Item 15: Contract Extension for Basic Term Life, Voluntary Life, AD&D, and Long-Term Disability Insurance Administration - $176,000

[COSM_Admin]

Consider approval of Resolution 2024-242R, approving a contract extension with Minnesota Life Insurance Company, and Madison National Life Insurance Company, through OCHS, Inc., for Basic Term Life, Voluntary Life, AD&D, and Long-Term Disability Insurance Administration, for an estimated annual amount of $176,000.00; authorizing the City Manager, or her designee, to execute the appropriate documents to implement the extension on behalf of the city; and declaring an effective date.

 

[JHughson]

Why was the program modified from $25,000 per employee to one times (1x) the employee’s annual salary?
Is this in the budget

 

[COSM_Admin]

Response provided by Director of Human Resources, Linda Spacek:
Thank you for bringing this to our attention. There was oversight in the way this was stated. The amount of $176,000 is for the full three year term. Legal has advised it is not necessary
to pull or formally amend the item since it is within limits of the caption amount. Yes, this was included in the budget and enhances our recruitment and retention efforts. Thank you!