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District to change third-party administrator for self-funded medical plan to Personify Health; board approves package
Summary
The governing board approved terminating the Aetna third-party administrator contract and awarding third-party administration to Personify Health with BCBS Arizona as the network and FOSRX for pharmacy benefits, and added Garner Health as a cost-containment option.
The Yuma Elementary School District 1 governing board approved an administrative recommendation to change third-party administration of its self-funded medical plans.
Chief Financial Officer Keith Ponder told the board the district issued an RFQ and received three proposals. The administration recommended terminating its contract with Aetna and awarding a new third-party administrator contract to Personify Health, using Blue Cross Blue Shield of Arizona for the provider network and FOSRX for pharmacy benefits management. Staff also recommended adding Garner Health as an incentive-driven cost-containment option.
Ponder said the recommendation was based on three considerations: greater plan-management flexibility and transparency, expanded access and member advocacy, and expected prescription-plan savings beginning in year one. District staff told the board the change is not intended to shift base premium costs to employees; any additional employee-paid buy-ups would remain the employee's choice.
Board members asked questions about cost impacts and implementation; staff said the district will manage transition logistics and continue to protect employee benefits.
Ending: The board voted to approve the insurance recommendation and staff will proceed with implementation steps and more detailed vendor contracting work.
