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City staff urges one‑year Excellus extension to preserve multi‑million savings
Summary
City HR recommended a one‑year extension to Excellus administration services to preserve multi‑million dollar savings engineered in the insurer's prior pricing; staff said partners (city, school district, county) expect roughly $8.5 million in combined savings this year.
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City human‑resources staff presented Item 9 asking the council to approve a one‑year extension of the administration agreement with Excellus so the city can capture savings embedded in the current contract. The director of human resources said extending the agreement would let the city “take advantage of savings that they built in 5 years ago that they were not prepared for,” and that the coalition of buyers — the city, the school district and the county — expect notional savings in the millions this year.
Councilors asked for staff feedback from employees and whether the city could set plan deductibles independently; HR staff said the city is self‑insured and that they have not done a formal employee survey, though they can and will brief the council further. Staff said the longer procurement plan remains to issue an RFP next January for contracts beginning the following July. No formal vote on Item 9 was recorded in the transcript during this discussion.
