Number
231438
Version
SUBSTITUTE 1
Reference
Sponsor
THE CHAIR
Title
Substitute resolution authorizing the Department of Employee Relations to extend the current contract for administration of worker’s compensation services.
Analysis
This resolution authorizes the Department of Employee Relations to extend its current contract with CorVel Enterprise Comp, Inc. (CorVel) for the provision of worker’s compensation claims administration services for the City of Milwaukee.
Body
Whereas, The City of Milwaukee currently self-insures its worker’s compensation benefits and outsources the claim administration functions to a third-party administrator (TPA); and
Whereas, The Department of Employee Relations (DER) works closely with CorVel regarding the administration of the worker’s compensation claims processing and management functions to address ongoing and complex issues associated with the City’s account; and
Whereas, CorVel has been a good partner with the City in resolving current problems and working with the City to adhere to the performance guarantees outlined within the current contract; and
Whereas, Due to the complexity of City’s worker’s compensation program and the claims administration functions along with the positive performance by CorVel, the DER would like to further extend the contract for an additional three years; and
Whereas, CorVel has agreed to keep contract fees, outside of the performance guarantees, flat for the first year of contract extension; and
Whereas, The DER will negotiate reasonable fee increases with CorVel for the remainder of the contract extension term; now, therefore, be it
Resolved, By the Common Council of the City of Milwaukee, that the Department of Employee Relations is authorized to extend the current contract for worker’s compensation claims administration services for up to three years ending March 31, 2027.
Requestor
Department of Employee Relations
Drafter
Renee Joos
1/24/2024