Subject:
Title
Change Order No. 1 to the contract with UnitedHealthcare Specialty Benefits, LLC for requirements of disability benefits and Family Medical Leave Act administration services.
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Recommended Action:
Recommended Action
Approval of Change Order No. 1 to the contract with UnitedHealthcare Specialty Benefits, LLC for requirements of disability benefits and Family Medical Leave Act Administration (FMLA) administration services.
• This contract provides County employees with Short-term and Long-term Disability (LTD) benefits and FMLA administration services paid on a per employee per month basis.
• Change Order No. 1 increase in the amount of $2,553,874.65 for payment of long-term disability services.
• The original award amount did not include the cost for LTD expenditure requirements. Human Resources inadvertently left the LTD expenditure amount out of the original contract award.
• The contract was awarded by the County Administrator on August 25, 2020 in the amount of $850,000.00.
Contract No. 189-0460-P(LN), increase in the amount of $2,553,874.65 for a revised total contract value of $3,403,874.65 with an estimated annual amount of $680,774.93; effective through December 31, 2025. Authorize the Chairman to sign and the Clerk of the Circuit Court to attest.
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Strategic Plan:
Create a Quality Workforce in a Positive, Supportive Organization
1.3 Make workforce safety and wellness a priority
1.4 Maintain a fair and competitive compensation package)
Summary:
Summary
This request is for an increase to the LTD portion of the contract for disability benefits and FMLA administration services. The original award amount approved by the County Administrator on August 25, 2020 did not include the fiscal requirements necessary for payment of LTD group benefits.
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Background Information:
This contract was originally awarded by the County Administrator on August 25, 2020, in the amount of $850,000.00. The original awarded expenditure did not include the cost for LTD expenditure requirements.
The County offers disability benefits to employees through a self-funded Short-Term
Disability (STD) plan, and a fully insured LTD group benefits plan. The County also contracts for FMLA administration services.
Fiscal Impact:
Awarded sixty (60) month expenditure not to exceed: $ 850,000.00
Increase expenditure not to exceed amount: $2,553,874.65
Revised total sixty (60) month expenditure not to exceed: $3,403,874.65
Estimated Average Annual expenditure: $680,774.93
Funding is derived from the Human Resources employee benefits fund.
Staff Member Responsible:
Kimberly Crum, Director, Human Resources
Merry Celeste, Division Director, Purchasing and Risk, Administrative Services
Joe Lauro, Director, Administrative Services
Partners:
N/A
Attachments:
N/A