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Home My WebLink AboutItem #15 Approval for Additional Funding for Health Insurance Fund`` ' UCn(?Q florida AGENDA ITEM COVER SHEET Meeting Date: June 16, 2015 Item # 1 Reviewed By. Contact Name: Gene Williford Department Director: Wanda Horton Contact Number: 1032, 1520 City Manager: Subject: Additional Funding for Health Insurance Fund Background Summary: In November of 2007, the City of Ocoee began a self- insurance plan for health care coverage to its employees and dependents. In April of 2008, the City opened its own health care clinic to contain medical costs and provide efficient medical services to the City's employees and their families. Issue: Unfortunately, as the City's employee population has aged so has the severity of medical conditions. During this past year the City has experienced several present or past employees with major medical conditions that have seriously strained the City's medical financial accounts. In January of this year staff presented an agenda item for emergency funding of $400,000 to absorb the impact of these claims. Claim costs have continued to rise and these major claims combined with the normal medical claims are now estimated to result in an additional $1,700,000 impact to the health fund for the remainder of the fiscal year. Staff has identified numerous accounts to transfer dollars from to cover the monies needed to complete the fiscal year. The proposed funding will result in a) the delay of some capital purchases, b) postponing new or replacement hires, and c) utilizing savings from already purchased items. A discussion on the health insurance options for future years will be included in the first budget workshop to occur later this summer during August. Recommendations Staff recommends the City Commission approve the proposed funding per the attached spreadsheet for health insurance costs projected through the end of the current fiscal year. Included in the proposed funding is the $265,755 earmarked for a future fire station in District 1 and a loan to General Fund to complete its portion of the monies needed. Attachments: Spreadsheet of proposed funding sources Financial Impact: Approval of this item will provide funding for health services estimated to occur for the remainder of the fiscal year. Type of Item: (please mark with an 'k'7 Public Hearing Ordinance First Reading Ordinance Second Reading Resolution Commission Approval Discussion & Direction For Clerk's Dept Use: X_ Consent Agenda Public Hearing Regular Agenda Original Document/Contract Attached for Execution by City Clerk Original Document/Contract Held by Department for Execution Reviewed by City Attorney Reviewed by Finance Dept. r Reviewed by () 2 N/A N/A N/A Account Number Amount Department Description 001 - 512 -10 -5600 51,500.00 City Clerk Election Expense 001 - 513 -00 -1400 2,000.00 Finance Overtime Expense 001 - 513 -00 -3200 2,500.00 Finance Accounting and Auditing Expense 001 - 513 -30 -2200 5,000.00 Human Relations Retirement Expense 001 - 515 -00 -2200 800.00 Planning Telephone Expense 001 - 516 -00 -4900 240,000.00 General Gov't Contingency 001 - 518 -00 -1200 10,000.00 Support Services Salaries 001 - 519 -00 -4602 5,000.00 Facilities Maint Building Maintenance 001 - 521 -00 -1200 20,000.00 Police Salary Expense 001 - 521 -00 -2200 50,000.00 Police Retirement Expense 001 - 521 -00 -6401 20,000.00 Police Vehicle Expense 001 - 522 -00 -2200 75,000.00 Fire Retirement Expense 001 - 522 -00 -6400 10,000.00 Fire Equipment Expense 001 - 522 -00 -7100 6,000.00 Fire Principal Expense 001 - 524 -00 -2500 5,000.00 Building Unemployment Expense 001 - 541 -10 -1200 10,056.00 Streets Salary Expense 001 - 541 -10 -3400 15,000.00 Streets Contractual Services 001 - 541 -10 -6300 20,000.00 Streets Paving Improvements 001 - 541 -10 -6302 15,000.00 Streets Capital Improvements 001 - 541 -10 -6400 1,686.00 Streets Equipment Expense 001 - 541 -40 -6400 2,500.00 Fleet Equipment Expense 001 - 572 -00 -1200 10,000.00 Recreation Salary Expense 001 - 572 -00 -6204 1,200.00 Recreation Park Improvements 001 - 572 -10 -1200 5,000.00 Parks Salary Expense 001 - 572 -10 -6204 5,000.00 Parks Park Improvements- Montgomery Park Fund 140 57,936.27 Gen Gov't from Red Light Camera violations (lawsuit) Miscellaneous Expense - dollars earmarked for General Fund Fire Station (District 1- $265,755),interest earnings 317 - 516 -00 -4902 449,547.00 Project fund and completed small projects 304,842.00 Loan from Stormwater Projects Fund 103 - 538 -20 -4663 30,000.00 StormWater Emergency Repairs 103 - 538 -20 -3102 14,808.00 StormWater Engineering Expense 401 - 531 -00 -1200 25,000.00 Utilities Admin Salary Expense 401 - 531 -00 -3128 2,497.00 Utilities Admin Professional Services 401 - 533 -00 -4663 4,240.00 Water Facilities Emergency Repairs Expense 401 - 533 -00 -6302 17,215.00 Water Facilities Capital Improvements Water Field Capital ImprovementsMajor Water Line 401 - 533 -10 -6302 62,103.00 Operations Replacement and Upgrades Wastewater 401 - 535 -00 -3400 20,000.00 Facilities Contractual Wastewater 401 - 535 -00 -9104 5,876.00 Facilities Transfers Out R &R Expense Wastewater Field 401 - 535 -10 -4663 5,000.00 Operations Emergency Repairs Expense Wastewater Field 401 - 535 -10 -4605 29,023.00 Operations Vehicle Parts and Repair Expense Account Number Amount Department Description Wastewater Field Capital Improvements Expense - Sewer Line 401 - 535 -10 -6302 7,000.00 Operations Upsizes 402 - 534 -10 -5200 7,998.00 Solid Waste POL Supplies 402 - 534 -10 -6400 10,045.00 Solid Waste Equipment 402 - 534 -10 -6401 26,000.00 Solid Waste Vehicle Expense Fund 403 32,628.00 Solid Waste Equipment Total 1,700,000.27