Number
190021
Version
SUBSTITUTE 1
Reference
181715
Sponsor
THE CHAIR
Title
Substitute resolution authorizing the Department of Employee Relations to execute a contract for administration of the City’s health and prescription drug benefits
Analysis
This resolution authorizes the Department of Employee Relations to execute a three year contract for health plan and prescription drug benefit (PBM) services commencing January 1, 2020.
Body
Whereas, The City’s current contract with UnitedHealthcare (UHC) and OptumRx expires on December 31, 2019; and
Whereas, Common Council File 181715 authorized the Department of Employee Relations to initiate a review and selection process for health plan and PBM services beginning January 1, 2020; and
Whereas, The Department of Employee Relations, on behalf of the City of Milwaukee, and its Benefits Consultant, Willis Towers Watson, worked in collaboration with Milwaukee County and the Milwaukee County Transit System (MCTS) to execute the current review process; and
Whereas, A review and evaluation committee comprised of multiple representatives from the City of Milwaukee, Milwaukee County and MCTS along with Willis Towers Watson reviewed and evaluated responses and financial terms; and
Whereas, The review committee is recommending UnitedHealthcare for health plan administrative services based on their deep network discounts and broad network access; and
Whereas, The review committee is recommending OptumRx for PBM services based on their competitive financial terms, flat administration fees and commitment to improving integration efforts with UHC; now, therefore be it
Resolved, By the Common Council of the City of Milwaukee that the Department of Employee Relations is authorized to execute a three year contract with UnitedHealthcare and OptumRx for health plan administration and pharmacy benefit management services commencing January 1, 2020.
Requestor
Drafter
Renee Joos
07/19/19