Subject:
Title
First Amendment Term Extension with Cigna Health and Life Insurance Company for the requirements of dental benefits.
label
Recommended Action:
Recommended Action
Approval of the First Amendment Term Extension with Cigna Health and Life Insurance Company, as requested by the Human Resources Department, for the requirements of dental benefits.
• This agreement was awarded by the Board of County Commissioners (Board) to provide County employees, dependents, and retirees with dental benefits.
• The First Amendment exercises both contracts’ two twelve-month term extensions, per the terms of the original contract approved by the Board, increasing by $7,000,000.00 for the renewal term and providing new renewal rates for ASO Dental and Dental HMO.
• The Board approved Change Order No. 1 for an increase of $2,500,000.00 for payment of dental administrative and claim fees for a revised expenditure of $14,655,000.00 on December 16, 2025. The Board awarded this contract on October 12, 2021, in the amount of $12,155,000.00 for a sixty-month term period.
• Funding is included in the Fiscal Year (FY) 2026 Adopted Budget for the Employee Health Benefits Fund and is sufficient for expenses through 9/30/2026. The FY27 Proposed Budget includes $3.5M for Dental Claims and Administration in the Employee Health Benefits Fund. Continued funding for this extension is dependent upon Board approval of FY27 and future budget appropriations.
Contract No. 21-0179-RFP, increase in the amount of $7,000,000.00 for a revised contract amount of $21,655,000.00; effective through December 31, 2028; Authorize the Chairman to sign and the Clerk of the Circuit Court to attest.
Body
Strategic Priorities:
Smart Service Delivery
4.2 Achieve and maintain a high level of customer satisfaction.
4.3 Improve efficiency of service delivery through technology.
4.55 Develop and retain a highly skilled and efficient workforce.
Summary:
Summary
This First Amendment extends the contract term for 24 months, increases the agreement $7,000,000.00 to cover dental administrative and claim fees during the FY2027 extension period, and provides new renewal rates for ASO Dental and Dental HMO.
Body
Background Information:
This contract was awarded by the Board of County Commissioners on October 12, 2021, for a total expenditure of $12,155,000.00. The Board approved Change Order No. 1 for an increase of $2,500,000.00 for a revised total contract amount of $14,655,000.00 on December 16, 2025.
Fiscal Impact:
Original contract expenditure: $12,155,000.00
Change Order No. 1 additional funds for dental claims: $ 2,500,000.00
First Amendment funds for term extension: $ 7,000,000.00
Revised contract expenditure total: $21,655,000.00
Sufficient funds remain in the FY26 Adopted Budget for expenditures through 9/30/2026. The Fiscal Year (FY) 2027 Proposed Budget includes $3.5M for Dental Claims and Administration in the Employee Health Benefits Fund. Continued funding for this extension is dependent upon Board approval of FY27 and future budget appropriations.
Staff Member Responsible:
Wade Childress, Chief Human Resources Officer, Human Resources
Merry Celeste, Purchasing Division Director, Office of Management & Budget
Chris Rose, Director, Office of Management & Budget
Partners:
N/A
Attachments:
First Amendment