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File #: 151562    Version:
Type: Resolution Status: Passed
File created: 3/29/2016 In control: COMMON COUNCIL
On agenda: Final action: 6/14/2016
Effective date:    
Title: Substitute resolution authorizing the Department of Employee Relations to extend the current three-year contract with Lincoln National for long-term disability services for two years.
Sponsors: THE CHAIR
Indexes: EMPLOYEE BENEFITS
Attachments: 1. Substitute Cover Letter, 2. Cover Letter, 3. LTD Renewal Letter, 4. Fiscal Impact Statement, 5. Hearing Notice List
Number
151562
Version
SUBSTITUTE 1
Reference
130205
Sponsor
THE CHAIR
Title
Substitute resolution authorizing the Department of Employee Relations to extend the current three-year contract with Lincoln National for long-term disability services for two years.
Analysis
This resolution authorizes the Department of Employee Relations to extend the current contract for long-term disability insurance benefits and administrative services with Lincoln National for two years. The current three-year contract ends on December 31, 2016. The two year extension would begin on January 1, 2017, and end on December 31, 2018. The only change from current rates would be a 15% increase for the 60-day buy-up plan, which is an employee-paid option, to decrease the waiting period before long-term disability benefits begin from 180 days to 60 days.
Body
Whereas, Common Council Resolution File Number 130205, adopted on July 23, 2013, authorized a three-year contract beginning on January 1, 2014 and ending on December 31, 2016, with Lincoln National to provide long-term disability insurance to certain City employees; and

Whereas, The City and Lincoln National agree to a two-year contract extension commencing on January 1, 2017, and ending on December 31, 2018; and

Whereas, Lincoln National has agreed that fees would remain unchanged for the core plan (180-day waiting period), the 120-day and the 90-day buy-up plans, with a 15% increase to the 60- day buy-up plan, through the term of the contract extension; and

Whereas, The City has been satisfied with the services and value provided by Lincoln National; and

Whereas, Based on Lincoln National’s offer, the Department of Employee Relations is recommending that a Request for Proposal process is not necessary at this time; 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 two-year extension of the contract with Lincoln Nat...

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