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City of Tukwila <br />Allan Ekberg, Mayor <br />INFORMATIONAL MEMORANDUM <br />TO: <br />Finance Committee <br />FROM: <br />Stephanie Brown, Human Resources Director <br />BY: <br />Erika Eddins, Human Resources Analyst <br />CC: <br />Mayor Ekberg <br />DATE: <br />January 31, 2017 <br />SUBJECT: <br />Healthcare Broker Services <br />Contract for R.L. Evans, Broker of Record <br />ISSUE <br />Execute a contract with R.L. Evans in the amount of $50,000 for healthcare brokerage services <br />regarding the active employee and LEOFF 1 retiree plans in 2017. <br />BACKGROUND <br />The City of Tukwila's self-funded health insurance program was started in 1990. R.L. Evans <br />has been our broker since that time, helping the City to manage the costs of both the retiree and <br />active employee health insurance plans as well as negotiating competitive prices on Life, Long- <br />term Disability, Stop-Loss Insurance and IRS Section 125 Plan services. <br />DISCUSSION <br />City staff have been pleased with the expertise and the high level of customer service that R.L. <br />Evans has provided to us in the past and is confident that their ongoing service will assist the <br />City in continuing to operate a cost effective and comprehensive benefits plan. <br />A one-year guarantee for 2017 provides for a 2.6% increase over 2016 for an overall fee of <br />$50,000. It is expected that any fees and commissions collected in 2016 will offset against the <br />fees that occur in 2017. The contract expenses will be within 2017 budgeted amounts. <br />RECOMMENDATION <br />The Committee is being asked to approve the contract with R.L. Evans for Healthcare Broker <br />Services and forward this item to the subsequent February 21 Regular Meeting Consent <br />Agenda. <br />ATTACHMENTS <br />R.L. Evans Contract, Scope of Services and Method of Payment <br />