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Thursday, September 16, 2021 7:30 AM 

Lower Council Chambers 

Roll Call (City Council members participate in person, telephonically, or electronically.) 

1 Review and discuss items on the agenda for the September 20, 2021 regular Council meeting

   Reference: https://mesa.legistar.com/Calendar.aspx

2 Presentations/Action Items: 

21-0932 Hear a presentation and discuss an update on the 2022 Employee Benefits and Wellness Programs. 2-a 

File #:

21-0932

Type:

Presentation

Status:

Agenda Ready

In control:

City Council Study Session

On agenda:

9/16/2021

Title:

Hear a presentation and discuss an update on the 2022 Employee Benefits and Wellness Programs.

Attachments:

1. Presentation

_________________________________________________________________________________________________________________

2022 EMPLOYEE BENEFIT & WELLNESS PROGRAMS 

CITY COUNCIL PRESENTATION 

September 16, 2021 

Benefit Programs/Services Overview 

Employee benefit programs/services/third-party administrators/networks

 Medical (3 plans) – Cigna and NEW! MedImpact/VibrantRX/PaydHealth 

 Dental (3 plans) – Delta Dental of Arizona  Vision Care (3 plans) - VSP 

 EAP Program – ComPsych  Flexible Spending Account Plan (FSA) for Health and Dependent Care – 

NEW! Navia 

 Life/AD&D and Disability Insurance – MetLife and Unum 

 Health and Wellness Center (OnSite) and Mesa Wellness 360 – 

NEW! WebMD platform 

Employee Benefit Trust Fund – Funding Sources  Contributions from the City 

 Employee and retiree premiums 

 State retirement system subsidies 

 Other third-party administrative credits, subsidies and rebates 

2 Highlights - Health Plan Changes for 2022 Medical/Prescription Drug Plans 

 Medical claims administration, network and medical management – Cigna – no change medical ID cards 

 Prescription drug program changes: 

PBM administration: 

MedImpact (for active employee and non-Medicare eligible retiree populations) and 

affiliated VibrantRx (for retiree EGWP Medicare Part D populations) 

 New prescription drug ID cards for all members 

 65,000 retail network pharmacies nationwide  Enhanced availability of 90-day supplies at all network pharmacies 

 MedImpact Mail Order and Specialty Drug pharmacy services 3 Highlights - Health Plan Changes for 2022 cont. 

Medical/Prescription Drug Plans continued: 

 Prescription drug program changes: 

New! Specialty Drug Advocacy Services introduced with PaydHealth  Financial advocacy services to qualify members for alternate funding sources for high-cost specialty drugs

  Reduces out-of-pocket costs for members and City Plans 4 

Highlights - Health Plan Changes for 2022 cont. Flexible Spending Accounts (FSA) Administration 

 New! FSA Administration with Navia Benefits Solutions  Service enhancements: 

 Debit cards for both health and dependent care FSA account holders 

 Opt-in service for automatic claim generation/alerts/reimbursement 

 Dependent care national provider network access/discount opportunities 

 Run-out administration for 2021 FSA accounts – ConnectYourCare (Optum Financial) 5 

Medical Plan Premium Rate Changes for 2022 Medical Plan Premiums: 

 Active employees - $9 to $36 per mth rate increase (Choice and Copay medical plans) 

 Basic Medical Plan – highest active enrollment – 100% City funded for full-time employees 

 Retirees – maintain 2021 rates 

Financial Considerations: 

 National and City medical cost trend increases approximately 7% to 8%  Claims volatility in 2021 and beyond due to: 

 Return to pre-pandemic healthcare utilization trends for preventive, elective and nonemergency care 

 Previously-postponed care/severity increases due to delays/reduced access to care  Continuing COVID-19 testing and treatment costs 

 EBT fund balance projections support the need for approx. 6% rate increases in CY 2022 6 

ACTIVE F/T MEDICAL PLAN RATES – MONTHLY 

– 6% Increase BASIC 50% PLAN 2022 City Contribution EE Contribution EE Difference vs 2021 

Single $570 $0 $0 Family $1,269 $0 $0 

CHOICE 80% PLAN 2022 City Contribution EE Contribution EE Difference vs 2021 Single $570 $143 +$9 Family $1,269 $317 +$18 

COPAY PLAN 2022 City Contribution EE Contribution EE Difference vs 2021 Single $570 $214 +$12 Family $1,269 $645 +$36 Active Medical Plan Premium Rates for 2022 

_________________________________________________________________________________________________________________

3 Current events summary including meetings and conferences attended

4 Scheduling of meetings

5 Convene an Executive Session.

ES-008-21 Discussion or consideration of employment, assignment, appointment, promotion, demotion, salaries, discipline, dismissal,

or resignation of a public officer, appointee or employee of the City. (A.R.S. §38-431.03A (1)): 

1. City Attorney Review 

2. City Manager Review