: November 12. 2007
Department:
Wayne J. Sabo ~.
<f'I
Plannine:
Requested By:
Report: -X-Resolution: _Ordinance: _X_
Attachments:
Ordinance w/exhibits A-F
P&Z Staff Report
Aerial Map
Sketch Plan
Site Plan
SUMMARY
The Planning and Zoning Commission, during its October 11,2007, special called meeting, held a public
hearing to receive citizen comments regarding Special Conditional Use Permit Request #SCU07-0l0.
The applicant, Rev. Gary A. Rickles c/o St. Mary's Church, seeks approval of a Special Conditional Use
Permit (SCUP) for a proposed multi-purpose hall at 816 Park Drive. The subject property is located
within the Beach Park Subdivision and is currently zoned Low-Density Residential (R-l). Per Section
106-331, Table A, Residential Uses, a Special Conditional Use Permit is required for religious institutions
or church related facilities to be located in R-1 zoning districts.
St. Mary's the Immaculate Conception Catholic Church was established in 1954. The subject property
consists of lots 1-28 of block 33, lots 2-16 and 27-28 of block 34, lots 1-8 of block 35, lots 1-29 of block
36, lots 6-28 of block 37, and portions of alleys/streets within these blocks closed and abandoned by the
City of La Porte in the Beach Park Subdivision adjacent to the Sylvan Beach. A replat to consolidate all
lots, alleys, and streets into one restricted reserve for the church's use is currently under review. St. Mary
of the Immaculate Conception Church wants to construct a 6,220 sq.ft. building called Rosary Hall within
the church facility. The multi-purpose hall will be served for religious, educational, and recreational
purposes. In addition, the facility will include three classrooms, conference room, church hall, catering
kitchen, religious education office, and restrooms.
The primary access will be along Park Drive with a secondary access through the parking lot along Bayshore
Drive adjacent to Sylvan Beach Park. As per applicant, total number of existing parking spaces is adequate to
support this new facility as the regular church services will not conflict with the hours of operation of this
new facility. The proposed addition would also be compatible with the existing building design of the church.
Upon approval of the Special Conditional Use Permit, the applicant would be authorized to submit a certified
site plan and building plans for the proposed development. Once the plans are approved, the building
permit will be issued for the new facility.
Staff has found the request satisfies all applicable ordinance requirements. The property is surrounded by
low-density residential developments, LPISD, Sylvan Beach Park and a mixture of commercial uses at the
intersection of Circle Drive/Bayshore Drive and Park A venue. The land use plan shows this area developing
as residential and surrounding properties as commercial and public uses. The facility would be compatible
with the surrounding properties and should not be injurious to the use, enjoyment or value of those
properties.
Public Notices were mailed to the fourteen (14) property owners in the area. No response was received. The
Planning and Zoning Commission, by unanimous vote, recommended City Council consider approval of
Special Conditional Use Permit #SCU 07-010 with the conditions as listed in the SCUP attached herewith.
Action Required bv Council:
1. Conduct a Public hearing.
Consider Planning and Zoning Commission recommendation to approve Special Conditional Use
Permit #SCU 07-010 for proposed multi-purpose hall to be located at 816 Park Drive.
Council A enda
tJ
ORDINANCE NO. 1501- fi.p
AN ORDINANCE AMENDING THE CODE OF ORDINANCES OF THE CITY OF LA PORTE, CHAPTER
106, MORE COMMONLY REFERRED TO AS THE ZONING ORDINANCE OF THE CITY OF LA
PORTE, BY GRANTING A SPECIAL CONDITIONAL USE PERMIT #SCU07-010 FOR 6.4377 ACRE
TRACT OWNED BY ST. MARY'S CHURCH AND LOCATED AT 816 PARK DRIVE, LEGALLY
DESCRIBED AS LOTS 1-21 & 24-28, BLOCK 33, LOTS 2-16 & 27-28, BLOCK 34, LOTS 1-8, BLOCK
35, LOTS 1-29, BLOCK 36, LOTS 6-28, BLOCK 37, BEACH PARK SUBDIVISION, JOHNSON
HUNTER SURVEY, ABSTRACT 35, FOR THE PURPOSE OF DEVELOPING A MULTI-PURPOSE
HALL IN A LOW-DENSITY RESIDENTIAL (R-1) ZONE; MAKING CERTAIN FINDINGS OF FACT
RELATED TO THE SUBJECT; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND
PROVIDING AN EFFECTIVE DATE HEREOF;
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE:
"Section 1. The City Council of the City of La Porte hereby finds, determines and
declares that heretofore, to-wit, on the 11th day of October, 2007, at 6:00 p.m. a Public Hearing
was held before the Planning and Zoning Commission of the City of La Porte, Texas, pursuant
to due notice as required by the Open Meetings Law, Chapter 551, Texas Government Code, to
consider the question and the possible reclassification of the zoning classification of the
hereinafter described parcels of land. There is attached to this Ordinance as Exhibit "A", and
incorporated by reference herein and made a part hereof for all purposes, a copy of Notice of
Public Hearing, which the City Council of the City of La Porte hereby finds was properly mailed
to all owners of all properties located within two hundred feet (200') of the properties under
consideration.
"Section 2. The publisher's affidavit of publication of notice of said hearing is attached
hereto as Exhibit "B", incorporated by reference herein and made a part hereof for all purposes.
"Section 3. On October 11, 2007, the Planning and Zoning Commission of the City of
La Porte met in special session to consider changes in classification, which were the subject of
such public hearing. The City Council of the City of La Porte is in receipt of the written
recommendations of the City of La Porte Planning and Zoning Commission, by letter dated on
the 1 ih day of October, 2007, a true copy of which letter is attached hereto as Exhibit "C",
incorporated by reference herein and made a part hereof for all purposes.
ORDINANCE NO. 1501- b~
Page 2
"Section 4.
Subsequent to receipt of the recommendation of the City of La Porte
Planning and Zoning Commission, the City Council of the City of La Porte called a public
hearing on the proposed classification changes and the recommendation of the Planning and
Zoning Commission on the 12th day of November, 2007, at 6:00 p.m., and pursuant to due
notice, to consider the recommendation of the Planning and Zoning Commission regarding the
possible reclassification of the zoning classification of the hereinafter described parcels of land.
There is attached to this ordinance as Exhibit "0", incorporated by reference herein and made a
part hereof for all purposes, a copy of the notice of public hearing.
"Section 5.
The publisher's affidavit of publication of notice of said hearing is attached
hereto as Exhibit "E", and incorporated by reference herein and made a part hereof for all purposes.
"Section 6.
The conditions of the said Special Conditional Use Permit are as set forth
in the incorporated terms of the Special Conditional Use Permit, a true copy of which is attached
hereto as Exhibit "F". The description of said parcels of land classified pursuant to said Special
Conditional Use Permit is as follows, to-wit:
6.4377 acres of land, Lots 1-21 & 24-28, Block 33; Lots 2-16 & 27-28, Block 34; Lots 1-8 Block
35; Lots 1-29, Block 36; Lots 6-28, Block 37, Beach Park Subdivision, Volume 67, Page 149,
H.C.O.R., Johnson Hunter Survey, Abstract No. 35, La Porte, Harris County, Texas.
"Section 7.
The City Council of the City of La Porte hereby finds, determines, and
declares that all prerequisites of law have been satisfied and hereby determines and declares
that the amendments to the City of La Porte Zoning Map and Classification contained in this
Ordinance as amendments thereto are desirable and in furtherance of the goals and objectives
stated in the City of La Porte's Comprehensive Plan.
"Section 8.
The City Council officially finds, determines, recites and declares that a
sufficient written notice of the date, hour, place and subject of this meeting of the City Council
was posted at a place convenient to the public at the City Hall of the City for the time required
ORDINANCE NO. 1501- 6/.;
Page 3
by law preceding this meeting, as required by the Open Meetings Law, Chapter 551, Texas
Government Code; and that this meeting has been open to the public as required by law at all
times during which this ordinance and the subject matter thereof has been discussed,
considered and formally acted upon. The City Council further ratifies, approves and confirms
such written notice and the contents and posting thereof.
"Section 9. This Ordinance shall be in effect from and after its passage and approval.
Passed and approved this the '1)!/- day oflJOil ,2007.
CITY ?F\LA PORTE ~
By: ~~. ~
ALTON PORTER, Mayor
ATTEST:
BY:l/fYlMJv- 11;)1
MARTHA GILLETT, City Secretary
APPROVED:
"~~~
By: (;lJ. ,I'. "<<-<<1
C RK KIN, Assistant Ci y ttorney
SCU#07-01O
THE STATE OF TEXAS
COUNTY OF HARRIS
CITY OF LA PORTE
NOTICE OF PUBLIC HEARING
In accordance with the provisions of Section 106-171 of the Code of Ordinances of the City
of La Porte, and the provisions of the Texas Local Government Code, notice is hereby given that the
La Porte Planning and Zoning Commission will conduct a public hearing at 6:00 P.M. on the 11th
day of October, 2007, in the Council Chambers ofthe City Hall, 604 West Fairmont Parkway, La
Porte, Texas. The purpose of this hearing is to consider Special Conditional Use Permit Request
SCU#07-01O, which has been requested for 6.4377 acres, blocks 33 thru 37, Beach Park
Subdivision, Volume 67, Page 149, H.C.D.R. Johnson Hunter Survey, Abstract 35, La Porte, Harris
County, Texas. Rev. Gary A. Rickles ofSt. Mary's Church at 816 Park Avenue is seeking approval
of a permit to build a rosary hall. Religious institutions or related activities are classified as
conditional use in Low-Density Residential (R-1) zone per Section 106-331 of the Code of
Ordinances.
A special called meeting of the Planning and Zoning Commission will follow the public
hearing for the purpose of acting upon the public hearing items and to conduct other matters
pertaining to the Commission.
Citizens wishing to address the Commission pro or con during the Public Hearing will be
required to sign in before the meeting is convened.
CITY OF LA PORTE
Martha Gillett, TRMC, CMC
City Secretary
A possible quorum of Council may be present and participate in the discussion, but will not vote on matters.
This facility has disability accommodations available. Requests for accommodations or interpretive
services at meetings should be made 48 hours prior to the meeting. Please contact City Secretary's
office at (281) 471-5020 or TDD Line (281) 471-5030 for further information.
EX
!T
..
.
/ \
~vVlflV 1 '"'\II V
-=----
HE STATE OF
EXAS
:OUNTY OF J HAR- 820 S. 8th Street
tiS .a Porte, Texas 77571
:ITY OF LA
'ORTE
281-471-1234
Fax 281-471-5763
In
ance with the provi-
ions of Section
l)6.:171 of the Code
r Ordinances of the
;ity of La. Porte, and
le provisions of the
exa$ local Govern-
lent Code, notice is
efeby given that the
a Porte Planning and
oning Commission
ill conduct a public
aaring at 6:00 P.M.
cio::'. 1~7. d: .:: Before me, the undersigned authority, on this date came and
oun~. Ch~~fS ~ appeared Sandy Vanya, a duly authorized representative of The
~ ~i~l. Park- Bayshore Sun, a semi-weekly newspaper published and generally
~. ~~,:e'OfTex:~ distributed in the City of La Porte, Harris County, Texas and who
=~ Is toco:: after being duly sworn, swears the at,mtl ched notice was published in
se Pennit Requ~st The Bayshore Sun dated (/I .2-3. OT
CU#07-Q10, Which ---=-.J _ .
3S been requested
if 6.4377 acres, '):\
ocks33 thru 37, I 11, /
:"'v,,::' 67~U.= . C &It cz:; (Ian~. .. /(1 ..
4$, H.C.D.R John- S d V
>0 Huirter . Survey,' an y any
bstract 35, La . Porte,
arris County,. Texas,
av. Gary A Rickles
, St Mary's Church
. . 816 Park Avenue is I
leking approval of a,
mnit to build a m-
Iry halt Religious in- .
itutions or related ac- sw~rn. ~d subscnbed before me this
lities are classified (
I conditional use In ,2007.
:r~~ zo~esid~: (~\ Q Jdxl
action 1~-331 of the " ~.
:>de Of Ordinances. t; 1/ /J
A special' VLX. ~
IIled meeting of the Nota Public n-
anning and Zoning .
:>mmission wlll fOllow Hams County, Texas
~h".' ~~,:J:~~~!)~.;:J9f.;;
.. :"U~~'-"'#"Itr- ,-.,a.....U'ZI"l.,~ I
City of La Porte
County of Harris
State of Texas
m+h
day of
,,~"'H~,,-
~ . '..p-
ti. ......l)
~,I'r.,~
USA A. GODFREY
MY COMMISSION EXPIRES
August 9, 2011
My Commission Exprires
'6~ II [
I . I
EX, Hrru.;JIT
\; ,I t
1l"'\1
~-~
City of La Porte
Established 1892
October 17,2007
Honorable Mayor Alton Porter and City Council
City of La Porte
Dear Mayor Porter and Council:
The La Porte Planning and Zoning Commission, during a special called meeting on October 11,
2007, considered Special Conditional Use Permit #SCU 07-010. The applicant, St. Mary's
Church c/o Rev. Gary A. Rickles, seeks approval to build a multi-purpose hall at 816 Park Drive.
The Planning and Zoning Commission, by unanimous vote, recommended City Council consider
approval of Special Conditional Use Permit #SCU07 -0 I 0 with the following conditions:
1. This Special Conditional Use Permit is specifically limited for a multi-purpose hall within the
church facility at 816 Park Drive.
2. This permit does not become valid until a Certified Development Site Plan is submitted to the
City; reviewed and approved in accordance with the requirements of the Development Ordinance.
3. Screening and lor landscaping of parking lot shall be required.
4. Landscaping shall be located across the front of the property to provide compatibility with
neighboring residential.
5. Landscaping shall be properly maintained by the owner/developer.
6. The Developer shall comply with all applicable laws and ordinances of the City and the State
of Texas.
Respectfully Submitted,
Po!t~
Chairperson, Planning and Zoning Commission
c: Ron Bottoms, City Manager
John Joerns, Assistant City Manager
Clark Askins, Assistant City Attorney
Planning and Zoning Commission
604 W. Fairmant Pkwy. · La Porte, Texas 77571 · (281) 471-5020
EXHIBiT
i"'\
SCU#07-010
THE STATE OF TEXAS
COUNTY OF HARRIS
CITY OF LA PORTE
NOTICE OF PUBLIC HEARING
In accordance with the provisions of Section 106-171 of the Code of Ordinances of the City
of La Porte, and the provisions of the Texas Local Government Code, notice is hereby given that the
La Porte City Council will conduct a public hearing at 6:00 P.M. on the 12th day of November,
2007, in the Council Chambers of the City Hall, 604 West Fairmont Parkway, La Porte, Texas. The
purpose of this hearing is to consider Special Conditional Use Permit Request SCU#07-01O, which
has been requested for 6.4377 acres, blocks 33 thru 37, Beach Park Subdivision, Volume 67, Page
149, H.C.D.R. Johnson Hunter Survey, Abstract 35, La Porte, Harris County, Texas. Rev. Gary A.
Rickles of St. Mary's Church at 816 Park Avenue is seeking approval of a permit to build a multi-
purpose hall. Religious institutions or related activities are classified as conditional use in Low-
Density Residential (R -1) zone per Section 106-331 of the Code of Ordinances.
A regular meeting of the City Council will follow the public hearing for the purpose of
acting upon the public hearing items and to conduct other matters pertaining to the Council.
Citizens wishing to address the Council pro or con during the Public Hearing will be
required to sign in before the meeting is convened.
CITY OF LA PORTE
Martha Gillett, TRMC, CMC
City Secretary
A possible quorum of Council may be present and participate in the discussion, but will not vote on matters.
This facility has disability accommodations available. Requests for accommodations or interpretive
services at meetings should be made 48 hours prior to the meeting. Please contact City Secretary's
office at (281) 471-5020 or TDD Line (281) 471-5030 for further information.
EX/=U Es rT r")
0'
PUBLIC NOTICES
SCU#07'(}10 ,~
'J-' c. . ..- "
THE STATE OFTEXAS
COUNTY OF ~R.~.
CITY OF LA PORTE
820 S. 8th Street
Porte, Texas 77571
281-471-1234
Fax 281-471-5763
NOTICE OF PUBUC'
~~'~e
Go~rnmGl1t CoOe.nolice i
ta'l:' ~~~ ~
conduct a public hearing
lit 6:00, P.M. on.the 121h
day Of Novembet,2007,
in the Council Chao1bers
of the Cily. Hall. 604 West t f La P rte
Fairmont, 'Patkwarlk "La i Y 0 0
~:' ~le~a: /learing t'~ ounty of Harris
consider Special' CoOOi.
nonal ',Use Permit Re- tate of Texas
qUllSt SCU#07.(}10,
which has ,'been re-
qUllSteo . for 6.4377 acrllS. i
blocks 33 thru3T. Beach. f th d' d h 'ty h' d d
~ p::dill~~;'H~tt'Fr.,e ore me, e un erslgne aut on , on t IS ate came an
'~~n:;:~~n~a~:~ppeared Sandy Vanya, a duly authorized representative of The
:~::iSG~ry~nty.RIcld~~ 'i:aYShOre Sun, a semi-weekly newspaper published and generally
St. Mary'S Churctl-al,816 , 'b d' h C' f L PH' C T d h
Parkrov:~~ue a Ispe:fki~ Istn ute In t e Ity 0 a orte, arns ounty, exas an w 0
~,SaotM",..Wti,.'li!:r,.~,Oll,:,$::if,fter being duly sworn, swears the a.!W-ched notice was published in
silled 'as'condltioilal '~& :he Bayshore Sun dated-10. 2j).gr, ,
in ' !..ow-Density Jlesjden-i
1ia1 (R-l) zone per See- 'h
.~,'::~1' . U~~
F~r ofherma!': ndy Va ya ~
pertailli"ll ~ thVl ColJf1Cll: "
Cillvms ".wishinglo: ad-
dress the Couhctl pro "01"
con duringlhe "Public
Hearing will. . bElrilqllire1.l
to, sign,: ,in, . belR'e. ' the
,meeting is 00nvened. . .h,.. ,.,.,,'
CITY Of;' LA PORTE
,/,-.:.t
$~~""It,
r~. tl
,'.li. 'il".
~~:~.,~"
day of
. Mi!1ha (3i1letl,
TAMe; CMC ,'"
City Secretary
before me this
USA A. GODFREY
MY COMMISSION EXPIRES
August 9, 2011
Not ry Public
Harris County, Texas
My Commission Exprires
~)q" I
I I
EXHibiT
City of La Porte
Special Conditional Use Permit # SCU 07-010
This permit is issued to:
St. Mary's Catholic Church
Owner or Agent
816 Park Drive, La Porte. TX 77571
Address
For Development of:
St. Mary of the Immaculate Conception Rosary Hall
Development Name
816 Park Drive
Address
Legal Description:
Lots 1-21 & 24-28. Block 33. Lots 2-16 & 27-28. Block 34
Lots 1-8, Block 35. Lots 1-29, Block 36. Lots 6-28. Block 37
Beach Park subdivision. Johnson Hunter Survey. Abstract 35,
La Porte, Harris County, Texas.
Zoning:
Low-Density Residential (R-1)
Use:
Multi-purpose Hall
Permit Conditions:
1. This Special Conditional Use Permit is specifically limited for a multi-purpose hall within the church
property.
2. This permit does not become valid until a Certified Development Site Plan is submitted to the City;
reviewed and approved in accordance with the requirements of the Development Ordinance.
3. Screening and lor landscaping of parking lot shall be required.
4. Landscaping shall be located across the front of the property to provide compatibility with neighboring
residential.
5. Landscaping shall be properly maintained by the owner/developer.
6. The Developer shall comply with all applicable laws and ordinances of the City and the State of
Texas.
Failure to begin construction within one (1) year after issuance or as scheduled under the terms of a special
conditional use permit shall void the permit as approved, except upon an extension of time granted after
application to the Planning and Zoning Commission.
If construction is terminated after completion of any stage and there is ample evidence that further development
is not contemplated, the ordinance establishing such special conditional use permit may be rescinded by the
City Council, upon its own motion or upon the recommendation of the Planning and Zoning Commission of the
City of La Porte, and the previous zoning of the entire tract shall be in full effect on the portion which is
undeveloped.
01{~M
City Secretary
EXHIB!T
Special Conditional Use Permit
(SCU 07-010)
Planning and Zoning CommissiDn
October 11, 2007
Item:
Action Taken:
REQUEST:
Consider and take action on a request for a Special Conditional Use Permit for a rosary hall/
building to be located within St. Mary's Catholic Church.
APPLICANT: Rev. Gary A. Rickles
OWNER: St. Mary's Catholic Church
GENERAL LOCATION:
816 Park Drive
LEGAL DESCRIPTION:
6.4377 acre tract being lots and alleys in blocks 33 thru 37, Beach Park Subdivision, Volume 67,
Page 149, H.C.D.R. Johnson Hunter Survey, Abstract 35, La Porte, Harris County, Texas.
PROJECT SIZE: 6,220 square feet
EXISTING ZONING:
"R-1" (Low-Density Residential)
Surrounding Zoning Surrounding Land Uses
North "R-1" Sinale-familv Residential
South "NC" Neiahborhood Commercial
East "R-2" Svlvan Beach Park
West "R-3" Mixed Residential
ANALYSIS:
A new 6,220 immaculate conception rosary hall is proposed within the existing St. Mary's
Catholic Church property located at 816 Park Drive. The subject property is zoned Low-Density
Residential (R-1). Religious institutions or church related activities are classified as conditional
use and requires a Special Conditional Use Permit from the City.
UTILITIES:
Public utilities are readily available to the property with adequate fire protection. Water, sanitary
sewer, and road conditions adequately serve the property. The proximity to Fairmont Parkway and
Bayshore Drive near Sylvan Beach Park provides adequate access to the area.
Special Conditional Use Permit
October 11, 2007 P&Z Meeting
Page 1 of 2
IMPACT UPON EMERGENCY SERVICES:
There should be no adverse impact upon emergency services with development of this site.
TRAFFIC:
The subject property has access to Park Drive and Bayshore Drive adjacent to Sylvan Beach
Park.
STAFF RECOMMENDATION:
Staff recommends approval with the conditions as listed in the draft SCUP attached herewith.
ATTACHMENTS:
Area Map
Application
Draft SCUP
Site Plan
Special Conditional Use Permit
October 11, 2007 P&Z Meeting
Page 2 of 2
it
.://
~". A'
,.
Dlsc/almet' The City of La Porte makes no representation or warranty as to the accuracy of this map and tis mfonnatJOn nor to Its fitness for use. Any user of thiS map product accepts the same AS IS.
WITH AU FAULTS. and assumes all responsibl/ity for the use thereof, and further agrees to not hold the City of La Porte Hab/e from any damage, lOSS. or liability ansmg from any use of the map product.
Independent verification of all mfonnatlon contamed on thiS map shouid be obtamed by the end user.
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604 W Fairmont Parkway
La Porte, TX 77571
(281) 471-5020
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ST. MARY'S ROSARY HALL
616 PARK AVENUE, LA PORTE, TEXAS 77571
B~~~lante
REV_ DESCRIPTION
o ISSUEOFORCffYRE\/IE'V'lI
MINOR DEVELOPMENT SITE PLAN
------------------------
9/10
REQUEST FOR CITY COUNCIL AGENDA ITEM
Agenda Date ReqlJested: November 12. 2007
Requested By: Clark Askms
Appropriation
Source of Funds:
Department:
Legal
Account Number:
Report:
Resolution:
Ordinance:X
Amount Budgeted:
Exhibits: Ordinance
Amount Requested:
Exhibits: Notice of Public Hearin2
Budgeted Item: YES NO
Exhibits:
SUMMARY & RECOMMENDATION
Conduct a public hearing to discuss and receive input from the public regarding changing of polling locations for the
City of La Porte Elections.
,,1
Date
ORDINANCE NO. 2007-~~
AN ORDINANCE ESTABLISHING NEW POLLING LOCATIONS FOR CITY OF LA
PORTE ELECTIONS, CONTAINING A SEVERABILITY CLAUSE, FINDING
COMPLIANCE WITH THE OPEN MEETINGS LAW, AND PROVIDING AN EFFECTIVE
DATE HEREOF.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE:
Section 1.
The City Council of the City of La Porte has
caused a review to be made of the effectiveness of existing
polling locations for City of La Porte elections, which are
located at 6000 West Main street (West Main Street at Underwood;
enter off West Main/Spencer), La Porte, Texas 77571, for voters
who reside in Districts 1, 2, 3, and 6, and at 301 East Fairmont
Pkwy., La Porte, Texas 77571, for voters who reside in Districts 4
and 5.
Section 2. The City Council officially finds and determines
that the polling location for voters who reside in Districts 4 and
5, situated at the La Porte High School, 301 E. Fairmont Parkway,
is not the best available location for voters who reside in
Districts 4 and 5.
Specifically, the City Council finds that a)
voter confusion exists as to the polling place for Districts 4 and
5 because many voters presume that the City Hall Council Chambers
serve as a polling location on election day; b) the fact that City
Hall Council Chambers serve as a polling location only for early
voting contributes to voter confusion among Districts 4 and 5
voters, on election day; c) City Hall Council Chambers are at a
physical location which is more convenient to Districts 4 and 5
voters as compared to La Porte High School; d) scholastic,
administrative, or other functions of the La Porte Independent
School District at the La Porte High School campus may potentially
interfere with the polling activities at the current location; and
e) other City owned facilities would not serve as a suitable
location for Districts 4 and 5 voters, when compared to City Hall
Council Chambers.
Section 3.
The City Council finds and determines that
maintaining a total of two (2) polling locations minimizes voter
confusion, and allows for the most efficient use of City
resources.
Sec tion 4.
The City Council finds and determines that the
existing polling locations for voters who reside in Districts 1,
2, 3, and 6, situated at Baker Middle School, 6000 West Main
Street, should remain unchanged.
Section 5.
The City Council finds and determines that the
Early Voting Place, located at City Hall Council Chambers, 604
West Fairmont Parkway, should remain unchanged.
Section 6.
In consideration of the foregoing findings of
fact, the City Council of the City of La Porte hereby establishes
the Regular Voting Places and hours for Regular Voting as follows:
Districts 1, 2, 3 and 6: 6000 West Main Street
(W. Main Street at Underwood; enter
off W.MainjSpencer), La Porte,
Texas 77571
Districts 4 and 5: 604 West Fairmont Parkway
La Porte, Texas 77571
Regular voting by personal appearance shall begin at 7: 00
a.m. and continue through 7:00 p.m. on election day at the above
locations.
Section 7.
The City Council officially finds, determines,
recites, and declares that a sufficient written notice of the
date, hour, place and subject of this meeting of the City Council
2
was posted at a place convenient to the public at the City Hall of
the City for the time required by law preceding this meeting, as
required by the Open Meetings Law, Chapter 551, Texas Government
Codej and that this meeting has been open to the public as
required by law at all times during which this ordinance and the
subject matter thereof has been discussed, considered and formally
acted upon.
The City Council further ratifies, approves and
confirms such written notice and the contents and posting thereof.
Section 8. This Ordinance shall be effective from and after
its passage and approval, and it is so ordered.
PASSED AND APPROVED, this /Jll-day of AJ 0 J
, 2007.
By:
C~ OF LA PORTE
~t;~~
Alton E. Porter, Mayor
ATTEST:
~tWtJV a. ;1j1f/
Mart a A. Gillett
City Secretary
APPROVED:
l~r~
Clark T. Askins
Assistant City Attorney
3
THE STATE OF TEXAS)
COUNTY OF HARRIS)
CITY OF LA PORTE)
NOTICE OF PUBLIC HEARING
Notice is hereby given that the City Council of the City of La Porte, Texas will hold a
Public Hearing to discuss the changing of polling locations for City of La Porte Elections
from 301 East Fairmont Parkway and 6000 West Main Street, to 604 West Fairmont
Parkway and 6000 West Main Street, will be held on Monday, November 12,2007,
before the City of La Porte City Council in the City Council Chambers at City Hall, 604
West Fairmont Parkway, La Porte, Texas 77571, beginning at 6:00 p.m.
ORDINANCE NO.2006 - 2901 -B
AN ORDINANCE AMENDING ORDINANCE NO. 2006 - 2901 OF THE CITY OF
LA PORTE, AND AMENDING CHAPTER 42 "MISCELLANEOUS OFFENSES" OF
THE CODE OF ORDINANCES OF THE CITY OF LA PORTE BY AMENDING
ARTICLE V "REGULATION OF SEX OFFENDER RESIDENCY", MAKING IT
UNLAWFUL FOR CERTAIN SEX OFFENDERS TO RESIDE WITHIN 1000 FEET OF
PREMISES WHERE CHILDREN GATHER; PROVIDING FINDINGS OF FACT AND
OTHER MATTERS RELATED THERETO; PROVIDING AFFIRMATIVE DEFENSES;
PROVIDING FOR A PENALTY; PROVIDING A SEVERABLITY CLAUSE;
CONTAINING AN OPEN MEETINGS CLAUSE; PROVIDING FOR THE
PUBLICATION OF THE CAPTION HEREOF; AND PROVIDING AN EFFECTIVE
DATE HEREOF;
WHEREAS, the City of La Porte, Texas (herein, the "City"), being
a home-rule city having authority to utilize police power
regulation for the health, safety and general welfare of the
citizens of the City; and,
WHEREAS, the City Council is deeply concerned about the numerous
and recent occurrences in our state and elsewhere, whereby sex
offenders convicted of sexual offenses involving children, who
have been released from custody and repeat the unlawful acts for
which they had been originally convicted; and,
WHEREAS, the City Council finds from the evidence the recidivism
rate for released sex offenders alarmingly high, especially for
those who commit their crimes against children; and,
WHEREAS, the City is becoming an increasingly attractive place
for families with young children; and,
WHEREAS, the City Council finds that establishing a policy to
restrict the property available for residence of sex offenders
will provide better protection for children gathering in the
City; and
WHEREAS, Article 42.12(13B)
Procedure, provides a 1,000
condi tion of probation for
offenses; and
of the Texas Code of Criminal
foot safety zone for children, as a
those convicted of certain sexual
WHEREAS, the laws of the State of Texas, including those found
in Chapter 51 of the Texas Local Government Code, and the City
Charter provide the City authority to adopt ordinances for the
good government, peace, order, and welfare of the municipality;
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE,
TEXAS:
Section 1. The foregoing recitals are hereby found to be true
and correct and are hereby adopted by the City Council and made
a part hereof for all purposes as findings of fact.
Section 2. That the Code of Ordinances of the City of La Porte,
Texas is hereby amended by adding Article V, "Regulation of Sex
Offender Residency", to Chapter 42 "Miscellaneous Offenses" of
the Code of Ordinances, which said Article shall read as
follows:
"Article V, REGULATION OF SEX OFFENDER RESIDENCY
Sec. 42-102. Finding and Intent.
The City Council finds that repeat sex offenders, sex offenders
that use physical violence and sex offenders who are convicted
of preying on children are sexual predators who present an
extreme threat to the health, safety, and welfare of children.
Sex offenders are likely to use physical violence, to repeat an
offense, have many more victims than are ever reported, are
prosecuted for only a fraction of their actual sexual offenses,
and children not only lack the ability to protect themselves but
additional measures should be taken to keep known sex offenders
from having access to children in areas where children generally
feel safe.
It is the intent of this ordinance to serve the city's
compelling interest to promote, protect and improve the health,
safety and welfare of the citizens of the City by creating areas
around locations where children regularly congregate in
concentrated numbers wherein certain registered sex offenders
and sexual predators are prohibited from establishing temporary
or permanent residency.
Sec. 42-103. Definitions.
The following words,
section, shall have
section, except where
meaning;
terms, and phrases, when used in this
the meanings ascribed to them in this
the context clearly indicates a different
Permanent residence means a place where the person abides,
lodges or resides for fourteen (14) or more consecutive days.
Temporary residence means a place where the person abides,
lodges or resides for a period of fourteen (14) or more days in
the aggregate during any calendar year and which is not the
person's permanent address, or a place where the person
routinely abides, resides or lodges for a period of 4 or more
consecutive or nonconsecutive days in any month and which is not
the person's permanent residence.
Sec. 42-104.
Exceptions.
Sex Offender Residency Prohibition; Penal ty ; and
(a) If a person is required to register on the Department
of Public Safety's Sex Offender Database because of a
violation involving a victim who was less than seventeen
(17) years of age, it is unlawful for that person to
establish a permanent residence or temporary residence
wi thin 1000 feet of any premises where children commonly
gather, including a playground, school, video arcade
facili ty, public or private youth center, or public
swimming pool, as those terms are defined in Section
481.134 of the Texas Health and Safety Code, or a child
care facility, as that term is defined in Section 42.002 of
the Texas Human Resources Code. It shall be prima facie
evidence that this Article applies to such a person if the
person's record appears on the Database and the Database
indicates that the victim was less than seventeen (17)
years of age.
(b) For the purpose of determining the minimum distance
separation, the requirement shall be measured by following
a straight line from the outer property line of the
permanent or temporary residence to the nearest property
line of the premises where children commonly gather, as
described herein, or in the case of multiple residences on
one property, measuring from the nearest wall of the
building or structure occupied or the parking/driveway,
whichever is closer to the nearest property line of the
premises where children commonly gather, as described
herein. A map generally depicting the prohibited areas is
attached to this ordinance for representation purposes.
The City shall review the map at least annually for
changes, and it will be available at the La Porte Police
Department.
(c) Nothing in this ordinance shall be interpreted to
modify or reduce the State's child safety zone ban.
(d) Neither allegation nor evidence
state is required for the proof of
this Article.
of a culpable mental
an offense defined in
Sec. 42-105. Affirmative Defenses.
It is an affirmative defense to prosecution under this Article
that any of the following conditions apply:
1)
The person who established the permanent or
temporary residence has complied with all the sex
offender registration laws of the State of Texas,
prior to the date of the adoption of this
ordinance.
The person was a minor when he/she committed the
offense and was not convicted as an adult.
The person is a minor.
~
The premises where children commonly gather, as
specified herein, wi thin 1000 feet of the
person's permanent or temporary residence was
opened after the person established the permanent
or temporary residence and complied with all sex
offender registration laws of the State of Texas.
The person proves that the information on the
Database is incorrect and that, if corrected,
this Article would not apply to the person.
The person is under an order of a court of
competent jurisdiction in the State of Texas or
of the Texas Department of Criminal Justice
Parole Board instructing the person to reside at
a location within 1000 feet of any premises where
children commonly gather.
2)
3)
4 )
5)
6)
Sec. 42-106. Penalty for violation of this Article.
Any Person, as the term "Person" is defined in the Texas Penal
Code, who violates this Article and upon conviction in the
municipal court of this city, shall be guilty of a misdemeanor
and subject to a fine for each offense in an amount established
by the city and listed in Appendix B of this Code, but in no
event shall such fine exceed $500."
Section 3. The City of La Porte hereby encourages each
individual, company, real estate agent, broker, vendor or dealer
selling a home or other dwelling, or individual or entity
renting or leasing an apartment, home, or other dwelling, when
the property that is the subject of the sale or lease is located
within the corporate limits of the City of La Porte, to notify a
prospective purchaser or renter of this ordinance by providing a
written copy of this ordinance or Information Sheet available
from the La Porte Police Department to the purchaser or renter.
Section 4. The City of La Porte hereby encourages each
operator of each child care facility, as that term is defined in
Texas Human Resources Code Section 42.002, to immediately notify
the City of La Porte at such time as the child care facility
should lose, surrender, or otherwise no longer retain a license
from the Texas Department of Family and Protective Services to
operate within the City of La Porte. Notice shall be provided to
the Office of the City Secretary of the City of La Porte at 604
West Fairmont Parkway, La Porte Texas 77571, by written letter
transmitted through regular mail.
Section 5. Open Meetings. The City Council officially finds,
determines, recites, and declares that a sufficient written
notice of the date, hour, place and subject of this meeting of
the City Council was posted at a place convenient to the public
at the City Hall of the City for the time required by law
preceding this meeting, as required by the Open Meetings Law,
Chapter 551, Texas Government Code; and that this meeting has
been open to the public as required by law at all times during
which this ordinance and the subj ect matter thereof has been
discussed, considered and formally acted upon. The City Council
further ratifies, approves and confirms such written notice and
the contents and posting thereof.
Section 6. Severability. Should any section or part of this
ordinance be held unconstitutional, illegal, or invalid, or the
application to any person or circumstance for any reasons
thereof ineffective or inapplicable, such unconsti tutionali ty,
illegali ty, invalidity, or ineffectiveness of such section or
part shall in no way affect, impair or invalidate the remaining
portions thereof; but as to such remaining portion or portions,
the same shall be and remain in full force and effect and to
this end the provisions of this ordinance are declared to be
severable.
Section 7. Effective Date. This Ordinance shall be effective
fourteen (14) days after its passage and approval. The City
Secretary shall give notice of the passage of this ordinance by
causing the caption hereof to be published in the official
newspaper of the City of La Porte at least twice within ten (10)
days after the passage of this ordinance, in accordance with the
provisions of Chapter 52, Texas Local Government Code, and the
City of La Porte Charter.
PASSED AND APPROVED on the first reading on the l~ day of
J..J{}\J 2007.
By:
~~L2~
Alton E. Porter
Mayor
ATTEST:
~Gqil~
City Secretary
APPROVED:
~-r~
Clark T. Askins
Assistant City Attorney
WELCOME TO THE CITY OF LA PORTE
CHILD SAFETY ZONE INFORMATION SHEET
The City of La Porte is always concerned with the safety of its
Citizens. For the protection of the children of the community, the La
Porte City Council has implemented a Sex Offender Residency Ordinance
#2006-2901B. This ordinance creates a safety zone for children in
certain areas were children may gather, by restricting the area that a
registered sex offender may buy, lease, or rent for temporary or
permanent residency a dwelling, by providing the following:
"If a person is required to register on the Department of Public
Safety's Sex Offender Database because of a violation involving a
victim who was less than seventeen (17) years of age, it is
unlawful for that person to establish a permanent residence or
temporary residence within 1000 feet of any premises where
children commonly gather, including a playground, school, video
arcade facility, public or private youth center, or public
swimming pool, as those terms are defined in Section 481.134 of
the Texas Health and Safety Code, or a child care facility, as
that term is defined in Section 42.002 of the Texas Human
Resources Code. It shall be prima facie evidence that this
Article applies to such a person if the person's record appears
on the Database and the Database indicates that the victim was
less than seventeen (17) years of age."
If you wish to determine if the property you are considering to
purchase, lease or rent is within any of the Child Safety Zones you
can contact the La Porte Po1ice Department, eXD Division at 281-842-
3173 between !hOO am. and 4.00 pm Monday through Priday. In the near
future you will also find this information on the City of La Porte
Webpage (www.laportetx.gov), clicking on GIS Mapping then Child Safety
Zones in the reference panel on the right of the screen.
12
REQUEST FOR CITY COUNCIL AGENDA ITEM
Agenda Date Requested: 10/31/2007
Budl!:et
::::::.::' :::::. ~~
Source of Funds:
N/A
Account Number:
N/A
Report:
Resolution:
Ordinance: X
Amount Budgeted:
N/A
Exhibits: Proposed Agreement
SUMMARY & RECOMMENDATION
Attached you will find a copy of the proposed Agreement with between the La Porte
Economic Development Corporation (LPEDC) and WesMor Cryogenic Manufacturing L TO for
your review and consideration. The agreement will be considered by the LPEDC at their
November 12 meeting. Per the LPEDC By-Laws any expenditure over $15,000 requires City
Council approval. This is the same agreement which was reviewed by the Board at their
August 27,2007 meeting. The agreement has been signed and returned to us by WesMor.
Representatives of the Company were notified of the meeting although as of this writing we
have not heard if they will be in attendance.
Action Reauired bv Council:
Approve the attached Ordinance authorizing the Mayor to execute the Agreement between
the La Porte Economic Development Corporation and WesMor Cryogenic Manufacturing
LT .
ORDINANCE NO. 2007 - !lJ4y;
AN ORDINANCE APPROVING AND AUTHORIZING AN AGREEMENT BETWEEN
THE CITY OF LA PORTE, TEXAS, THE CITY OF LA PORTE DEVELOPMENT
CORPORATION, AND WESMOR CRYOGENIC MANUFACTURING LTD. FOR USE
OF 4B SALES TAX FUNDS; MAKING VARIOUS FINDINGS AND PROVISIONS
RELATED TO THE SUBJECT; FINDING COMPLIANCE WITH THE OPEN
MEETINGS LAW; PROVIDING AND EFFECTIVE DATE HEREOF.
BE IT ORDAINDED BY THE CITY COUNCIL OF THE CITY OF LA PORTE:
Section 1. The City Council of the City of La Porte hereby approves and authorizes the
contract, agreement, or other undertaking described in the title of this ordinance, in
substantially the form as shown in the document which is attached hereto and
incorporated herein by this reference. The Mayor is hereby authorized to execute such
document and all related documents on behalf of the City of La Porte. The City
Secretary is hereby authorized to attest to all such signatures and to affix the seal of the
City to all such documents.
Section 2. The City Council officially finds, determines, recites, and declares that a
sufficient written notice of the date, hour, place, and subject of this meeting of the City
Council was posted at a place convenient to the public at the City Hall of the City for the
time required by law preceding this meeting, as required by the Open Meetings Law,
Chapter 551, Texas Government Code; and that this meeting has been open to the
public as required by law at all times during which this ordinance and the subject matter
thereof has been discussed, considered and formally acted upon. The City Council
further ratifies, approves and confirms such written notice and the contents and posting
thereof.
Section 3. This Ordinance shall be effective from and after its passage, and it is so
ordered.
PASSED AND APPROVED THIS THE IJJI- DAY OF NOV :
,2007.
CITY OF LA PORTE
By: ~y~
Alton Porter, Mayor
ATTEST:
By: Y!l~d:fdJ
Martha Gillett
City Secretary
APPROVED:
By: ~r ,(~~
lark Askins
Assistant City Attorney
AGREEMENT BETWEEN THE LA PORTE DEVELPOMENT COPRPORA TION,
THE CITY OF LA PORTE, TEXAS AND WESMOR CRYOGENIC
MANUFACTURING, LTD. FOR USE OF 4B SALES TAX FUNDS
THIS A$3REEMENT made by and entered into this IJ-+ day of
~, 2007 between the La Porte Economic Development
Corporation, a non-profit corporation organized under the laws of the State of
Texas, hereinafter "LPEDC", the City of La Porte, Texas, a Texas home-rule
municipal corporation hereinafter referred to as "City", and WesMor Cryogenic
Manufacturing, LTD., hereinafter referred to as "Recipient".
WITNESSETH:
WHEREAS, the voters of the City of La Porte authorized the levying of
additional sales tax within the City, and the creation of an economic development
corporation and pursuant to the provisions of Texas Revised Civil Statutes Anno.
Art. 5190.6 Section 48, et seq., may use such tax revenues for certain economic
development purposes; and
WHEREAS, Recipient wishes to expand its current business operation in
La Porte, Texas by opening and operating a cryogenic tank and vessel
manufacturing facility, and which after five (5) years is anticipated to employ up
to 70 additional personnel and to generate cumulative gross sales in excess of
$32,640,000.00; and
WHEREAS, Recipient has requested that LPEDC provide financial
incentives to promote the expansion of its La Porte operations in an amount to
cover or subsidize certain infrastructure costs, including streets and roads, water,
electric, and gas utilities, drainage and related improvements,
telecommunications, associated acquisition costs, and any other purposes
authorized by Texas Revised Civil Statutes Anno. Art. 5190.6, Section 48, et
seq., and it is the desire of LPEDC to assist in the funding of same, finding that
such expenditures will contribute to promoting economic growth and
development in the City; and
WHEREAS, Texas law and the by-laws of the LPEDC require that certain
expenditures and projects by Section 48 corporations be approved by the
governing body of the City; and
WHEREAS, the LPEDC 80ard and the La Porte City Council have each
duly approved such project and expenditures;
NOW THEREFORE, in consideration of the covenants and conditions
stated herein, and in consideration of the mutual benefits that will accrue to each
of the parties hereof, as well as to the citizens of the City of La Porte, Texas, the
parties have agreed and do hereby agree as follows:
1
ARTICLE I
In consideration of Recipient locating its proposed manufacturing facility
within the City of La Porte, as specifically described in that certain staff
presentation and public hearing authorizing proposed expenditure of LPEDC
funds for the promotion of said manufacturing facility, held before the LPEDC on
January 22, 2007 (copies of appropriate minutes and documents are attached
hereto and incorporated by reference and made a part of this Agreement for all
purposes), LPEDC agrees to provide Recipient an incentive package consisting
of cash payments in the total sum of $50,000.00, to be distributed in four
installments, and which installment payments are conditioned upon Recipient's
satisfaction of job creation and gross sales performance standards, under the
schedule described below.
The $50,000.00 cash incentive herein described shall be distributed as
follows:
1) a cash incentive in the amount of $10,000.00 will be distributed
when 1) the LPEDC is in receipt of a Certificate of Occupancy
from the City of La Porte issued to Recipient for the operation of
a cryogenic tank and vessel manufacturing facility, and which is
applicable to land owned or leased by Recipient, and 2) at least
60 days have passed since the publication of notice for public
hearing required under Texas Revised Civil Statutes Anno. Art.
5190.6 Section 48, et seq., for expenditure of 48 funds on a
proposed project, without the filing of a petition with the City
registering a protest to the proposed grant.
2) a cash incentive in the amount of $10,000.00 will be distributed
after the conclusion of the twelve (12) month period following the
date of the initial distribution of funds by the LPEDC, made
pursuant to paragraph one (1) above, but not before the LPEDC
has had the opportunity to verify that the following conditions
have been met at the time of the proposed payment:
a) Documentation demonstrating that 25 new full-time
employees have been hired by Recipient from the start of
operations (and which does not include employees
transferred from Recipient's preexisting operations), is
provided to LPEDC. Such documentation shall include
Federal and State employment reports and monthly report
to the Texas State Comptroller's office.
b) WesMor has achieved annual gross sales of
$3,000,000.00 since receipt of the first installment,
pursuant to paragraph one (1), above, and documentation
indicating same is provided to the LPEDC.
c) WesMor provides all documentation required under this
section relating to hiring of new employees and annual
gross sales within 30 days after the conclusion of the
2
twelve (12) month period following the date of the initial
distribution of funds by the LPEDC.
3) a cash incentive in the amount of $15,000.00 will be distributed
after the conclusion of the twenty-four (24) month period
following the date of the initial distribution of funds by the
LPEDC, made pursuant to paragraph one (1) above, but not
before the LPEDC has had the opportunity to verify that the
following conditions have been met at the time of the proposed
payment:
a) Documentation demonstrating that 30 new full-time
employees have been hired by Recipient from the start of
operations (and which does not include employees
transferred from Recipient's preexisting operations), is
provided to LPEDC. Such documentation shall include
Federal and State employment reports and monthly report
to Texas State Comptroller.
b) WesMor has achieved annual gross sales of
$5,000,000.00 since receipt of the second installment,
pursuant to paragraph one (1), above, and documentation
indicating same is provided to the LPEDC.
c) WesMor provides all documentation required under this
section relating to hiring of new employees and annual
gross sales within 30 days after the conclusion of the
twenty-four (24) month period following the date of the
initial distribution of funds by the LPEDC.
4) a cash incentive in the amount of $15,000.00 will be distributed
after the conclusion of the thirty-six (36) month period following
the date of the initial distribution of funds by the LPEDC, made
pursuant to paragraph one (1) above, but not before the LPEDC
has had the opportunity to verify that the following conditions
have been met at the time of the proposed payment:
a) Documentation demonstrating that 35 new full-time
employees have been hired by Recipient from the start of
operations (and which does not include employees
transferred from Recipient's preexisting operations), is
provided to LPEDC. Such documentation shall include
Federal and State employment reports and monthly report
to Texas State Comptroller.
b) WesMor has achieved annual gross sales of
$5,500,000.00 since receipt of the third installment,
pursuant to paragraph one (1), above, and documentation
indicating same is provided to the LPEDC.
3
c) WesMor provides all documentation required under this
section relating to hiring of new employees and annual
gross sales within 30 days after the conclusion of the
thirty-six (36) month period following the date of the initial
distribution of funds by the LPEDC.
All funds received as herein provided shall be expended solely for the
purpose of assisting Recipient in locating its new facility to the City of La Porte at
the following location: 1802 West D Street, more particularly described by metes
and bounds description as reflected Exhibit A, attached to this agreement, and
incorporated by reference for all purposes.
ARTICLE II
Disbursement of the $50,000.00 cash incentive identified in Article I of this
Agreement shall be made as follows:
A. Disbursement shall be made to Recipient, subject to the satisfaction of the
conditions precedent contained with Article I of this Agreement, upon its
written request for funds to the LPEDC, in conjunction with presentation of
appropriate documentation evidencing that it has met said conditions
precedent for receipt of funds under Article I of this Agreement.
B. LPEDC and City's obligation to Recipient shall not exceed $50,000.00, nor
shall LPEDC or City be obligated to reimburse Recipient for requests
delivered to LPEDC or City after the termination of this Agreement.
C. If Recipient receives and holds funds obtained pursuant to this Agreement
in advance of paying the expenses for which reimbursement is made,
Recipient shall establish a separate bank account to deposit funds in order
to avoid commingling of the funds with Recipient's other funds and
accounts.
ARTICLE III
Recipient understands that the funds paid to Recipient by the LPEDC and
authorized by City are derived from tax revenues collected under Texas Revised
Civil Statutes Anno. Art. 5190.6 Section 4B, et seq., and that LPEDC and City
have estimated the tax revenues to be collected during the term of this
Agreement. Recipient further understands, acknowledges, and agrees that if the
tax revenue actually collected is less than the estimated tax revenues to be
collected during the term of this Agreement, LPEDC will be under no obligation to
provide funding to Recipient for the full amount set forth in Article I, above.
ARTICLE IV
If Recipient at any time during the duration of this Agreement shall fail to
meet any of the job creation and gross sales performance standards outlined in
the schedule contained in Article I of this Agreement, LPEDC shall have the right
to reclaim and recapture any and all cash incentive funds previously disbursed to
Recipient, whether or not such disbursements have been spent by Recipient at
4
the time of the reclamation by the LPEDC. For purposes of this Agreement,
LPEDC's right of recapture shall extend to and include all disbursements
previously made to Recipient, regardless of whether said previous disbursements
were made to Recipient in return for its having satisfied earlier performance
milestones under Article I of this Agreement. In each such case, the previously
paid cash payment or payments shall be remitted to the LPEDC within thirty (30)
of receipt of written demand for same.
In the event of any default by Recipient hereunder, including, but not
limited to, use of the funds provided herein for purposes other than those stated
in Article I of this Agreement, LPEDC may cease all future payments hereunder
and terminate this Agreement. In addition, LPEDC shall have the right to reclaim
and recapture, and Recipient shall refund, any funds that are not spent in
accordance with the terms of this Agreement, including 1) LPEDC funds spent by
Recipient in contravention of this Agreement and 2) any unspent and unobligated
LPEDC funds previously paid to Recipient but not yet paid or pledged by
Recipient to third parties. In each such case, the previously paid cash payment or
payments shall be remitted to the LPEDC within thirty (30) of receipt of written
demand for same.
Any breach of this covenant shall be grounds for immediate termination of
the distribution of funds.
Recipient also agrees that LPEDC and City may place a lien against the
property made the subject of this Agreement and located at 1802 West D Street,
to secure repayment, if necessary, and may enforce this Agreement by any and
all other remedies available in law and equity.
ARTICLE V
The term of this Agreement is for a period beginning on the date of
approval by LPEDC and La Porte City Council, and ending three years from the
date of the payment by the LPEDC of the last installment of the proposed cash
incentive to Recipient made pursuant to Article 1 of this Agreement.
ARTICLE VI
Recipient shall provide to the LPEDC within sixty (60) days following each
installment payment made pursuant to Article 1 of this Agreement, a report and
full documentation showing that expenditures were made by Recipient pursuant
to this Agreement and that the funds provided by the LPEDC pursuant to this
Agreement were used only for the purposes authorized by this Agreement and
Texas Revised Civil Statutes Anno. Art. 5190.6, Section 48, et seq. Recipient
shall maintain books of account with correct entries of all expenditures that are
made according to the terms of this Agreement and of any funds from other
sources. Any and all books of account of Recipient shall be at all times open to
the inspection of LPEDC or the City or any its officers or duly authorized agents.
Upon such inspection, LPEDC, the City or its officers or agents shall be afforded
the opportunity to make photographic copies of any and all documentation of
books of account, including but not limited to statements of account relating to
the disposition of funds provided by LPEDC under this Agreement and any funds
5
from other sources. Recipient shall maintain these books of account in Harris
County for a period of three (3) years following receipt of the last cash incentive
disbursement by the LPEDC, pursuant to Article I of this Agreement.
Notwithstanding Article I, above, City shall be under no obligation to make any
fund disbursements if the reports required under this Article have not been
delivered to the LPEDC or City.
ARTICLE VII
Not later than October 31. 2008, and thereafter annually on the same
date, for the term of this Agreement, Recipient shall provide to the LPEDC a
written report of employment and other economic impact factors the Recipient's
proposed business has generated for the City. Such report shall include Federal
and State employment reports and monthly reports to the Texas State
Comptroller.
ARTICLE VIII
This Agreement does not create any joint venture, partnership, or agency
relationship between the LPEDC, City, and Recipient, it being the intent of the
Parties that Recipient shall at all times be and operate hereinafter as an
independent contractor. Recipient shall have exclusive control of, and the
exclusive right to control the details of the work to be performed by Recipient
hereunder and all personnel performing same, and shall be solely responsible for
the acts and omissions of its officers, members, agents, servants, employees,
subcontractors, program participants, volunteers, licensees, and invitees. In no
event shall any person participating in or performing any of Recipient's duties or
responsibilities hereunder be considered an officer, agent, servant, or employee
of the LPEDC or City.
ARTICLE IX
Recipient agrees to assume and does hereby assume all responsibility
and liability for damages sustained by persons or property, whether real or
asserted, by or from the carrying on of work by Recipient or in the performance of
services performed and to be performed by Recipient hereunder. Recipient
covenants and agrees to, and does hereby indemnify, defend, and hold harmless
LPEDC, the City and all their respective officers, agents, and employees from all
suits, actions, claims, and expenses of any character, including attorney's fees,
brought for or incurred on account of any injuries or damages, whether real or
asserted, sustained by any person or property by or in consequence of any
intentional or negligent act, omission, or conduct of Recipient, its agents,
servants or employees.
ARTICLE X
This Agreement may be amended by the mutual agreement of the Parties
hereto in writing to be attached to and incorporated into this Agreement.
6
ARTICLE XI
Recipient shall adhere to all local, state, and federal laws and regulations
that may affect its actions made pursuant to this Agreement, and shall maintain
in effect during the term of this Agreement any and all federal, state, and local
licenses and permits which may be required of Recipients generally.
ARTICLE XII
Recipient may not assign this Agreement without the written consent of
LPEDC and City.
ARTICLE XIII
The waiver by LPEDC or City of any breach of any term, condition, or
covenant herein contained shall not be deemed a waiver of any subsequent
breach of the same, or any other term, condition, or covenant.
ARTICLE XIV
The obligations of the Parties to this Agreement are performable in Harris
County, Texas and if legal action is necessary to enforce same, venue shall lie in
Harris County, Texas.
ARTICLE XV
This Agreement shall be governed by and construed in accordance with
the laws of the State of Texas.
ARTICLE XVI
This Agreement may be executed in triplicate, each of which shall be
deemed an original and constitute one and the same instrument.
ARTICLE XVII
Neither LPEDC, City nor Participant shall be required to perform any term,
condition, or covenant in this Agreement so long as such performance is delayed
or prevented by force majeure, which shall mean Acts of God, civil riots, floods,
and any other cause not reasonably within the control of LPEDC, City or
Recipient except as herein provided, and which by the exercise of due diligence
LPEDC, City or Recipient is unable, wholly or in part, to prevent or overcome.
7
ARTICLE XVIII
The Agreement embodies the complete agreement of the parties hereto,
superceding all oral or written pervious and contemporary agreements between
the Parties, which relate to matters in this Agreement.
SIGNED AND AGREED to by LPEDC, City, and Recipient on the dates
indicated below.
LA PORTE ECONOMIC DEVELOPMENT CORPORTION
/ I" / 2 -I) ]
,
Date
ATTEST
~d7l/d {/<1dLl
S cr tary of the CorporatIon
CITY OF LA PORTE, TEXAS
~~~
Alton Porter, Mayor
!I-/J ~l'~
Date
ATTEST
7rJ-tirdtt Wg/
City Secretary
8
WESMOR CRYOGENIC MANUFACTURING, LTD.
BYk\v~
l()~
Date
ATTEST
~~
9
Exhibit A, page 1
TRACT I:
BEING A 0.9668 (42,114 SQ. FT.) ACRE TRACT OF LAND OUT OF PARTS OF LOTS
1 THROUGH 8, AND ALL OF LOTS 9 THROUGH 16, IN BLOCK 788 OF TOWN OF LA
PORTE, IN HARRIS COUNTY, TEXAS ACCORDING TO THE MAP OR PLAT
THEREOF RECORDED IN VOLUME 58, PAGE 460 ET SEQ. OF THE DEED
RECORDS OF HARRIS COUNTY, TEXAS, BEING MORE PARTICULARLY
DESCRIBED BY METES AND BOUNDS ON EXHIBIT "A" ATTACHED HERETO.
TRACT II:
LOTS 17 THROUGH 32, IN BLOCK 787, IN THE CITY OF LA PORTE, IN HARRIS
COUNTY, TEXAS, ACCORDING TO THE MAP OR PLAT THEREOF, RECORDED IN
VOLUME 58, PAGE 460 ET SEQ OF THE DEED RECORDS OF HARRIS COUNTY,
TEXAS.
TRACT III:
LOTS 1 THROUGH 8, IN BLOCK 787, IN THE CITY OF. LA PORTE, IN HARRIS
COUNTY, TEXAS, ACCORDING TO THE MAP OR PLAT THEREOF, RECORDED IN
VOLUME 58, PAGE 460 ET SEQ OF THE DEED RECORDS OF HARRIS COUNTY,
TEXAS, AND THE ADJOINING ABANDONED ALLEY AS VACATED, ABANDONED
AND CLOSED BY THE CITY OF LA PORTE, BY ORDINANCE NO. 1138, A
CERTIFIED COPY OF WHICH IS FILE FOR RECORD UNDER HARRIS COUNTY
CLERK'S FILE NO. F978591.
TRACT IV:
THE EAST <?NE-HALF (E-1/2) OF THAT CERTAIN ABANDONED ALLEY AS
VACATED, ABANDONED AND CLOSED BY THE CITY OF LA PORTE, BY
ORDINANCE NO. 1138, A CERTIFIED COpy OF WHICH IS FILED FOR RECORD
UNDER HARRIS COUNTY CLERK'S FILE NO. F978591, WHICH IS LOCATED WEST
OF, ADJACENT TO AND ADJOINING THE WEST PROPERTY LINES OF LOTS 17
THROUGH 24, IN BLOCK 787 IN THE CITY OF LA PORTE, IN HARRIS COUNTY,
TEXAS, ACCORDING TO THE MAP OR PLAT THEREOF, RECORDED IN VOLUME
58, PAGE 460 ET SEQ OF THE DEED RECORDS OF HARRIS COUNTY, TEXAS.
TRACT V:
ALL THAT PORTION OF SOUTH SEVENTEENTH (17TH) STREET, LYING AND
BEING SITUATED BETWEEN WEST "C" STREET AND WEST "0" STREET AND
BETWEEN BLOCKS SEVEN HUNDRED EIGHTY-SEVEN (787) AND SEVEN
HUNDRED EIGHTY-EIGHT (788), IN THE TOWN OF LA PORTE, HARRIS COUNTY,
TEXAS, ACCORDING TO THE MAP OR PLAT THEREOF RECORDED IN THE
OFFICE OF THE COUNTY CLERK OF HARRIS COUNTY, TEXAS, AS VACATED,
ABANDONED AND CLOSED BY THE CITY OF LA PORTE, BY ORDINANCE NO.
1143, RECORDED IN HCCF # 20070127142.
Exhibit A, page 2
TRACT I
ALL THAT PARCEL OF LAND BEING A 0.9668 ACRE (42,114 SQUARE FEET)
TRACT OF LAND OUT OF BLOCK 788, TOWN OF LA PORTE, AS RECORDED IN
VOLUME 58, AT PAGE 460 ET SEQ., OF THE DEED RECORDS OF HARRIS
COUNTY, TEXAS, MORE PARTICULARLY DESCRIBED AS FOLLOWS;
ALL THAT PARCEL OF LAND BEING A 0.9668 (42,114 SQUARE FEET ACRE TRACT
OF LAND OUT OF BLOCK 788, TOWN OF LA PORTE, AS RECORDED IN VOLUME
58 AT PAGE 460 ET SEQ., OF THE DEED RECORDS OF HARRIS COUNTY, TEXAS,
OUT OF THE JOHNSON HUNTER SURVEY, A 35, LA PORTE, HARRIS COUNTY,
TEXAS, SAID 0.9668 ACRE TRACT BEING PART OF LOTS 1 THROUGH 7 BOTH
INCLUSIVE, BLOCK 788 AS RECORDED, AS MORE PARTICULARLY DESCRIBED
AS FOLLOWS;
BEGINNING AT A 5/8 INCH IRON ROD SET FOR THE NORTHWEST CORNER OF
SAID LOT 1, BLOCK 788, TOWN OF LA PORTE, IN THE SOUTH RIGHT-OF-WAY
LINE OF WEST "C" STREET;
THENCE NORTH 90 DEGREES 00 MINUTES 00 SECONDS EAST, ALONG THE
NORTH LINE OF SAID LOT 1 AND THE SOUTH RIGHT-OF-WAY LINE OF WEST "C"
STREET A DISTANCE OF 72.75 FEET TO A FENCE CORNER FOR CORNER;
THENCE SOUTH 00 DEGREES 45 MINUTES 38 SECONDS EAST, A DISTANCE OF
153.42 FEET TO A 5/8 INCH IRON ROD SET FOR CORNER;
THENCE SOUTH 88 DEGREES 50 MINUTES 17 SECONDS EAST, A DISTANCE OF
50.22 FEET TO A 5/8 INCH IRON ROD SET FOR CORNER IN THE EAST LINE OF
LOT7, INTHE WEST LINE OF A 15 FOOT ALLEY;
THENCE SOUTH 00 DEGREES 00 MINUTES 00 SECONDS EAST, ALONG THE
EAST LINE OF LOTS 7 THROUGH 16, A DISTANCE OF 245.57 FEET TO AN "X" SET
IN CONCRETE IN THE NORTH RIGHT -OF- WAY LINE OF WEST "0" STREET;
THENCE SOUTH 90 DEGREES 00 MINUTES 00 SECONDS WEST, ALONG THE
SOUTH LINE OF SAID LOT 16 AND THE NORTH RIGHT-OF-WAY LINE OF WEST
"0" STREET, A DISTANCE OF 125.00 FEET TO AN "X" SET IN CONCRETE FOR
THE SOUTHWEST CORNER OF LOT 16;
THENCE NORTH 00 DEGREES 00 MINUTES 00 SECONDS WEST, ALONG THE
WEST LINE OF LOTS 16 THROUGH 1, BOTH INCLUSIVE, A DISTANCE OF 400.00
FEET TO THE POINT OF BEGINNING.
13 .
REQUEST FOR CITY COUNCIL AGENDA ITEM
Agenda Date Requested: 10/31/2007
Bud2et
::::.::' :::::k '1
Source of Funds:
N/A
Account Number:
N/A
Report:
Resolution:
Ordinance: X
Amount Budgeted:
N/A
Exhibits: Proposed Agreement
SUMMARY & RECOMMENDATION
Attached you will find a copy of the proposed ED Incentives Grant Agreement between the
City of La Porte and WesMor Cryogenic Manufacturing L TO for your review and
consideration.
As you may recall, the initial discussions with representatives of WesMor occurred in mid-
February of this year. They were introduced to us through the Economic Alliance who had
heard of their plans to possibly relocate. At the time, the company was looking to relocate to
the City of Pearland for expansion of their operations as they had found a less expensive
location which seemed to suit their needs. The City Manager, Ms. Feazelle, worked with the
Alliance and Intern Mike Stokes to facilitate meetings between the City and WesMor in the
hopes that we could encourage them to remain in our City. Representatives were given an
application for tax abatement and also informed that there might be the possibility of receiving
support from the LPEDC.
After the initial discussions, for whatever reason, there was miscommunication between city
staff and WesMor representatives. The result of that miscommunication was that the
representatives from WesMor thought that they would qualify for tax abatement when in fact
they did not.
When the Interim City Manager John Joerns brought this matter to the attention of the City
Council the resulting determination was to have staff develop other avenues of support for
the Council to consider for the project. The result of the collaboration between the Interim City
Manager, staff and the Assistant City Attorney has resulted in the attached 380 agreement.
Please be aware, that while this agreement does not include recapture provisions if they do
not achieve their first year sales tax bench mark the agreement may be considered void
thereby, making recapture much less of an issue than with other incentive agreements.
Action Required by Council:
Approve the attached Ordinance authorizing the Mayor to execute the Economic
Development Grant Agreement between the City of La Porte and WesMor Cryogenic
Manufacturing LTD.
1
Council A enda
II Is 0
Date
2
ORDINANCE NO. 2007 - 3041
AN ORDINANCE APPROVING AND AUTHORIZING AN ECONOMIC
DEVELOPMENT INCENTIVES GRANT AGREEMENT BETWEEN THE CITY OF LA
PORTE, TEXAS AND WESMOR CRYOGENIC MANUFACTURING LTD.; MAKING
VARIOUS FINDINGS AND PROVISIONS RELATED TO THE SUBJECT; FINDING
COMPLIANCE WITH THE OPEN MEETINGS LAW; PROVIDING AND EFFECTIVE
DATE HEREOF.
BE IT ORDAINDED BY THE CITY COUNCIL OF THE CITY OF LA PORTE:
Section 1. The City Council of the City of La Porte hereby approves and authorizes the
contract, agreement, or other undertaking described in the title of this ordinance, in
substantially the form as shown in the document which is attached hereto and
incorporated herein by this reference. The Mayor is hereby authorized to execute such
document and all related documents on behalf of the City of La Porte. The City
Secretary is hereby authorized to attest to all such signatures and to affix the seal of the
City to all such documents.
Section 2. The City Council officially finds, determines, recites, and declares that a
sufficient written notice of the date, hour, place, and subject of this meeting of the City
Council was posted at a place convenient to the public at the City Hall of the City for the
time required by law preceding this meeting, as required by the Open Meetings Law,
Chapter 551, Texas Government Code; and that this meeting has been open to the
public as required by law at all times during which this ordinance and the subject matter
thereof has been discussed, considered and formally acted upon. The City Council
further ratifies, approves and confirms such written notice and the contents and posting
thereof.
Section 3. This Ordinance shall be effective from and after its passage, and it is so
ordered.
PASSED AND APPROVED THIS THE ;J1l- DAY OF I.)DU.
,2007.
CITY OF LA PORTE
By: ~&.,<y~
Alton Porter, Mayor
ATTEST:
By: c;J7tirdtLr4A/1
Martha Gillett
City Secretary
APPROVED:
By: ~d T -;(~
Clark Askins
Assistant City Attorney
ECONOMIC DEVELOPMENT INCENTIVES GRANT AGREEMENT
STATE OF TEXAS
9
9
9
COUNTY OF HARRIS
THIS ECONOMIC DEVELOPMENT INCENTIVE,) ~RANT AGREEMENT; hereinafter
"Agreement" is made by and entered into this .fI- day of JuO-trn8t'1 , 2007
between the City of La Porte, Texas, a Texas home-rule municipal corporation
hereinafter referred to as "City", and WesMor Cryogenic Manufacturing, LTD.,
hereinafter referred to as "Owner".
RECITALS:
Whereas, the City is authorized, pursuant to Chapter 380 of the Texas Local
Government Code, to establish and provide for the administration of one or more
programs, including programs for making loans and grants of public money, to promote
state or local economic development and to stimulate business and commercial activity
in the City; and
Whereas, Owner proposes to establish a cryogenic tank and vessel
manufacturing facility at 1802 West D Street, La Porte, Texas 77571 which is located
within the city limits of the City of La Porte, Texas; and
Whereas, it is anticipated that Owner's business will employ additional personnel
thereby creating new employment opportunities in the City as well as generating a new
source of sales tax revenues; and
Whereas, to encourage Owner to establish such offices for its cryogenic tank and
vessel manufacturing business within the City of La Porte, Texas the City desires to
grant Owner, under the terms and conditions set forth in this Agreement, a certain grant
of public money consisting of a payment to Owner of funds from the collection of sales
tax revenues that are generated by said business within the City of La Porte, Texas.
NOW, THEREFORE, in consideration of the mutual benefits and premises
contained in this Agreement and for other good and valuable consideration, the receipt
and sufficiency of which is hereby acknowledged, the parties agree as follows:
ARTICLE I
1. Authorization. This City is authorized to enter into this Agreement pursuant to
Section 380.001, et seq. of the Texas Local Government Code.
2. Definitions. "Sales Tax" means the tax that is charged by the Owner on the sale
of taxable goods and services in the scope of their business transactions which is
transmitted to the State Comptroller for sales tax purposes on a monthly basis.
3. Development Incentives. Grant of Public Money.
1
a. The City agrees to grant a sum of public money to Owner from the annual
sales tax revenues that are generated from Owner's business operations
at its proposed cryogenic tank and vessel manufacturing facility at 1802
West 0 Street, La Porte, Texas 77571 within the City of La Porte, Texas.
b. The Owner will be required to provide to the City proof that the sales tax
benchmarks established in Table A, below, have been met when
requesting a payment from the City by providing a copy of their monthly
Sales Tax Report which is required by law to be filed with the State
Comptroller's Office. Further, Owner understands that a yearly audit will
be conducted by the City of La Porte and Owner agrees to cooperate fully
with such audit.
c. Three (3) equal payments of $20,000.00 will be paid at the end of each 12
month period during the term of this Agreement, upon submittal of written
proof that Owner has satisfied the sales tax benchmarks in Table A,
provided that such written proof is submitted at least one month in
advance of the end of the 12 month period. Should the Owner exceed the
yearly benchmarks established in Table A, Owner may make written
request of City to accelerate payments based upon the established
benchmarks in Table A. However, it is understood by Owner that the City
is under no obligation to accelerate the payments if it determines that the
request is not financially feasible for the City. Further, in no event shall
the total payments made to the Owner by the City exceed $60,000.00
Table A
Pa ment 1
Pa ment 2
Pa ment 3
Payment
b Cit
Minimum
Taxable
Sales by
Owner
$20,000.00
$20,000.00
$20,000.00
$3,000,000.00 $5,000,000.00 $5,500,000.00
d. All payments during the term of this Agreement are contingent upon the
Owner attaining the benchmarks in Table A as they relate to the annual
sales tax revenues generated by the Owner and payable to the City
through the collection of sales tax revenue collected by the State
Comptroller's Office.
e. The initial payment request by Owner may be made anytime after the
attainment of the first established sales tax benchmark listed in Table A
above, but in no event shall Owner have more than 12 months from the
effective date of this agreement to satisfy the first established sales tax
benchmark and make a request for payment. Should Owner fail to satisfy
the first established sales tax benchmark within the time specified in this
paragraph then this Agreement shall automatically terminate and all
obligations and/or liabilities of City under the Agreement shall become
void and of no effect. Furthermore, Owner shall have no more than 12
months from the date of any previous payment by City to satisfy the next
sales tax benchmark under Table A and make a request for payment.
2
Should Owner fail to satisfy the subsequent sales tax benchmarks within
the time specified in this paragraph then this Agreement shall
automatically terminate and all obligations and/or liabilities of City under
the Agreement shall become void and of no effect. In the case where
Owner does so qualify, subsequent payments may be requested in
accordance with the terms in Article 1, Section 3 c., above. In all cases
where request for payment is made, City shall have a reasonable period of
time to independently verify that Owner has satisfied established sales tax
benchmarks, before payment is made.
4. Representations and Warranties. The City represents and warrants to Owner that
this Agreement is within the scope of its authority and the provisions of its charter
and that it is duly authorized and empowered to enter into this Agreement. Owner
represents and warrants to the City that it has the requisite authority to enter into
this Agreement.
5. The term of this Agreement is for a period beginning on the date of final approval
by the last party to execute same, and ending three years from the date of the
last payment made by the City to the Owner, pursuant to this Agreement.
6. Attorney Fees. In the event any legal action or proceeding is commenced to
enforce or interpret provisions of this Agreement, the prevailing party in any such
legal action shall be entitled to its reasonable attorney fees and expenses
incurred by reason of such action.
7. Statutes and Ordinances. Nothing in this Agreement shall alter Owner's
obligation to comply with all state statues, local ordinances, rules and regulations
related to this Agreement.
8. Section Names, other Headings, and Construction. Section names or other
headings contained in this Agreement are for reference purposes only and shall
not affect in any way the meaning or interpretation of this Agreement. All
references to the singular shall include the plural, and to the plural the singular.
9. Severability. If for any reason any provision of this Agreement is held to be
invalid by a court of competent jurisdiction, such holding shall not affect, impair or
invalidate the remainder of the Agreement but shall be confined in its operation to
the specific provision of this Agreement held invalid, and the invalidity of any
provision of this Agreement in anyone or more instances shall not affect or
prejudice in any way the validity of this Agreement in any other instance.
10. Amendment. This Agreement may only be amended, altered, or revoked by
written instrument signed by Owner and the City.
11. Successors and Assigns. This Agreement shall be binding on and inure to the
benefit of the parties, their respective successors and assigns. Owner may
assign all or part of its rights and obligations under this Agreement to any
successive Owner of the development, except that during the term of this
Agreement, Owner shall provide the City with ten days' written notice prior to any
such proposed ownership transfer, including the name, address, business
telephone number and contact person for such proposed new Owner.
3
12. Notice. Any notice and/or statement required and permitted to be delivered shall
be deemed delivered by depositing same in the United States mail, certified with
return receipt requested, postage prepaid, addressed to the appropriate party at
the following addresses, or at such other addresses provided by the parties in
writing:
Owner:
WesMor Cryogenic Manufacturing, LTD.
1820 West 0 Street
La Porte, Texas 77571
The City:
Mayor
City of La Porte
604 W. Fairmont Parkway
La Porte, Texas 77571
13. Interpretation. Regardless of the actual drafter of the Agreement, this Agreement
shall, in the event of any dispute over its meaning or application, be interpreted
fairly and reasonably, and neither more strongly for or against any party.
14.Applicable Law. This Agreement is made and shall be construed and interpreted
in accordance with the laws of the State of Texas and venue of any cause of
action to enforce this Agreement must be brought in Harris County, Texas.
15. Counterparts. This Agreement shall be executed in duplicate, each of which
shall be considered an original, but all of which shall constitute one instrument.
By: M~~
Owner
Attes~~
It:> \ '" \ 0'
~~?~
Alton Porter, Mayor
Attest: /!7t(j;t/Aodd
Martha Gillett, City Secretary
Date:
By:
Date: II /'1 :P fJ 1
AP~
~RT~
Clark skins, Assistant City Attorney
4
14
REQUEST FOR CITY COUNCIL AGENDA ITEM
Agenda Date Requested: 11/12107
Budeet
Requested By:
D. Wilmore
9>'f>W
Source of Funds:
Department:
Planning Department
Account Number:
Report: X Resolution:
Ordinance:
X
Amount Budgeted:
Exhibits: Bldg. Codes Appeal Bel. Recommendation Memo
Amount Requested:
Exhibits: Ordinance with Windbome Debris Requirement
Budgeted Item: YES NO
Exhibits: Ordinance without Windbome Debris Requirement
SUMMARY & RECOMMENDATION
At the direction of the Building Codes Appeals Board staff reviewed the 2006 Code Editions (Residential Code,
Building Code, Plumbing Code, Fuel Gas Code, Energy Conservation Code and Mechanical Code) and current local
amendments applicable to those codes. New code books and staff's report were provided to the Board for their
consideration.
At their August 15, 2007 meeting, the Board voted to recommend adoption of the 2006 Code Editions with local
amendments as noted in the report. Attached is the Board recommendation memo.
On October 22, 2007, City Council held a workshop to review the Board's code adoption recommendation and to
provide staff with direction on the adoption and implementation of the new codes. Since there were comments
regarding the exclusion of the Residential Code Requirement S. R30 1.2.1.2 - Protection of Openings in Windbome
Debris Regions, staff prepared two adoption ordinances.
Council has a choice to make. Ordinance #96-2079-K leaves this requirement in the code and enforcement would
begin with the implementation of the code. Ordinance #96.2079-Kl includes an exclusion of this requirement as
noted in the Board's recommendation ordinance. Both ordinances include an implementation date of January 1,
2008.
id adoption of one of the two 2006 Ed. Code adoption ordinances with an implementation date of 01/01/08
01
Memo
To:
Honorable Mayor and City Council-rL.13
Terry Bunch, Vice-Chairman of the Building Codes Appeal Board
Building Codes Appeals Board Members; Debbie S. Wilmore, Chief
Building Official; Wayne Sabo, Director ofPlannin~; John E. Joems,
Interim City Manager
10/11/2007
Local Amendment to the Building Codes
From:
CC:
Date:
Re:
At the Board's direction, staff reviewed copies of the 2006 Code Editions. Upon
completion, typed comments on the six (6) codes books were provided to the Board
for our review.
During the August 15,2007 meeting, the Board discussed stafI's typed amendments
as well as the new Residential Code requirement (R30I.2.1.2 - Protection of
Openings in Wmdbome Debris Regions) that would be applicable to our city.
Builders of new residential structures would be required to provide pre-cut, wood
structural panels and attachment hardware for all openings on new homes.
After some discussion, we recognize some development show "future garage" and in
these cases, storage of these panels ("theft concerns" during construction and full-
time storage after the home is complete) would present a challenge. At this time, the
Board feels this requirement should not be implemented. Therefore, the Board has
directed staff to delete this section of the code and incorporate it into the proposed
code amendments forwarded to City Council.
The Board recommends Council support the adoption of the 2006 Edition of the
construction codes with local amendments as outlined in this documentation and
direct staff to prepare an ordinance with a 60-day implementation period. This delay
would allow mail notification to the various contractors and allow the update of plan
review and development handouts for the public. Thank you.
ORDINANCE NO. 96-2079-K
AN ORDINANCE ADOPTING NEW BUILDING CODES (INTERNATIONAL CODE
COUNCIL) BY AMENDING CHAPTER 82 OF THE CODE OF ORDINANCES OF
THE CITY OF LA PORTE; BY AMENDING CHAPTER 82, "BUILDINGS AND
BUILDING REGULATIONS," ARTICLE IT "BUILDING CODES," SECTION 82-31
"ADOPTION" AND SECTIONS 82-32 AND 82-33 "AMENDMENTS"; ARTICLE ITI
"PLUMBING CODE" SECTION 82-66 "ADOPTION' AND SECTION 82-67
"AMENDMENTS"; ARTICLE V "FUEL GAS CODE", SECTION 82-381
"ADOPTION' AND SECTION 82-382 "AMENDMENTS"; ARTICLE VI "ENERGY
CONSERVATION CODE", SECTION 82-412 "ADOPTION' AND SECTION 82-413
"AMENDMENTS"; ARTICLE vn "MECHANICAL CODE", SECTION 82-441
"ADOPTION' AND SECTION 82-442 "AMENDMENTS"; PROVIDING A
REPEALING CLAUSE; CONTAINING A SEVERABILITY CLAUSE; FINDING
COMPLIANCE WITH THE OPEN MEETINGS LAW; PROVIDING THAT ANY
PERSON VIOLATING THE TERMS OF THIS ORDINANCE SHALL BE DEEMED
GUILTY OF A MISDEMEANOR AND UPON CONVICTION SHALL BE FINED IN
A SUM NOT TO EXCEED TWO THOUSAND DOLLARS; PROVIDING FOR THE
PUBLICATION OF THE CAPTION HEREOF; AND PROVIDING AN
EFFECTIVE DATE HEREOF.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE, TEXAS:
Section 1: That Chapter 82, "Buildings and Building Regulations," Article IT, "Building
Code," Section 82-31 "Adoption," and Sections 82-32 and 82-33 "Amendments," of the Code of
Ordinances, La Porte, Texas, are hereby amended to read as follows:
"Sec. 82-31. Adoption.
(a) Except as provided in this division, the International Residential Code and the
International Building Code, 2006 editions, published by the International Code Council,
is adopted and incorporated as fully as if set forth at length in this section and the
provisions therein shall be controlling in the design, construction, quality of materials,
erection, installation, alteration, repair, location, relocation, replacement, addition to, use
and maintenance of buildings and structures within the city limits. One copy of the
building codes is on file in the office of the city secretary.
(b) If a section of this article is found to be in conflict with a provision of any zoning,
building, fire, safety or health ordinance or any regulation adopted pursuant thereto or
any other ordinance or code or regulation of the city, the provision which establishes the
higher standard for the promotion of the health and safety of the people shall prevail.
(c) Any person who shall violate any provision of the standards adopted or established in this
article shall upon conviction be punished as provided in Appendix B.
(d) Fees shall be in accordance with Appendix A of the City's Code of Ordinances.
Ordinance # 96-2079-K
Page 2
Sec. 82-32. Residential Code Amendments.
The residential building code adopted in Section 82-31 of this Article shall be amended to read
as follows:
Section RIO!. 1 Title. These provisions shall be known as the Residential Code for One-and
Two-Family Dwellings of the City of La Porte, and shall be cited as such and will be referred to
herein as "this code".
Section Rl 03.1 Creation of Enforcement Agency. The Inspection Services Division, of the
City's Planning Department, shall enforce the building and construction codes of the city. The
Chief Building Official shall be known as the code official.
Section RI05.2 Work Exemptfrom Permit. Deletion of Building Permit Exemptions # 1
(accessory structures), #2 (fences), #3 (retaining walls) and #5 (sidewalks/driveways).
Section Rl12 Board of Appeals. Deletion of entire section (Sections Rl12.1 thru RlI2.4)
Section R202 Definitions. Accessory Structure/Building means a detached, subordinate
structurelbuilding, the use of which is clearly incidental and related to that of the principal
structurelbuilding or use of the land, and which is located on the same lots as that ofthe principal
structurelbuilding or use.
Table R30 1.2(1) Climatic and Geographic Design Criteria. Establishment of criteria in
accordance with table shown.
Subject to Damage From:
Ground Wind Seismic F lOSt Winter Ice Barrier Air Mean
Snow Speed Design Line Design Under1ayment Flood Freezing Annual
Load (mph) Category Weathering ~ Termite Temp Required Hazards Index Temp
4-9-87
11-6-96
0 12C A N 1" VH 32" No 6-18-07 0-1000 67
Section R902.2 Fire-Retardant-Treated Shingles and Shakes. Deleted.
Section R905.7 Wood Shingles. The use of wood shingles is prohibited. All sections and tables
(Sections R905.7.1 thru R905.7.7) are deleted.
Section R905.8 Wood Shakes. The use of wood shakes is prohibited. All sections and tables
(Sections R905.8.1 thru R905.8.9) are deleted.
2
Ordinance # 96-2079-K
Page 3
Part VITI, Electrical Chapters 33 - 42 (E3301 thru E4204) are deleted in their entirety.
Sec. 82-33. Building Code Amendments.
The building code adopted in Section 82-31 of this Article shall be amended to read as follows:
Section 101.1 Title. These regulations shall be known as the Building Code of the City of La
Porte, hereinafter referred to as "this code".
Section 101.4.1 Electrical. The provisions of the National Electrical Code along with local
electrical amendments shall apply to the installation of electrical systems, including alterations,
repairs, replacement, equipment, appliances, fixtures, fittings and appurtenances thereto.
Section 101.4.5 Property Maintenance. Delete.
Section 1 03.1 Creation of Enforcement Agency. The Inspection Services Division, of the City's
Planning Department, shall enforce the building and construction codes of the city. The Chief
Building Official shall be known as the code official.
Section 105.1.1 Annual Permit. Delete.
Section 105.1.2 Annual Permit Records. Delete.
Section 105.2 Work Exemptfrom Permit. Deletion of Building Permit Exemptions # 1
(accessory structures), #2 (fences), #4 (retaining walls), #5 (water tanks) and #6
( sidewalks/driveways).
Section 112 Board of Appeals. Deletion of entire section (Sections 112.1 thru 112.3).
Chapter 11 Accessibility. Chapter (Sections 1101 thru 1110) is deleted in its entirety.
Section 1507.8 Wood Shingles. The use of wood shingles is prohibited. All sections and tables
(Sections 1507.8.1 thru 1507.8.7) are deleted.
Section 1507.9 Wood Shakes. The use of wood shakes is prohibited. All sections and tables
(Section 1507.9.1 thru 1507.9.8) are deleted.
Chapter 27 Electrical. Chapter (Sections 2701 thru 2702) is deleted in its entirety."
3
Ordinance # 96-2079-K
Page 4
Section 2: That Chapter 82, "Buildings and Building Regulations," Article III, "Plumbing
Code," Section 82-66 "Adoption," and Section 82-67 "Amendments," of the Code of
Ordinances, La Porte, Texas, are hereby amended to read as follows:
"Sec. 82-66. Adoption.
(a) Except as provided in this article, the International Plumbing Code, 2006 edition,
published by the International Code Council, as amended in Section 82-67 of this Article
or addressed by the plumbing regulations of the International Residential Code, 2006
edition, as adopted by Section 82-31 of this Chapter, is adopted and incorporated as fully
as if set forth at length in this section and the provisions therein shall be controlling in the
design, construction, quality of materials, erection, installation, alteration, repair,
location, relocation, replacement, addition to, use and maintenance of buildings and
structures within the city limits. One copy of the building codes is on file in the office of
the city secretary.
(b) If a section of this article is found to be in conflict with a provision of any zoning,
building, fire, safety or health ordinance or any regulation adopted pursuant thereto or
any other ordinance or code or regulation of the city, the provision which establishes the
higher standard for the promotion of the health and safety of the people shall prevail.
(c) Any person who shall violate any provision of the standards adopted or established in this
article shall upon conviction be punished as provided in Appendix B.
(d) Fees shall be in accordance with Appendix A of the City's Code of Ordinances.
Sec. 82-67. Amendments.
The plumbing code adopted in Section 82-66 of this Article shall be amended to read as follows:
Section 101.1 Title. These regulations shall be known as the International Plumbing Code of the
City of La Porte, hereinafter referred to as "this code".
Section 103.1 General. The Inspection Services Division, of the City's Planning Department,
shall enforce the plumbing code(s) of the city. The Chief Building Official shall be known as the
code official.
Section 106.6.3 Fee Refunds, NO.2 (permit Fee) - Not more than fifty percent (50%) of the
permit fee paid when no work has been done under a permit issued in accordance with this code.
Section 106.6.3 Fee Refunds, NO.3 (plan Review) is deleted.
4
Ordinance # 96-2079-K
Page 5
Section 109 Means of Appeal. Deletion of entire section (Sections 109.1 thru 109.7).
Appendix A Plumbing Permit Fee Schedule. Deleted."
Section 3: That Chapter 82, "Buildings and Building Regulations," Article V, "Fuel Gas
Code," Section 82-381 "Adoption," and Section 82-382 "Amendments," of the Code of
Ordinances, La Porte, Texas, are hereby amended to read as follows:
"Sec. 82-381. Adoption.
(a) Except as provided in this article, the International Fuel Gas Code, 2006 edition,
published by the International Code Council, as amended in Section 82-382 of this
Article or addressed by the mechanical regulations of the International Residential Code,
2006 edition, as adopted by Section 82-31 of this Chapter, is adopted and incorporated as
fully as if set forth at length in this section and the provisions therein shall be controlling
in the design, construction, quality of materials, erection, installation, alteration, repair,
location, relocation, replacement, addition to, use and maintenance of buildings and
structures within the city limits. One copy of the building codes is on file in the office of
the city secretary.
(b) If a section of this article is found to be in conflict with a provision of any zoning,
building, fire, safety or health ordinance or any regulation adopted pursuant thereto or
any other ordinance or code or regulation of the city, the provision which establishes the
higher standard for the promotion of the health and safety of the people shall prevail.
(c) Any person who shall violate any provision of the standards adopted or established in this
article shall upon conviction be punished as provided in Appendix B.
(d) Fees shall be in accordance with Appendix A of the City's Code of Ordinances.
Sec. 82-382. Amendments.
The mechanical code adopted in Section 82-381 of this Article shall be amended to read as
follows:
Section 101.1 Title. These regulations shall be known as the Fuel Gas Code of the City of La
Porte, hereinafter referred to as "this code".
Section 1 03.1 General. The City's Inspection Services Division shall serve as the Department of
Inspection. The Chief Building Official thereof shall be known shall be known as the code
official.
5
Ordinance # 96-2079-K
Page 6
Section 106.5.3 Fee Refunds, NO.2 (permit Fee) - Not more than fifty percent (50%) of the
permit fee paid when no work has been done under a permit issued in accordance with this code.
Section 106.5.3 Fee Refunds, No.3 (plan Review) is deleted.
Section 109 Means of Appeal. Deletion of entire section (Sections 109.1 thru 109.7)."
Section 4: That Chapter 82, "Buildings and Building Regulations," Article VI, "Energy
Conservation Code," Division 2 "Standards", Section 82-412 "Adoption," and Section 82-413
"Amendments," of the Code of Ordinances, La Porte, Texas, are hereby amended to read as
follows:
"Sec. 82-412. Adoption.
(a) Except as provided in this article, the International Energy Conservation Code, 2006
edition, published by the International Code Council, as amended in Section 82-413 of
this Article or addressed by the energy efficiency regulations of the International
Residential Code, 2006 edition, as adopted by Section 82-31 of this Chapter, is adopted
and incorporated as fully as if set forth at length in this section and the provisions therein
shall be controlling in the design, construction, quality of materials, erection, installation,
alteration, repair, location, relocation, replacement, addition to, use and maintenance of
buildings and structures within the city limits. One copy of the building codes is on file
in the office of the city secretary.
(b) If a section of this article is found to be in conflict with a provision of any zoning,
building, fire, safety or health ordinance or any regulation adopted pursuant thereto or
any other ordinance or code or regulation of the city, the provision which establishes the
higher standard for the promotion of the health and safety of the people shall prevail.
(c) Any person who shall violate any provision of the standards adopted or established in this
article shall upon conviction be punished as provided in Appendix B.
Sec. 82-413. Amendments.
The energy conservation code adopted in Section 82-412 of this Article shall be amended to read
as follows:
Section 101.1 Title. This code shall be known as the International Energy Conservation Code of
the City of La Porte, and shall be cited as such. It is referred to herein as "this code".
6
Ordinance # 96-2079-K
Page 7
Section 104.3 Certification. PlanlPermit submittals to the City shall include all necessary energy
certification documents. Certification documents shall be completed by an approved agency or
individual.
Section 105.1 General. Construction or work for which a permit is required shall be subject to
all required inspections. Inspections shall be performed by a certified and/or licensed party (i.e.
3rd Party).
Sections 105.2 thru 105.4. - Sections are deleted in their entirety."
Section 5: That Chapter 82, "Buildings and Building Regulations," Article VII, "Mechanical
Code," Section 82-441 "Adoption," and Section 82-442 "Amendments," of the Code of
Ordinances, La Porte, Texas, are hereby amended to read as follows:
"Sec. 82-441. Adoption.
(a) Except as provided in this article, the International Mechanical Code, 2006 edition,
published by the International Code Council, as amended in Section 82-442 of this
Article or addressed by the plumbing regulations of the International Residential Code,
2006 edition, as adopted by Section 82-31 of this Chapter, is adopted and incorporated as
fully as if set forth at length in this section and the provisions therein shall be controlling
in the design, construction, quality of materials, erection, installation, alteration, repair,
location, relocation, replacement, addition to, use and maintenance of buildings and
structures within the city limits. One copy of the building codes is on file in the office of
the city secretary.
(b) If a section of this article is found to be in conflict with a provision of any zoning,
building, fire, safety or health ordinance or any regulation adopted pursuant thereto or
any other ordinance or code or regulation of the city, the provision which establishes the
higher standard for the promotion of the health and safety of the people shall prevail.
(c) Any person who shall violate any provision of the standards adopted or established in this
article shall upon conviction be punished as provided in Appendix B.
(d) Fees shall be in accordance with Appendix A of the City's Code of Ordinances.
Sec. 82-442. Amendments.
The mechanical code adopted in Section 82-441 of this Article shall be amended as follows:
Section 101.1 Title. These regulations shall be known as the Mechanical Code of the City of La
Porte, hereinafter referred to as "this code".
7
Ordinance # 96-2079-K
Page 8
Section 103.1 General. The City's Inspection Services Division shall serve as the Department of
Inspection. The Chief Building Official thereof shall be known as the code official.
Section 106.5.3 Fee Refunds, NO.2 (permit Fee) - Not more than fifty percent (50%) of the
permit fee paid when no work has been done under a permit issued in accordance with this code.
Section 106.5.3 Fee Refunds, No.3 (plan Review) is deleted.
Section 109 Means of Appeal. Deletion of entire section (Sections 109.1 thru 109.7)."
Section 6: All ordinances or parts of ordinances inconsistent with the terms of this ordinance are
hereby repealed; provided, however, that such repeal shall be only to the extent of such
inconsistency and in all other respects this ordinance shall be cumulative of other ordinances
regulating and governing the subject matter covered by this ordinance.
Section 7: Should any section or part of this ordinance be held unconstitutional, illegal, or
invalid, or the application to any person or circumstance for any reasons thereof ineffective or
inapplicable, such unconstitutionality, illegality, invalidity, or ineffectiveness of such section or
part shall in no way affect, impair or invalidate the remaining portions thereof; but as to such
remaining portion or portions, the same shall be and remain in full force and effect and to this
end the provisions of this ordinance are declared to be severable.
Section 8. Any person, as defined in Section 1.07 (27), Texas Penal Code, who shall violate any
provision of the ordinance, shall be deemed guilty of a misdemeanor and upon conviction shall
be punished by a fine not to exceed TWO THOUSAND DOLLARS ($2,000.00).
Section 9. This Ordinance shall be effective forty-nine (49) days after its passage and approval
(January 01, 2008). The City Secretary shall give notice of the passage of this ordinance by
causing the caption hereof to be published in the official newspaper of the City of La Porte at
least twice within ten (10) days after the passage of this ordinance.
Section 10. The City Council officially finds, determines, recites and declares that a sufficient
written notice of the date, hour, place and subject of this meeting ofthe City Council is posted at
a place convenient to the public at the City Hall of the city for the time required by law
preceding this meeting, as required by Chapter 551, Tx. Gov't Code; and that this meeting has
been open to the public as required by law at all times during which this ordinance and the
subject matter thereof has been discussed, considered and formally acted upon. The City Council
further ratifies, approves and confirms such written notice and the contents and posting thereof
8
Ordinance # 96-2079-K
Page 9
PASSED AND APPROVED this the;:tl-day ofJJ 0 U
,2007.
CITY?\ LA PORTE ~
By: ~cL. ~
Mayor
ATTEST:
V/r)t2tU ~(J1tdJ/
City Secretary
APPROVED:
~ r ;t~
City Attorney
9
ORDINANCE NO. 96-2079-K1
;(jfjT
IfJY Rile 1"
AN ORDINANCE ADOPTING NEW BUILDING CODES (INTERNATIONAL CODE
COUNCIL) BY AMENDING CHAPTER 82 OF THE CODE OF ORDINANCES OF
THE CITY OF LA PORTE; BY AMENDING CHAPTER 82, "BUILDINGS AND
BUILDING REGULATIONS," ARTICLE IT "BUILDING CODES," SECTION 82-31
"ADOPTION" AND SECTIONS 82-32 AND 82-33 "AMENDMENTS"; ARTICLE lIT
"PLUMBING CODE" SECTION 82-66 "ADOPTION" AND SECTION 82-67
"AMENDMENTS"; ARTICLE V "FUEL GAS CODE", SECTION 82-381
"ADOPTION" AND SECTION 82-382 "AMENDMENTS"; ARTICLE VI "ENERGY
CONSERVATION CODE", SECTION 82-412 "ADOPTION" AND SECTION 82-413
"AMENDMENTS"; ARTICLE VII "MECHANICAL CODE", SECTION 82-441
"ADOPTION" AND SECTION 82-442 "AMENDMENTS"; PROVIDING A
REPEALING CLAUSE; CONTAINING A SEVERABILITY CLAUSE; FINDING
COMPLIANCE WITH THE OPEN MEETINGS LAW; PROVIDING THAT ANY
PERSON VIOLATING THE TERMS OF TillS ORDINANCE SHALL BE DEEMED
GUILTY OF A MISDEMEANOR AND UPON CONVICTION SHALL BE FINED IN
A SUM NOT TO EXCEED TWO THOUSAND DOLLARS; PROVIDING FOR THE
PUBLICATION OF THE CAPTION HEREOF; AND PROVIDING AN
EFFECTIVE DATE HEREOF.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE, TEXAS:
Section 1: That Chapter 82, "Buildings and Building Regulations," Article II, "Building
Code," Section 82-31 "Adoption," and Sections 82-32 and 82-33 "Amendments," of the Code of
Ordinances, La Porte, Texas, are hereby amended to read as follows:
~~Sec. 82-31. Adoption.
(a) Except as provided in this division, the International Residential Code and the
International Building Code, 2006 editions, published by the International Code Council,
is adopted and incorporated as fully as if set forth at length in this section and the
provisions therein shall be controlling in the design, construction, quality of materials,
erection, installation, alteration, repair, location, relocation, replacement, addition to, use
and maintenance of buildings and structures within the city limits. One copy of the
building codes is on file in the office of the city secretary.
(b) If a section of this article is found to be in conflict with a provision of any zoning,
building, fire, safety or health ordinance or any regulation adopted pursuant thereto or
any other ordinance or code or regulation of the city, the provision which establishes the
higher standard for the promotion of the health and safety of the people shall prevail.
Ordinance # 96-2079-Kl
Page 2
(c) Any person who shall violate any provision of the standards adopted or established in this
article shall upon conviction be punished as provided in Appendix B.
(d) Fees shall be in accordance with Appendix A of the City's Code of Ordinances.
Sec. 82-32. Residential Code Amendments.
The residential building code adopted in Section 82-31 of this Article shall be amended to read
as follows:
Section R101.1 Title. These provisions shall be known as the Residential Code for One-and
Two-Family Dwellings of the City of La Porte, and shall be cited as such and will be referred to
herein as "this code".
Section R103.1 Creation of Enforcement Agency. The Inspection Services Division, of the
City's Planning Department, shall enforce the building and construction codes of the city. The
Chief Building Official shall be known as the code official.
Section R105.2 Work Exemptfrom Permit. Deletion of Building Permit Exemptions # 1
(accessory structures), #2 (fences), #3 (retaining walls) and #5 (sidewalks/driveways).
Section R1l2 Board of Appeals. Deletion of entire section (Sections Rl12.l thru Rl12A)
Section R202 Definitions. Accessory Structure/Building means a detached, subordinate
structure/building, the use of which is clearly incidental and related to that of the principal
structure/building or use of the land, and which is located on the same lots as that of the principal
structure/building or use.
Table RJ01.2(1) Climatic and Geographic Design Criteria. Establishment of criteria in
accordance with table shown.
Subject to Damage From:
Gromd Wind Seismic Frost Wner Ice Barrier {4jr Mean
Snow Speed Desig1 tile 0esVl lJndertlIyment FIoocI Freezing AmuaI
load (fl1)h) Caaegcty Wealhering Deph T ermIe Temp Recped Hazards Index Temp
4-9-87
11-6-96
Cl 12C A N 1" VH 32' No 6-18-07 0-1000 6T
Section R30 1.2.1.2 Protection of Openings. Entire section including the exception and Table
R301.2.1.2 dealing with Windborne Debris Protection is deleted.
2
Ordinance # 96-2079-Kl
Page 3
Section R902.2 Fire-Retardant- Treated Shingles and Shakes. Deleted.
Section R90S.7 Wood Shingles. The use of wood shingles is prohibited. All sections and tables
(Sections R905.7.1 thru R905.7.7) are deleted.
Section R905.8 Wood Shakes. The use of wood shakes is prohibited. All sections and tables
(Sections R905.8.1 thru R905.8.9) are deleted.
Part VITI, Electrical Chapters 33 - 42 (E3301 thru E4204) are deleted in their entirety.
Sec. 82-33. Building Code Amendments.
The building code adopted in Section 82-31 of this Article shall be amended to read as follows:
Section 101.1 Title. These regulations shall be known as the Building Code of the City of La
Porte, hereinafter referred to as "this code".
Section 101.4.1 Electrical. The provisions of the National Electrical Code along with local
electrical amendments shall apply to the installation of electrical systems, including alterations,
repairs, replacement, equipment, appliances, fixtures, fittings and appurtenances thereto.
Section 101.4.5 Property Maintenance. Delete.
Section 1 03.1 Creation of Enforcement Agency. The Inspection Services Division, of the City's
Planning Department, shall enforce the building and construction codes of the city. The Chief
Building Official shall be known as the code official.
Section 105.1.1 Annual Permit. Delete.
Section 105.1.2 Annual Permit Records. Delete.
Section 105.2 Work Exempt from Permit. Deletion of Building Permit Exemptions # 1
(accessory structures), #2 (fences), #4 (retaining walls), #5 (water tanks) and #6
(sidewalks/driveways) .
Section 112 Board of Appeals. Deletion of entire section (Sections 112.1 thru 112.3).
Chapter 11 Accessibility. Chapter (Sections 1101 thru 1110) is deleted in its entirety.
Section 1507.8 Wood Shingles. The use of wood shingles is prohibited. All sections and tables
(Sections 1507.8.1 thru 1507.8.7) are deleted.
Section 1507.9 Wood Shakes. The use of wood shakes is prohibited. All sections and tables
(Section 1507.9.1 thru 1507.9.8) are deleted.
3
Ordinance # 96-2079-Kl
Page 4
Chapter 27 Electrical. Chapter (Sections 2701 thru 2702) is deleted in its entirety.
Section 2: That Chapter 82, "Buildings and Building Regulations," Article ill, "Plumbing
Code," Section 82-66 "Adoption," and Section 82-67 "Amendments," of the Code of
Ordinances, La Porte, Texas, are hereby amended to read as follows:
"Sec. 82-66. Adoption.
(a) Except as provided in this article, the International Plumbing Code, 2006 edition,
published by the International Code Council, as amended in Section 82-67 of this Article
or addressed by the plumbing regulations of the International Residential Code, 2006
edition, as adopted by Section 82-31 of this Chapter, is adopted and incorporated as fully
as if set forth at length in this section and the provisions therein shall be controlling in the
design, construction, quality of materials, erection, installation, alteration, repair,
location, relocation, replacement, addition to, use and maintenance of buildings and
structures within the city limits. One copy of the building codes is on file in the office of
the city secretary.
(b) If a section of this article is found to be in conflict with a provision of any zoning,
building, fire, safety or health ordinance or any regulation adopted pursuant thereto or
any other ordinance or code or regulation of the city, the provision which establishes the
higher standard for the promotion ofthe health and safety of the people shall prevail.
(c) Any person who shall violate any provision of the standards adopted or established in this
article shall upon conviction be punished as provided in Appendix B.
(d) Fees shall be in accordance with Appendix A of the City's Code of Ordinances.
Sec. 82-67. Amendments.
The plumbing code adopted in Section 82-66 of this Article shall be amended to read as follows:
Section 101.1 Title. These regulations shall be known as the International Plumbing Code of the
City of La Porte, hereinafter referred to as "this code".
Section 103.1 General. The Inspection Services Division, of the City's Planning Department,
shall enforce the plumbing code(s) of the city. The Chief Building Official shall be known as the
code official.
Section 106.6.3 Fee Refunds, No.2 (permit Fee) - Not more than fifty percent (50%) of the
permit fee paid when no work has been done under a permit issued in accordance with this code.
4
Ordinance # %-2079-Kl
Page 5
Section 106.6.3 Fee Refunds, No.3 (plan Review) is deleted.
Section 109 Means of Appeal. Deletion of entire section (Sections 109.1 thru 109.7).
Appendix A Plumbing Permit Fee Schedule. Deleted."
Section 3: That Chapter 82, "Buildings and Building Regulations," Article V, "Fuel Gas
Code," Section 82-381 "Adoption," and Section 82-382 "Amendments," of the Code of
Ordinances, La Porte, Texas, are hereby amended to read as follows:
"Sec. 82-381. Adoption.
(a) Except as provided in this article, the International Fuel Gas Code, 2006 edition,
published by the International Code Council, as amended in Section 82-382 of this
Article or addressed by the mechanical regulations of the International Residential Code,
2006 edition, as adopted by Section 82-31 of this Chapter, is adopted and incorporated as
fully as if set forth at length in this section and the provisions therein shall be controlling
in the design, construction, quality of materials, erection, installation, alteration, repair,
location, relocation, replacement, addition to, use and maintenance of buildings and
structures within the city limits. One copy of the building codes is on file in the office of
the city secretary.
(b) If a section of this article is found to be in conflict with a provision of any zoning,
building, fire, safety or health ordinance or any regulation adopted pursuant thereto or
any other ordinance or code or regulation of the city, the provision which establishes the
higher standard for the promotion of the health and safety of the people shall prevail.
(c) Any person who shall violate any provision of the standards adopted or established in this
article shall upon conviction be punished as provided in Appendix B.
(d) Fees shall be in accordance with Appendix A of the City's Code of Ordinances.
Sec. 82-382. Amendments.
The mechanical code adopted in Section 82-381 of this Article shall be amended to read as
follows:
Section 101.1 Title. These regulations shall be known as the Fuel Gas Code of the City of La
Porte, hereinafter referred to as "this code".
5
Ordinance # 96-2079-KI
Page 6
Section 103.1 General. The City's Inspection Services Division shall serve as the Department of
Inspection. The Chief Building Official thereof shall be known shall be known as the code
official.
Section 106.5.3 Fee Refunds, No.2 (permit Fee) - Not more than fifty percent (50%) of the
permit fee paid when no work has been done under a permit issued in accordance with this code.
Section 106.5.3 Fee Refunds, No.3 (plan Review) is deleted.
Section 109 Means of Appeal. Deletion of entire section (Sections 109.1 thru 109.7)."
Section 4: That Chapter 82, "Buildings and Building Regulations," Article VI, "Energy
Conservation Code," Division 2 "Standards", Section 82-412 "Adoption," and Section 82-413
"Amendments," of the Code of Ordinances, La Porte, Texas, are hereby amended to read as
follows:
"Sec. 82-412. Adoption.
(a) Except as provided in this article, the International Energy Conservation Code, 2006
edition, published by the International Code Council, as amended in Section 82-413 of
this Article or addressed by the energy efficiency regulations of the International
Residential Code, 2006 edition, as adopted by Section 82-31 of this Chapter, is adopted
and incorporated as fully as if set forth at length in this section and the provisions therein
shall be controlling in the design, construction, quality of materials, erection, installation,
alteration, repair, location, relocation, replacement, addition to, use and maintenance of
buildings and structures within the city limits. One copy of the building codes is on file
in the office of the city secretary.
(b) If a section of this article is found to be in conflict with a provision of any zoning,
building, fire, safety or health ordinance or any regulation adopted pursuant thereto or
any other ordinance or code or regulation of the city, the provision which establishes the
higher standard for the promotion of the health and safety of the people shall prevail.
(c) Any person who shall violate any provision of the standards adopted or established in this
article shall upon conviction be punished as provided in Appendix B.
Sec. 82-413. Amendments.
The energy conservation code adopted in Section 82-412 of this Article shall be amended to read
as follows:
6
Ordinance # 96-2079-KI
Page 7
Section 101.1 Title. This code shall be known as the International Energy Conservation Code of
the City of La Porte, and shall be cited as such. It is referred to herein as "this code".
Section 104.3 Certification. Plan/Permit submittals to the City shall include all necessary energy
certification documents. Certification documents shall be completed by an approved agency or
individual.
Section 105.1 General. Construction or work for which a permit is required shall be subject to
all required inspections. Inspections shall be performed by a certified and/or licensed party (i.e.
3rd Party).
Sections 105.2 thru 105.4. - Sections are deleted in their entirety."
Section 5: That Chapter 82, "Buildings and Building Regulations," Article VII, "Mechanical
Code," Section 82-441 "Adoption," and Section 82-442 "Amendments," of the Code of
Ordinances, La Porte, Texas, are hereby amended to read as follows:
"Sec. 82-441. Adoption.
(a) Except as provided in this article, the International Mechanical Code, 2006 edition,
published by the International Code Council, as amended in Section 82-442 of this
Article or addressed by the plumbing regulations of the International Residential Code,
2006 edition, as adopted by Section 82-31 of this Chapter, is adopted and incorporated as
fully as if set forth at length in this section and the provisions therein shall be controlling
in the design, construction, quality of materials, erection, installation, alteration, repair,
location, relocation, replacement, addition to, use and maintenance of buildings and
structures within the city limits. One copy of the building codes is on file in the office of
the city secretary.
(b) If a section of this article is found to be in conflict with a provision of any zoning,
building, fire, safety or health ordinance or any regulation adopted pursuant thereto or
any other ordinance or code or regulation of the city, the provision which establishes the
higher standard for the promotion of the health and safety of the people shall prevail.
(c) Any person who shall violate any provision of the standards adopted or established in this
article shall upon conviction be punished as provided in Appendix B.
(d) Fees shall be in accordance with Appendix A of the City's Code of Ordinances.
7
Ordinance # 96-2079-Kl
Page 8
Sec. 82-442. Amendments.
The mechanical code adopted in Section 82-441 of this Article shall be amended as follows:
Section 101.1 Title. These regulations shall be known as the Mechanical Code of the City of La
Porte, hereinafter referred to as "this code" .
Section 103.1 General. The City's Inspection Services Division shall serve as the Department of
Inspection. The Chief Building Official thereof shall be known as the code official.
Section 106.5.3 Fee Refunds, No.2 (permit Fee) - Not more than fifty percent (50%) of the
permit fee paid when no work has been done under a permit issued in accordance with this code.
Section 106.5.3 Fee Refunds, No.3 (plan Review) is deleted.
Section 109 Means of Appeal. Deletion of entire section (Sections 109.1 thru 109.7)."
Section 6: All ordinances or parts of ordinances inconsistent with the terms ofthis ordinance are
hereby repealed; provided, however, that such repeal shall be only to the extent of such
inconsistency and in all other respects this ordinance shall be cumulative of other ordinances
regulating and governing the subject matter covered by this ordinance.
Section 7: Should any section or part of this ordinance be held unconstitutional, illegal, or
invalid, or the application to any person or circumstance for any reasons thereof ineffective or
inapplicable, such unconstitutionality, illegality, invalidity, or ineffectiveness of such section or
part shall in no way affect, impair or invalidate the remaining portions thereof; but as to such
remaining portion or portions, the same shall be and remain in full force and effect and to this
end the provisions of this ordinance are declared to be severable.
Section 8. Any person, as defined in Section 1.07 (27), Texas Penal Code, who shall violate any
provision of the ordinance, shall be deemed guilty of a misdemeanor and upon conviction shall
be punished by a fine not to exceed TWO THOUSAND DOLLARS ($2,000.00).
Section 9. This Ordinance shall be effective forty-nine (49) days after its passage and approval
(January 01, 2008). The City Secretary shall give notice of the passage of this ordinance by
causing the caption hereof to be published in the official newspaper of the City of La Porte at
least twice within ten (10) days after the passage of this ordinance.
8
Ordinance # 96-2079-Kl
Page 9
Section 10. The City Council officially finds, determines, recites and declares that a sufficient
written notice of the date, hour, place and subject of this meeting of the City Council is posted at
a place convenient to the public at the City Hall of the city for the time required by law
preceding this meeting, as required by Chapter 551, Tx. Gov't Code; and that this meeting has
been open to the public as required by law at all times during which this ordinance and the
subject matter thereof has been discussed, considered and formally acted upon. The City Council
further ratifies, approves and confirms such written notice and the contents and posting thereof.
PASSED AND APPROVED this the
day of
,2007.
CITY OF LA PORTE
By:
Mayor
ATTEST:
City Secretary
APPROVED:
~r~
CIty Attorney
9
16
REQUEST FOR CITY COUNCIL AGENDA ITEM
Agenda Date Requested: November 12, 2007
Requested By: Michael Dolby p-.
Department: Finance
Report:
Resolution:
Ordinance:
xx
Exhibits: Ordinance 2007-3024-C
Exhibits: Excerpt from FY 2008 Adopted Budget
& Amended Budget (Exhibit A & B)
Source of Funds: N/A
Appropriation
Account Number: N/A
Amount Budgeted: N/A
Amount Requested: N/A
Budgeted Item: YES
NO
Exhibits: Explanations I Backup for Amendment
SUMMARY & RECOMMENDATION
The City Council adopted the Fiscal Year 2007-08 Budget on August 27,2007.
The Summary of Funds, which is shown below, represents the amendments which council previously approved to
the FY 2007-08 Budget. (*denotes funds with current changes)
General Fund
Grant Fund
Street Maintenance Sales Tax Fund
Community Investment
Hotel/Motel Occupancy Tax
La Porte Development Corporation
Tax Increment Reinvestment Zone
Utility
Sylvan Beach
Airport
La Porte Area Water Authority
Golf Course
Motor Pool
Insurance Fund
Technology Fund
General Capital Improvement
Utility Capital Improvement
Sewer Rehabilitation Capital Improvement
2000 General Obligation Bond Fund
2005 Certificate of Obligation Bond Fund
2006 General Obligation Bond Fund
2007 Certificate of Obligation Bond Fund
Transportation & Other Infrastructure Fund
General Debt Service
Utility Debt Service
La Porte Area Water Authority Debt Service
Total of All Funds
Previously
Original Budget Amended Budget
$ 30,010,812
1,036,356
1,004,178
233,120
556,540
971,565
1,600,185
8,038,354
274,158
23,396
1,717,760
1,304,138
1,529,323
4,881,080
1,211,065
955,000
935,000
350,000
54,465
60,000
49,478
305,261
200,000
3,477,278
479,105
758,531
$ 62,016,148
$ 30,043,016
1,036,356
1,004,178
233,120
556,540
971,565
1,600,185
8,038,354
274,158
23,396
1,717,760
1,304,138
1,756,727
4,881,080
1,211,065
955,000
935,000
350,000
54,465
60,000
49,478
305,261
200,000
3,477,278
479,105
758,531
$ 62,275,756
Proposed
Amended Budget
$ 30,043,016
1,053,296 *
1,004,178
233,120
556,540
971,565
1,600,185
8,038,354
274,158
23,396
1,717,760
1,304,138
1,756,727
4,881,080
1,221,865 *
971,538 *
935,000
350,000
54,465
60,000
49,478
305,261
200,000
3,477,278
479,105
758,531
$ 62,320,034
Action Required bv Council:
Adopt Ordinance Amending Fiscal Year 2007 -08 Budget for:
A. $15,940 in the Grant Fund for the Brookglen Park fence project. The funds will come from the Park Zone
#1 Reserve Account. The Park Zone #1 Reserve Account currently has a balance of$37,854.05.
B. $1,000 in the Grant fund for use of the Municipal Court Technology Funds for the Harris County JIMS
(SETCIC). The balance in the Technology Reserve account is $73,724.32.
C. $10,800 in the Technology Fund for a three (3) year service agreement with AT&T to provide internet
service.
$16,538 in the General CIP Fund for a joint venture with the Meadowcrest Homeowner's Association to
o truct a . dewalk along Meadowlark Lane.
II
Date
ORDINANCE NO. 2007 -3024-C
AN ORDINANCE APPROVING AN AMENDMENT TO THE BUDGET FOR THE CITY OF LA PORTE,
TEXAS, FOR THE PERIOD OF OCTOBER 1, 2007 THROUGH SEPTEMBER 30, 2008; FINDING THAT
ALL THINGS REQUISITE AND NECESSARY HAVE BEEN DONE IN PREPARATION AND
PRESENTMENT OF SAID BUDGET; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND
PROVIDING AN EFFECTIVE DATE HEREOF.
WHEREAS, the Charter of the City of La Porte, Texas, and the Statutes of the State of Texas, require that
an annual budget be prepared and presented to the City Council of the City of La Porte, Texas, prior to the
beginning of the fiscal year of said City, and that a public hearing be held prior to the adoption of said
Budget; and
WHEREAS, the Budget for the fiscal year October 1,2007, through September 30,2008, has heretofore
been presented to the City Council and due deliberation had thereon, was filed in the office of the City
Secretary on July 23,2007, and a public hearing scheduled for August 27,2007 was duly advertised and
held.
NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE:
SECTION 1: That the Budget for the City of La Porte, Texas, now before the said City Council for
consideration, a complete copy of which is on file with the City Secretary and a summary of which is
attached hereto by reference as Exhibit "A", is hereby amended as reflected on the amended budget
summary document, attached hereto by reference as Exhibit "B", as the Budget for the said City of La
Porte, Texas, for the period of October 1, 2007, through September 30,2008.
SECTION 2: Be it FURTHER ORDAINED, that the said City Council finds that all things requisite and
necessary to the adoption of said Budget have been performed as required by charter or statute.
SECTION 3: The City Council officially finds, determines, recites and declares that a sufficient written
notice of the date, hour, place and subject of this meeting of the City Council was posted at a place
convenient to the public at the City Hall of the City for the time required by law preceding this meeting, as
required by the Open Meetings Law, Chapter 551, Texas Government Code; and that this meeting has
been open to the public as required by law at all times during which this Ordinance and the subject matter
thereof has been discussed, considered and formally acted upon. The City Council further ratifies,
approves and confirms such written notice and the contents and posting thereof.
SECTION 4: This Ordinance shall be in effect from and after its passage and approval.
PASSED AND APPROVED this the ~day of /t)()Uff/llf!r, 2007.
CIu::L~~
Alton Porter, Mayor
ATTEST:
~j~.dI1
Mart a Gillett, City Secretary
APPROVED:
~r~
Clark Askins, Assistant City Attorney
EXHIBIT A
(ORIGINAL BUDGET)
City of La Porte
Consolidated Summary of All Funds
FY 07-08 FY 07-08
Revenues Expenses
Governmental Fund Types:
General Fund 30,010,812 30,010,812
Grant Fund 1,036,356 1,036,356
Street Maintenance Sales Tax 726,535 1,004,178
Community Investment 217,358 233,120
Hotel/Motel Occupancy Tax 530,020 556,540
Section 4B Sales Tax 1,871,847 971,565
Tax Increment Reinvestment 1,621,438 1,600,185
Total Governmental Types 36,014,366 35,412,756
Enterprise:
Utility 7,863,720 8,038,354
Sylvan Beach 250,280 274,158
Airport 55,906 23,396
La Porte Area Water Authority 1,295,846 1,717,760
Golf Course 1,121,404 1,304,138
Total Enterprise 10,587,156 11,357,806
Internal Service
Motor Pool 2,028,711 1,529,323
Insurance Fund 4,883,865 4,881,080
Technology Fund 1,158,764 1,211,065
Total Internal Service 8,071,340 7,621,468
Capital Improvement:
General 66,900 955,000
Utility 600,000 935,000
Sewer Rehabilitation 317,800 350,000
1998 GO Bond Fund 14,100
2000 GO Bond Fund 1,100 54,465
2002 GO Bond Fund 1,500
2004 C/O Bond Fund 13,100
2005 C/O Bond Fund 2,800 60,000
2005 GO Bond Fund 2,300
2006 C/O Bond Fund 10,000
2006 GO Bond Fund 5,000 49,478
2007 C/O Bond Fund 178,000 305,261
Other Infrastructure 51,700 200,000
Total Capital Improvement 1,264,300 2,909,204
Debt Service:
General 3,320,122 3,477,278
Utility 511,950 479,105
La Porte Area Water Authority 758,531 758,531
Total Debt Service 4,590,603 4,714,914
Total All Funds 60,527,764 62,016,148
EXHIBIT B
(AMENDED BUDGET)
City of La Porte
Consolidated Summary of All Funds
FY 07-08 FY 07-08
Revenues Expenses
Governmental Fund Types:
General Fund 30,010,812 30,043,016
Grant Fund 1,036,356 1,053,296
Street Maintenance Sales Tax 726,535 1,004,178
Community Investment 217,358 233,120
Hotel/Motel Occupancy Tax 530,020 556,540
Section 4B Sales Tax 1,871,847 971,565
Tax Increment Reinvestment 1,621,438 1,600,185
Total Governmental Types 36,014,366 35,461,900
Enterprise:
Utility 7,863,720 8,038,354
Sylvan Beach 250,280 274,158
Airport 55,906 23,396
La Porte Area Water Authority 1,295,846 1,717,760
Golf Course 1,121,404 1,304,138
Total Enterprise 10,587,156 11,357,806
Internal Service
Motor Pool 2,028,711 1,756,727
Insurance Fund 4,883,865 4,881,080
Technology Fund 1,158,764 1,221,865
Total Internal Service 8,071,340 7,859,672
Capital Improvement:
General 83,438 971,538
Utility 600,000 935,000
Sewer Rehabilitation 317,800 350,000
1998 GO Bond Fund 14,100
2000 GO Bond Fund 1,100 54,465
2002 GO Bond Fund 1,500
2004 C/O Bond Fund 13,100
2005 C/O Bond Fund 2,800 60,000
2005 GO Bond Fund 2,300
2006 C/O Bond Fund 10,000
2006 GO Bond Fund 5,000 49,478
2007 C/O Bond Fund 178,000 305,261
Other Infrastructure 51,700 200,000
Total Capital Improvement 1,280,838 2,925,742
Debt Service:
General 3,320,122 3,477,278
Utility 511,950 479,105
La Porte Area Water Authority 758,531 758,531
Total Debt Service 4,590,603 4,714,914
Total All Funds 60,544,302 62,320,034
Wolny, Shelley
From:
Sent:
To:
Subject:
Bradley, Scott
Thursday, October 25, 2007 8:52 AM
Wolny, Shelley
RE:PKZN1
The amount for this fence project is 15,940.00.
Will we have to do this same thing when we purchase spring animals out of Park Zone Monies to meet the requirement
for a park designation for the child predator code? If so, good that I know now so we can plan ahead for those purchases.
From: Wolny, Shelley
Sent: Thursday, October 25,20078:14 AM
To: Bradley, Scott
Subject: PKZN1
Hi Scott,
I have set up that account, but we will have to take it to Council to increase the budget for Fund 032. I know that this will
delay you a little. How much will you need in that account?
Thanks,
Shelley
1
Wolny, Shelley
From:
Sent:
To:
Subject:
Kilgore, Lynda
Thursday, November 01,20079:26 AM
Wolny, Shelley
RE: Account 4081
We just need to move $1,000 into that 4081 account. SETCIC is a warrant database for Southeast Texas. Cities enter
their warrants into that database on a weekly basis. If someone is stopped in Katy, for instance, and has warrants in La
Porte, it will show up in the database and they will be arrested there for our warrants. Thank you, Shelley.
1
From: MEADOWCREST H.OA, INC.
To: CITY OF LA PORTE
COL
Check Date
10/31/07
Check Amount
16,537.17
Check Number
001292
Batch Date Invoice Number Reference Gross Discount Net
76 10/31/07 NEW SIDEWALK HALF FOR NEW SIDEWALK 16,537.17 .00 16,537.17
MEADOWCREST H.O.A., INC.
12929 GULF FREEWAY, STE. 320
HOUSTON TX 77034
PROSPERITY BANK
SUGAR LAND. TEXAS 77478
001292
- I
Date: 10/31/07
Pay
Exactly SIXTEEN THOUSAND FIVE HUNDRED THIRTY-SEVEN AND 17/100 DOLLARS************** I
*******16,537.17/
11100 ~ 2 11 2111
I: ~ ~:i ~ 2 21; 5 51:
~ ~ 0 2 2 :it. ? 0 I; III
To The
Order Of: CITY OF LA PORTE
604 W. FAIRMONT PKWY.
LA PORTE, TX 77571
REQUEST FOR CITY COUNCIL AGENDA ITEM
Agenda Date Requested:
November 12. 2007
Budl.!et
Requested By: W S9ho
Source of Funds: Fund 15
Department: Phnning
t1t1
Account Number: 015-9892-9l6-1100
Report: X Resolution:
Ordinance:
Amount Budgeted: $50,000
Exhibits: Bid Tabulation
Amount Requested: $66,53717
Exhibits: Bidders List
Budgeted Item: YES NO
Exhibits O~py of Melldowcred 110 A Cbeck
SUMMARY & RECOMMENDATION
On September 25, 2007 the City opened the City Wide Sidewalk In-fill Project, sealed bid # 07029. The project was
advertised in the local newspaper and bid invitations were sent directly to 12 local contractors. The City received
sealed bids from Mar-Con Services and Brooks Concrete. The low bid was submitted by Brooks Concrete in the
amount of$59,177.08.
Also, within this project is ajoint venture with the Meadowcrest Homeowners Association (HOA) to construct a
sidewalk along Meadowlark Lane. The HOA submitted a check in the amount of$16,537.17 funding 50% of the
estimated sidewalk construction cost. The HOA funds are to be placed in a special City of La Porte account to be
disbursed to the contractor for work completed. Upon completion unexpended HOA funds shall be returned.
City Budget
$50,000
HOA Contribution
$16,537.17
Total Funds Available
$ 66,537.17
Contract A ward
($59,177.08)
($7,360.09)
Contingency
Action Required bv Council:
Award bid to Brooks Concrete for the City Wide Sidewalk In-fill Project in the amount of$59,177.08 and to
establish a contingency of$7,360 which will also be used to help fund additional areas where new sidewalks are
needed.
Approved for City Council Al.!enda
-John Joern", InteriHlfity Manager
~ 0 Y\ (;O-H-D rn5
Date
Page 1 of 1
Wolny, Shelley
From: McPhail, Reagan
Sent: Wednesday, October 31,20071 :51 PM
To: WOlny, Shelley
Cc: Sabo, Wayne
Subject: City Wide Sidewalk In-fill Project
Attachments: REQUEST FOR CITY COUNCIL AGENDA ITEM.doc
SW,
I left a check in Shannon Greens care from the Meadowcrest Homeowners Association in the amount of
$16,537.17.
The check is the HOA's contribution for sidewalk construction along Meadowlark Ln. The funds will be dispersed
on a monthly basis as construction items are completed. If you choose to keep it in an account separate from
015-9892-927-1100 please advise us of the account number.
Thanks
Reagan
11/1/2007
REQUEST FOR CITY COUNCIL AGENDA ITEM
Agenda Date Requested: AUl!ust 27. 2007
Appropriation
Requested By: A IfrPff Ow~ns
Source of Funds: Technology Fund
Department: MIS
Account Number: 023-6066-519-5007
Report:
Resolution:
Ordinance:
Amount Budgeted: $15,600
Exhibits:
Amount Requested: $ 32.400
Exhibits: Al!reement for Services
Budgeted Item:
NO
Exhibits:
SUMMARY & RECOMMENDATION
Our current internet provider is ERF Wireless, and they also provide internet connectivity for the city and school
district. Therefore, we are dependent upon the school district connection for this service. Whenever the school's
internet is down we are down. We now have a fiber connection that can allow the city to establish its own internet
connection and provide a better performance of services for our internet utilization. We received quotes from AT&T
for $10,800 annually and $21,900 annually from Comcast. Weare requesting to enter into an agreement with
AT&T as our internet provider. The full amount requested is $32,000.00 and we have currently budgeted $15,600
for FY2008. Therefore in subsequent years this contract will be budgeted for $10,800 annually.
Action Required bv Council:
Approve Service Agreement for a term of three (3) years with AT&T as our internet provider.
Approved for Citv Council A2enda
.John JaeFRs, IRterim City Manager
(lOll ~o HDrn.)
Date
19
REQUEST FOR CITY COUNCIL AGENDA ITEM
Agenda Date Requested: 11-2 -07
Appropriation
Requested By: Rohert Swanagan
Source of Funds: Insurance Fund
Department: HUlRaR ReiQUrCei
Account Number: 014-6144-515.9997
Amount Budgeted: $70 000 00
Report:
Resolution:
Ordinance:
Amount Requested: $94,773.00
Exhibit: #1 Short Term Disabilitv Coveral!e 60 Davs
Exhibit: # 2 Lonl! Term Disabilitv Coveral!e to SSNRA
Exhibit: # 3 STD/L TD Plan Desie:n Summary
Exhibit: #4 Summary of Advantages versus Disavantages
Bud2"eted Item: YES NO
SUMMARY & RECOMMENDATION
Advertised, sealed proposals for RFP # 07507 Long Term and Short term Disability Insurance
were opened on March 19,2007. Proposals were mailed to twenty-two (22) consultants. Only six
(6) consultants submitted proposals.
The City anticipates spending funds in the amount of $94,773.00. The Short Term Disability will
cost $41,561.16. The Long Term Disability will cost $53,210.88. The amount the City budgeted
for the L TD/STD Insurance coverage was $70,000. Therefore, we will need an additional
amount of$24,773.00 to be approved and drawn from our Fund Balance. Presentation Neal
Welch
Action Required bv Council:
e the Plan Design recommendations for Jefferson Pilot as the 3rd party administrator for
rm and Short Term Disability Insurance.
~}7
City of LaPorte
Long Term Disability
Not available
L TO picks up and pays 60% to age 65
after 90 days waiting period
L TO picks up and pays 60% to age 65
after 90 days waiting period
* Sick leave does not integrate with L TO
* L TO has a pre-x clause included to help
deter employees from coming to the city just
for the benefits.
90 day waiting period
60% day 90 to SSNRA
* Sick leave does not integrate with L TO
* L TO has a pre-x clause included
City of LaPorte
A GROUP INSURANCE PROGRAM
Designed for
THE CITY OF LA PORTE
Submitted by
HRH of Houston
Dallas, TX
Underwritten by
THE LINCOLN NATIONAL LIFE INSURANCE COMPANY
Service Office
8801 Indian Hills Drive
Omaha, Nebraska 68114 - 4066
Home Office: Fort Wayne, IN
LAPORTETX
4435755
The City of La Porte
SCHEDULE OF INSURANCE
Option 1.01
Proposed Effective Date: November 01, 2007
CLASSIFICATION
AMOUNT OF BENEFIT
Weekly
Income
Class 1 All Active Full-time Employees
1000
Minimum Hours: 30, unless otherwise agreed upon.
The Weekly Income benefit for Class 1 will be payable to the Maximum shown above, from the 15th day for
accident or 15th day for sickness and for a maximum benefit duration of 11 weeks. The weekly benefit will not
exceed 60% of the Insured Person's weekly earnings, including commissions and excluding overtime pay and
bonuses.
This plan does not replace any state mandated disability program.
SCHEDULE OF RATES AND COSTS
Coverage
Weekly Income
Number of
Emplovees
355
Volume
156,731
Rate
$ .22/per $10 of weekly benefit
Monthly
Premium
$3,448.08
$3,448.08
Total Premium
The above rates assume the Weekly Income coverage is on a non-contributory basis and 100% participation is
required.
The above rates are guaranteed for Two Years from the effective date of coverage.
This proposal describes certain insurance coverages available from us and should under no circumstances be
construed as a contract or offer to contract for such coverages. An application must be completed and
submitted to our Service Office, before a group will be considered for coverage.
The proposal is based on preliminary census data received by Lincoln Financial Group. Actual costs will be
based on the final enrollment data of employees insured under the plan on its effective date. Rates quoted for
the proposed benefits shown are effective for 90 days from the date shown on the proposal. A complete listing
of the terms, conditions, and limitations, that will apply to your coverage, if issued, is available upon request.
The Lincoln National Life Insurance Company
4
11/2/2007
LAPORTETX
4435755
The City of La Porte
PROPOSAL CONDITIONS
This proposal has been prepared on the premise:
there are no known uninsurable individuals in the group to be covered; and
no employee is absent from work because of sickness or injury.
If any individual to be insured falls into the above categories, we will require full disclosure of all necessary
information to evaluate the risk. After reviewing this information, we reserve the right to revise or withdraw our
quotation.
To become insured, an eligible employee must be an active, full-time employee who:
is a member of an eligible class of employees;
has completed the eligibility waiting period established by the employer;
is not a temporary or seasonal employee;
is performing all customary duties of his/her occupation at his/her usual place of business on the policy
effective date (or on the effective date of his/her coverage); and
is regularly scheduled to work at least 30 hours per week, unless otherwise agreed upon.
If included, any eligible dependents must satisfy a nonconfinement requirement on the policy effective
date (or on the date coverage becomes effective).
This proposal is based on the assumption that the current insurance carrier will continue coverage on any
insured individual who is disabled on the date the existing contract terminates (even if it terminates while a
disabled person is satisfying any applicable waiting period).
The rates quoted in this proposal are a function of the characteristics of the group (Le.: Policyholder
contributions, occupations, age, gender, etc.) and the benefits requested at the time of proposal submission. If
the plan is non-contributory, 100% of the eligible employees must enroll; and if the plan is contributory, 75% of
the eligible employees must enroll on the effective date. We reserve the right to re-evaluate the risk, and
revise or withdraw our quotation if necessary, based upon the characteristics of the group and the benefits
provided on the effective date of the plan.
This proposal is a description of insurance coverages available from us and is not an offer to contract. An
application must be completed before a group will be considered for coverage.
This proposal outlines in general some of the important features of the proposed Group Insurance Program.
The controlling provisions will be in the Group Insurance Policy, and this proposal is not intended in any way to
modify the provisions or their meanings. This proposal will remain in effect until withdrawn or a new proposal
is issued, but in no event will this proposal remain in effect beyond 90 days from November 2,2007.
TX
The Lincoln National Life Insurance Company
5
11/2/2007
LAPORTETX
4435755
The City of La Porte
GROUP WEEKLY DISABILITY INSURANCE
TOTAL DISABILITY BENEFITS:
Lincoln Financial Group will pay a Weekly Total Disability Benefit if an Insured Person becomes Totally
Disabled while insured for this benefit. This benefit will be paid for each week Total Disability continues:
beginning on the day benefits begin (as shown in the Schedule of Insurance); and
ending on the day the Insured Person ceases to be Totally Disabled.
Benefits will not be payable beyond the end of the Maximum Benefit Period, as shown in the Schedule of
Insurance. Proportional benefits will be paid for a partial week of Total Disability.
The amount of the Weekly Total Disability Benefit equals:
the Insured Person's Basic Weekly Earnings multiplied by the Benefit Percentage (limited to the
Maximum Weekly Benefit); minus
Other Income Benefits
but will not be less than the Minimum Weekly Benefit.
Total Disability means the Insured Person's inability, due to sickness or injury, to perform each of the material
duties of his or her regular occupation. A person engaging in employment for wage or profit is not Totally
Disabled.
PARTIAL DISABILITY BENEFITS:
Lincoln Financial Group does not require that the employee be totally disabled prior to receiving partial
benefits. A disabled employee can satisfy the elimination period with days of total disability, partial disability or
a combination of both. An employee may qualify for a partial disability benefit if he or she is partially disabled
and is earning at least 20% of his or her pre-disability income.
Partial Disability Benefits end on the earliest of:
the date the Maximum Benefit Period ends;
the date the Insured Person ceases to be Partially Disabled; or
the date the Insured Person's current earnings exceed 99% of Basic Weekly Earnings.
The Lincoln National Life Insurance Company
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LAPORTETX
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The City of La Porte
GROUP WEEKLY DISABILITY INSURANCE
PARTIAL DISABILITY BENEFITS (cont.):
The amount of the Weekly Partial Disability Benefit equals the lesser of A or B below:
A - The Insured Person's Predisability Income multiplied by the Benefit Percentage (limited to the Maximum
Weekly Benefit); minus Other Income Benefits except for earnings received from employment. The
amount determined under this part A will not be less than the Minimum Weekly Benefit.
B - The Insured Person's Basic Weekly Earnings, minus Other Income Benefits.
Partial Disability means that, due to sickness or injury, the Insured Person is:
unable to perform one or more of the material duties of his or her regular occupation; or,
unable to perform such duties on a full-time basis.
SUCCEEDING PERIODS OF DISABILITY:
Unless the Insured Person returns to active full-time work for at least two weeks, two or more periods of
Disability due to the same or related cause will be treated as one period of Disability.
EXCLUSIONS:
Weekly Income Benefits will not be payable for any period of Disability:
which is the result of an intentionally self-inflicted injury or suicide attempt;
which is the result of war (declared or undeclared) or any act of war;
during which the Insured Person is not under the regular care of a physician;
which is the result of a sickness or injury covered by Workers' Compensation;
which is the result of, or due to, a sickness or injury arising out of, or in the course of any employment for
wage or profit; or
during which the Insured Person receives payment under a salary continuance or retirement plan
sponsored by the Group Policyholder.
TX
The Lincoln National Life Insurance Company
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11/2/2007
LAPORTETX
4435755
The City of La Porte
GROUP WEEKLY DISABILITY INSURANCE
OTHER INCOME BENEFITS:
Other Income Benefits means those benefits shown below:
1. Any disability income benefits for which the Insured Person is eligible under:
a. any compulsory benefit act or law (including any Worker's Compensation or occupational disease law);
or
b. any governmental retirement system as a result of the Insured Person's job with the Group
Policyholder.
2. Any disability benefits or retirement benefits the Insured Person receives under a Retirement Plan.
3. Benefits under the Social Security (or any similar plan or act) including:
a. disability or unreduced retirement benefits for which the Insured Person is eligible; or for which his or
her spouse or children are eligible because of the Insured Person's eligibility for unreduced retirement
benefits; or
b. reduced retirement benefits received by the Insured Person; or by his or her spouse or children
because of the Insured Person's receipt of reduced retirement benefits.
4. Earnings the Insured Person earns or receives from any form of employment.
After the first deduction for each of the Other Income Benefits, the Weekly Total Disability Benefit will not be
further reduced due to any cost-of-living increases under these Other Income Benefits (except for increases in
earnings from any form of employment). Other Income Benefits paid in a lump sum will be prorated:
on a weekly basis over the time period for which the sum is given; or
over the time the Company expects the Insured Person to live, if no time period is stated.
OTHER FEATURES:
Our LINKS PROGRAM provides integrated disability management when an insured is covered under both our
STD and L TD plans. LINKS helps to provide a smooth transition from STD to L TD without claim filing, while
helping the employee return to work in the most efficient and effective manner possible. Furthermore, the
LINKS program identifies those claimants with group life insurance coverage with us to determine whether
they're eligible for Life Waiver.
The Lincoln National Life Insurance Company
8
11/2/2007
LAPORTETX
4435755
The City of La Porte
Long-Term Disability (L TO) Benefits & Cost Summary
Option 1.01
Proposed Effective Date: November 01, 2007
Class 1: All Active Full-time Employees
Minimum Hours: 30, unless otherwise agreed upon.
SCHEDULE OF BENEFITS
Benefit Percentage
Maximum Monthly Benefit
- Social Security Integration
- Minimum Monthly Benefit
Elimination Period
- Accumulation of Elimination Period
Maximum Benefit Period
Pre-existing Condition Exclusion
Specified IlIness/lnjury Limits
- Mental/Nervous & Substance Abuse
- Other Limits (Specified Illnesses)
Premium Contributions
Minimum Participation
DEFINITION OF DISABILITY
Own Occupation Coverage Period
Following Own Occupation Period
Zero Day Residual
Return to Work Incentive
Partial Disability Formula
- Income Test first 24 Months
- Income Test after 24 Months
ADDITIONAL FEATURES
Progressive Income Benefit
Reasonable Accommodation
Vocational Rehabilitation
Survivor Income Benefit
SubrogationfThird Party Reimburs.
Conversion Option
COLA
Prior Insurance Credit
PLAN ASSUMPTIONS & COST
Number of Employees
Monthly Covered Payroll
Rate, as a Percent of Payroll
MONTHLY PREMIUM
Rate Guarantee
ADVANTAGE PLAN
60%
$6,000
Primary & Family
$50
90 Days
2X Elimination Period
Later of Age 65 or SSNRA
3/12
24 Months
24 Months
Non-Contributory
100%
24 Months
Any Occupation
Included
SSNRA
Residual wI Progressive
99%
85%
Not Included
Included
Mandatory
3 Months
Not Included
Not Included
Not Included
Not Included
355
$1,139,639
.39%
$4,444.59
Three Years
The Lincoln National Life Insurance Company
9
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11/02/07
LAPORTETX
4435755
The City of La Porte
L TO Benefits & Cost Summary (continued)
PROPOSAL ASSUMPTIONS & CONDITIONS
This proposal assumes that:
there are no known uninsurable individuals in the group to be covered; and
no employee is absent from work because of sickness or injury.
If any individual to be insured falls into either of these categories, Lincoln Financial Group requires full
disclosure of all information needed to evaluate the risk. After reviewing this information, we reserve the right
to revise or withdraw our proposal.
The proposal also assumes current and continued employer and employee participation in Workers'
Compensation or an equivalent plan, which would be used as a source of integration (offset) for the L TD plan
of benefits.
If the employer's L TD plan is currently insured by another carrier, this proposal assumes that the current carrier
will continue coverage on any insured employee who is disabled on the date the existing contract terminates -
even if the contract terminates before the disabled employee has satisfied the Elimination Period.
Quoted rates were developed based on the information contained in the Request for Proposal. Final rates will
be calculated based on:
the agreed-upon plan;
amount & tax status of employer and employee contributions;
enrolled census;
employee location(s);
correct industry code (SIC); and
other pertinent underwriting factors.
Lincoln Financial Group reserves the right to re-rate or refuse to issue coverage if there are changes in these
factors.
THIS IS NOT A CONTRACT:
This illustration was prepared based on the information provided in the Request for Proposal. It is a
description of the Long Term Disability Insurance coverage available from us and not an offer to contract.
More detailed information is available upon request concerning the terms, conditions and limitations contained
in the master policy, if issued. If there are discrepancies between the information contained in this proposal
and the master policy, the terms of the master policy will control.
An Application for Group Insurance must be completed by the employer and approved by us before coverage
can become effective.
This proposal is subject to revision if not accepted within 90 days of October 25,2007.
(continued on next page)
TX
The Lincoln National Life Insurance Company
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LAPORTETX
4435755
The City of La Porte
L TO Benefits & Cost Summary (continued)
OUR PROPOSAL INCLUDES THE FOLLOWING PROVISIONS:
PROGRESSIVE PARTIAL Disability Benefit with RETURN TO WORK INCENTIVE: The plan includes our
BACK ON TRACK@ partial disability benefit. BACK ON TRACK@encourages employees to try to return to work
by allowing them to receive an overall higher level of income than they would receive from their total disability
benefit.
An employee may qualify for a partial disability benefit if he or she is partially disabled, is earning at least 20%
of his or her pre-disability income, and is under the regular care of a physician.
The partial disability formula remains consistent throughout the duration of the benefit period. The partial
disability benefit will not be reduced by earnings from any employer, until those earnings, plus the policy
benefit and any other income benefits from other sources listed in the policy exceed 100% of pre-disability
earnings. Lincoln Financial Group will pay the lesser of:
(A) LOST INCOME: The insured's predisability income, minus all Other Income Benefits (including earnings
from partial disability employment).
(B) THE TOTAL DISABILITY NET MONTHLY BENEFIT: The Benefit Percentage times the insured's
predisability earnings (limited to the Maximum Monthly Benefit), minus Other Income Benefits (except for
earnings from partial disability employment).
However, this amount will not be less than the Minimum Monthly Benefit.
During the first 24 months of partial disability benefits -- even if the claimant has received total disability
benefits for several years - a partially disabled employee can receive up to 99% of pre-disability earnings from
partial disability employment.
After 24 months of partial disability benefits, the BACK ON TRACK@ provision will continue to pay partial
disability benefits until the employee's earnings from partial disability employment exceed 85% of predisability
earnings.
RECOVERY BENEFIT FOR COMMISSIONED EMPLOYEES: The Recovery Benefit allows insureds to
receive an additional benefit for up to six months while they rebuild their earnings. Employees are eligible for
this benefit if they return to Full-time work in their own occupation, previously received earned commissions as
part of the predisability earnings and upon return continue to earn commissions, have received Total or Partial
Disability benefits for at least 1 month and earn less than 100% of Predisability Income.
ZERO DAY RESIDUAL: The elimination period can be satisfied by either days of total and/or partial disability
and requires no loss of earnings.
VOCATIONAL REHABILITATION: (Refer to the Schedule of Benefits) Lincoln Financial Group offers
vocational rehabilitation programs that focus on job modification, retraining and job placement. With the help
of these services, many disabled employees are able to return to productive employment.
The Lincoln National Life Insurance Company
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LAPORTETX
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The City of La Porte
BENEFIT LIMITATIONS: (Refer to the Schedule of Benefits)
The plan includes maximum benefit durations limits for disabilities caused by mental sickness and/or
substance abuse, as well as for disabilities related to:
mental sickness
substance abuse
environmental sicknesses (e.g. Sick Building Syndrome)
chronic fatigue sicknesses (e.g. Epstein-Barr syndrome)
certain musculoskeletal or connective tissue injuries / conditions.
1.0126.76%/$683,783
The Lincoln National Life Insurance Company
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11/02/07
LAPORTETX
4435755
The City of La Porte
Group Long Term Disability Insurance
ELIGIBLE EMPLOYEE is an active, full-time employee who:
is a member of an eligible class of employees;
has completed the eligibility waiting period established by the employer;
is not a temporary or seasonal employee;
is at work on the effective date of his/her coverage;
is regularly scheduled to work at least 30 hours per week, unless otherwise agreed upon; and
is a citizen of or legally works in the United States.
ELIMINATION PERIOD is the period of disability during which no benefit is payable. It is shown on the
Benefits & Cost Summary page of this proposal. The elimination period begins on the first day of disability.
Only days of total or partial disability will count towards the satisfaction of the elimination period.
Accumulation of Elimination Period: With this feature, the elimination period is satisfied when the required
number of days is accumulated within a period up to two times the length of the elimination period. For
example, a 90 day elimination period must be satisfied within 180 consecutive days.
PREDISABILlTY INCOME means the employee's monthly rate of earnings from the employer in effect:
1. just prior to the date the Elimination Period begins; or
2. just prior to the date an approved leave of absence begins, if the Elimination Period begins while the
employee is continuing coverage during a leave of absence.
It includes commissions averaged over the most recent 12 months before the disability begins. Predisability
income does not include overtime pay, bonuses or other forms of compensation. It is also referred to as
'BASIC MONTHLY EARNINGS'.
Other 'earnings' definitions may be available upon request.
The Lincoln National Life Insurance Company
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11/02/07
LAPORTETX
4435755
The City of La Porte
TOTAL DISABILITY
Total Disability means that, due to an injury or sickness, an employee is unable:
1. During the ELIMINATION PERIOD and the "OWN OCCUPATION" Period, to perform each of the main
duties of his or her regular occupation; and
2. After the "OWN OCCUPATION" Period, to perform each of the main duties of any occupation which his or
her training, education or experience will reasonably allow.
The loss of a professional license, an occupational license or certification, or a driver's license for any reason
does not, by itself, constitute Total Disability.
OWN OCCUPATION PERIOD: 24 Months (Option 1.01)
Under the proposed policy, the "own occupation" period is the period beginning at the end of the elimination
period and ending 24 months later.
MONTHLY TOTAL DISABILITY BENEFIT: After the Elimination Period is satisfied, the L TD policy provides a
monthly benefit for an employee who is totally disabled and under a physician's regular care. This monthly
total disability benefit equals:
the benefit percentage times the insured's predisability income, up to the maximum monthly benefit;
minus other income benefits.
This benefit amount will not be less than the minimum monthly benefit.
The policy also provides a monthly benefit for an employee who is partially disabled, under a physician's
regular care, and sustaining a specified percentage of lost earnings. See the Partial Disability Benefit section
of this proposal.
RECURRENT DISABILITY means a disability which is related to or due to the same cause or causes of a prior
disability for which a monthly benefit was payable. A recurrent disability:
will be treated as part of the prior disability if, after receiving policy benefits, the employee returns to his or
her regular occupation full-time for less than 6 months.
will be treated as a new period of disability if, after receiving policy benefits, an employee returns to his or
her regular occupation full-time for 6 months or more. A new elimination period must be completed before
benefits become payable.
The Lincoln National Life Insurance Company
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LAPORTETX
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The City of La Porte
BACK ON TRACK@PARTIAL DISABILITY BENEFIT - Residual with Progressive Partial (Option 1.01)
An employee may qualify for a partial disability benefit if he or she is partially disabled, is earning at least 20%
of his or her predisability income, and is under the regular care of a physician.
Partially Disabled will be defined as follows:
1. During the Elimination Period and Own Occupation Period, it means that due to an Injury or Sickness
the Insured Employee:
a) is unable to perform one or more of the main duties of his or her occupation, or is unable to
perform such duties full-time; and
b) is engaged in Partial Disability Employment.
2. After the Own Occupation Period, it means that due to an Injury or Sickness the Insured Employee:
a) is unable to perform one or more of the main duties of any occupation which his or her training,
education or experience will reasonably allow; or is unable to perform such duties full-time; and
b) is engaged in Partial Disability Employment.
The Partial Disability Monthly Benefit will cease on the earliest of:
1. the date the employee ceases to be Partially Disabled or dies;
2. the date the Maximum Benefit Period ends;
3. the date the employee earns more than 99% of predisability income, until partial disability benefits have
been paid for 24 months;
4. the date the employee earns more than 85% of predisability income, after partial disability benefits have
been paid for 24 months;
5. the date the employee is able, but chooses not to work full-time:
a) in his or her regular occupation, during the Own Occupation Period;
b) in any occupation, after the Own Occupation Period;
6. the date the employee fails to take a required medical exam, without good cause; or
7. the 60th day after the Company mails a request for additional proof, if not given.
The Lincoln National Life Insurance Company
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LAPORTETX
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The City of La Porte
The Partial Disability Monthly Benefit equals the lesser of A, B or C below:
A) The total disability benefit which would be payable if the employee received no earnings from partial
disability employment: predisability income (times) benefit percentage; minus other income benefits.
B) The employee's predisability income minus other income benefits, as defined in the policy, including
earnings from partial disability employment.
C) The plan's maximum benefit.
Example:
Benefit Percentage:
Maximum Monthly Benefit:
Predisability Income:
Partial Disability Employment Earnings:
Other Income Benefits:
60%
$5,000
$3,000
$1,450
$0
The partial disability benefit payable is the lesser of:
A) 60% of Predisability Income
less Other Income Benefits:
B) Predisability Income less C) Maximum Monthly Benefit:
Partial Disability Employment Earnings
and Other Income Benefits:
$3,000
x 60%
$1,800
$3,000
-$1 .450
$1,550
$5,000
With Back On Track@, income the employee receives from all sources would equal $3,000.
(The L TD Plan's monthly partial disability benefit payment would equal $1,550, the lesser of A, Band C.
Partial disability employment earnings of $1,450 + partial disability benefit of $1,550 = $3,000.)
The partial disability benefit payable will never be more than the total disability monthly benefit or less than the
minimum monthly benefit payable under the policy.
The Lincoln National Life Insurance Company
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LAPORTETX
4435755
The City of La Porte
MAXIMUM BENEFIT PERIOD - Social Security Normal Retirement Age (SSNRA) (Option 1.01)
Benefits for a disabled employee are payable to the employee's Social Security Normal Retirement Age, or the
Maximum Benefit Period shown below (whichever is later):
Aoe at Disabilitv
Less than age 60
60
61
62
63
64
65
66
67
68
69 and over
Maximum Benefit Period
SSNRA
60 months
48 months
42 months
36 months
30 months
24 months
21 months
18 months
15 months
12 months
SOCIAL SECURITY INTEGRATION: Primary and Family Social Security Integration (Option 1.01)
The Group Long Term Disability Benefit will be reduced by:
Social Security disability and unreduced retirement benefits which the employee and spouse are eligible to
receive; and
reduced Social Security benefits which the employee and spouse receive.
BENEFIT REDUCTIONS from OTHER INCOME: L TO benefits will be reduced by disability or retirement
benefits from the following sources.
· Social Security benefits, described above
· Disability benefits for which the employee is eligible under:
Workers' Compensation, occupational disease or similar law
State-mandated temporary income plans
Any compulsory benefit, act or law
Any employer-sponsored group disability, sick leave or formal salary continuance plans
Any public retirement system due to employment with policyholder
· Disability or retirement benefits received under a retirement plan
L TO Benefits are not reduced by:
· Distributions from profit sharing, 401 (k), IRA, TSA or stock ownership plans
· Non qualified deferred compensation plans
. Military disability benefits
Cost-Of-Living Freeze: After the initial reduction for other income benefits, the monthly L TO benefit will not
be further reduced due to any cost-of-living increases payable under any of these other income benefits.
MINIMUM MONTHLY BENEFIT: A disabled employee will not receive less than the minimum monthly benefit
shown in the Benefits & Cost Summary page, regardless of income received from other sources.
WAIVER OF PREMIUM: Premium payments for a disabled employee are waived during any period for which
total or partial disability benefits are payable.
SURVIVOR INCOME BENEFIT: 3 Months (Option 1.01)
If an employee dies after having been disabled for a minimum of 180 consecutive days and the employee was
receiving a monthly benefit under the policy, Lincoln Financial Group will pay the eligible survivor a lump sum
benefit equal to three times the employee's last gross monthly L TO Benefit. If there are no eligible survivors,
payment will be made to the employee's estate.
The Lincoln National Life Insurance Company
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LAPORTETX
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The City of La Porte
REASONABLE ACCOMMODATION BENEFIT enhances the return to work possibilities for an employee by
assisting the employer in complying with the reasonable accommodation section of the Americans with
Disabilities Act (ADA).
The benefit is designed to reimburse the policyholder for any "reasonable accommodations" made to the
workplace to allow an employee currently receiving disability benefits to return to work. Examples of such
accommodations could be more accessible parking spaces or entrances, removal of barriers or hazards from
the worksite, installation of special seating, furniture or equipment for the employee's workstation, or the
provision of special training materials or other services necessary to help the employee return to work.
The benefit reimburses the employer for 50% of the expense incurred for reasonable accommodation services
(as described above) up to a maximum of $5,000 on anyone employee. In order for a policyholder/employer
to be eligible for this benefit, the employer must have an employee:
1. whose disability prevents the performance of his or her regular occupation at the employer's worksite;
2. who has the physical and mental abilities needed to perform his or her own or another occupation at
the employer's worksite; but only with the help of the proposed accommodation; and
3. who is reasonably expected to return to work with the help of the proposed accommodation.
Once an employer is considered eligible, a written proposal is developed with input from the employer,
employee and attending physician, which states the purpose of the proposed accommodation. Upon receipt of
proof that the employer has provided the services for the employee and paid the provider for the services, the
employer will be reimbursed.
OTHER FEATURES:
Our LINKS PROGRAM provides integrated disability management when an insured is covered under both our
STD and L TO plans. LINKS helps to provide a smooth transition from STD to L TO without claim filing, while
helping the employee return to work in the most efficient and effective manner possible. Furthermore, the
LINKS program identifies those claimants with group life insurance coverage with us to determine whether
they're eligible for Life Waiver.
A FICA MATCH SERVICE is included on all new and existing L TO business at no additional charge. With this
service, Lincoln Financial Group matches the policyholder's share of FICA taxes on payments made to
disabled employees; generates monthly reports summarizing what has been paid and withheld; and prepares
W-2 forms at year-end for L TO benefits paid to each disabled employee.
VOCATIONAL REHABILITATION BENEFIT (Refer to the Schedule of Benefits)
With the assistance of vocational rehabilitation programs that focus on job modifications, job placement and
retraining, many disabled employees can return to productive employment. Services such as these are
available to employees unable to perform their regular occupation, and who do not currently have the skills to
return to work at another occupation. These employees must have the physical and mental capability for the
successful completion of a rehabilitation program. In addition, there must be reasonable expectation that these
services will assist the employee in returning to work.
If the employee is eligible for rehabilitation services, a written program will be developed with input from the
employee, physician and employer outlining the goals, responsibilities, services, and all applicable costs of the
program. Rehabilitation efforts only take place if the patient's physician endorses the program.
Consideration for participation in such a program can be proposed by the employee, attending physician or
Lincoln Financial Group.
The Lincoln National Life Insurance Company
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LAPORTETX
4435755
The City of la Porte
PRE-EXISTING CONDITION EXCLUSION: 3/12 (Option 1.01)
The policy will not cover any total or partial disability which:
1. is contributed to, caused by or results from a pre-existing condition; and
2. begins in the first 12 months after the employee's effective date of coverage under the employer's long
term disability plan.
A pre-existing condition is a sickness or injury for which the employee received treatment during the 3 months
prior to his or her effective date. "Treatment" means consultation, care or services provided by a physician,
including diagnostic measures and the prescription and/or taking of drugs and medicines.
If the claimant is confined to a hospital or other appropriate treatment facility at the end of the first 24 months of
receiving total and/or partial disability benefits for one of these conditions, the monthly benefit will continue to
be paid until discharge. The monthly benefit will not be payable beyond the policy's Maximum Benefit Period.
MENTAL & NERVOUS DISORDERS LIMITATION: (Refer to the Schedule of Benefits)
Benefits for disability due to mental illness will be payable for up to the number of months shown in the
Schedule of Benefits. If the claimant is confined to a hospital or other appropriate treatment facility at the end
of the number of months shown in the Schedule of Benefits, the monthly benefit will continue to be paid until
discharge. The monthly benefit will not be payable beyond the policy's maximum benefit period.
SUBSTANCE ABUSE LIMITATION: (Refer to the Schedule of Benefits)
Benefits for disability due to substance abuse will be payable for up to the number of months shown in the
Schedule of Benefits. If the claimant is confined to a hospital or other appropriate treatment facility at the end
of the number of months shown in the Schedule of Benefits, the monthly benefit will continue to be paid until
discharge. The monthly benefit will not be payable beyond the policy's maximum benefit period.
"Substance Abuse" means alcoholism, drug abuse or chemical dependency of any type.
OTHER SPECIFIED IllNESSES LIMITATION: (Refer to the Schedule of Benefits)
Benefits for disability due to other specified illnesses will be payable for up to the number of months shown in
the Schedule of Benefits. This includes disabilities related to environmental sicknesses (e.g., Sick Building
Syndrome), chronic fatigue sicknesses (e.g., Epstein-Barr Syndrome), certain musculoskeletal or connective
tissue injuries / conditions.
EXCLUSIONS: Disabilities which arise from intentionally self-inflicted injuries, war or participation in a riot,
committing a felony, any type of assault or battery or during which the employee is not under the regular care
of a Physician, or is incarcerated, are excluded from coverage.
The Lincoln National Life Insurance Company
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n Lincoln
Financial Group@
LINCOLN FINANCIAL GROUP@ PRIVACY PRACTICES NOTICE
The Lincoln Financial Group companies* are committed to protecting your privacy. To provide the products and services
you expect from a financial services leader, we must collect personal information about you. We do not sell your
personal information to third parties. We share your personal information with third parties as necessary to provide
you with the products or services you request and to administer your business with us. This notice describes our current
privacy practices. While your relationship with us continues, we will update and send our Privacy Practices Notice as
required by law. Even after that relationship ends, we will continue to protect your personal information. You do not
need to take any action because of this notice, but you do have certain rights as described below.
INFORMATION WE MAY COLLECT AND USE
We collect personal information about you to help us identify you as our customer or our former customer; to process your
requests and transactions; to offer investment or insurance services to you; to pay your claim; or to tell you about our
products or services we believe you may want and use. The type of personal information we collect depends on the
products or services you request and may include the following:
. Information from you: You give us information when you submit your application or other forms, such as your
name, address, Social Security number; and your financial, health, and employment history.
. Information about your transactions: We keep information about your transactions with us, such as the
products you buy from us; the amount you paid for those products; your account balances; and your payment
history.
. Information from outside our family of companies: If you are purchasing insurance products, we may collect
information from consumer reporting agencies such as your credit history; credit scores; and driving and
employment records. With your authorization, we may also collect information from other individuals or
businesses, such as medical information.
. Information from your employer: If your employer purchases group products from us, we may obtain
information about you from your employer in order to enroll you in the plan.
HOW WE USE YOUR PERSONAL INFORMATION
We may share your personal information within our companies and with certain service providers. They use this
information to process transactions you have requested; provide customer service; and inform you of products or services
we offer that you may find useful. Our service providers mayor may not be affiliated with us. They include financial
service providers (for example, third party administrators; broker-dealers; insurance agents and brokers, registered
representatives; reinsurers; and other financial services companies with whom we have joint marketing agreements). Our
service providers also include non-financial companies and individuals (for example, consultants; vendors; and companies
that perform marketing services on our behalf). Information obtained from a report prepared by a service provider may be
kept by the service provider and shared with other persons; however, we require our service providers to protect your
personal information and to use or disclose it only for the work they are performing for us, or as permitted by law.
When you apply for one of our products, we may share information about your application with credit bureaus. We also
may provide information to group policy owners, regulatory authorities and law enforcement officials and to others when
we believe in good faith that the law requires disclosure. In the event of a sale of all or part of our businesses, we may
share customer information as part of the sale. We do not sell or share your information with outside marketers who
may want to offer you their own products and services; nor do we share information we receive about you from a
consumer reporting agency. You do not need to take any action for this benefit.
Lincoln Financial Group is the marketing name for Lincoln National Corporation and its affiliates.
OB06714
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SECURITY OF INFORMATION
Keeping your information safe is one of our most important responsibilities. We maintain physical, electronic and
procedural safeguards to protect your information. Our employees are authorized to access your information only when
they need it to provide you with products and services or to maintain your accounts. Employees who have access to your
personal information are required to keep it strictly confidential. We provide training to our employees about the
importance of protecting the privacy of your information.
Questions about your personal information should be directed to:
Lincoln Financial Group
Attn: Enterprise Services Compliance-Privacy, 6C-00
1300 S. Clinton St.
Fort Wayne, IN 46801
*This information applies to the following Lincoln Financial Group companies:
Allied Professional Advisors, Inc. Lincoln Financial Advisors Corporation
First Penn-Pacific Life Insurance Company Lincoln Investment Advisors Corporation
Hampshire Funding Lincoln Life & Annuity Company of New York
Jefferson Pilot Securities Corporation Lincoln Variable Insurance Products Trust
JPSC Insurance Services, Inc. The Lincoln National Life Insurance Company
ADDITIONAL PRIVACY INFORMA TION FOR INSURANCE PRODUCT CUSTOMERS
CONFIDENTIALITY OF MEDICAL INFORMATION
We understand you may be especially concerned about the privacy of your medical information. We do not sell or rent
your medical information to anyone; nor do we share it with others for marketing purposes. We only use and share your
medical information for the purpose of underwriting insurance, administering your policy or claim and other purposes
permitted by law, such as disclosure to regulatory authorities or in response to a legal proceeding.
MAKING SURE MEDICAL INFORMATION IS ACCURATE
We want to make sure we have accurate information about you. Upon written request, we will tell you, within 30 business
days, what personal information we have about you. You may see a copy of your personal information in person or
receive a copy by mail, whichever you prefer. We will share with you who provided the information. In some cases we
may provide your medical information to your personal physician. We will not provide you with information we have
collected in connection with, or in anticipation of, a claim or legal proceeding. If you believe that any of our records are
not correct, you may write and tell us of any changes you believe should be made. We will respond to your request within
30 business days. A copy of your request will be kept on file with your personal information so anyone reviewing your
information in the future will be aware of your request. If we make changes to your records as a result of your request, we
will notify you in writing and we will send the updated information, at your request, to any person who may have received
the information within the prior two years. We will also send the updated information to any insurance support
organization that gave us the information, and any service provider that received the information within the prior 7 years.
Questions about your personal medical information should be directed to:
Lincoln Financial Group
Attn: Medical Underwriting
P.O. Box 21008
Greensboro, NC 27420-1008
The CONFIDENTIALITY OF MEDICAL INFORMATION and MAKING SURE INFORMATION IS ACCURATE sections of
this Notice apply to the following Lincoln Financial Group companies:
First Penn-Pacific Life Insurance Company
Lincoln Life & Annuity Company of New York
The Lincoln National Life Insurance Company
OB06714
Page 2 of2
7/07
City of LaPorte
Current Plan
Advantages Disadvanta es
100% benefits of sick
leave with no maximum
accrual
Liability accumulation on
balance sheets
No gate keeper of
accumulation nor
monitorin of illness
No coverage after sick
leave runs out unless
qualification of social
security or TMRS
disabilit retirement
New Plan
Advantages Disadvanta es
Prevention of catastrophic
disabilit occurrence
Rehabilitation program
with out cost to the cit
Benefits to the plan
include:
Reasonable
Accomodation
Vocational Rehabilitation
Return to work incentive
Pre-existing Condition
Exclusion helps control
o ortunistic enrollment
No accrural
15 days annually
that do not roll over
Use sick leave bank
before STD will start
20
REQUEST FOR CITY COUNCIL AGENDA ITEM
Agenda Date Requested:
November 12. 2007
Appropriation
Requested By: Michael Dolb CPA Interim Finance Direc 0
Source of Funds: Insurance Fund
Department: FINANCE
Account Number: 014-6144-515-6011
Report:
Resolution:
Ordinance:
Amount Budgeted: $3,480,000
Exhibit: #1 Aetna Medical Insurance Health Fund 1500
Exhibit: #2 Aetna Medical Insurance Health Fund 1000
Exhibit: #3 Aetna Medical Insurance Health Fund 500
Exhibit: #4 Aetna Medical Insurance Health Fund 300
Exhibit: #5 Aetna Plan Comparisons
Amount Requested: $3,480,000
Budgeted Item: YES
SUMMARY & RECOMMENDATION
Aetna has been previously approved as our third party health plan administrator. Following
several meetings with HRH (Insurance Consultants) and our Chapter 172 Board, a health fund
plan design was created. In your packets you will see the recommendations of the Chapter 172
Board.
Management met with HRH and developed an alternative to the design. Management is
proposing collapsing the Health Fund 300 plan into the Health Fund 500 plan. We have with us
this evening Mr. Neal Welch ofHRH, who will provide a brief overview of the plan design as
developed by both the Chapter 172 Board and management.
Action Reauired bv Council:
and approve medical options for plan design recommendations for FY 2008 for Aetna
surance as administrator.
tl
Date
YAetnff
City of LaPorte
H~althFund 1500 - Aetna Choice POS II
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
$500
$1,000
Amount contributed to the Fund by the employer
Fund amount reflected is on a per calendar year basis. The fund received may be prorated based on your effective date of
coverage.
Fund Administration
Individual
Family
HealthFund Amount
The fund will pay the full negotiated cost of all covered services until the fund
is exhausted and it will reduce the deductible at the same time. If at any point
in time your fund grows to exceed your deductible, it will continue to pay the
full negotiated cost of the service - even after the deductible is satisfied.
Once the fund is exhausted and the deductible satisfied, the underlying plan
provides coverage. You will pay your portion of coinsurance until the Out-of-
Pocket Maximum has been met. Services covered at 100% with no
deductible will be paid by the plan and not by the Fund.
Cumulative Maximum Rollover
Any remaining HealthFund benefit amount is forfeited (or terminated) when
the employee's Aetna HealthFund coverage terminates.
Any remaining HealthFund benefit amount at end of plan year is rolled over
into next years HealthFund benefit amount.
No maximum rollover applies. All remaining benefits at plan year end
rollover.
No maximum rollover applies. All remaining funds rollover.
Employee Termination from Aetna
HealthFund
Fund Rollover
Annual Maximum Rollover
Fund Maximum (Cap)
No maximum rollover applies. All remaining benefits at plan year end
rollover.
Fund covers same expenses as the medical and if included, pharmacy plan.
Expenses above the Reasonable & Customary limit, any plan limits, and any
non covered expenses are not eligible for reimbursement under the Fund.
Eligible Fund Expenses
Network Providers: Automatic Assignment to provider.
Non-Network Providers: Member may assign payment to provider.
Monthly
No pro-ration. Change to new tier based on new employee status.
Prescription Drug expenses are integrated with the Fund (eligible for
reimbursement from the Fund) but are not integrated with the medical plan
not sub'ect to deductible and are not applied towards Out-of-Pocket Limit.
.mBF&~.-",~=-' "'" . _ 'li.]R.J:l~~{{';~j~..;
$1,500 Individual $3,000 Individual
$4,500 Family $9,000 Family
All covered expenses, excluding prescription drugs, accumulate toward both the preferred and non-preferred Deductible.
Unless otherwise indicated, the Deductible must be met prior to benefits being payable.
Once Family Deductible is met, all family members will be considered as having met their Deductible for the remainder of the
calendar year.
Member Coinsurance 20%
Applies to all expenses unless otherwise stated.
Payment Limit (per calendar year) $4,500 Individual $9,000 Individual
(includes deductible) $13,500 Family $27,000 Family
All covered expenses, excluding prescription drugs, accumulate toward both the preferred and non-preferred Payment Limit.
Certain member cost sharing elements may not apply toward the Payment Limit.
Only those out-of-pocket expenses resulting from the application of coinsurance percentage and deductibles, (except any
penalty amounts) may be used to satisfy the Payment Limit.
Pro-ration for New Employees
Pro-ration for Family Status Change
Prescription Drug Plan
Fu ndPaymentJ Assignment
40%
10/31/2007
Page 1
YA~_,_,.
" ~UlC1
City of LaPorte
HealthFund 1500 - Aetna Choice POS II
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
Once Family Payment Limit is met, all family members will be considered as having met their Payment Limit for the remainder
of the calendar year.
Lifetime Maximum
$2,000,000 per member's lifetime.
Certification Requirements -
Certification for certain types of Non-Preferred care must be obtained to avoid a reduction in benefits paid for that care.
Certification for Hospital Admissions, Treatment Facility Admissions, Convalescent Facility Admissions, Home Health Care,
Hospice Care and Private Duty Nursing is required - excluded amount applied separately to each type of expense is $400 per
occurrence.
Precertification for certain procedures/treatments - excluded amount is $200 er occurrence.
i!PA~;~~'R1II'iIIC~_~!R~D~~"R-~N'fiim.R:alf~ilfj,e:OO\l{A~i",:
Routine Adult Physical Examsl Covered 100%; deductible waived 40%
Immunizations
1 exam per 12 months for members age 18 and older.
Routine Well Child Examsllmmunizations Covered 100%; deductible waived 40%
7 exams in the first 12 months of life, 2 exams in the 13th-24th months of life; 1 exam per 12 months thereafter to age 18.
Routine Gynecological Care Exams Covered 100%; deductible waived 40%
Includes routine tests and related lab fees
Routine Mammograms Covered 100%; deductible waived 40%
For covered females age 35 and over.
Routine Digital Rectal Exam I Prostate- Covered 100%; deductible waived 40%
specific Antigen Test
For covered males aQe 40 and over.
Colorectal Cancer Screening Covered 100%; deductible waived 40%
For all members age 50 and over.
Routine Hearing Exams Covered 100%; deductible waived 40%
1 routine exam er 24 months
,,,.. ';~~Yie:II'E-I~l~1Rl;Q~I.'i.~.~llfI~.Ji1t~'Ne~i5R~WJiI:~~;ai'.,.:",-
Office Visits to Primary Care Physicians 20% 40%
Includes services of an internist, general physician, family practitioner or pediatrician.
Specialist Office Visits 20%
Allergy Testing 20%
40%
40%
Allergy Injections Covered 1 00%; deductible waived 40%
~lt"~,!f,lti1II__~m:~&~!i_&_TIlI~~~i!~5~1I.~S1flltBl
Diagnostic Laboratory and X-ray 20% 40%
If performed as a part of a physician office visit and billed by the physician, expenses are covered subject to the applicable
ph sician's office visit member cost sharin
~lf . G.d'~aI!Bi~lI'~.!"
~~~~__< !!!!M! ..~_...~~~~ ,~
Urgent Care Provider
(benefit availability may vary by location)
Non-Urgent Use of Urgent Care Provider
Emergency Room
Non-Emergency care in an Emergency
Room
Ambulance
-.:~~'IL..t..iaI_Sl11fm~~IJI'lPAE~~R~I~'i'.
20% 40%
Not Covered
20%
Not Covered
Not Covered
Same as preferred care.
Not Covered
20%
40%, or same as preferred care for
emergency transports
10/31/2007
Page 2
T AetnaL
City of LaPorte
HealthFund 1500 - Aetna Choice POS II
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
Inpatient Coverage 20% 40%
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Inpatient Maternity Coverage 20% 40%
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Outpatient Surgery 20% 40%
Outpatient Hospital Expenses (excluding 20% 40%
surgery)
The member cost sharin a lies to all Covered Benefits incurred durin a member's out atient visit
d""ga.LjIillJlS'I-&~D ;'" , .' ';",...~~mpJl~;gJjl\sa~~51ImB"t;mB!QW~~-"
Inpatient 20% 40%
Limited to 45 days per calendar year.
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Outpatient 20% 40%
Limited to 60 visits per calendar year.
The member cost sharing applies to all covered benefits incurred during a member's outpatient visit
Combined Mental Health and Alcohol/Dru maximum for preferred and non-preferred services
l!,_~:.~~<~;':- "~:,.!..":"I"..,:;':'....~,'..":S'G~gW+:~II~18)a;Ek;1if!QlIi{R~1&1tllilf~JiH~1&~,R6f~ffRfi~~1f~~JI.-
Inpatient 20% 40%
Limited to 45 days per calendar year.
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Outpatient 20% 40%
Limited to 60 visits per calendar year.
The member cost sharing applies to all Covered Benefits incurred during a member's outpatient visit
Combined Mental Health and Alcohol/Drug maximum for preferred and non-preferred services
~ ,~_ ~-~: 7:'" -.' "" ;::', ~;.~::I.U'~~ '=Rij1.f..I,llml~~flIlJR~lt~~']~;lt~.i'y~'
Convalescent Facility 20% 40%
Limited to 100 days per calendar year.
The member cost sharing applies to all covered benefits incurring during a member's inpatient stay
Home Health Care 20% 40%
Limited to 120 visits per calendar year. Includes Private Duty Nursing limited to 70 eight hour shifts per calendar year.
Each visit by a nurse or therapist is one visit. Each visit up to 4 hours by a home health care aide is one visit.
Hospice Care - Inpatient 20% 40%
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Hospice Care - Outpatient 20% 40%
The member cost sharing applies to all covered benefits incurred during a member's outpatient visit
Outpatient Short-Term Rehabilitation 20% 40%
Include Speech, Physical, and Occupational Therapy, limited to 60 visits per calendar year.
Spinal Manipulation Therapy 20% 40%
Limited to 20 visits per calendar year
Durable Medical Equipment 20% 40%
Contraceptive drugs and devices not
obtainable at a pharmacy (includes coverage
for contraceptive visits)
Transplants
20%
40%
Oral Surgery Procedures
20% Preferred coverage is provided
at an IOE contracted facility only
20%
40% Non-Preferred coverage is
provided at a Non-IOE facility.
40%
10/31/2007
Page 3
XAetna:
City of LaPorte
HealthFund 1500 - Aetna Choice POS II
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
Infertility Treatment
Diagnosis and treatment of the underlying medical condition.
Voluntary Sterilization 20%
Including tubal ligation and vasectomy.
40%
PJJ.l"M:7=~..~~~~::~?i~~~i~~"_R.~I"~tJlf4i~~~ ,.':-~fffi~lImB~i.latJ.W'" "':;~" ,~
Retail $5 copay for generic drugs, $10 copay 30% of submitted cost after $5 copay
Mail Order
for formulary brand-name drugs, and
$25 co pay for non-formulary brand-
name drugs up to a 30 day supply at
participating pharmacies.
$10 copayfor generic drugs, $25
copay for formulary brand-name
drugs, and $50 copay for non-
formulary brand-name drugs up to a
31-90 day supply from Aetna Rx
Home Delivery@.
for generic drugs, $10 copayfor
formulary brand-name drugs, and $25
copay for non-formulary brand-name
drugs up to a 30 day supply.
Not applicable
Pharmacy Managed Self Injectables (PMSI)
First prescription fill at any retail or mail order drug facility. Subsequent fills must be through Aetna Speciality Pharmacy@)
No Mandatory Generic (NO MG) - Member is responsible to pay the applicable copay only.
Plan Includes: Contraceptive drugs and devices obtainable from a pharmacy, Oral fertility drugs, Diabetic supplies.
Precert for growth hormones included
Pre-existing Conditions Exclusion On effective date: Waived
After effective date: $4,000
This plan imposes a pre-existing condition exclusion, which may be waived in some circumstances and may not be applicable
to you. A pre-existing condition exclusion means that if you have a medical condition before coming to this plan, you may
have to wait a certain period of time before the plan will provide coverage for that condition. This exclusion applies only to
conditions for which medical advice, diagnosis, care, or treatment was recommended or received or for which the individual
took prescribed drugs within 90 days.Generally, this period ends the day before your coverage becomes effective. However, if
you were in a waiting period for coverage, 90 days ends on the day before the waiting period begins. The exclusion period, if
applicable, may last up to 365 days from your first day of coverage, or, if you were in a waiting period, from the first day of your
waiting period. If you had prior creditable coverage within 90 days immediately before the date you enrolled under this plan,
then the pre-existing conditions exclusion in your plan, if any, will be waived.
If you had no prior creditable coverage within the 90 days prior to your enrollment date (either because you had no prior
coverage or because there was more than a 90 day gap from the date your prior coverage terminated to your enrollment date),
we will apply your plan's pre-existing conditions exclusion. In order to reduce or possibly eliminate your exclusion period
based on your creditable coverage, you should provide us a copy of any certificates of creditable coverage you have.Please
contact Aetna Member Services at 1-888-982-3862 if you need assistance in obtaining a certificate of creditable coverage
from your prior carrier or if you have any questions on the information noted above. The pre-existing condition exclusion does
not apply to pregnancy nor to a child who is enrolled in the plan within 31 days of birth, adoption, or placement for adoption.
Note: For late enrollees, coverage will be delayed until the plan's next open enrollment, and the pre-existing condition
exclusion will be applied from the individual's effective date of coverage.
10/31/2007
Page 4
XAetna:
City of LaPorte
HealthFund 1500 - Aetna Choice POS II
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
This plan does not cover all health care expenses and includes exclusions and limitations. Members should refer to their plan
documents to determine which health care services are covered and to what extent. The following is a partial list of services
and supplies that are generally not covered. However, your plan documents may contain exceptions to this list based on state
mandates or the plan design or rider(s) purchased by your employer.
All medical or hospital services not specifically covered in, or which are limited or excluded in the plan documents; Charges
related to any eye surgery mainly to correct refractive errors; Cosmetic surgery, including breast reduction; Custodial care;
Dental care and X-rays; Donor egg retrieval; Experimental and investigational procedures; Hearing aids; Immunizations for
travel or work; Infertility services, including, but not limited to, artificial insemination and advanced reproductive technologies
such as IVF, ZIFT, GIFT, ICSI and other related services, unless specifically listed as covered in your plan documents;
Nonmedically necessary services or supplies; Orthotics; Over-the-counter medications and supplies; Reversal of sterilization;
Services for the treatment of sexual dysfunction or inadequacies, including therapy, supplies, or counseling; and special duty
nursing. Weight control services including surgical procedures, medical treatments, weight control/loss programs, dietary
regimens and supplements, appetite suppressants and other medications; food or food supplements, exercise programs,
exercise or other equipment; and other services and supplies that are primarily intended to control weight or treat obesity,
including Morbid Obesity, or for the purpose of weight reduction, regardless of the existence of comorbid conditions.
This material is for informational purposes only and is neither an offer of coverage nor medical advice. It contains only a
partial, general description of plan benefits or programs and does not constitute a contract. Aetna does not provide health
care services and, therefore, cannot guarantee results or outcomes. Consult the plan documents (Le. Group Insurance
Certificate and/or Group Policy) to determine governing contractual provisions, including procedures, exclusions and limitation
relating to the plan. With the exception of Aetna Rx Home Delivery, all preferred providers and vendors are independent
contractors in private practice and are neither employees nor agents of Aetna or its affiliates. Aetna Rx Home Delivery, LLC,
is a subsidiary of Aetna Inc. The availability of any particular provider cannot be guaranteed, and provider network composition
is subject to change without notice.
Some benefits are subject to limitations or visit maximums. Certain services require precertification, or prior approval of
coverage. Failure to precertify for these services may lead to substantially reduced benefits or denial of coverage. Some of
the benefits requiring precertification may include, but are not limited to, inpatient hospital, inpatient mental health, inpatient
skilled nursing, outpatient surgery, substance abuse (detoxification, inpatient and outpatient rehabilitation). When the
Member's preferred provider is coordinating care, the preferred provider will obtain the precertification. When the member
utilizes a non-preferred provider, Member must obtain the precertification. Precertification requirements may vary. Depending
on the plan selected, new prescription drugs not yet reviewed by our medication review committee are either available under
plans with an open formulary or excluded from coverage unless a medical exception is obtained under plans that use a closed
formulary.
They may also be subject to precertification or step-therapy. Non-prescription drugs and drugs in the Limitations and
Exclusions section of the plan documents (received after open enrollment) are not covered, and medical exceptions are not
available for them. While this information is believed to be accurate as of the print date, it is subject to change.
Plans are provided by Aetna Life Insurance Company.
10/31/2007
Page 5
~hetna:
City of LaPorte
HealthFund 1000 - Aetna Choice POS II
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
$500
$1,000
Amount contributed to the Fund by the employer
Fund amount reflected is on a per calendar year basis. The fund received may be prorated based on your effective date of
coverage.
Fund Administration
HealthFund Amount
The fund will pay the full negotiated cost of all covered services until the fund
is exhausted and it will reduce the deductible at the same time. If at any point
in time your fund grows to exceed your deductible, it will continue to pay the
full negotiated cost of the service - even after the deductible is satisfied.
Once the fund is exhausted and the deductible satisfied, the underlying plan
provides coverage. You will pay your portion of coinsurance until the
Payment Limit has been met. Services covered at 100% with no deductible
will be paid by the plan and not by the Fund.
Cumulative Maximum Rollover
Any remaining HealthFund benefit amount is forfeited (or terminated) when
the employee's Aetna HealthFund coverage terminates.
Any remaining HealthFund benefit amount at end of plan year is rolled over
into next years HealthFund benefit amount.
No maximum rollover applies. All remaining benefits at plan year end
rollover.
No maximum rollover applies. All remaining funds rollover.
Employee Termination from Aetna
HealthFund
Fund Rollover
Annual Maximum Rollover
Eligible Fund Expenses
No maximum rollover applies. All remaining benefits at plan year end
rollover.
Fund covers same expenses as the medical and if included, pharmacy plan.
Expenses above the Reasonable & Customary limit, any plan limits, and any
non covered expenses are not eligible for reimbursement under the Fund.
Fund Maximum (Cap)
Pro-ration for New Employees
Pro-ration for Family Status Change
Prescription Drug Plan
Network Providers: Automatic Assignment to provider.
Non-Network Providers': Member may assign payment to provider.
Monthly
No pro-ration. Change to new tier based on new employee status.
Prescription Drug expenses are integrated with the Fund (eligible for
reimbursement from the Fund) but are not integrated with the medical plan
not sub'ect to deductible and are not ap lied towards Out-of-Pocket Limit.
~~t{;Li'~~.::"'~:', . .. ....:'JjF-,"~:~i.G:it~1Iml['..<.
$1,000 Individual $2,000 Individual
$3,000 Family $6,000 Family
All covered expenses, excluding prescription drugs, accumulate toward both the preferred and non-preferred Deductible.
Unless otherwise indicated, the Deductible must be met prior to benefits being payable.
Once Family Deductible is met, all family members will be considered as having met their Deductible for the remainder of the
calendar year.
Member Coinsurance 20%
Applies to all expenses unless otherwise stated.
Payment Limit (per calendar year) $3,000 Individual $6,000 Individual
(includes deductible) $9,000 Family $18,000 Family
All covered expenses, excluding prescription drugs, accumulate toward both the preferred and non-preferred Payment Limit.
Certain member cost sharing elements may not apply toward the Payment Limit.
Only those out-of-pocket expenses resulting from the application of coinsurance percentage and deductibles, (except any
penalty amounts) may be used to satisfy the Payment Limit.
Fund Payment/Assignment
40%
10/31/2007
Page 1
y t..a+......,n;o
1\ 1 .u.:/U in
City of LaPorte
HealthFund 1000 - Aetna Choice POS II
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
Once Family Payment Limit is met, all family members will be considered as having met their Payment Limit for the remainder
of the calendar year.
Lifetime Maximum
$2,000,000 per member's lifetime.
Certification Requirements -
Certification for certain types of Non-Preferred care must be obtained to avoid a reduction in benefits paid for that care.
Certification for Hospital Admissions, Treatment Facility Admissions, Convalescent Facility Admissions, Home Health Care,
Hospice Care and Private Duty Nursing is required - excluded amount applied separately to each type of expense is $400 per
occurrence.
Precertification for certain rocedures/treatments - excluded amount is $200 er occurrence.
'=' >'.J. '_ . : _.JT,':<:~,:::'7;>,,,,~~'~:_..:,&lil~IR1!l~~cP':,';':- .~~BlI:N~a~i~Rm;-a~~~.1i~~#_
Routine Adult Physical Exams! Covered 100%; deductible waived 40%
Immunizations
1 exam per 12 months for members age 18 and older.
Routine Well Child Examsllmmunizations Covered 100%; deductible waived 40%
7 exams in the first 12 months of life, 2 exams in the 13th-24th months of life; 1 exam per 12 months thereafter to age 18.
Routine Gynecological Care Exams Covered 100%; deductible waived 40%
Includes routine tests and related lab fees
Routine Mammograms Covered 100%; deductible waived 40%
For covered females age 35 and over.
Routine Digital Rectal Exam! Prostate- Covered 100%; deductible waived 40%
specific Antigen Test
For covered males aqe 40 and over.
Colorectal Cancer Screening Covered 100%; deductible waived 40%
For all members age 50 and over.
Routine Hearing Exams Covered 100%; deductible waived 40%
1 routine exam per 24 months
iDDClI....... ::.:;':'!'Jlr''': .'~., ,,",ro'" '~1i~~I!e~~E~~II~wijfl1~~~1~~~lfljjli1t~!~~~~8EfJi,ltR6;l)1~lll:l&~.;"
Office Visits to Primary Care Physician 20% 40%
Includes services of an internist, general physician, family practitioner or pediatrician.
Specialist Office Visits 20% 40%
Allergy Testing
20%
40%
Covered 1 00%; deductible waived 40%
""" '; .~. ~'..=""'.;,,&lE:J~~~~~8.E~'..: ~.:.,]~Hmlelt~~a!E.c.
Diagnostic Laboratory and X-ray 20% 40%
If performed as a part of a physician office visit and billed by the physician, expenses are covered subject to the applicable
h sician's office visit member cost sharin
- : ~-,.iIt)~.": '. ":~~:-""j;;~gEtt~~~~. ~'. ~,",:~"'-DlBIBB:4$J;'-eD'Jm1:{i;, ~.
Urgent Care Provider 20% 40%
(benefit availability may vary by location)
Non-Urgent Use of Urgent Care Provider
Emergency Room
Non-Emergency care in an Emergency
Room
Ambulance
Not Covered
20%
Not Covered
Not Covered
Same as preferred care.
Not Covered
20%
40%, or same as preferred care for
emergency transports
10/31/2007
Page 2
X..-- j. .
'..' r\etnaL
City of LaPorte
HealthFund 1000 - Aetna Choice POS II
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
,.~. J. '.. -:',~~~}I:EC'::~-:~}RaU."::~~!_<. . - ;;~:~::j!!IB.lm.lj~.x.,_i!i."
Inpatient Coverage 20% 40%
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Inpatient Maternity Coverage 20% 40%
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Outpatient Surgery 20% 40%
Outpatient Hospital Expenses (excluding 20% 40%
surgery)
The member cost sharing applies to all Covered Benefits incurred during a member's outpatient visit
,fl_~~e~m~!;a~t(;!$'l!.~.Jp~il&I:'REall1.~tf~lI~tfl'JfNQmBlilE.Rl~:l~i1J~aSi~r~~ril.
Inpatient 20% 40%
Limited to 45 days per calendar year.
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Outpatient 20% 40%
Limited to 60 visits per calendar year.
The member cost sharing applies to all covered benefits incurred during a member's outpatient visit
Combined Mental Health and Alcohol/Dru maximum for preferred and non-preferred services
~,: ,,' .:; -,,:']~j[~l);$:~~"j~~&V~~im;~~JlE '~j!R~.P&~..,;~ii,:,.j~:,QI~J~t?B~~gji;DW~M.;'~:, ~~.:
Inpatient 20% 40%
Limited to 45 days per calendar year.
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Outpatient 20% 40%
Limited to 60 visits per calendar year.
The member cost sharing applies to all Covered Benefits incurred during a member's outpatient visit
Combined Mental Health and Alcohol/Drug maximum for preferred and non-preferred services
~' '.,c:: .:.~:.lIi\~~T ',t' ffi~i~z,," ,,~.. ' w""~>jBifiEla~~~i~I~~f.IlII.~I~lNDl1fEB~81'1-e-Q~";.:a."'I~~ .
Convalescent Facility 20% 40%
Limited to 1 00 days per calendar year.
The member cost sharing applies to all covered benefits incurring during a member's inpatient stay
Home Health Care 20% 40%
Limited to 120 visits per calendar year. Includes Private Duty Nursing limited to 70 eight hour shifts per calendar year.
Each visit by a nurse or therapist is one visit. Each visit up to 4 hours by a home health care aide is one visit.
Hospice Care - Inpatient 20% 40%
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Hospice Care - Outpatient 20% 40%
The member cost sharing applies to all covered benefits incurred during a member's outpatient visit
Outpatient Short-Term Rehabilitation 20% 40%
Include Speech, Physical, and Occupational Therapy, limited to 60 visits per calendar year.
Spinal Manipulation Therapy 20% 40%
Limited to 20 visits per calendar year
Durable Medical Equipment 20% 40%
Contraceptive drugs and devices not
obtainable at a pharmacy (includes coverage
for contraceptive visits)
Transplants
20%
40%
Oral Surgery
20% Preferred coverage is provided
at an IOE contracted facility only
20%
40% Non-Preferred coverage is
provided at a Non-IOE facility.
40%
10/31/2007
Page 3
XAetna:
City of LaPorte
HealthFund 1000 - Aetna Choice POS II
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
Infertility Treatment
20%
Diagnosis and treatment of the undertying medical condition.
Voluntary Sterilization 20%
Including tubal ligation and vasectomy.
40%
~(jJ__~I__~~.K'...I:..lB8ef~j~:m~I___~~"iJj_~~~;Q,~~~-
Retail $5 copayfor generic drugs, $10 copay 30% of submitted cost after $5 copay
for formulary brand-name drugs, and for generic drugs, $10 copay for
$25 co pay for non-formulary brand- formulary brand-name drugs, and $25
name drugs up to a 30 day supply at copay for non-formulary brand-name
participating pharmacies. drugs up to a 30 day supply.
Mail Order $10 copay for generic drugs, $20 Not applicable
copay for formulary brand-name
drugs, and $50 copay for non-
formulary brand-name drugs up to a
31-90 day supply from Aetna Rx
Home Delivery@).
Pharmacy Managed Self Injectables (PMSI)
First prescription fill at any retail or mail order drug facility. Subsequent fills must be through Aetna Speciality Pharmacy@
No Mandatory Generic (NO MG) - Member is responsible to pay the applicable copay only.
Plan Includes: Contraceptive drugs and devices obtainable from a pharmacy, Oral fertility drugs, Diabetic supplies.
Precert for rowth hormones included
Pre-existing Conditions Exclusion On effective date: Waived
After effective date: $4,000
This plan imposes a pre-existing condition exclusion, which may be waived in some circumstances and may not be applicable
to you. A pre-existing condition exclusion means that if you have a medical condition before coming to this plan, you may
have to wait a certain period of time before the plan will provide coverage for that condition. This exclusion applies only to
conditions for which medical advice, diagnosis, care, or treatment was recommended or received or for which the individual
took prescribed drugs within 90 days.Generally, this period ends the day before your coverage becomes effective. However, if
you were in a waiting period for coverage, 90 days ends on the day before the waiting period begins. The exclusion period, if
applicable, may last up to 365 days from your first day of coverage, or, if you were in a waiting period, from the first day of your
waiting period. If you had prior creditable coverage within 90 days immediately before the date you enrolled under this plan,
then the pre-existing conditions exclusion in your plan, if any, will be waived.
If you had no prior creditable coverage within the 90 days prior to your enrollment date (either because you had no prior
coverage or because there was more than a 90 day gap from the date your prior coverage terminated to your enrollment date),
we will apply your plan's pre-existing conditions exclusion. In order to reduce or possibly eliminate your exclusion period
based on your creditable coverage, you should provide us a copy of any certificates of creditable coverage you have.Please
contact Aetna Member Services at 1-888-982-3862 if you need assistance in obtaining a certificate of creditable coverage
from your prior carrier or if you have any questions on the information noted above. The pre-existing condition exclusion does
not apply to pregnancy nor to a child who is enrolled in the plan within 31 days of birth, adoption, or placement for adoption.
Note: For late enrollees, coverage will be delayed until the plan's next open enrollment, and the pre-existing condition
exclusion will be applied from the individual's effective date of coverage.
10/31/2007
Page 4
7 A. - ..:4-........' ,t"li ...' :.~.
" .i.. ~UJ.Cl
City of LaPorte
HealthFund 1000 - Aetna Choice POS II
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
This plan does not cover all health care expenses and includes exclusions and limitations. Members should refer to their plan
documents to determine which health care services are covered and to what extent. The following is a partial list of services
and supplies that are generally not covered. However, your plan documents may contain exceptions to this list based on state
mandates or the plan design or rider(s) purchased by your employer.
All medical or hospital services not specifically covered in, or which are limited or excluded in the plan documents; Charges
related to any eye surgery mainly to correct refractive errors; Cosmetic surgery, including breast reduction; Custodial care;
Dental care and X-rays; Donor egg retrieval; Experimental and investigational procedures; Hearing aids; Immunizations for
travel or work; Infertility services, including, but not limited to, artificial insemination and advanced reproductive technologies
such as IVF, ZIFT, GIFT, ICSt and other related services, unless specifically listed as covered in your plan documents;
Nonmedically necessary services or supplies; Orthotics; Over-the-counter medications and supplies; Reversal of sterilization;
Services for the treatment of sexual dysfunction or inadequacies, including therapy, supplies, or counseling; and special duty
nursing. Weight control services including surgical procedures, medical treatments, weight controllloss programs, dietary
regimens and supplements, appetite suppressants and other medications; food or food supplements, exercise programs,
exercise or other equipment; and other services and supplies that are primarily intended to control weight or treat obesity,
including Morbid Obesity, or for the purpose of weight reduction, regardless of the existence of comorbid conditions.
This material is for informational purposes only and is neither an offer of coverage nor medical advice. It contains only a
partial, general description of plan benefits or programs and does not constitute a contract. Aetna does not provide health
care services and, therefore, cannot guarantee results or outcomes. Consult the plan documents (Le. Group Insurance
Certificate and/or Group Policy) to determine governing contractual provisions, including procedures, exclusions and limitation
relating to the plan. With the exception of Aetna Rx Home Delivery, all preferred providers and vendors are independent
contractors in private practice and are neither employees nor agents of Aetna or its affiliates. Aetna Rx Home Delivery, LLC,
is a subsidiary of Aetna Inc. The availability of any particular provider cannot be guaranteed, and provider network composition
is subject to change without notice.
Some benefits are subject to limitations or visit maximums. Certain services require precertification, or prior approval of
coverage. Failure to precertify for these services may lead to substantially reduced benefits or denial of coverage. Some of
the benefits requiring precertification may include, but are not limited to, inpatient hospital, inpatient mental health, inpatient
skilled nursing, outpatient surgery, substance abuse (detoxification, inpatient and outpatient rehabilitation). When the
Member's preferred provider is coordinating care, the preferred provider will obtain the precertification. When the member
utilizes a non-preferred provider, Member must obtain the precertification. Precertification requirements may vary. Depending
on the plan selected, new prescription drugs not yet reviewed by our medication review committee are either available under
plans with an open formulary or exCluded from coverage unless a medical exception is obtained under plans that use a closed
formulary.
They may also be subject to precertification or step-therapy. Non-prescription drugs and drugs in the Limitations and
Exclusions section of the plan documents (received after open enrollment) are not covered, and medical exceptions are not
available for them. While this information is believed to be accurate as of the print date, it is subject to change.
Plans are provided by Aetna Life Insurance Company.
10/31/2007
Page 5
~........Aetna:...........':._. ,.. ......
.. -' -..- "
'. .,
'., -;'
City of LaPorte
PPO 500 - Aetna Choice POS II
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
Deductible (per calendar year) $500 Individual $1,000 Individual
$1,500 Family $3,000 Family
All covered expenses, excluding prescription drugs, accumulate toward both the preferred and non-preferred Deductible.
Unless otherwise indicated, the Deductible must be met prior to benefits being payable.
Once Family Deductible is met, all family members will be considered as having met their Deductible for the remainder of the
calendar year.
Member Coinsurance 20% 50%
Applies to all expenses unless otherwise stated.
Payment Limit (per calendar year) $3,500 Individual $7,000 Individual
(includes deductible) $10,500 Family $21,000 Family
All covered expenses, excluding prescription drugs, accumulate toward both the preferred and non-preferred Payment Limit.
Certain member cost sharing elements may not apply toward the Payment Limit.
Only those out-of-pocket expenses resulting from the application of coinsurance percentage and deductibles (except any
copays and penalty amounts) may be used to satisfy the Payment Limit.
Once Family Payment Limit is met, all family members will be considered as having met their Payment Limit for the remainder
of the calendar year.
Lifetime Maximum
$2,000,000 per member's lifetime.
Certification Requirements -
Certification for certain types of Non-Preferred care must be obtained to avoid a reduction in benefits paid for that care.
Certification for Hospital Admissions, Treatment Facility Admissions, Convalescent Facility Admissions, Home Health Care,
Hospice Care and Private Duty Nursing is required - excluded amount applied separately to each type of expense is $400 per
occurrence.
Precertification for certain rocedures/treatments - excluded amount is $200 per occurrence.
Routine Adult Physical Exams/ $15 office visit copay; deductible 50%
Immunizations waived
1 exam per 12 months for members age 18 and older.
Routine Well Child Exams/Immunizations $15 office visit copay; deductible 50%
waived
7 exams in the first 12 months of life, 2 exams in the 13th-24th months of life; 1 exam per 12 months thereafter to age 18.
Routine Gynecological Care Exams $30 office visit copay; deductible 50%
waived
Includes routine tests and related lab fees
Routine Mammograms
For covered females age 35 and over.
Routine Digital Rectal Exam / Prostate-
specific Antigen Test
For covered males age 40 and over.
Colorectal Cancer Screening
For all members age 50 and over.
Covered 100%; deductible waived 50%
$15 copay PCP, $30 copay specialist, 50%
deductible waived
$15 copay PCP, $30 copay specialist, 50%
deductible waived
Routine Hearing Exams
1 routine exam per 24 months
$30 co pay, deductible waived
50%
10/31/2007
Page 1
YAetna:
City of LaPorte
PPO 500 - Aetna Choice POS II
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
Office Visits to Primary Care Physician $15 office visit copay; deductible 50%
waived
Includes services of an internist, general physician, family practitioner or pediatrician.
Specialist Office Visits $30 office visit copay; deductible 50%
waived
Allergy Testing & Injections $15 copay PCP, $30 copay specialist, 50%
deductible waived
Diagnostic Laboratory and X-ray 20% 50%
If performed as a part of a physician office visit and billed by the physician, expenses are covered subject to the applicable
h sician's office visit member cost sharin
_~~ '..:---=": . ". "..gll'-IIJlI.lf: .
Urgent Care Provider
(benefit availability may vary by location)
Non-Urgent Use of Urgent Care Provider
Emergency Room
Non-Emergency care in an Emergency
Room
Ambulance
Not Covered
$150 copay; deductible waived
Not Covered
Not Covered
Same as preferred care.
Not Covered
20%
50%, or same as preferred care for
emergency transports
Inpatient Coverage $150 per day copay for the first 5 days 50%
per confinement, then deductible, then
covered 100%
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Inpatient Maternity Coverage $150 per day copay for the first 5 days 50%
per confinement, then deductible, then
covered 100%
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Outpatient Surgery $100 outpatient surgery co pay, then 50%
deductible, then 20%
W% ~%
Inpatient
Limited to 45 days per calendar year.
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Outpatient $30 copay 50%
Limited to 60 visits per calendar year.
The member cost sharing applies to all covered benefits incurred during a member's outpatient visit
Combined Mental Health and Alcohol/Drug maximum for preferred and non-preferred services
10/31/2007
Page 2
XAetna:
City of LaPorte
PPO 500 - Aetna Choice POS II
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
_lm~~BD~~__'~"'\i;!'D;EIiII'.A_
.'.. ..... "' . .'e .!Qo~".", '.'..e '~~..,,:'-A,<<jJ._ .L...... .,. ,... .._." .. ........... . . <'''e. ... ...... ,',. ......_~J.!I"'...~_... . .'..... .....~....._... ~.. "" . . . .
Inpatient $150 per day copay for the first 5 days 50%
per confinement, then deductible, then
covered 1 00%
Limited to 45 days per calendar year.
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Outpatient $30 copay 50%
Limited to 60 visits per calendar year.
The member cost sharing applies to all Covered Benefits incurred during a member's outpatient visit
Combined Mental Health and Alcohol/Drug maximum for preferred and non-preferred services
..' . .. ~Efi~ei:illj.~~&DifJ:RR~I~IE.JI1.mIf.~
W% ~%
Convalescent Facility
Limited to 100 days per calendar year.
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Home Health Care 20% 50%
Limited to 120 visits per calendar year. Includes Private Duty Nursing limited to 70 eight hour shifts per calendar year.
Each visit by a nurse or therapist is one visit. Each visit up to 4 hours by a home health care aide is one visit.
Hospice Care - Inpatient 20% 50%
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Hospice Care - Outpatient 20% 50%
The member cost sharing applies to all covered benefits incurred during a member's outpatient visit
Outpatient Short-Term Rehabilitation 20% 50%
Include Speech, Physical, and Occupational Therapy, limited to 60 visits per calendar year.
Spinal Manipulation Therapy $30 copay 50%
Limited to 20 visits per calendar year
Durable Medical Equipment
20%
50%
Contraceptive drugs and devices not
obtainable at a pharmacy (includes coverage
for contraceptive visits)
Transplants
20% (payable as any other covered
expense)
50% (payable as any other covered
expense)
Oral Surgery Procedures
$150 per day copay for the first 5 days 50%
per confinement, then deductible, then
covered 100%
20% 50%
lIftiJBr~~~1fii.'1~.~f€d6'E'.i'Sif'd1i\iBE~!-~-lil'if~~l'\"~qm.mi.1~''';jl';-''''':::'::"::"~'-r.:""~-';I'l!i~
,;.,...!;I;~~'...e .~; . .. ...... . ~.,.~~.~~J;~~~_~~,,"""'~~lBW~!I!RJ.i!~.t~&R~~tl~~.i!.. ....
Infertility Treatment 20% 50% .. .
Diagnosis and treatment of the underlying medical condition.
Voluntary Sterilization 20%
Including tubal ligation and vasectomy.
50%
10/31/2007
Page 3
Y., ", ." . ~" r'r ...: ............ n.. '",..
~ ~. ~
City of LaPorte
PPO 500 - Aetna Choice POS II
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
Retail
$5 copay for generic drugs, $10 copay 30% of submitted cost after $5 copay
Mail Order
for formulary brand-name drugs, and
$25 copay for non-formulary brand-
name drugs up to a 30 day supply at
participating pharmacies.
$10 copay for generic drugs, $20
copay for formulary brand-name
drugs, and $50 copay for non-
formulary brand-name drugs up to a
31-90 day supply from Aetna Rx
Home Delivery@).
for generic drugs, $10 copay for
formulary brand-name drugs, and $25
copay for non-formulary brand-name
drugs up to a 30 day supply.
Not applicable
Pharmacy Managed Self Injectables (PMSI)
First prescription fill at any retail or mail order drug facility. Subsequent fills must be through Aetna Speciality Pharmacy@)
No Mandatory Generic (NO MG) - Member is responsible to pay the applicable copay only.
Plan Includes: Contraceptive drugs and devices obtainable from a pharmacy, Oral fertility drugs, Diabetic supplies.
Precert for rowth hormones included
Pre-existing Conditions Exclusion On effective date: Waived
After effective date: $4,000
This plan imposes a pre-existing condition exclusion, which may be waived in some circumstances and may not be applicable
to you. A pre-existing condition exclusion means that if you have a medical condition before coming to this plan, you may
have to wait a certain period of time before the plan will provide coverage for that condition. This exclusion applies only to
conditions for which medical advice, diagnosis, care, or treatment was recommended or received or for which the individual
took prescribed drugs within 90 days.Generally, this period ends the day before your coverage becomes effective. However, if
you were in a waiting period for coverage, 90 days ends on the day before the waiting period begins. The exclusion period, if
applicable, may last up to 365 days from your first day of coverage, or, if you were in a waiting period, from the first day of your
waiting period. If you had prior creditable coverage within 90 days immediately before the date you enrolled under this plan,
then the pre-existing conditions exclusion in your plan, if any, will be waived.
If you had no prior creditable coverage within the 90 days prior to your enrollment date (either because you had no prior
coverage or because there was more than a 90 day gap from the date your prior coverage terminated to your enrollment date),
we will apply your plan's pre-existing conditions exclusion. In order to reduce or possibly eliminate your exclusion period
based on your creditable coverage, you should provide us a copy of any certificates of creditable coverage you have. Please
contact Aetna Member Services at 1-888-982-3862 if you need assistance in obtaining a certificate of creditable coverage
from your prior carrier or if you have any questions on the information noted above. The pre-existing condition exclusion does
not apply to pregnancy nor to a child who is enrolled in the plan within 31 days of birth, adoption, or placement for adoption.
Note: For late enrollees, coverage will be delayed until the plan's next open enrollment, and the p're-existing condition
exclusion will be applied from the individual's effective date of coverage.
This plan does not cover all health care expenses and includes exclusions and limitations. Members should refer to their plan
documents to determine which health care services are covered and to what extent. The following is a partial list of services
and supplies that are generally not covered. However, your plan documents may contain exceptions to this list based on state
mandates or the plan design or rider(s) purchased by your employer.
10/31/2007
Page 4
ifAetnff
City of LaPorte
PPO 500 - Aetna Choice POS II
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
All medical or hospital services not specifically covered in, or which are limited or excluded in the plan documents; Charges
related to any eye surgery mainly to correct refractive errors; Cosmetic surgery, including breast reduction; Custodial care;
Dental care and X-rays; Donor egg retrieval; Experimental and investigational procedures; Hearing aids; Immunizations for
travel or work; Infertility services, including, but not limited to, artificial insemination and advanced reproductive technologies
such as IVF, ZIFT, GIFT, ICSI and other related services, unless specifically listed as covered in your plan documents;
Nonmedically necessary services or supplies; Orthotics; Over-the-counter medications and supplies; Reversal of sterilization;
Services for the treatment of sexual dysfunction or inadequacies, including therapy, supplies, or counseling; and special duty
nursing. Weight control services including surgical procedures, medical treatments, weight controllloss programs, dietary
regimens and supplements, appetite suppressants and other medications; food or food supplements, exercise programs,
exercise or other equipment; and other services and supplies that are primarily intended to control weight or treat obesity,
including Morbid Obesity, or for the purpose of weight reduction, regardless of the existence of comorbid conditions.
This material is for informational purposes only and is neither an offer of coverage nor medical advice. It contains only a
partial, general description of plan benefits or programs and does not constitute a contract. Aetna does not provide health
care services and, therefore, cannot guarantee results or outcomes. Consult the plan documents (Le. Group Insurance
Certificate andlor Group Policy) to determine governing contractual provisions, including procedures, exclusions and limitation
relating to the plan. With the exception of Aetna Rx Home Delivery, all preferred providers and vendors are independent
contractors in private practice and are neither employees nor agents of Aetna or its affiliates. Aetna Rx Home Delivery, LLC,
is a subsidiary of Aetna Inc. The availability of any particular provider cannot be guaranteed, and provider network composition
is subject to change without notice.
Some benefits are subject to limitations or visit maximums. Certain services require precertification, or prior approval of
coverage. Failure to precertify for these services may lead to substantially reduced benefits or denial of coverage. Some of
the benefits requiring precertification may include, but are not limited to, inpatient hospital, inpatient mental health, inpatient
skilled nursing, outpatient surgery, substance abuse (detoxification, inpatient and outpatient rehabilitation). When the
Member's preferred provider is coordinating care, the preferred provider will obtain the precertification. When the member
utilizes a non-preferred provider, Member must obtain the precertification. Precertification requirements may vary. Depending
on the plan selected, new prescription drugs not yet reviewed by our medication review committee are either available under
plans with an open formulary or excluded from coverage unless a medical exception is obtained under plans that use a closed
formulary.
They may also be subject to precertification or step-therapy. Non-prescription drugs and drugs in the Limitations and
Exclusions section of the plan documents (received after open enrollment) are not covered, and medical exceptions are not
available for them. While this information is believed to be accurate as of the print date, it is subject to change.
Plans are provided by Aetna Life Insurance Company.
10/31/2007
Page 5
y-...:...Ae...:....... -..ma:.... - .......,...
- . . . . '
. - .. .
- . . .. --
City of LaPorte
PPO 300 - Aetna Choice POS II
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
Deductible (per calendar year) $300 Individual $600 Individual
$900 Family $1,800 Family
All covered expenses, excluding prescription drugs, accumulate toward both the preferred and non-preferred Deductible.
Unless otherwise indicated, the Deductible must be met prior to benefits being payable.
Once Family Deductible is met, all family members will be considered as having met their Deductible for the remainder of the
calendar year.
Member Coinsurance 10% 40%
Applies to all expenses unless otherwise stated.
Payment Limit (per calendar year) $2,800 Individual $5,600 Individual
(includes deductible) $8,400 Family $16,800 Family
All covered expenses, excluding prescription drugs, accumulate toward both the preferred and non-preferred Payment Limit.
Certain member cost sharing elements may not apply toward the Payment Limit.
Only those out-of-pocket expenses resulting from the application of coinsurance percentage and deductibles (except any
copays, and penalty amounts) may be used to satisfy the Payment Limit.
Once Family Payment Limit is met, all family members will be considered as having met their Payment Limit for the remainder
of the calendar year.
Lifetime Maximum
$2,000,000 per member's lifetime.
Certification Requirements -
Certification for certain types of Non-Preferred care must be obtained to avoid a reduction in benefits paid for that care.
Certification for Hospital Admissions, Treatment Facility Admissions, Convalescent Facility Admissions, Home Health Care,
Hospice Care and Private Duty Nursing is required - excluded amount applied separately to each type of expense is $400 per
occurrence.
Precertification for certain procedures/treatments - excluded amount is $200 per occurrence.
~7 __.... -':;'-~;..$BR~III&}~ ,;,:; .'>.;;;J,;]BSljD~lJtiUJ;D~~el.~
Routine Adult Physical Exams/ $10 office visit copay; deductible 40%
Immunizations waived
1 exam per 12 months for members age 18 and older.
Routine Well Child Exams/Immunizations $10 office visit copay; deductible 40%
waived
7 exams in the first 12 months of life, 2 exams in the 13th-24th months of life; 1 exam per 12 months thereafter to age 18.
Routine Gynecological Care Exams $20 office visit copay; deductible 40%
waived
Includes routine tests and related lab fees
Routine Mammograms
For covered females age 35 and over.
Routine Digital Rectal Exam / Prostate-
specific Antigen Test
For covered males age 40 and over.
Colorectal Cancer Screening
For all members age 50 and over.
Covered 100%; deductible waived 40%
$10 copay PCP, $20 copay specialist, 40%
deductible waived
$10 copay PCP, $20 copay specialist, 40%
deductible waived
Routine Hearing Exams
1 routine exam per 24 months
$20 copay, deductible waived
40%
10/31/2007
Page 1
'K~ .Ae..... ....tJla..... .'. ..~.
.,~ ...- '. -.. ! - '.
City of LaPorte
PPO 300 - Aetna Choice POS II
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
Office Visits to Primary Care Physician $10 office visit copay; deductible 40%
waived
Includes services of an internist, general physician, family practitioner or pediatrician.
Specialist Office Visits $20 office visit co pay; deductible 40%
waived
Allergy Testing & Injections $10 copay PCP, $20 copay specialist, 40%
deductible waived
:'" =fE1:t1IDLiPJI<<JTAJ,jlis~1[I~aYfi1:III_f{e~~8~1I~~t~~I~i~II~~.I~>>seRrE:~~asm~~eti:_;; :"" .
Diagnostic Laboratory and X-ray 1 0% 40%
If performed as a part of a physician office visit and billed by the physician, expenses are covered subject to the applicable
ph sician's office visit member cost sharin
;~ . ~GIfI.' '...alilD~~:.. ~.~]Jlll~m~'4f~!'<<fg:.~'jl~~:~,,,,"j~~JiJ~IE~~gRmlG."IBI~.~..."
Urgent Care Provider $20 copay; deductible waived 40%
(benefit availability may vary by location)
Non-Urgent Use of Urgent Care Provider
Emergency Room
Non-Emergency care in an Emergency
Room
Ambulance
Not Covered
$100 copay; deductible waived
Not Covered
Not Covered
Same as preferred care.
Not Covered
10%
40%, or same as preferred care for
emergency transports
$150 copay per day for the first 5 days 40%
per confinement, then deductible, then
covered 100%
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Inpatient Maternity Coverage $150 copay per day for the first 5 days 40%
per confinement, then deductible, then
covered 1 00%
Inpatient Coverage
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Outpatient Surgery $50 outpatient surgery co pay, then 40%
deductible, then 10%
10% 40%
Limited to 45 days per calendar year.
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Outpatient $20 copay 40%
Limited to 60 visits per calendar year.
The member cost sharing applies to all covered benefits incurred during a member's outpatient visit
Combined Mental Health and Alcohol/Drug maximum for preferred and non-preferred services
10/31/2007
Page 2
~Aetnff
City of LaPorte
PPO 300 - Aetna Choice POS II
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
Inpatient
$150 copay per day for the first 5 days 40%
per confinement, then deductible, then
covered 100%
Limited to 45 days per calendar year.
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Outpatient $20 copay 40%
Limited to 60 visits per calendar year.
The member cost sharing applies to all Covered Benefits incurred during a member's outpatient visit
Combined Mental Health and Alcohol/Drug maximum for preferred and non-preferred services
Convalescent Facility 10% 40%
Limited to 100 days per calendar year.
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Home Health Care 10% 40%
Limited to 120 visits per calendar year. Includes Private Duty Nursing limited to 70 eight hour shifts per calendar year.
Each visit by a nurse or therapist is one visit. Each visit up to 4 hours by a home health care aide is one visit.
Hospice Care - Inpatient 10% 40%
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Hospice Care - Outpatient 10% 40%
The member cost sharing applies to all covered benefits incurred during a member's outpatient visit
Outpatient Short-Term Rehabilitation 10% 40%
Include Speech, Physical, and Occupational Therapy, limited to 60 visits per calendar year.
Spinal Manipulation Therapy $20 copay 40%
Limited to 20 visits per calendar year
Durable Medical Equipment 10% 40%
Contraceptive drugs and devices not
obtainable at a pharmacy (includes coverage
for contraceptive visits)
Transplants
10% (payable as any other covered
expense)
40% (payable as any other covered
expense)
$150 copay per day for the first 5 days 40%
per confinement, then deductible, then
covered 100%
Oral Surgery
10%
40%
~ii'~'1~"I"i.'1~_"~0\mD:E('-"'Df"~I:!"'B~~';'~>e~7~~~~1i'1:iIit~'i!tlr""-""""""'-".'T""-"'''''''t1Ja. "-<W.'.n .'...~. "."..ItfII._.."."
rc.. '~~_,,"'gi;".,..,:. ~r!H;l!;!J,\;J~!'ll'i.";."... .... .,"'~~~Wf1/i~~p~hal;i.g;~~ll~~~~~~l.q~.L~'ei~E:iD}~:S! .. . ".
Infertility Treatment 1 0% 40%
Diagnosis and treatment of the underlying medical condition.
Voluntary Sterilization 1 0%
Including tubal ligation and vasectomy.
40%
1 0/31/2007
Page 3
X-Ae." '.' .ma:.-".. '"..
. ,. . ... ' .",'
. I
City of LaPorte
PPO 300 - Aetna Choice POS II
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
Retail
$5 copay for generic drugs, $10 copay 30% of submitted cost after $5 copay
Mail Order
for formulary brand-name drugs, and
$25 copay for non-formulary brand-
name drugs up to a 30 day supply at
participating pharmacies.
$10 copayfor generic drugs, $20
copay for formulary brand-name
drugs, and $50 copay for non-
formulary brand-name drugs up to a
31-90 day supply from Aetna Rx
Home Delivery@.
for generic drugs, $10 copay for
formulary brand-name drugs, and $25
copay for non-formulary brand-name
drugs up to a30 day supply.
Not applicable
Pharmacy Managed Self Injectables (PMSI)
First prescription fill at any retail or mail order drug facility. Subsequent fills must be through Aetna Speciality Pharmacy@
No Mandatory Generic (NO MG) - Member is responsible to pay the applicable copay only.
Plan Includes: Contraceptive drugs and devices obtainable from a pharmacy, Oral fertility drugs, Diabetic supplies.
Precert for rowth hormones included
Pre-existing Conditions Exclusion On effective date: Waived
After effective date: $4,000
This plan imposes a pre-existing condition exclusion, which may be waived in some circumstances and may not be applicable
to you. A pre-existing condition exclusion means that if you have a medical condition before coming to this plan, you may
have to wait a certain period of time before the plan will provide coverage for that condition. This exclusion applies only to
conditions for which medical advice, diagnosis, care, or treatment was recommended or received or for which the individual
took prescribed drugs within 90 days.Generally, this period ends the day before your coverage becomes effective. However, if
you were in a waiting period for coverage, 90 days ends on the day before the waiting period begins. The exclusion period, if
applicable, may last up to 365 days from your first day of coverage, or, if you were in a waiting period, from the first day of your
waiting period. If you had prior creditable coverage within 90 days immediately before the date you enrolled under this plan,
then the pre-existing conditions exclusion in your plan, if any, will be waived.
If you had no prior creditable coverage within the 90 days prior to your enrollment date (either because you had no prior
coverage or because there was more than a 90 day gap from the date your prior coverage terminated to your enrollment date),
we will apply your plan's pre-existing conditions exclusion. In order to reduce or possibly eliminate your exclusion period
based on your creditable coverage, you should provide us a copy of any certificates of creditable coverage you have.Please
contact Aetna Member Services at 1-888-982-3862 if you need assistance in obtaining a certificate of creditable coverage
from your prior carrier or if you have any questions on the information noted above. The pre-existing condition exclusion does
not apply to pregnancy nor to a child who is enrolled in the plan within 31 days of birth, adoption, or placement for adoption.
Note: For late enrollees, coverage will be delayed until the plan's next open enrollment, and the pre-existing condition
exclusion will be applied from the individual's effective date of coverage.
This plan does not cover all health care expenses and includes exclusions and limitations. Members should refer to their plan
documents to determine which health care services are covered and to what extent. The following is a partial list of services
and supplies that are generally not covered. However, your plan documents may contain exceptions to this list based on state
mandates or the plan design or rider(s) purchased by your employer.
All medical or hospital services not specifically covered in, or which are limited or excluded in the plan documents; Charges
related to any eye surgery mainly to correct refractive errors; Cosmetic surgery, including breast reduction; Custodial care;
Dental care and X-rays; Donor egg retrieval; Experimental and investigational procedures; Hearing aids; Immunizations for
travel or work; Infertility services, including, but not limited to, artificial insemination and advanced reproductive technologies
such as IVF, ZIFT, GIFT, ICSI and other related services, unless specifically listed as covered in your plan documents;
10/31/2007
Page 4
, XAetna~
City of LaPorte
PPO 300 - Aetna Choice POS II
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
Nonmedically necessary services or supplies; Orthotics; Over-the-counter medications and supplies; Reversal of sterilization;
Services for the treatment of sexual dysfunction or inadequacies, including therapy, supplies, or counseling; and special duty
nursing. Weight control services including surgical procedures, medical treatments, weight control/loss programs, dietary
regimens and supplements, appetite suppressants and other medications; food or food supplements, exercise programs,
exercise or other equipment; and other services and supplies that are primarily intended to control weight or treat obesity,
including Morbid Obesity, or for the purpose of weight reduction, regardless of the existence of comorbid conditions.
This material is for informational purposes only and is neither an offer of coverage nor medical advice. It contains only a
partial, general description of plan benefits or programs and does not constitute a contract Aetna does not provide health
care services and, therefore, cannot guarantee results or outcomes. Consult the plan documents (Le. Group Insurance
Certificate and/or Group Policy) to determine governing contractual provisions, including procedures, exclusions and limitation
relating to the plan. With the exception of Aetna Rx Home Delivery, all preferred providers and vendors are independent
contractors in private practice and are neither employees nor agents of Aetna or its affiliates. Aetna Rx Home Delivery, LLC,
is a subsidiary of Aetna Inc. The availability of any particular provider cannot be guaranteed, and provider network composition
is subject to change without notice.
Some benefits are subject to limitations or visit maximums. Certain services require precertification, or prior approval of
coverage. Failure to precertify for these services may lead to substantially reduced benefits or denial of coverage. Some of
the benefits requiring precertification may include, but are not limited to, inpatient hospital, inpatient mental health, inpatient
skilled nursing, outpatient surgery, substance abuse (detoxification, inpatient and outpatient rehabilitation). When the
Member's preferred provider is coordinating care, the preferred provider will obtain the precertification. When the member
utilizes a non-preferred provider, Member must obtain the precertification. Precertification requirements may vary. Depending
on the plan selected, new prescription drugs not yet reviewed by our medication review committee are either available under
plans with an open formulary or excluded from coverage unless a medical exception is obtained under plans that use a closed
formulary.
They may also be subject to precertification or step-therapy. Non-prescription drugs and drugs in the Limitations and
Exclusions section of the plan documents (received after open enrollment) are not covered, and medical exceptions are not
available for them. While this information is believed to be accurate as of the print date, it is subject to change.
Plans are provided by Aetna Life Insurance Company.
10/31/2007
Page 5
Description of Service
Health Fund Allowance 'Individual
Health Fund Allowance' Family
Deducllble - Individual
Deducllble - Family
Qui 01 Pockel - Individual
Oul 01 Pockel- Family
Coinsurance
L1lellme Maximum
Physlcan Services
Primary Care OffICe Vlsll
Specially Care Omce Visll
Allergy Injections
Hospital Services
Oul Palienl Hospital
Inpallenl Hospilal
Emergency Room
Wellness Benefits
Rouline Adull Physical Exams
Roullne Mammograms
Rouline Well child Exams
Rouline Hearing Exams
Pharmacy - Retail
Generic' level I
Brand (Formulary) , level II
Non-Formulary I level III
Aetna
HealthFund 1500
In-Network out-or-Networl<
$500 $500
$1,000 $1,000
$1,500 $3,000
$4,500 $9,000
$3,000 $6,000
$9,000 $10,000
00% 60%
$2,000,000 $2,000,000
00% aner deducllble 60% aner deducllble
00% aller deducllble 60% aller deductible
100% deducllble waived 60% aller deducllble
00% aner deducllble 60% aner deducllble
00% aner deducllble 60% aner deducllble
00% aner deduclible 60% aller deducllble
100% deduclible waived 00% aller deducllble
100% deducllble waived 00% aller deduclible
100% deducllble waived 60% aller deducllble
100% deducllble waived 60% aner deducllbla
$5
70% aner copays
$10
70% aller copays
$25
70% aller copays
City of LaPorle
Plan Comparisons
Aetna
HealthFund 1000
Aetna
PPO 500
In-Network Out-of-N.twork
N/A N'A
N/A N/A
$500 $1,000
$1,500 $3,000
$3,000 $6,000
$9,000 $10,000
80% 50%
$2,000,000 $2,000,000
$15 copay 50% aner deduclible
$30 copay 50% aner deducllble
$151 $30 50% aner deducllble
$ I 00 copay then 50% aner deduclible
deducllble and 80%
100% aller deducllble &
$ I 50/day copay 50% aller deducllble
(5 day max)
$150 copay deducllble $ I 50 copay deduclible
wei ed waived
$15 copay 50% aller deducllble
100% deduclible waived 50% aner deducllble
$15 copay 50% aller deduclible
$30 copay 50% aller deduclible
$5 70% aller copays
$10 70% aller copays
$25 70% aner copays
Aetna
PPO 300
City of La Porte
2008 Projected Medical Plan Contributions
City Employee/Retiree Total Annual
Enrolled Contribution Contribution Contribution Plan Re-..enues
Plan 1 - $1500 Deductible
Employee Only 24 $694.79 $14.65 $718.79 204,319
Employee & Spouse 13 $694.79 $105.00 $707.79 124,767
Employee & Children 17 $694.79 $95.24 $711.79 161,166
Employee & Family 24 $694.79 $120.69 $718.79 234,858
Plan 2 - $1000 Deductible
Employee Only 50 $694.79 $22.70 $744.79 430,494
Employee & Spouse 23 $694.79 $130.34 $717.79 227,736
Employee & Children 20 $694.79 $120.07 $714.79 195,566
Employee & Family 35 $694.79 $155.60 $729.79 357,164
Plan 3 - $500 Deductible
Employee Only 26 $694.79 $50.23 $720.79 232,446
Employee & Spouse 19 $694.79 $165.74 $713.79 196,201
Employee & Children 10 $694.79 $155.15 $704.79 101,993
Employee & Family 21 $694.79 $185.32 $715.79 221,788
Plan 4 - $300 Deductible
Employee Only 22 $694.79 $79.14 $716.79 204,318
Employee & Spouse 14 $694.79 $225.79 $708.79 154,657
Employee & Children 4 $694.79 $215.99 $698.79 43,717
Employee & Family 52 $694.79 $239.56 $746.79 583,034
Total Plan Re-..enues 374 $3,118,218 $556,007 $3,253,122 3,674,225
Projected 2008 Plan Costs
$3,491,928
Funding Surplus
$182,296
Projected 2008 Plan Costs
2007 Additional 2008
Projection 10% Inflation Network Discount Projection
Total Claims Paid * 3,298,516 329,852 (624,691 ) 3,003,676
Stop Loss Fee 254,704 315,073
ASO Fee 148,480 173,179
Total Plan Costs $3,701,700 $3,491,928
* Projection based on September 2007 Fund Recap Report from Humana.
City of La Porte
2008 Projected Medical Plan Contributions
City Employee/Retiree Total Annual
Enrolled Contri bution Contribution Contribution Plan Re\enues
Plan 1 - $1500 Deductible
Employee Only 24 $694.79 $14.65 $718.79 204,319
Employee & Spouse 13 $694.79 $105.00 $707.79 124,767
Employee & Children 17 $694.79 $95.24 $711.79 161 , 166
Employee & Family 24 $694.79 $120.69 $718.79 234,858
Plan 2 - $1000 Deductible
Employee Only 50 $694.79 $22.70 $744.79 430,494
Employee & Spouse 23 $694.79 $130.34 $717.79 227,736
Employee & Children 20 $694.79 $120.07 $714.79 195,566
Employee & Family 35 $694.79 $155.60 $729.79 357,164
Plan 3 - $500 Deductible
Employee Only 48 $694.79 $68.31 $742.79 439,546
Employee & Spouse 33 $694.79 $225.41 $727.79 364,399
Employee & Children 14 $694.79 $211.00 $708.79 152,173
Employee & Family 73 $694.79 $252.04 $767.79 829,423
Total Plan Re\enues 374 $3,118,218 $603,393 $3,300,402 3,721,611
Projected 2008 Plan Costs
$3,491,928
Funding Surplus
$229,683
Projected 2008 Plan Costs
2007 Additional 2008
Projection 10% Inflation Network Discount Projection
Total Claims Paid * 3,298,516 329,852 (624,691 ) 3,003,676
Stop Loss Fee 254,704 315,073
ASO Fee 148,480 173,179
Total Plan Costs $3,701,700 $3,491,928
* Projection based on September 2007 Fund Recap Report from Humana.
City of La Porte
Review of 2007 Medical Plan
Through September 30, 2007
PPO 300 Plan PPO 500 Plan CF 1000 Plan CF 1500 Plan Total All Plans
Monthly Monthly Monthly Monthly Monthly
2007 Enrolled Claims Enrolled Claims Enrolled Claims Enrolled Claims Enrolled Claims
Jan 89 $88,193 73 $180,738 137 $43,076 80 $41,518 379 $353,525
Feb 89 $77,376 72 $42,640 141 $66,637 79 $21,005 381 $207,658
Mar 89 $135,533 73 $25,950 142 $79,916 78 ($47,535) 382 $193,864
Apr 90 $138,624 74 $46,988 143 $33,002 78 $37,167 385 $255,781
May 90 $138,405 74 $47,731 142 $106,866 78 $26,896 384 $319,898
June 90 $64,835 75 $36,768 143 $115,212 78 $30,115 386 $246,930
July 90 $65,372 75 $13,765 145 $41,992 78 $34,702 388 $155,831
Aug 89 $121,565 75 $39,258 147 $68,724 78 $49,769 389 $279,316
Sep 89 $92,794 74 $19,267 150 $51,801 76 $18,127 389 $181,989
Awrage Enrolled 89 74 143 78 385
Percentage Enrolled 23.2% 19.2% 37.3% 20.3% 100.0%
Claim Totals - 9 mos. $922,697 $453,105 $607,226 $211,764 $2,194,792
Percentage of Claims 42.0% 20.6% 27.7% 9.6% 100.0%
Current Funding - 9 mos. * $739,295 $564,321 $908,220 $543,833 $2,755,669
Percentage of Funding 26.8% 20.5% 33.0% 19.7% 100.0%
Cost Per Enrollee Per Month $1,146 $681 $471 $301 $634
· OJrrent Funding includes errployee prerrium:; and Oty contributions.
17 /18
A
- .
REQUEST FOR CITY COUNCIL AGENDA ITEM
Appropriation
Agenda Date Requested: No~ember 12. 2007
Requested By: Wayne J. S~
/
Department: Planninl!
Source of Funds:
NA
Account Number:
NA
Amount Budgeted: NA
Report: X Resolution: _Ordinance:__
Exhibits:
SUMMARY
The Flooding and Drainage Committee, at their October 29,2007, meeting directed Staff to bring forward
to Council a list of short term drainage projects for near-term consideration and future funding. This list
contains the projects, in priority, that Staff feels will have a favorable impact on several areas in La Porte.
A power point presentation will be given at the meeting. Cost estimates are preliminary and will be
refined when the projects go into design:
1) Lower Catlett Drive at its termination point along Big Island Slough near Roseberry Drive which would
help residents in Fairmont Park West. In the past Public Works has cut off some of the top bank in
order to lower the ponding elevation impacting the homes at the intersection of Catlett and Roseberry
Drive. However, in order to alleviate the recent flooding, it is required to cut the street in order to further
decrease the ponding elevation. There are two options to the City in this regard. First option is to cut
Catlett at one of the two driveways intersecting it and making this the new high point, at which point the
new concrete would gently slope down and terminate at its present location. This option would not
require the City to replace the two driveways. The second option is to replace the entire length of Catlett
from its intersection with Roseberry. This would allow the terminus of Catlett to be further lowered but
would result in more concrete being poured as well as the replacement of the two existing driveways from
one of the existing joints. The first option would cost roughly $10,000 while the second would cost
$65,000. Planning Department is currently analyzing how much more drop can be obtained from
implementing Option II in order to determine if the benefit warrants the cost.
2) Lower the parking lot accessing the City Park at the end of Willow Creek Drive in Creekmont Section
II. The 100-year event in this area is sheet flowing through the park in order to access City maintained
ditches which ultimately outfalls into Big Island Slough. The existing parking lot is higher than the
finished floor elevations of the homes along Willow Creek and therefore the 100-year event will flood
these homes before it is able to sheet flow through the park. Lowering the parking lot and cutting out
some of the park will minimize this. The cost for this project is approximately $35,000 and includes the
excavation costs associated with the park. Another separate project being suggested by Parks would
improve the conveyance to Big Island Slough.
3) Replace the junction box along Driftwood Drive in order for the storm runoff from Fairmont Park
East to discharge directly into the detention pond along Driftwood, thereby decreasing energy losses and
allowing more water to be taken off Driftwood. In conjunction with this, replace one of the outfall pipes
to B 106-02, a tributary of Big Island Slough, with a larger pipe. The impact to B 106-02 would actually
decrease because of the time it would take for the detention pond to fill versus the present situation of the
storm runoff discharging directly to B 106-02. Engineering division has run the calculations verifying
this assertion. The cost for this project would be approximately $35,000.
4) Upsize the outfall pipe discharging Fleetwood Drive to B106-02, potentially helping residents in
Fairmont Park East. This would decrease energy losses in this drainage system. However, since
Fleetwood Drive is the street intended to sheet flow the storm runoff to its ultimate outfall for this area but
is higher than the streets connecting to it, this project should be considered low priority and may not
impart any immediate benefit until further improvements along Fleetwood are implemented (i.e. lowering
the street). The cost for this project would be approximately $30,000 and would use pipe bursting
technology. More research is necessary.
5) The intersection of Spencer Highway and Valley Brook Dr. appears to be a high point which allows
ponding water trying to drain off of Spencer Highway to sheet flow into the Glen Meadows Subdivision
and adding to the volume of water already draining from the streets of that subdivision into Big Island
Slough. Since the drainage system associated with Spencer Highway is designed to drain from the street
into Big Island Slough, Staff is suggesting to Harris County that an interceptor inlet be added to the
system just West of that intersection and along the North curb line at the foot of the bridge going over Big
Island Slough. This interceptor inlet would allow water to drain off Spencer Highway directly into the
storm sewer and discharge from the box culvert outfall structure as intended. Staff is also coordinating an
addition to the outfall structure at Spencer Highway and Big Island Slough to account for additional
sheet flow for major rain events.
The total estimated costs for these projects range from $110,000 to $165,000 depending on further
analysis and design. A Notice of Interest (NOI) is being forwarded in hopes to secure grant funding from
the latest disaster declaration. This funding may be used as a reimbursement should Council direct Staff
to proceed with design and funding recommendations.
The Planning Department, in coordination with the Public Works, Parks and Police Departments is
researching surrounding city ordinances to determine the best method, practices and enforcement to
control and prevent speeding traffic from flooding homes due to the wakes being created. Results will be
presented to the Committee at their December 3,2007, meeting.
Action Required by Council:
Direct and guide Staff on how to proceed with the analysis, design and funding recommendations for the
s it rm drainage projects reviewed by the Flooding and Drainage Committee.
Council A enda
Ron Bottoms, City Manager
il
Date
"-
B
,-
REQUEST FOR CITY COUNCIL AGENDA ITEM
Agenda Date Requested:
November 12, 2007
Appropriation
Requested By: Michael Dolb CPA Interim Finance Direc 0
Source of Funds:
Department: FINANCE
Account Number:
Report:
Resolution:
Ordinance:
Amount Budgeted:
Exhibits: Salary Survey Proposal
Exhibits:
Exhibit
Amount Requested:
Budgeted Item: YES
SUMMARY & RECOMMENDATION
Council requested city staff to perform a compensation survey for all job position currently
employed by the City of La Porte. We surveyed the cities of Missouri City, Sugarland, Baytown,
Deer Park, Friendswood, and League City for each job position that was comparable to the City
of La Porte.
Action Required bv Council:
filo1
tL
Date
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Projected Long-Range Fund Balance Usage
Original Amended Adopted
FY 06-07 06-07 07 -08 08-09 09-10 10-11 11-12 12-13 13-14 14-15 15-16 16-17 17-18
Total Revenues 28,163,288 30,631,787 30,010,812 33,194,663 34,058,645 34,951,159 35,873,273 36,826,094 37,810,775 39,000,645 40,054,408 41,143,787 42,270,131
Total Expenditures 28,245,299 29,766,192 30,227,712 32,914,438 33,812,707 34,757,232 35,731,974 36,737,564 37,779,378 38,854,944 39,976,426 41,139,521 42,238,869
b. fund balance (82,011) 865,595 (216,900) 280,225 245,938 193,927 141,298 88,530 31,397 145,701 77,982 4,266 31,262
43,000,000
42,000,000
41,000,000
40,000,000
39,000,000
38,000,000
37,000,000
36,000,000
35,000,000
34,000,000
33,000,000
32,000,000
31,000,000
30,000,000
29,000,000
28,000,000
27,000,000
34,058,645
33,194,663
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42,270,131
42,238,869
41,139,521
34,7~,232
33,812,707
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REQUEST FOR CITY COUNCIL AGENDA ITEM
Agenda Date Requested:
November 12. 2007
Aoorooriation
Requested By: Michael Dolb CPA Interim Finance Direc 0
ource of Funds:
Department: FINANCE
Account Number:
Report:
Resolution:
Ordinance:
Amount Budgeted:
Exhibits: Sick Buy Back Proposal
Exhibits: Employee Personnel Policy Changes
Exhibit
Amount Requested:
Budgeted Item: YES
SUMMARY & RECOMMENDATION
During previous meeting with council, staff has outlined a sick buy back program, which reduces
our financial liability. The buy back will take place over time and it applies only to non civil
service employees.
In conjunction with this program we recommend implementing a short-term, long-term disability
insurance program along with personnel policy changes.
. cus sick buy back plan and provide staff with direction.
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Discussion Overview
. Discuss current liability:
- FYE 2005 = $ 3,162,340
- FYE 2006 = $ 3,128,051
- FYE 2007 = $ 3,249,198
. Benefit to the City
. Benefit to Employees
. Participation
. Options
Purpose
To reduce current sick leave liability.
City = $ Saved
Employees = $ in Pocket
Win/Win
Compensated Absences*
(Accrued Separation Pay)
Actual
Actual
Actual
Actual
Actual
Actual
Actual
Actual
Actual
$ 3,249,198
$ 3,128,051
$ 3,162,340
$ 3,051,657
$ 2,947,856
$ 2,743,237
$ 2,677,489
$ 2,451,403
$ 2,495,112
9/30/07
9/30/06
9/30/05
9/30/04
9/30/03
9/30/02
9/30/01
9/30/00
9/30/99
Average Growth per Year = 3.42%
*Includes Civil Service Employees
Compensated Absences
(Non-Civil Service Employees)
. Sick Leave Liability as of Sept 2007 - $1,305,169
- $960,662 in General Fund - Budgeted $168,581
. Accrued Vacation as of Sept 2007 - $732,918
- $489,850 in General Fund
. Total Liability as of Sept 2007 - $2,038,087
2007 Total Liability - $ 2,038,087
(Non-Civil Service)
Growth (assuming 3 %)
Payout Benefits Total
2008 $ 1,740,655 358,574 $ 2,099,230
2009 $ 1,792,875 369,332 $ 2,162,207
2010 $ 1,846,656 380,412 $ 2,227,073
2011 $ 1,902,061 391,825 $ 2,293,885
2012 $ 1,959,123 403,579 $ 2,362,702
Assuming No changes (additions or deletions)
Benefit to City
. Savings now & future years
. Current dollars vs. future dollars
. Reduce Liability (All funds)
. FY 2007 Budget - $198,683
. FY 2007 actual - $167,498 (Includes 2 retirees)
. FY 2006 actual - $231,260 (Includes 5 retirees)
. FY 2005 actual- $207,581 (Includes 8 retirees)
)
Worst Case Scenario
. 55 eligible to retire now (20+ years of service as of 9/30/07)
- 10 more eligible in 2008
. 36 Non-Civil Service
- Payout 480 hours - Approximately $564,759
. Total Payout Exposure - $1,309,472
(Includes all currently vested employees)
}
Benefit to Employees
. Increased take home pay
. Offset rising health insurance costs
. ICMA Catch-Up Option if:
- Employee currently eligible to retire
Or
- Can retire within the next three (3) years
Eligibility
. Option 1 - Vested employees only
(10+ years service)
. Option 2 - All current employees
(Can participate once they reach their 10th year)
· New employees would not be eligible to participate
)
Option 1 - Cash
Currently Vested Employees Only
. 48 hours of sick accrual
. Estimated average cost - $137,292
(Estimated to peak at $145,776 in FY2009)
. Effect on General Fund - Avg. $103,699 annually
($110,822 in FY2009)
Option 2 - Cash
All Employees
. 48 hours of sick accrual
. Estimated average cost - $130,719
(Estimated to peak at $225,925 in FY2017 - All employees
would be participating that year)
. Effect on General Fund - A vg. $101,690 annually
($179,238 in FY2017)
Detail of Cash Options
FY2008
FY2009
FY20 1 0
FY2011
FY2012
FY2013
FY2014
FY2015
FY2016
FY2017
FY2018
FY2019
FY2020
FY2021
FY2022
FY2023
Total
Average
All
IDtployees
145,389
155,628
168,740
178,587
190,265
199,432
201,268
212,006
220,853
225,925
86,245
52,716
28,644
18,495
6,281
1,029
2,091,501
130,719
Only Ves ted
(10+ years)
145,389
145,776
142,783
141,059
139,582
136,826
132,605
132,122
129,423
127,355
1,372,919
~
137,292
Varian~e _
9,852
25,957
37,529
50,683
62,606
68,663
79,884
91,429
98,570
86,245
52,716
28,644
18,495
6,281
1,029
718,582
Average Payout
last 5 years -
$199,270
Actual Payouts of Sick & Vacation Time Upon Termination
10 Year History
Termination
Pay Benefits Total
2007 138,887 28,611 167,498
2006 191,758 39,502 231,260
2005 172,124 35,458 207,581
2004 218,188 44,947 263,134
2003 105,204 21,672 126,876
2002 146,261 30,130 176,391
2001 86,368 17,792 104,160
2000 195,039 40,178 235,217
1999 158,797 32,712 191,509
1998 119,845 24,688 144,533
Total 1,532,470 315,689 1,848,159
Averages 153,247 31,569 184,816
leMA Account
. 48 hours of sick
. Estimated cost - Dependent on number of participants
. Will not effect total cost of buyout (Presented on cash option slides)
. Employee would be required to choose cash Q!. leMA catch up
How long to get liability off books?
. If program effective January 1, 2008
. 48 hours/year
. Maximum accrual is 480 hours
. Maximum time frame - 16 years (If all current employees eligible)
- 10 years (If only currentlv vested employees eligible)
. Liability offbooks by 2024
How long to get liability off books?
Employee
Population
54
22
20
12
16
15
12
15
9
110
Years
of
Service
Maximum
Accrual
Accumulated
(Ifno sick time used)
120.12
240.24
360.36
480.48
600.60
720.72
840.84
960.96
1,081.08
1,201.20
Amount
Eligible for
Buy-Back
120.12
240.24
360.36
480.00
480.00
480.00
480.00
480.00
480.00
480.00
1
2
3
4
5
6
7
8
9
;::i0
Years Until
Eligible to
Buy-Back
9
8
7
6
5
4
3
2
1
o
Number of Years
it will take to
exhaust Buy-
Back Hours
2.50
5.01
7.51
10.00
10.00
10.00
10.00
10.00
10.00
10.00
Maximum
Number of
Years for
Program
11.50
13.01
14.51
16.00 ~
15.00
14.00
13.00
12.00
11.00
10.00
Note: Assumes that the City stops all sick time accruals once buy-back program is
implemmted. Additionally, the scenario assumes that all full-time employees will be allowed
to participate, although full time employees will have to wait until they complete 10 years of
service before they can buy back any hours.
New Maximum Sick Time
Beginning 1/1/08 - Employees will be given 15 days (use it
or lose it)
Those employees with hours above 480 can use them to
integrate into our new program.
NO MORE ACCRUALS ALLOWED
Short-term and Long-term Disability
. LTD - approximately $53,215.88/year vs.
approximately $3.1 million sick leave liability
. STD - would cost City $41 ,561.16/year
. Total == $94,777.04
Survey of Other Cities
Earned Days of Sick
Leave per year
Baytown 15
League City 12
Deer Park 12
Friendswood 12
Missouri City 12
Sugar Land 12
La Porte 15
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Sick Leave -
Non Civil Service Employees:
1. All full-time non civil service employees sick time accruals with unlimited
balances will stop as of 1-1-08. Full-time employees will receive fifteen (15)
paid days per calendar year with no carryover allowances (hereafter to be
referred to as the 15 Day Allowance). New employees hired after January of
each year will receive a prorated amount of 1.25 days for each month they are
employed. (Example - hired in June, the employee will receive the first year
7.5 days)
2. All full-time employees hired prior to 1-1-08 with a sick time balance, will
have the balance put into a sick bank with no further accruals (hereafter to be
referred to as the Sick Bank). All regular sick time used by employees will
only be drawn from the 15 Day Allowance. Sick Leave shall not be used for
unexcused absences.
3. Sick Leave exceeding five (5) work days in any six month period may cause
an employee to be placed on physical report status. Employees under this
status shall be required to submit to their supervisor a medical doctor's
statements of fitness for duty upon returning to work from an illness. Failure
to submit such medical statement may result in disciplinary action. Physical
report status shall remain in effect for six (6) months from the date of the
action.
4. Departments are responsible for reporting sick leave on employee's time
sheets.
Civil Service Employees:
1. All full-time civil service employees shall accrue fifteen (15) days per year.
2. Sick Leave shall not be used for unexcused absences.
3. Sick Leave exceeding five (5) work days in any six month period may cause
an employee to be placed on physical report status. Employees under this
status shall be required to submit to their supervisor a medical doctor's
statements of fitness for duty upon returning to work from an illness. Failure
to submit such medical statement may result in disciplinary action. Physical
report status shall remain in effect for six (6) months from the date of the
action.
4. Departments are responsible for reporting sick leave on employee's time
sheets.
Sick Time Use -
An employee may use sick leave for:
1. The employee's illness or injury that prevents the employee from working.
2. To receive medical care from a physician, dentist, or other health care
provider.
3. In the event of an illness within the employee's immediate family (Sick
Family Time) or for routine health care appointments for the employee's
immediate family that cannot be reasonably scheduled outside of working
hours (Limited to 15 full working days a calendar year).
4. Non Civil Service Employees may use the 15 Day Allowance for either their
illness or their immediate family. The combination of employee and Sick
Family Time may not exceed 15 days per calendar year.
5. Civil Service Employees may use 15 days of their sick accruals each calendar
year for Sick Family Time.
6. Sick leave exceeding 14 days must be in coordination with FMLA Leave.
Non Civil Service Employees: (Only)
Short Term Disability (STD)-
All full-time employees with the City who have used 14 consecutive days of sick leave
for the same illness (either the 15 Day Allowance, or unpaid sick time) will begin the
short term disability plan on the 15th consecutive day of the absence. All employees must
meet the 14 day waiting period before beginning Short Term Disability. The Short Term
Disability Plan will then pay the employee a percentage of their current salary from the
15th through the 90th day of illness.
If an employee does not have adequate sick hours (from the 15 Day Allowance) to
receive full pay for the 14 day waiting period, they will be eligible to use the Sick Bank
(if available). The employee may opt to use vacation time, or their discretionary days,
but any available sick time must be used first. If an employee does not have any
available paid time off, the period will then be unpaid to the employee.
An employee who has met the 14 day waiting period will consent to the Short Term
Disability Plan. An employee who has a balance in their Sick Bank, may use this time to
supplement the difference in the Short Term benefit, and bring the employee to 100% of
their regular wages.
An employee may also elect to use any outstanding vacation or discretionary time prior to
going on Short Term Disability. All available sick time must be usedfirst.
LORI! Term Disability (LTD)
All employees who cannot return to their position on the 91 st day of illness will be placed
on Long Term Disability.
When an employee is placed on Long Term Disability, they will be terminated from the
City of La Porte for Occupational Disability. The employee will be eligible for rehire if
they meet the job requirements for a position within the City. If the employee does return
to another position within the City, the Long Term Disability will be terminated.
Sick Buy Back Program
Non Civil Service Employees: (Only)
A sick buy back program will be in place for all full-time employees who have completed
10 years of service.
For employees who have accrued sick leave and are Non Civil Service, the City will buy
back up to 48 hours per year, not to exceed 480 hours.
For 24 hour employees who have accrued sick leave and are Non Civil Service, the City
will buy back up to 76 hours per year, not to exceed 768 hours.
Employees will receive a separate check in January of each year. All checks will have
appropriate TMRS, and mandatory taxes deducted. If an employee desires to have the
balance (or a portion of the balance) to be contributed to ICMA or their flexible spending
account, it will be the employee's responsibility to contact Accounting prior to receiving
the Sick Buy Back check.
Revised 11-7-07
-
D
,-
REQUEST FOR CITY COUNCIL AGENDA ITEM
Agenda Date Requested:
November 12. 2007
Appropriation
Requested By: Michael Dolb CPA Interim Finance Direc 0
Source of Funds: Insurance Fund
Department: FINANCE
Account Number: 014-6144-515-6011
Report:
Resolution:
Ordinance:
Amount Budgeted: $3,480,000
Exhibit: #1 Aetna Medical Insurance Health Fund 1500
Exhibit: #2 Aetna Medical Insurance Health Fund 1000
Exhibit: #3 Aetna Medical Insurance Health Fund 500
Exhibit: #4 Aetna Medical Insurance Health Fund 300
Exhibit: #5 Aetna Plan Comparisons
Amount Requested: $3,480,000
Budgeted Item: YES
SUMMARY & RECOMMENDATION
Aetna has been previously approved as our third party health plan administrator. Following
several meetings with HRH (Insurance Consultants) and our Chapter 172 Board, a health fund
plan design was created. In your packets you will see the recommendations of the Chapter 172
Board.
Management met with HRH and developed an alternative to the design. Management is
proposing collapsing the Health Fund 300 plan into the Health Fund 500 plan. We have with us
this evening Mr. Neal Welch ofHRH, who will provide a brief overview of the plan design as
developed by both the Chapter 172 Board and management.
Action Required bv Couucil:
and approve medical options for plan design recommendations for FY 2008 for Aetna
surance as administrator.
\~
XAetnff
City of LaPorte
H~althFund 1500 - Aetna Choice POS II
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
$500
$1,000
Amount contributed to the Fund by the employer
Fund amount reflected is on a per calendar year basis. The fund received may be prorated based on your effective date of
coverage.
Fund Administration
l1~althFund Amount
Individual
Family
The fund will pay the full negotiated cost of all covered services until the fund
is exhausted and it will reduce the deductible at the same time. If at any point
in time your fund grows to exceed your deductible, it will continue to pay the
full negotiated cost of the service - even after the deductible is satisfied.
Once the fund is exhausted and the deductible satisfied, the underlying plan
provides coverage. You will pay your portion of coinsurance until the Out-of-
Pocket Maximum has been met. Services covered at 100% with no
deductible will be paid by the plan and not by the Fund.
Employee Termination from Aetna
HealthFund
Fund Rollover
Any remaining HealthFund benefit amount is forfeited (or terminated) when
the employee's Aetna HealthFund coverage terminates.
Any remaining HealthFund benefit amount at end of plan year is rolled over
into next years HealthFund benefit amount.
No maximum rollover applies. All remaining benefits at plan year end
rollover.
No maximum rollover applies. All remaining funds rollover.
Annual Maximum Rollover
Cumulative Maximum Rollover
Fund Maximum (Cap)
.Jible Fund Expenses
No maximum rollover applies. All remaining benefits at plan year end
rollover.
Fund covers same expenses as the medical and if included, pharmacy plan.
Expenses above the Reasonable & Customary limit, any plan limits, and any
non covered expenses are not eligible for reimbursement under the Fund.
Fu nd Payment! Assignment
Network Providers: Automatic Assignment to provider.
Non-Network Providers: Member may assign payment to provider.
Monthly
No pro-ration. Change to new tier based on new employee status.
Prescription Drug expenses are integrated with the Fund (eligible for
reimbursement from the Fund) but are not integrated with the medical plan
not sub'ect to deductible and are not applied towards Out-of-Pocket Limit.
~.IJj~lEgt;~"L: ..11.;:.~".~JIII!:.(.J{eeS~Bi~j~.:'~;B;lIIR" '~:'.:.'lf!II~G;!B;Ug;~~Bm'
Deductible (per calendar year) $1,500 Individual $3,000 Individual
$4,500 Family $9,000 Family
All covered expenses, excluding prescription drugs, accumulate toward both the preferred and non-preferred Deductible.
Unless otherwise indicated, the Deductible must be met prior to benefits being payable.
Once Family Deductible is met, all family members will be considered as having met their Deductible for the remainder of the
calendar year.
Member Coinsurance 20%
Applies to all expenses unless otherwise stated.
Payment Limit (per calendar year) $4,500 Individual $9,000 Individual
(includes deductible) $13,500 Family $27,000 Family
All covered expenses, excluding prescription drugs, accumulate toward both the preferred and non-preferred Payment Limit.
Certain member cost sharing elements may not apply toward the Payment Limit.
-'y those out-of-pocket expenses resulting from the application of coinsurance percentage and deductibles, (except any
I""nalty amounts) may be used to satisfy the Payment Limit.
Pro-ration for New Employees
Pro-ration for Family Status Change
Prescription Drug Plan
40%
1 0/31 /2007
Page 1
X.Aetna:
City of LaPorte
HealthFund 1500 - Aetna Choice POS II
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
( Family Payment Limit is met, all family members will be considered as having met their Payment Limit for the remainder
of me calendar year.
Lifetime Maximum
$2,000,000 per member's lifetime.
Certification Requirements -
Certification for certain types of Non-Preferred care must be obtained to avoid a reduction in benefits paid for that care.
Certification for Hospital Admissions, Treatment Facility Admissions, Convalescent Facility Admissions, Home Health Care,
Hospice Care and Private Duty Nursing is required - excluded amount applied separately to each type of expense is $400 per
occurrence.
Precertification for certain procedures/treatments - excluded amount is $200 per occurrence.
....E-Iflt~flJll'ilr~~llfi~,1BRi;Qt~~~U.~~.J~llW:ilfN.~Jf9il',!EIt;e:RB6U(\~'~E.&I:~
Routine Adult Physical Examsl Covered 100%; deductible waived 40%
Immunizations
1 exam per 12 months for members age 18 and older.
Routine Well Child Examsllmmunizations Covered 100%; deductible waived 40%
7 exams in the first 12 months of life, 2 exams in the 13th-24th months of life; 1 exam per 12 months thereafter to age 18.
Routine Gynecological Care Exams Covered 100%; deductible waived 40%
Includes routine tests and related lab fees
Routine Mammograms
For covered females age 35 and over.
Routine Digital Rectal Exam I Prostate-
specific Antigen Test
For covered males aqe 40 and over.
Colorectal Cancer Screening
_~ all members age 50 and over.
l -,tine Hearing Exams
1 routine exam er 24 months
~B.'..':.]s." 'IJ~'1~dllIs_illtllltl;~t~~~1H?Re.jE~ft~Q1~iFd~l~i~jJ~lf~i.ll:~riD~lwl.lm~R1S6Srtf,{I$iQi11:IBi~~~!I~iIIIJi
Office Visits to Primary Care Physicians 20% 40%
Includes services of an internist, general physician, family practitioner or pediatrician.
Specialist Office Visits 20%
Allergy Testing 20%
Covered 100%; deductible waived
40%
Covered 100%; deductible waived
40%
Covered 100%; deductible waived
40%
Covered 100%; deductible waived
40%
40%
40%
Allergy Injections Covered 100%; deductible waived 40%
~jjt..~~;.e~L.r ~IILf,.JQ;;:R.~~ '~f~~~I~~.<<'I{~:R6.I~flrt!~sa~~..1If~"'iiiL~_1i(~~B~~\ESRE~~~ti~B'Ki~~' ,.
Diagnostic Laboratory and X-ray 20% 40%
If performed as a part of a physician office visit and billed by the physician, expenses are covered subject to the applicable
physician's office visit member cost sharing
l1C''i'iici'!r~J::''Y~1\fi'DFiF~,j(li''~''''li'O~~;i.~~~",.!I'j:DrGC:DncE''''n;r~jf1D'E~~ili~~i~.~~i'n'ii;ltD''''~'~'''~'''~'''''-''~'''''''':!iAo\"'^''-''''~
~!!,y;o~~~'L,,~l.l.;,*!Lt;l{t\~~M~),lijlj\j!~l'X'i',~$~f.:;~;;ir7'l!~:~E.;.;.(~J~!.'~,~~b.~....1ijl;jffi~~'\fJf,;w~i:'~illl!,w'I:!.~'?JR1S~:ti~R~1Jl~!;i'RJ5.lljL .,...... '. '
Urgent Care Provider 20% 40%
(benefit availability may vary by location)
Non-Urgent Use of Urgent Care Provider
Emergency Room
Non-Emergency care in an Emergency
Room
Ambulance
Not Covered
20%
Not Covered
Not Covered
Same as preferred care.
Not Covered
20%
40%, or same as preferred care for
emergency transports
10/31/2007
Page 2
V...~.."'." A..... ~ ,.....-.... .,r.....r~
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City of LaPorte
HealthFund 1500 - Aetna Choice POS II
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
,,,",-
If ')~;: ":ill..III@elf"'-:',,::,: _ :,.::::1~R~"Il;l!~~~Q'-~_":.~"
Inpatient Coverage 20% 40%
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Inpatient Maternity Coverage 20% 40%
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Outpatient Surgery 20% 40%
Outpatient Hospital Expenses (excluding 20% 40%
surgery)
The member cost sharin applies to all Covered Benefits incurred durin a member's out atient visit
'\Mgril.~~jlit41fllB-SZtlft~~iElGg;egB)sQ~!1m_lj.It_~~U;~I~'iDB~ERB:el;til~'ia:.lft.a~i.
Inpatient 20% 40%
Limited to 45 days per calendar year.
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Outpatient 20% 40%
Limited to 60 visits per calendar year.
The member cost sharing applies to all covered benefits incurred during a member's outpatient visit
Combined Mental Health and Alcohol/Dru maximum for preferred and non- referred services
iI._.._.:.;>~~_alJ,~~~...]I'$~~~~'It:~~~t~Il.I_.:-;aiaR:REfi$~1ie:~1;l1~~%~!1~ta'~mlitj~IIfS~11JeRR~l)!411I1all~i1.!~~~t\.~
Inpatient 20% 40%
Limited to 45 days per calendar year.
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Outpatient 20% 40%
Limited to 60 visits per calendar year.
The member cost sharing applies to all Covered Benefits incurred during a member's outpatient visit
-"T1bined Mental Health and Alcohol/Drug maximum for preferred and non-preferred services
~~,.JI~Il'E~III1III..1I!I_ll1,:e~'aI~:tII~:tt~&i.~.~I.i[~~Ik~~~[Ni(j)Jlm~I~J;SR;;I;~~R.~~li!I'41~..
Convalescent Facility 20% 40%
Limited to 100 days per calendar year.
The member cost sharing applies to all covered benefits incurring during a member's inpatient stay
Home Health Care 20% 40%
Limited to 120 visits per calendar year. Includes Private Duty Nursing limited to 70 eight hour shifts per calendar year.
Each visit by a nurse or therapist is one visit. Each visit up to 4 hours by a home health care aide is one visit.
Hospice Care - Inpatient 20% 40%
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Hospice Care - Outpatient 20% 40%
The member cost sharing applies to all covered benefits incurred during a member's outpatient visit
Outpatient Short-Term Rehabilitation 20% 40%
Include Speech, Physical, and Occupational Therapy, limited to 60 visits per calendar year.
Spinal Manipulation Therapy 20% 40%
Limited to 20 visits per calendar year
Durable Medical Equipment 20% 40%
Contraceptive drugs and devices not
obtainable at a pharmacy (includes coverage
for contraceptive visits)
Transplants
20%
40%
Oral Surgery Procedures
20% Preferred coverage is provided
at an IOE contracted facility only
20%
40% Non-Preferred coverage is
provided at a Non-IOE facility.
40%
10/31/2007
Page 3
~Aetnff
City of LaPorte
HealthFund 1500 - Aetna Choice POS II
.-
I.
Infertility Treatment
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
20%
Diagnosis and treatment of the underlying medical condition.
Voluntary Sterilization 20%
Including tubal ligation and vasectomy.
tF~f(~"'~~ii~~~~1ii:tf~ftrfiRJ~l~~~II~~l[Sfr)~fll~~Jllgij~:~"""iJaWa~~NIJ1!R,'R;~~mleQ1~~ilB_.~
Retail $5 copay for generic drugs, $10 copay 30% of submitted cost after $5 copay
for formulary brand-name drugs, and for generic drugs, $10 copay for
$25 copay for non-formulary brand- formulary brand-name drugs, and $25
name drugs up to a 30 day supply at copay for non-formulary brand-name
participating pharmacies. drugs up to a 30 day supply.
Mail Order $10 copay for generic drugs, $25 Not applicable
copay for formulary brand-name
drugs, and $50 copay for non-
formulary brand-name drugs up to a
31-90 day supply from Aetna Rx
Home Delivery@.
40%
Pharmacy Managed Self Injectables (PMSI)
First prescription fill at any retail or mail order drug facility. Subsequent fills must be through Aetna Speciality Pharmacy@
No Mandatory Generic (NO MG) - Member is responsible to pay the applicable copay only.
- , Includes: Contraceptive drugs and devices obtainable from a pharmacy, Oral fertility drugs, Diabetic supplies.
r- I dcert for rowth hormones included
Pre-existing Conditions Exclusion On effective date: Waived
After effective date: $4,000
This plan imposes a pre-existing condition exclusion, which may be waived in some circumstances and may not be applicable
to you. A pre-existing condition exclusion means that if you have a medical condition before coming to this plan, you may
have to wait a certain period of time before the plan will provide coverage for that condition. This exclusion applies only to
conditions for which medical advice, diagnosis, care, or treatment was recommended or received or for which the individual
took prescribed drugs within 90 days.Generally, this period ends the day before your coverage becomes effective. However, if
you were in a waiting period for coverage, 90 days ends on the day before the waiting period begins. The exclusion period, if
applicable, may last up to 365 days from your first day of coverage, or, if you were in a waiting period, from the first day of your
waiting period. If you had prior creditable coverage within 90 days immediately before the date you enrolled under this plan,
then the pre-existing conditions exclusion in your plan, if any, will be waived.
If you had no prior creditable coverage within the 90 days prior to your enrollment date (either because you had no prior
coverage or because there was more than a 90 day gap from the date your prior coverage terminated to your enrollment date),
we will apply your plan's pre-existing conditions exclusion. In order to reduce or possibly eliminate your exclusion period
based on your creditable coverage, you should provide us a copy of any certificates of creditable coverage you have. Please
contact Aetna Member Services at 1-888-982-3862 if you need assistance in obtaining a certificate of creditable coverage
from your prior carrier or if you have any questions on the information noted above. The pre-existing condition exclusion does
not apply to pregnancy nor to a child who is enrolled in the plan within 31 days of birth, adoption, or placement for adoption.
Note: For late enrollees, coverage will be delayed until the plan's next open enrollment, and the pre-existing condition
exclusion will be applied from the individual's effective date of coverage.
-
10/31/2007
Page 4
XAetna:
City of LaPorte
HealthFund 1500 - Aetna Choice POS II
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
This plan does not cover all health care expenses and includes exclusions and limitations. Members should refer to their plan
documents to determine which health care services are covered and to what extent. The following is a partial list of services
and supplies that are generally not covered. However, your plan documents may contain exceptions to this list based on state
mandates or the plan design or rider(s) purchased by your employer.
All medical or hospital services not specifically covered in, or which are limited or excluded in the plan documents; Charges
related to any eye surgery mainly to correct refractive errors; Cosmetic surgery, including breast reduction; Custodial care;
Dental care and X-rays; Donor egg retrieval; Experimental and investigational procedures; Hearing aids; Immunizations for
travel or work; Infertility services, including, but not limited to, artificial insemination and advanced reproductive technologies
such as IVF, ZIFT, GIFT, ICSI and other related services, unless specifically listed as covered in your plan documents;
Nonmedically necessary services or supplies; Orthotics; Over-the-counter medications and supplies; Reversal of sterilization;
Services for the treatment of sexual dysfunction or inadequacies, including therapy, supplies, or counseling; and special duty
nursing. Weight control services including surgical procedures, medical treatments, weight control/loss programs, dietary
regimens and supplements, appetite suppressants and other medications; food or food supplements, exercise programs,
exercise or other equipment; and other services and supplies that are primarily intended to control weight or treat obesity,
including Morbid Obesity, or for the purpose of weight reduction, regardless of the existence of comorbid conditions.
This material is for informational purposes only and is neither an offer of coverage nor medical advice. It contains only a
partial, general description of plan benefits or programs and does not constitute a contract. Aetna does not provide health
care services and, therefore, cannot guarantee results or outcomes. Consult the plan documents (i.e. Group Insurance
Certificate and/or Group Policy) to determine governing contractual provisions, including procedures, exclusions and limitation
relating to the plan. With the exception of Aetna Rx Home Delivery, all preferred providers and vendors are independent
contractors in private practice and are neither employees nor agents of Aetna or its affiliates. Aetna Rx Home Delivery, LLC,
:.-.., subsidiary of Aetna Inc. The availability of any particular provider cannot be guaranteed, and provider network composition
. Jubject to change without notice.
Some benefits are subject to limitations or visit maximums. Certain services require precertification, or prior approval of
coverage. Failure to precertify for these services may lead to substantially reduced benefits or denial of coverage. Some of
the benefits requiring precertification may include, but are not limited to, inpatient hospital, inpatient mental health, inpatient
skilled nursing, outpatient surgery, substance abuse (detoxification, inpatient and outpatient rehabilitation). When the
Member's preferred provider is coordinating care, the preferred provider will obtain the precertification. When the member
utilizes a non-preferred provider, Member must obtain the precertification. Precertification requirements may vary. Depending
on the plan selected, new prescription drugs not yet reviewed by our medication review committee are either available under
plans with an open formulary or excluded from coverage unless a medical exception is obtained under plans that use a closed
formulary.
They may also be subject to precertification or step-therapy. Non-prescription drugs and drugs in the Limitations and
Exclusions section of the plan documents (received after open enrollment) are not covered, and medical exceptions are not
available for them. While this information is believed to be accurate as of the print date, it is subject to change.
Plans are provided by Aetna Life Insurance Company.
10/31/2007
Page 5
~Aetna:
City of LaPorte
HealthFund 1000 - Aetna Choice POS II
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
. . ..thFund Amount
$500
$1,000
Amount contributed to the Fund by the employer
Fund amount reflected is on a per calendar year basis. The fund received may be prorated based on your effective date of
coverage.
Fund Administration
The fund will pay the full negotiated cost of all covered services until the fund
is exhausted and it will reduce the deductible at the same time. If at any point
in time your fund grows to exceed your deductible, it will continue to pay the
full negotiated cost of the service - even after the deductible is satisfied.
Once the fund is exhausted and the deductible satisfied, the underlying plan
provides coverage. You will pay your portion of coinsurance until the
Payment Limit has been met. Services covered at 100% with no deductible
will be paid by the plan and not by the Fund.
Cumulative Maximum Rollover
Any remaining HealthFund benefit amount is forfeited (or terminated) when
the employee's Aetna HealthFund coverage terminates,
Any remaining HealthFund benefit amount at end of plan year is rolled over
into next years HealthFund benefit amount.
No maximum rollover applies, All remaining benefits at plan year end
rollover.
No maximum rollover applies. All remaining funds rollover.
Employee Termination from Aetna
HealthFund
Fund Rollover
Annual Maximum Rollover
Fund Maximum (Cap)
No maximum rollover applies. All remaining benefits at plan year end
rollover.
Fund covers same expenses as the medical and if included, pharmacy plan.
Expenses above the Reasonable & Customary limit, any plan limits, and any
non covered expenses are not eligible for reimbursement under the Fund.
-
r 'ble Fund Expenses
Pro-ration for New Employees
Pro-ration for Family Status Change
Prescription Drug Plan
Network Providers: Automatic Assignment to provider.
Non-Network Providers: Member may assign payment to provider.
Monthly
No pro-ration. Change to new tier based on new employee status.
Prescription Drug expenses are integrated with the Fund (eligible for
reimbursement from the Fund) but are not integrated with the medical plan
not sub'ect to deductible and are not ap lied towards Out-of-Pocket Limit,
'~;~IIB!R~lk:~'"~" .,;I~,:~]g'lllr]~I'..@""'."t.
$1,000 Individual $2,000 Individual
$3,000 Family $6,000 Family
All covered expenses, excluding prescription drugs, accumulate toward both the preferred and non-preferred Deductible.
Unless otherwise indicated, the Deductible must be met prior to benefits being payable,
Once Family Deductible is met, all family members will be considered as having met their Deductible for the remainder of the
calendar year.
Member Coinsurance 20%
Applies to all expenses unless otherwise stated,
Payment Limit (per calendar year) $3,000 Individual $6,000 Individual
(includes deductible) $9,000 Family $18,000 Family
All covered expenses, excluding prescription drugs, accumulate toward both the preferred and non-preferred Payment Limit.
Certain member cost sharing elements may not apply toward the Payment Limit.
()PJv those out-of-pocket expenses resulting from the application of coinsurance percentage and deductibles, (except any
~ llty amounts) may be used to satisfy the Payment Limit.
Fund Payment/Assignment
40%
10/31/2007
Page 1
Xl-\etna:
City of LaPorte
HealthFund 1000 - Aetna Choice pas II
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
e Family Payment Limit is met, all family members will be considered as having met their Payment Limit for the remainder
OT the calendar year.
Lifetime Maximum
$2,000,000 per member's lifetime.
Certification Requirements -
Certification for certain types of Non-Preferred care must be obtained to avoid a reduction in benefits paid for that care.
Certification for Hospital Admissions, Treatment Facility Admissions, Convalescent Facility Admissions, Home Health Care,
Hospice Care and Private Duty Nursing is required - excluded amount applied separately to each type of expense is $400 per
occurrence.
Precertification for certain procedures/treatments - excluded amount is $200 per occurrence.
~JmlleRit(ir"'R'I:~}I"'lI[<<'I't!;.1.I:rt'eI~~R~bkUIB1!~j1lL~~~ltllf{j~IN!aQ~~~Rieari~jBit!;i~~~l~~~~~JI
Routine Adult Physical Exams/ Covered 100%; deductible waived 40%
Immunizations
1 exam per 12 months for members age 18 and older.
Routine Well Child Exams/Immunizations Covered 100%; deductible waived 40%
7 exams in the first 12 months of life, 2 exams in the 13th-24th months of life; 1 exam per 12 months thereafter to age 18.
Routine Gynecological Care Exams Covered 100%; deductible waived 40%
Includes routine tests and related lab fees
Routine Mammograms Covered 100%; deductible waived 40%
For covered females age 35 and over.
Routine Digital Rectal Exam / Prostate- Covered 100%; deductible waived 40%
specific Antigen Test
For covered males aqe 40 and over.
Colorectal Cancer Screening Covered 100%; deductible waived 40%
~ all mem bers age 50 and over.
. ..Jtine Hearing Exams Covered 100%; deductible waived 40%
1 routine exam per 24 months
~JIf~tll'E6&VADg~ll1j~~I.~~~','ii~1P.l{!ftsR'R~[;)~~Jij1f~15,~~~1tlt!~1fj;.I~'IN~;e:It~fif;Rf{E:Q;s~lgEI~t~lil&l
Office Visits to Primary Care Physician 20% 40%
Includes services of an internist, general physician, family practitioner or pediatrician.
Specialist Office Visits 20% 40%
Allergy Testing
20%
40%
Allergy Injections Covered 100%; deductible waived 40%
;fftI.~T$;o:iltr~6:~E-D,jti'DE~'I\\~;[jf~"~~~~RfEE:EB;i5i#)Dt~)A"R'~"E"',1i~~j:~!1I''''~1Th''i''i~i5'E;i:fi;5',B:E)n~ii$~~D:EIlIIIII
[J';'L.~..,,,'!J"_,...A!I ~'!"~,!liI'~, " "'~,~" ,.',j;I~""''''~~'~,,,,_\~!i''_'' ""."""~~,~"./~~l1i,,, "j".~~~~,.,It'~"" ~".,"if~;!>iiI'JY~'iQO,''''''r<~~!'''~"""":,~~''''"'\j,,,,,,,:'':, ~ "
Diagnostic Laboratory and X-ray 20% 40%
If performed as a part of a physician office visit and billed by the physician, expenses are covered subject to the applicable
ph sician's office visit member cost sharin
ll6i'i'ERliiERJ,', ,''''''~D~\A'''4!D;~~~1iiiW~~'il?5fD:E.ReRREa~mtEJ~''!~?RtijIL~~~I7~'t~(ft.!jji[i!.),D~r:f:'01'!fE'6"J~~~~;:'.';l_~.
."-_JJ.!::=.._.;..~-,..",,..._,~..:;,.._,,".~ - ",,~~,~~'~'m._, _m,,,_.._~)Q:,..;-L """-"~~~~~~,~~~;~".,_~__.~".;;,_:._;..,,'_',,-,,o,,,,~,i.,,"_,-'...1-:..,,_,. ~"._,W(.t"'c,~'<:'~'-'"JY.:~<:,l;.;t~-1~t~jiJ~~~~~l1',;. ..,-i['.~tr~~~J'.-;lj:~n:n;:J;~~;~~~~~.: _ '.:'fj~f-i, _'
Urgent Care Provider 20% 40%
(benefit availability may vary by location)
Non-Urgent Use of Urgent Care Provider
Emergency Room
Non-Emergency care in an Emergency
Room
Ambulance
Not Covered
20%
Not Covered
Not Covered
Same as preferred care.
Not Covered
20%
40%, or same as preferred care for
emergency transports
10/31/2007
Page 2
Y"
" Aetnff
City of LaPorte
HealthFund 1000 - Aetna Choice POS II
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
r1> J~9r~iw~~1o'lit1~~;'~i.1l(~::;:~::',',. '~,..~', ..,llIBflf.[.]II!{f.A'B"IIik'; ,.L"~~~!l~I!N~~le-lI!~~_..tij!'if;'
Inpatient Coverage 20% 40%
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Inpatient Maternity Coverage 20% 40%
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Outpatient Surgery 20% 40%
Outpatient Hospital Expenses (excluding 20% 40%
surgery)
The member cost sharing applies to all Covered Benefits incurred during a member's outpatient visit
:(Mfilf;l~e.H;r.lllr~~RW:G~~ifMl~~~lga~.J;;~R.Et.liJ.~iR~fflttiTlk~l.{wi~il.~f<NQlil~FU~{ft]~eRRe;Llil~~f~J~iliq~~l~;K~ff?e..
Inpatient 20% 40%
Limited to 45 days per calendar year.
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Outpatient 20% 40%
Limited to 60 visits per calendar year.
The member cost sharing applies to all covered benefits incurred during a member's outpatient visit
Combined Mental Health and Alcohol/Dru maximum for preferred and non-preferred services
~. . ~m~:Il~llmlf{1J;s~~~R1tj,e'lf.f.~~;.iltl€I~~B:t~l~f~;lR~~t~IiJl1.&1W~&iu~I:~"QNle:f~I&~EgReQI:lII~I[~~~~lfj.)~I~
Inpatient 20% 40%
Limited to 45 days per calendar year.
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Outpatient 20% 40%
Limited to 60 visits per calendar year.
The member cost sharing applies to all Covered Benefits incurred during a member's outpatient visit
- Tlbined Mental Health and Alcohol/Drug maximum for preferred and non-preferred services
~.,jfJ~I'!!~::::0~)tAI~.l~'J~f\I~i~1I~~.~"~.Jk..'BR~11~Ral$~(~~I1m.~~~~j~l~i~t~..ffiIt\~;i~~MN~N;ftg~<!g.1l1;~lJ~~Rs:~ii~1~J1iI~%~I~
Convalescent Facility 20% 40%
Limited to 100 days per calendar year.
The member cost sharing applies to all covered benefits incurring during a member's inpatient stay
Home Health Care 20% 40%
Limited to 120 visits per calendar year. Includes Private Duty Nursing limited to 70 eight hour shifts per calendar year.
Each visit by a nurse or therapist is one visit. Each visit up to 4 hours by a home health care aide is one visit.
Hospice Care - Inpatient 20% 40%
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Hospice Care - Outpatient 20% 40%
The member cost sharing applies to all covered benefits incurred during a member's outpatient visit
Outpatient Short-Term Rehabilitation 20% 40%
Include Speech, Physical, and Occupational Therapy, limited to 60 visits per calendar year.
Spinal Manipulation Therapy 20% 40%
Limited to 20 visits per calendar year
Durable Medical Equipment 20% 40%
Contraceptive drugs and devices not
obtainable at a pharmacy (includes coverage
for contraceptive visits)
Transplants
20%
40%
Oral Surgery
20% Preferred coverage is provided
at an IOE contracted facility only
20%
40% Non-Preferred coverage is
provided at a Non-IOE facility.
40%
10/31/2007
Page 3
~Aetna:
City of LaPorte
HealthFund 1000 - Aetna Choice POS II
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
j.. J...lIJJI~_;";J,;.,~~l~.BIIJt~II.l~'lr',j.' . ~.'~"tlNi_EI~.;~m'S::';1IIBI
Wertility Treatment 20% 40%
Diagnosis and treatment of the underlying medical condition.
Voluntary Sterilization 20%
Including tubal ligation and vasectomy.
40%
~fIlIIMI~.Bj;,';liJI~.li..~.'~~~!Ill'[~~R8~i~'RR:ILfZ~i&~~lIil~lk[4tf.ilj~N~g~ittieillil~I'I~~~_
Retail
$5 copay for generic drugs, $10 copay 30% of submitted cost after $5 copay
Mail Order
for formulary brand-name drugs, and
$25 copay for non-formulary brand-
name drugs up to a 30 day supply at
participating pharmacies.
$10 copayfor generic drugs, $20
copay for formulary brand-name
drugs, and $50 copay for non-
formulary brand-name drugs up to a
31-90 day supply from Aetna Rx
Home Delivery@.
for generic drugs, $10 copay for
formulary brand-name drugs, and $25
copay for non-formulary brand-name
drugs up to a 30 day supply.
Not applicable
Pharmacy Managed Self Injectables (PMSI)
First prescription fill at any retail or mail order drug facility. Subsequent fills must be through Aetna Speciality Pharmacy@)
JjQ Mandatory Generic (NO MG) - Member is responsible to pay the applicable copay only.
1 Includes: Contraceptive drugs and devices obtainable from a pharmacy, Oral fertility drugs, Diabetic supplies.
Precert for growth hormones included
Pre-existing Conditions Exclusion On effective date: Waived
After effective date: $4,000
This plan imposes a pre-existing condition exclusion, which may be waived in some circumstances and may not be applicable
to you. A pre-existing condition exclusion means that if you have a medical condition before coming to this plan, you may
have to wait a certain period of time before the plan will provide coverage for that condition. This exclusion applies only to
conditions for which medical advice, diagnosis, care, or treatment was recommended or received or for which the individual
took prescribed drugs within 90 days. Generally, this period ends the day before your coverage becomes effective. However, if
you were in a waiting period for coverage, 90 days ends on the day before the waiting period begins. The exclusion period, if
applicable, may last up to 365 days from your first day of coverage, or, if you were in a waiting period, from the first day of your
waiting period. If you had prior creditable coverage within 90 days immediately before the date you enrolled under this plan,
then the pre-existing conditions exclusion in your plan, if any, will be waived.
If you had no prior creditable coverage within the 90 days prior to your enrollment date (either because you had no prior
coverage or because there was more than a 90 day gap from the date your prior coverage terminated to your enrollment date),
we will apply your plan's pre-existing conditions exclusion. In order to reduce or possibly eliminate your exclusion period
based on your creditable coverage, you should provide us a copy of any certificates of creditable coverage you have.Please
contact Aetna Mem ber Services at 1-888-982-3862 if you need assistance in obtaining a certificate of creditable coverage
from your prior carrier or if you have any questions on the information noted above. The pre-existing condition exclusion does
not apply to pregnancy nor to a child who is enrolled in the plan within 31 days of birth, adoption, or placement for adoption.
Note: For late enrollees, coverage will be delayed until the plan's next open enrollment, and the pre-existing condition
,~c1usion will be applied from the individual's effective date of coverage.
10/31/2007
Page 4
~\etnff
City of LaPorte
HealthFund 1000 - Aetna Choice POS II
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
.1 IllS plan does not cover all health care expenses and includes exclusions and limitations. Members should refer to their plan
documents to determine which health care services are covered and to what extent. The following is a partial list of services
and supplies that are generally not covered. However, your plan documents may contain exceptions to this list based on state
mandates or the plan design or rider(s) purchased by your employer.
All medical or hospital services not specifically covered in, or which are limited or excluded in the plan documents; Charges
related to any eye surgery mainly to correct refractive errors; Cosmetic surgery, including breast reduction; Custodial care;
Dental care and X-rays; Donor egg retrieval; Experimental and investigational procedures; Hearing aids; Immunizations for
travel or work; Infertility services, including, but not limited to, artificial insemination and advanced reproductive technologies
such as IVF, ZIFT, GIFT, ICSI and other related services, unless specifically listed as covered in your plan documents;
Nonmedically necessary services or supplies; Orthotics; Over-the-counter medications and supplies; Reversal of sterilization;
Services for the treatment of sexual dysfunction or inadequacies, including therapy, supplies, or counseling; and special duty
nursing. Weight control services including surgical procedures, medical treatments, weight control/loss programs, dietary
regimens and supplements, appetite suppressants and other medications; food or food supplements, exercise programs,
exercise or other equipment; and other services and supplies that are primarily intended to control weight or treat obesity,
including Morbid Obesity, or for the purpose of weight reduction, regardless of the existence of comorbid conditions.
This material is for informational purposes only and is neither an offer of coverage nor medical advice. It contains only a
partial, general description of plan benefits or programs and does not constitute a contract. Aetna does not provide health
care services and, therefore, cannot guarantee results or outcomes. Consult the plan documents (i.e. Group Insurance
Certificate and/or Group Policy) to determine governing contractual provisions, including procedures, exclusions and limitation
relating to the plan. With the exception of Aetna Rx Home Delivery, all preferred providers and vendors are independent
contractors in private practice and are neither employees nor agents of Aetna or its affiliates. Aetna Rx Home Delivery, LLC,
~ subsidiary of Aetna Inc. The availability of any particular provider cannot be guaranteed, and provider network composition
,ubject to change without notice.
Some benefits are subject to limitations or visit maximums. Certain services require precertification, or prior approval of
coverage. Failure to precertify for these services may lead to substantially reduced benefits or denial of coverage. Some of
the benefits requiring precertification may include, but are not limited to, inpatient hospital, inpatient mental health, inpatient
skilled nursing, outpatient surgery, substance abuse (detoxification, inpatient and outpatient rehabilitation). When the
Member's preferred provider is coordinating care, the preferred provider will obtain the precertification. When the member
utilizes a non-preferred provider, Member must obtain the precertification. Precertification requirements may vary. Depending
on the plan selected, new prescription drugs not yet reviewed by our medication review committee are either available under
plans with an open formulary or excluded from coverage unless a medical exception is obtained under plans that use a closed
formulary.
They may also be subject to precertification or step-therapy. Non-prescription drugs and drugs in the Limitations and
Exclusions section of the plan documents (received after open enrollment) are not covered, and medical exceptions are not
available for them. While this information is believed to be accurate as of the print date, it is subject to change.
Plans are provided by Aetna Life Insurance Company.
10/31/2007
Page 5
x..........Ae........... .......tna.......... ..' '..
;". . ; :.
. .. ..... . .
City of LaPorte
PPO 500 - Aetna Choice POS II
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
;.....'('i'~.eri.srts_".. '~""" . '.', ",. . .. d,' ^"~~iii'-~~"'ilii!i!li!lliii....-'ii!I"'~'''~E'.'''''''=~~i8fi11!''''~
5r ~~~~~.~~~~H'.~R~fifiB~
DecJuctible (per calendar year) $500 Individual $1,000 Individual
$1,500 Family $3,000 Family
All covered expenses, excluding prescription drugs, accumulate toward both the preferred and non-preferred Deductible.
Unless otherwise indicated, the Deductible must be met prior to benefits being payable.
Once Family Deductible is met, all family members will be considered as having met their Deductible for the remainder of the
calendar year.
Member Coinsurance 20% 50%
Applies to all expenses unless otherwise stated.
Payment Limit (per calendar year) $3,500 Individual $7,000 Individual
(includes deductible) $10,500 Family $21,000 Family
All covered expenses, excluding prescription drugs, accumulate toward both the preferred and non-preferred Payment Limit.
Certain member cost sharing elements may not apply toward the Payment Limit.
Only those out-of-pocket expenses resulting from the application of coinsurance percentage and deductibles (except any
copays and penalty amounts) may be used to satisfy the Payment Limit.
Once Family Payment Limit is met, all family members will be considered as having met their Payment Limit for the remainder
of the calendar year.
Lifetime Maximum
$2,000,000 per member's lifetime.
Certification Requirements-
Certification for certain types of Non-Preferred care must be obtained to avoid a reduction in benefits paid for that care.
Certification for Hospital Admissions, Treatment Facility Admissions, Convalescent Facility Admissions, Home Health Care,
Hospice Care and Private Duty Nursing is required - excluded amount applied separately to each type of expense is $400 per
occurrence.
r~ertification for certain rocedures/treatments - excluded amount is $200 er occurrence.
tt
Routine Adult Physical Examsl $15 office visit copay; deductible 50%
Immunizations waived
1 exam per 12 months for members age 18 and older.
Routine Well Child Examsllmmunizations $15 office visit co pay; deductible 50%
waived
7 exams in the first 12 months of life, 2 exams in the 13th-24th months of life; 1 exam per 12 months thereafter to age 18.
Routine Gynecological Care Exams $30 office visit copay; deductible 50%
waived
Includes routine tests and related lab fees
Routine Mammograms
For covered females age 35 and over.
Routine Digital Rectal Exam 1 Prostate-
specific Antigen Test
For covered males age 40 and over.
Colorectal Cancer Screening
For all members age 50 and over.
Covered 100%; deductible waived 50%
$15 copay PCP, $30 copay specialist, 50%
deductible waived
$15 copay PCP, $30 copay specialist, 50%
deductible waived
Routine Hearing Exams
1 routine exam per 24 months
$30 co pay, deductible waived
50%
10/31/2007
Page 1
YAetna:
City of LaPorte
PPO 500 - Aetna Choice POS "
r
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
Office Visits to Primary Care Physician $15 office visit copay; deductible 50%
waived
Includes services of an internist, general physician, family practitioner or pediatrician.
Specialist Office Visits $30 office visit copay; deductible 50%
waived
Allergy Testing & Injections $15 copay PCP, $30 copay specialist, 50%
deductible waived
~tJBI.J1'i:1J1Ii.(liI~DI;;~~~l~~.8rmmBlIli~~!'.,1IJII'.~E.ft~[{I~~.I~;.K~IIII
Diagnostic Laboratory and X-ray 20% 50%
If performed as a part of a physician office visit and billed by the physician, expenses are covered subject to the applicable
h sician's office visit member cost sharin
Urgent Care Provider
(benefit availability may vary by location)
Non-Urgent Use of Urgent Care Provider
Emergency Room
Non-Emergency care in an Emergency
Room
Ambulance
$20 co pay; deductible waived
50%
Not Covered
$150 co pay; deductible waived
Not Covered
Not Covered
Same as preferred care.
Not Covered
20%
50%, or same as preferred care for
emergency transports
Inpatient Coverage $150 per day copay for the first 5 days 50%
per confinement, then deductible, then
covered 100%
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Inpatient Maternity Coverage $150 per day copay for the first 5 days 50%
per confinement, then deductible, then
covered 100%
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Outpatient Surgery $100 outpatient surgery copay, then 50%
deductible, then 20%
w% w%
Limited to 45 days per calendar year.
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Outpatient $30 copay 50%
Limited to 60 visits per calendar year.
The member cost sharing applies to all covered benefits incurred during a member's outpatient visit
Combined Mental Health and Alcohol/Drug maximum for preferred and non-preferred services
10/31/2007
Page 2
'KAetna:
City of LaPorte
PPO 500 - Aetna Choice POS II
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
[i{..1JBi!"'1[QlfIIllIlI~1t_"I.__rml~~..IQ~G.lI__
Inpatient $150 per day copay for the first 5 days 50%
per confinement, then deductible, then
covered 100%
Limited to 45 days per calendar year.
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Outpatient $30 copay 50%
Limited to 60 visits per calendar year.
The member cost sharing applies to all Covered Benefits incurred during a member's outpatient visit
Combined Mental Health and Alcohol/Drug maximum for preferred and non-preferred services
ImIlIIIe.w4lt__lP~Ee;mI~S--I.;lB;~fll!ll_at~UjjmRR~I~tl8~;r~~1Je'ilrl!1I8
Convalescent Facility 20% 50%
Limited to 100 days per calendar year.
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Home Health Care 20% 50%
Limited to 120 visits per calendar year. Includes Private Duty Nursing limited to 70 eight hour shifts per calendar year.
Each visit by a nurse or therapist is one visit. Each visit up to 4 hours by a home health care aide is one visit.
Hospice Care - Inpatient 20% 50%
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Hospice Care - Outpatient 20% 50%
The member cost sharing applies to all covered benefits incurred during a member's outpatient visit
Outpatient Short-Term Rehabilitation 20% 50%
Include Speech, Physical, and Occupational Therapy, limited to 60 visits per calendar year.
Spinal Manipulation Therapy $30 copay 50%
~ited to 20 visits per calendar year
.rable Medical Equipment 20% 50%
Contraceptive drugs and devices not
obtainable at a pharmacy (includes coverage
for contraceptive visits)
Transplants
20% (payable as any other covered
expense)
50% (payable as any other covered
expense)
Oral Surgery Procedures
$150 per day copay for the first 5 days 50%
per confinement, then deductible, then
covered 100%
20% 50%
f~M!j.f>JmI~_:tmF.s&R,:;fi~~gIaTIf~VAV:i'~fJ~a~FlI:~IB~-m!~iRij,.'.1III
Infertility Treatment 20% 50%
Diagnosis and treatment of the underlying medical condition.
Voluntary Sterilization 20%
Including tubal ligation and vasectomy.
50%
10/31/2007
Page 3
X.Aetna:
City of LaPorte
PPO 500 - Aetna Choice POS II
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
r-1.'.~:lI_.ill.1IIIR_."JIIi'I.,p_i_1IlIRI
Retail $5 copay for generic drugs, $10 copay 30% of submitted cost after $5 copay
for formulary brand-name drugs, and for generic drugs, $10 copay for
$25 copay for non-formulary brand- formulary brand-name drugs, and $25
name drugs up to a 30 day supply at copay for non-formulary brand-name
participating pharmacies. drugs up to a 30 day supply.
Mail Order $10 copayfor generic drugs, $20 Not applicable
copay for formulary brand-name
drugs, and $50 copay for non-
formulary brand-name drugs up to a
31-90 day supply from Aetna Rx
Home Delivery@.
Pharmacy Managed Self Injectables (PM 51)
First prescription fill at any retail or mail order drug facility. Subsequent fills must be through Aetna Speciality Pharmacy@)
No Mandatory Generic (NO MG) - Member is responsible to pay the applicable copay only.
Plan Includes: Contraceptive drugs and devices obtainable from a pharmacy, Oral fertility drugs, Diabetic supplies.
Precert for growth hormones included
Pre-existing Conditions Exclusion On effective date: Waived
After effective date: $4,000
This plan imposes a pre-existing condition exclusion, which may be waived in some circumstances and may not be applicable
to you. A pre-existing condition exclusion means that if you have a medical condition before coming to this plan, you may
have to wait a certain period of time before the plan will provide coverage for that condition. This exclusion applies only to
~ditions for which medical advice, diagnosis, care, or treatment was recommended or received or for which the individual
^ prescribed drugs within 90 days.Generally, this period ends the day before your coverage becomes effective. However, if
you were in a waiting period for coverage, 90 days ends on the day before the waiting period begins. The exclusion period, if
applicable, may last up to 365 days from your first day of coverage, or, if you were in a waiting period, from the first day of your
waiting period. If you had prior creditable coverage within 90 days immediately before the date you enrolled under this plan,
then the pre-existing conditions exclusion in your plan, if any, will be waived.
If you had no prior creditable coverage within the 90 days prior to your enrollment date (either because you had no prior
coverage or because there was more than a 90 day gap from the date your prior coverage terminated to your enrollment date),
we will apply your plan's pre-existing conditions exclusion. In order to reduce or possibly eliminate your exclusion period
based on your creditable coverage, you should provide us a copy of any certificates of creditable coverage you have.Please
contact Aetna Member Services at 1-888-982-3862 if you need assistance in obtaining a certificate of creditable coverage
from your prior carrier or if you have any questions on the information noted above. The pre-existing condition exclusion does
not apply to pregnancy nor to a child who is enrolled in the plan within 31 days of birth, adoption, or placement for adoption.
Note: For late enrollees, coverage will be delayed until the plan's next open enrollment, and the pre-existing condition
exclusion will be applied from the individual's effective date of coverage.
This plan does not cover all health care expenses and includes exclusions and limitations. Members should refer to their plan
documents to determine which health care services are covered and to what extent. The following is a partial list of services
and supplies that are generally not covered. However, your plan documents may contain exceptions to this list based on state
mandates or the plan design or rider(s) purchased by your employer.
10/31/2007
Page 4
if Aetnao
City of LaPorte
PPO 500 - Aetna Choice POS II
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
ledical or hospital services not specifically covered in, or which are limited or excluded in the plan documents; Charges
related to any eye surgery mainly to correct refractive errors; Cosmetic surgery, including breast reduction; Custodial care;
Dental care and X-rays; Donor egg retrieval; Experimental and investigational procedures; Hearing aids; Immunizations for
travel or work; Infertility services, including, but not limited to, artificial insemination and advanced reproductive technologies
such as IVF, ZIFT, GIFT, ICSI and other related services, unless specifically listed as covered in your plan documents;
Nonmedically necessary services or supplies; Orthotics; Over-the-counter medications and supplies; Reversal of sterilization;
Services for the treatment of sexual dysfunction or inadequacies, including therapy, supplies, or counseling; and special duty
nursing. Weight control services including surgical procedures, medical treatments, weight control/loss programs, dietary
regimens and supplements, appetite suppressants and other medications; food or food supplements, exercise programs,
exercise or other equipment; and other services and supplies that are primarily intended to control weight or treat obesity,
including Morbid Obesity, or for the purpose of weight reduction, regardless of the existence of comorbid conditions.
This material is for informational purposes only and is neither an offer of coverage nor medical advice. It contains only a
partial, general description of plan benefits or programs and does not constitute a contract. Aetna does not provide health
care services and, therefore, cannot guarantee results or outcomes. Consult the plan documents (i.e. Group Insurance
Certificate and/or Group Policy) to determine governing contractual provisions, including procedures, exclusions and limitation
relating to the plan. With the exception of Aetna Rx Home Delivery, all preferred providers and vendors are independent
contractors in private practice and are neither employees nor agents of Aetna or its affiliates. Aetna Rx Home Delivery, LLC,
is a subsidiary of Aetna Inc. The availability of any particular provider cannot be guaranteed, and provider network composition
is subject to change without notice.
Some benefits are subject to limitations or visit maximums. Certain services require precertification, or prior approval of
coverage. Failure to precertify for these services may lead to substantially reduced benefits or denial of coverage. Some of
the benefits reqUiring precertification may include, but are not limited to, inpatient hospital, inpatient mental health, inpatient
p.I..iIled nursing, outpatient surgery, substance abuse (detoxification, inpatient and outpatient rehabilitation). When the
. nber's preferred provider is coordinating care, the preferred provider will obtain the precertification. When the member
utilizes a non-preferred provider, Member must obtain the precertification. Precertification requirements may vary. Depending
on the plan selected, new prescription drugs not yet reviewed by our medication review committee are either available under
plans with an open formulary or excluded from coverage unless a medical exception is obtained under plans that use a closed
formulary.
They may also be subject to precertification or step-therapy. Non-prescription drugs and drugs in the Limitations and
Exclusions section of the plan documents (received after open enrollment) are not covered, and medical exceptions are not
available for them. While this information is believed to be accurate as of the print date, it is subject to change.
Plans are provided by Aetna Life Insurance Company.
10/31/2007
Page 5
~Aetna:
City of LaPorte
PPO 300 - Aetna Choice POS "
[.... --
"
L.
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
Deductible (per calendar year) $300 Individual $600 Individual
$900 Family $1,800 Family
All covered expenses, excluding prescription drugs, accumulate toward both the preferred and non-preferred Deductible.
Unless otherwise indicated, the Deductible must be met prior to benefits being payable.
Once Family Deductible is met, all family members will be considered as having met their Deductible for the remainder of the
calendar year.
Member Coinsurance 10% 40%
Applies to all expenses unless otherwise stated.
Payment Limit (per calendar year) $2,800 Individual $5,600 Individual
(includes deductible) $8,400 Family $16,800 Family
All covered expenses, excluding prescription drugs, accumulate toward both the preferred and non-preferred Payment Limit.
Certain member cost sharing elements may not apply toward the Payment Limit.
Only those out-of-pocket expenses resulting from the application of coinsurance percentage and deductibles (except any
copays, and penalty amounts) may be used to satisfy the Payment Limit.
Once Family Payment Limit is met, all family members will be considered as having met their Payment Limit for the remainder
of the calendar year.
Lifetime Maximum
$2,000,000 per member's lifetime.
Certification Requirements -
Certification for certain types of Non-Preferred care must be obtained to avoid a reduction in benefits paid for that care.
Certification for Hospital Admissions, Treatment Facility Admissions, Convalescent Facility Admissions, Home Health Care,
Hospice Care and Private Duty Nursing is required - excluded amount applied separately to each type of expense is $400 per
occurrence.
~certjfjcation for certain procedures/treatments - excluded amount is $200 per occurrence.
l:~ ~.ff:;=."":T~IIIt/"', ,_.~I~~fm)~I'IR;~tlr.l!llli.ljf.(fj'Ii'fj,m1JjM~.~1l~i;~11~~lIr~
Routine Adult Physical Exams! $10 office visit copay; deductible 40%
Immunizations waived
1 exam per 12 months for members age 18 and older.
Routine Well Child Examsllmmunizations $10 office visit copay; deductible 40%
waived
7 exams in the first 12 months of life, 2 exams in the 13th-24th months of life; 1 exam per 12 months thereafter to age 18.
Routine Gynecological Care Exams $20 office visit copay; deductible 40%
waived
Includes routine tests and related lab fees
Routine Mammograms
For covered females age 35 and over.
Routine Digital Rectal Exam! Prostate-
specific Antigen Test
For covered males age 40 and over.
Colorectal Cancer Screening
For all members age 50 and over.
Covered 100%; deductible waived 40%
$10 copay PCP, $20 copay specialist, 40%
deductible waived
$10 copay PCP, $20 copay specialist, 40%
deductible waived
Routine Hearing Exams
1 routine exam per 24 months
$20 copay, deductible waived
40%
10/31/2007
Page 1
~Aetna:
City of LaPorte
PPO 300 - Aetna Choice POS II
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
R
Orrice Visits to Primary Care Physician $10 office visit copay; deductible 40%
waived
Includes services of an internist, general physician, family practitioner or pediatrician.
Specialist Office Visits $20 office visit copay; deductible 40%
waived
Allergy Testing & Injections $10 copay PCP, $20 copay specialist, 40%
deductible waived
'O"IiI~tt~III&.i'l:: .... .
.. ....]lflr~'Sfj.I'2WJi<.iII"D"lD6S1alf~~!t~~1&'t.;iiilllffe~aR~'E~t<<f8~.!il~~4~i~~lI1Jl~1~~INmB.~~'e~Il~!.Qle~lt~ff~~" ,...
Diagnostic Laboratory and X-ray 10% 40%
If performed as a part of a physician office visit and billed by the physician, expenses are covered subject to the applicable
ph sician's office visit member cost sharin
L '~~1i~EI~' 4\' . .~m~:I~I)IL.. <~. ~:J\'llltf&~\j]Igl~;itieH~SIr~~~~ifj{I:"~i!ff~..i~~JieI6i~RR&~~~!g;~.ifg,:\~!I .
Urgent Care Provider $20 co pay; deductible waived 40%
(benefit availability may vary by location)
Non-Urgent Use of Urgent Care Provider
Emergency Room
Non-Emergency care in an Emergency
Room
Ambulance
Not Covered
$100 copay; deductible waived
Not Covered
Not Covered
Same as preferred care.
Not Covered
40%, or same as preferred care for
emergency transports
R.liI's"flttl.'I~'1gjll..}~ibl~1~~~4;I~)~I.I~i1If~mR;l!f,(ElIBiE~1~j;g~lI~~i,~.~II\fil<lIIBt~J,Ill5lil~s.mmmJ1.~~i~~i~g)~~~
Inpatient Coverage $150 copay per day for the first 5 days 40%
per confinement, then deductible, then
covered 1 00%
10%
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Inpatient Maternity Coverage $150 copay per day for the first 5 days 40%
per confinement, then deductible, then
covered 100%
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Outpatient Surgery $50 outpatient surgery co pay, then 40%
deductible, then 10%
10%
40%
Outpatient Hospital Expenses (excluding
surgery)
The member cost sharin a plies to all Covered Benefits incurred durin a member's outpatient visit
iii'i1a:1r~K,iillM:C1^1~ ~E:Di'fi~c'~" -~~~~;~D'cfE~-;H"'E" "C'''''::;b,jJi.'!D'~~~'''liI;",;;;!''~.jf~;':l~f-\'J1tr''o<"."""-,,,--,,,,..<<-"....._'~~"."-"'....-.~~",,"\~~
~,J~,u,J,b:~I.!lll~~~'1fL. ..'@~D~it,~~.\;:i.. .~d~'!<~~~.~~,~~~.~Q;~AP;f;i1,WIH41!Wl\,\i!r~..;\iii~~i..((tf.4J!.I?Jl!;~E.RR,Ii:!,;t1,~~Rw~i~-h\~
Inpatient $150 copay per day for the first 5 days 40%
per confinement, then deductible, then
covered 100%
Limited to 45 days per calendar year.
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Outpatient $20 copay 40%
Limited to 60 visits per calendar year.
The member cost sharing applies to all covered benefits incurred during a member's outpatient visit
Combined Mental Health and Alcohol/Drug maximum for preferred and non-preferred services
10/31/2007
Page 2
XAetnff
City of LaPorte
PPO 300 - Aetna Choice POS II
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
r-lf!il.l~~e'1B.~~$!lS;"1110~;~II'~~~lmRSf..t[RiImW"~~a;~I.'"
Inpatient $150 copay per day for the first 5 days 40%
per confinement, then deductible, then
covered 100%
Limited to 45 days per calendar year.
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Outpatient $20 copay 40%
Limited to 60 visits per calendar year.
The member cost sharing applies to all Covered Benefits incurred during a member's outpatient visit
Combined Mental Health and Alcohol/Drug maximum for preferred and non-preferred services
Convalescent Facility 10% 40%
Limited to 100 days per calendar year.
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Home Health Care 10% 40%
Limited to 120 visits per calendar year. Includes Private Duty Nursing limited to 70 eight hour shifts per calendar year.
Each visit by a nurse or therapist is one visit. Each visit up to 4 hours by a home health care aide is one visit.
Hospice Care - Inpatient 10% 40%
The member cost sharing applies to all covered benefits incurred during a member's inpatient stay
Hospice Care - Outpatient 10% 40%
The member cost sharing applies to all covered benefits incurred during a member's outpatient visit
Outpatient Short-Term Rehabilitation 10% 40%
Include Speech, Physical, and Occupational Therapy, limited to 60 visits per calendar year.
Spinal Manipulation Therapy $20 copay 40%
-'ited to 20 visits per calendar year
. ..rable Medical Equipment 10% 40%
Contraceptive drugs and devices not
obtainable at a pharmacy (includes coverage
for contraceptive visits)
Transplants
10% (payable as any other covered
expense)
40% (payable as any other covered
expense)
$150 copay per day for the first 5 days 40%
per confinement, then deductible, then
covered 100%
Oral Surgery
10%
40%
B1tlU:!YI6J!~li.NJN_'1~illllt",.i~'IB:eli\I:8'R~'D~~lI~.l".lIiR~flmRl~~g11:l1:&'i[~.1IIIII
Infertility Treatment 10% 40%
Diagnosis and treatment of the underlying medical condition.
Voluntary Sterilization 10%
Including tubal ligation and vasectomy.
40%
10/31/2007
Page 3
x-..... .Ae... tna. w . ....... ........
. :" . -,- , -
.-- - ..'- ,
City of LaPorte
PPO 300 - Aetna Choice POS II
=-
I.
Retail
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
$5 copayfor generic drugs, $10 copay 30% of submitted cost after $5 co pay
for formulary brand-name drugs, and for generic drugs, $10 copay for
$25 copay for non-formulary brand- formulary brand-name drugs, and $25
name drugs up to a 30 day supply at copay for non-formulary brand-name
participating pharmacies. drugs up to a30 day supply.
$10 copay for generic drugs, $20 Not applicable
copay for formulary brand-name
drugs, and $50 copay for non-
formulary brand-name drugs up to a
31-90 day supply from Aetna Rx
Home Delivery@.
Mail Order
Pharmacy Managed Self Injectables (PMSI)
First prescription fill at any retail or mail order drug facility. Subsequent fills must be through Aetna Speciality Pharmacy@)
No Mandatory Generic (NO MG) - Member is responsible to pay the applicable copay only.
Plan Includes: Contraceptive drugs and devices obtainable from a pharmacy, Oral fertility drugs, Diabetic supplies.
Precert for rowth hormones included
Pre-existing Conditions Exclusion On effective date: Waived
After effective date: $4,000
This plan imposes a pre-existing condition exclusion, which may be waived in some circumstances and may not be applicable
to you. A pre-existing condition exclusion means that if you have a medical condition before coming to this plan, you may
have to wait a certain period of time before the plan will provide coverage for that condition. This exclusion applies only to
co-<\ditions for which medical advice, diagnosis, care, or treatment was recommended or received or for which the individual
.\ prescribed drugs within 90 days.Generally, this period ends the day before your coverage becomes effective. However, if
you were in a waiting period for coverage, 90 days ends on the day before the waiting period begins. The exclusion period, if
applicable, may last up to 365 days from your first day of coverage, or, if you were in a waiting period, from the first day of your
waiting period. If you had prior creditable coverage within 90 days immediately before the date you enrolled under this plan,
then the pre-existing conditions exclusion in your plan, if any, will be waived.
If you had no prior creditable coverage within the 90 days prior to your enrollment date (either because you had no prior
coverage or because there was more than a 90 day gap from the date your prior coverage terminated to your enrollment date),
we will apply your plan's pre-existing conditions exclusion. In order to reduce or possibly eliminate your exclusion period
based on your creditable coverage, you should provide us a copy of any certificates of creditable coverage you have.Please
contact Aetna Member Services at 1-888-982-3862 if you need assistance in obtaining a certificate of creditable coverage
from your prior carrier or if you have any questions on the information noted above. The pre-existing condition exclusion does
not apply to pregnancy nor to a child who is enrolled in the plan within 31 days of birth, adoption, or placement for adoption.
Note: For late enrollees, coverage will be delayed until the plan's next open enrollment, and the pre-existing condition
exclusion will be applied from the individual's effective date of coverage.
This plan does not cover all health care expenses and includes exclusions and limitations. Members should refer to their plan
documents to determine which health care services are covered and to what extent. The following is a partial list of services
and supplies that are generally not covered. However, your plan documents may contain exceptions to this list based on state
mandates or the plan design or rider(s) purchased by your employer.
All medical or hospital services not specifically covered in, or which are limited or excluded in the plan documents; Charges
related to any eye surgery mainly to correct refractive errors; Cosmetic surgery, including breast reduction; Custodial care;
~ntal care and X-rays; Donor egg retrieval; Experimental and investigational procedures; Hearing aids; Immunizations for
'el or work; Infertility services, including, but not limited to, artificial insemination and advanced reproductive technologies
such as IVF, ZIFT, GIFT, ICSI and other related services, unless specifically listed as covered in your plan documents;
10/31/2007
Page 4
'fAetnao
City of LaPorte
PPO 300 - Aetna Choice POS II
PLAN DESIGN & BENEFITS
PROVIDED BY AETNA LIFE INSURANCE COMPANY
,- medically necessary services or supplies; Orthotics; Over-the-counter medications and supplies; Reversal of sterilization;
SUI vices for the treatment of sexual dysfunction or inadequacies, including therapy, supplies, or counseling; and special duty
nursing. Weight control services including surgical procedures, medical treatments, weight control/loss programs, dietary
regimens and supplements, appetite suppressants and other medications; food or food supplements, exercise programs,
exercise or other equipment; and other services and supplies that are primarily intended to control weight or treat obesity,
including Morbid Obesity, or for the purpose of weight reduction, regardless of the existence of comorbid conditions.
This material is for informational purposes only and is neither an offer of coverage nor medical advice. It contains only a
partial, general description of plan benefits or programs and does not constitute a contract. Aetna does not provide health
care services and, therefore, cannot guarantee results or outcomes. Consult the plan documents (Le. Group Insurance
Certificate and/or Group Policy) to determine governing contractual provisions, including procedures, exclusions and limitation
relating to the plan. With the exception of Aetna Rx Home Delivery, all preferred providers and vendors are independent
contractors in private practice and are neither employees nor agents of Aetna or its affiliates. Aetna Rx Home Delivery, LLC,
is a subsidiary of Aetna Inc. The availability of any particular provider cannot be guaranteed, and provider network composition
is subject to change without notice.
Some benefits are subject to limitations or visit maximums. Certain services require precertification, or prior approval of
coverage. Failure to precertify for these services may lead to substantially reduced benefits or denial of coverage. Some of
the benefits requiring precertification may include, but are not limited to, inpatient hospital, inpatient mental health, inpatient
skilled nursing, outpatient surgery, substance abuse (detoxification, inpatient and outpatient rehabilitation). When the
Member's preferred provider is coordinating care, the preferred provider will obtain the precertification. When the member
utilizes a non-preferred provider, Member must obtain the precertification. Precertification requirements may vary. Depending
on the plan selected, new prescription drugs not yet reviewed by our medication review committee are either available under
plans with an open formulary or excluded from coverage unless a medical exception is obtained under plans that use a closed
tcwnulary.
.3y may also be subject to precertification or step-therapy. Non-prescription drugs and drugs in the Limitations and
Exclusions section of the plan documents (received after open enrollment) are not covered, and medical exceptions are not
available for them. While this information is believed to be accurate as of the print date, it is subject to change.
Plans are provided by Aetna Life Insurance Company.
10/31/2007
Page 5
Description of Service
Health Fund Allowance 1 Individual
Health Fund Allowance 1 Family
Oeduclible - Individual
Deduclible - Family
Oul 01 Pocket - Individual
Out of Pocket - Family
Coinsurance
Ulelime Maximum
Physlcan Services
Primary Care Office Visit
Specialty Care Office Visit
Allergy Injeclions
Hospital Services
Out Palienl Hospital
Inpalienl Hospital
Emergency Room
Wellness Benents
Rouline Adult Physical Exams
Rouline Mammograms
Rouline Well child Exams
Routine Hearing Exams
Pharmacy - Retail
Generic 1 level I
Brand (Formulary) 1 level II
Non-Formulary 1 level III
Aetna
HealthFund 1500
In-Network Out-of-Networ1c:
$500 $500
$1,000 $1,000
$1,500 $3,000
$4,500 $9,000
$3,000 $6,000
$9,000 $18,000
80% 60%
$2,000,000 $2,000,000
80% after deduclible 60% after deductible
80% after deduclible 60% after deduclible
100% deduclibfe waived 60% after deduclible
80% after deduclible 60% after deduclible
80% after deduclible 60% after deduclibfe
80% after deduclible 60% after deduclible
100% deductible waived 60% after deductible
100% deduclible waived 60% after deduclible
100% deduclible waived 60% after deduclibfe
100% deduclible waived 60% after deduclible
$5
70% aller copays
$10
70% after copays
$25
70% after copays
City'
Plan c.,
,Porte
pari sons
Aetna
HealthFund 1000
Aetna
PPO 500
In-Network Out-of-Network
N/A N/A
N/A N/A
$500 $1,000
$1,500 $3,000
$3,000 $6,000
$9,000 $18,000
80% 50%
$2,000,000 $2,000,000
$15 copay 50% after deduclible
$30 copay 50% after deduclible
$151 $30 50% after deductible
$100 copay (hen 50% after deduclible
deductible and 80%
100% after deductible &
$150/day copay 50% after deduclible
(5 day max)
$150 copay deduclible $150 copay deduclible
waived waived
$15 copay 50% after deduclible
100% deduclible waived 50% after deduclible
$15 copay 50% after deduclible
$30 copay 50% after deduclible
$5 70% after copays
$10 70% after copays
$25 70% after copays
Aetna
PPO 300
11/512007
City of La Porte
2008 Projected Medical Plan Contributions
City Employee/Retiree Total Annual
Enrolled Contribution Contribution Contribution Plan Re\enues
Plan 1 - $1500 Deductible
Employee Only 24 $694.79 $14.65 $718.79 204,319
Employee & Spouse 13 $694.79 $105.00 $707.79 124,767
Employee & Children 17 $694.79 $95.24 $711 .79 161,166
Employee & Family 24 $694.79 $120.69 $718.79 234,858
Plan 2 - $1000 Deductible
Employee Only 50 $694.79 $22.70 $744.79 430,494
Employee & Spouse 23 $694.79 $130.34 $717.79 227,736
Employee & Children 20 $694.79 $120.07 $714.79 195,566
Employee & Family 35 $694.79 $155.60 $729.79 357,164
Plan 3 - $500 Deductible
Employee Only 26 $694.79 $50.23 $720.79 232,446
Employee & Spouse 19 $694.79 $165.74 $713.79 196,201
Employee & Children 10 $694.79 $155.15 $704.79 101,993
Employee & Family 21 $694.79 $185.32 $715.79 221,788
Plan 4 - $300 Deductible
Employee Only 22 $694.79 $79.14 $716.79 204,318
Employee & Spouse 14 $694.79 $225.79 $708.79 154,657
Employee & Children 4 $694.79 $215.99 $698.79 43,717
Employee & Family 52 $694.79 $239.56 $746.79 583,034
Total Plan Re\enues 374 $3,118,218 $556,007 $3,253,122 3,674,225
Projected 2008 Plan Costs
$3,491,928
Funding Surplus
$182,296
Projected 2008 Plan Costs
2007 Additional 2008
Projection 10% Inflation Network Discount Projection
Total Claims Paid * 3,298,516 329,852 (624,691 ) 3,003,676
Stop Loss Fee 254,704 315,073
ASO Fee 148,480 173,179
Total Plan Costs $3,701 ,700 $3,491,928
* Projection based on September 2007 Fund Recap Report from Humana.
City of La Porte
2008 Projected Medical Plan Contributions
City Employee/Retiree Total Annual
Enrolled Contribution Contribution Contribution Plan Revenues
Plan 1 - $1500 Deductible
Employee Only 24 $694.79 $14.65 $718.79 204,319
Employee & Spouse 13 $694.79 $105.00 $707.79 124,767
Employee & Children 17 $694.79 $95.24 $711.79 161,166
Employee & Family 24 $694.79 $120.69 $718.79 234,858
Plan 2 - $1000 Deductible
Employee Only 50 $694.79 $22.70 $744.79 430,494
Employee & Spouse 23 $694.79 $130.34 $717.79 227,736
Employee & Children 20 $694.79 $120.07 $714.79 195,566
Employee & Family 35 $694.79 $155.60 $729.79 357,164
Plan 3 - $500 Deductible
Employee Only 48 $694.79 $68.31 $742.79 439,546
Employee & Spouse 33 $694.79 $225.41 $727.79 364,399
Employee & Children 14 $694.79 $211.00 $708.79 152,173
Employee & Family 73 $694.79 $252.04 $767.79 829,423
Total Plan Revenues 374 $3,118,218 $603,393 $3,300,402 3,721,611
Projected 2008 Plan Costs
$3,491,928
$229,683
Funding Surplus
Projected 2008 Plan Costs
2007 Additional 2008
Projection 10% Inflation Network Discount Projection
Total Claims Paid * 3,298,516 329,852 (624,691 ) 3,003,676
Stop Loss Fee 254,704 315,073
ASO Fee 148,480 173,179
Total Plan Costs $3,701,700 $3,491,928
* Projection based on September 2007 Fund Recap Report from Humana.
)
City of La Porte
Review of 2007 Medical Plan
Through September 30,2007
PPO 300 Plan PPO 500 Plan CF 1000 Plan CF 1500 Plan Total All Plans
Monthly Monthly Monthly Monthly Monthly
2007 Enrolled Claims Enrolled Claims Enrolled Claims Enrolled Claims Enrolled Claims
Jan 89 $88,193 73 $180,738 137 $43,076 80 $41,518 379 $353,525
Feb 89 $77,376 72 $42,640 141 $66,637 79 $21,005 381 $207,658
Mar 89 $135,533 73 $25,950 142 $79,916 78 ($47,535) 382 $193,864
Apr 90 $138,624 74 $46,988 143 $33,002 78 $37,167 385 $255,781
May 90 $138,405 74 $47,731 142 $106,866 78 $26,896 384 $319,898
June 90 $64,835 75 $36,768 143 $115,212 78 $30,115 386 $246,930
July 90 $65,372 75 $13,765 145 $41,992 78 $34,702 388 $155,831
Aug 89 $121,565 75 $39,258 147 $68,724 78 $49,769 389 $279,316
Sep 89 $92,794 74 $19,267 150 $51,801 76 $18,127 389 $181,989
A\A3rage Enrolled 89 74 143 78 385
Percentage Enrolled 23.2% 19.2% 37.3% 20.3% 100.0%
Claim Totals - 9 mos. $922,697 $453,105 $607,226 $211,764 $2,194,792
Percentage of Claims 42.0% 20.6% 27.7% 9.6% 100.0%
Current Funding - 9 mos. * $739,295 $564,321 $908,220 $543,833 $2,755,669
Percentage of Funding 26.8% 20.5% 33.0% 19.7% 100.0%
Cost Per Enrollee Per Month $1,146 $681 $471 $301 $634
. CUrrent Funding includes el11>loyee prerriums and City contributions.