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Live Oak council approves three-year consulting agreement with HUB International for employee benefits
Summary
The Live Oak City Council on April 22 authorized the city manager to execute a three-year agreement with HUB International to provide health and welfare consulting services for the city's employee benefits program, approving a fee increase and continued portal access for employees.
The Live Oak City Council on April 22 approved a resolution authorizing the city manager to enter into an agreement with HUB International to provide health and welfare consulting services for the city’s employee benefits program.
City staff and council members said the agreement continues a relationship that began when the city contracted with IPS Advisors Inc.; IPS later merged with HUB International. "Hub provides a tremendous service to the city, negotiating the highest quality benefit plans for the best cost to the city," said Mr. Gralik (staff member), who presented the item. He told council HUB has in past renewals reduced projected double-digit premium increases to low single digits for the city and its employees.
The council and staff discussed the term and compensation. The agreement extends the term through March 31, 2028, per the draft contract language presented to council. The agreement raises the annual base fee by $2,500 — from $34,500 to $37,000 — with a 3% increase in each of the following two years, and continues a $5.50-per-employee-per-month fee for a benefits portal called Benefit Connector. Mr. Gralik said the portal fee has remained $5.50 since adoption and will not change during the new term. Councilman Morgan asked how much the portal fee amounts to yearly; Mr. Gralik said it is about $7,500 per year (approximate, based on current employee counts).
Council members also asked about wellness or gym membership programs. Mr. Gralik said such programs depend on the city’s health-plan provider; some carriers (for example, plans that include SilverSneakers-type benefits) may add gym or wellness services as part of their plan packages. Councilwoman Perez encouraged staff to seek proposals that include wellness, nutrition and counseling options in addition to premium pricing.
A motion to authorize the city manager to enter the agreement passed unanimously, 5-0.
The contract as presented includes the compensation schedule and a three-year term; council asked staff to correct a discrepancy staff identified in the contract pages where one page incorrectly showed a 2029 end date.
Next steps: staff will finalize the agreement language and execute the contract. The resolution authorized the city manager to take such additional actions as reasonably necessary to implement the agreement.
Votes at a glance: Resolution to authorize city manager to execute agreement with HUB International — approved 5-0.
