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Council awards employee benefits contracts, adopts dual-option medical plan to curb costs
Summary
After an RFP, the council accepted recommendations to keep Aetna as TPA, move pharmacy to a consortium through CVS, and implement a two-option medical structure with an HRA; council approved the awards 7-0.
The City Council approved a suite of employee and retiree benefit supplier awards and a proposed dual‑option medical plan structure for 2026, accepting consultant HUB International’s recommendations to secure multi‑year rate guarantees and reduce projected plan costs.
HR Director Veronica Sanchez and HUB’s Julian Fontana presented a formal RFP review. The city received multiple responses and ultimately recommended Aetna as third‑party administrator for the partially self‑funded medical plan, Employers Health (with CVS) for pharmacy benefit manager services, and Aetna…
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