Number
160680
Reference
140072 & 140073
Sponsor
THE CHAIR
Title
Substitute resolution authorizing the Department of Employee Relations to extend the current contract with UnitedHealthcare and OptumRx and execute a three year extension for health benefit plan administrator and prescription benefit management services for the City.
Body
Whereas, Common Council File Numbers 140072 adopted June 3, 2014 and 140073, adopted July 22, 2014, authorized contracts with UnitedHealthcare and OptumRx to provide health benefit plan administrator and prescription benefit management services for the City;
Whereas, The City and UnitedHealthcare and OptumRx agreed to a three-year extension commencing January 1, 2017 and ending December 31, 2019; and
Whereas, UnitedHealthcare has agreed to a small administrative fee increase in 2017 and then no additional administrative fee increases through 2019; and
Whereas, OptumRx has agreed to improved contract terms including flat administrative fees, decreased dispensing fees and higher rebates; and
Whereas, The City is interested in sustaining good healthcare and prescription drug benefits for members at the most affordable costs and The City has been satisfied with the services provided by UnitedHealthcare and OptumRx; and
Whereas, based on the offers from the UnitedHealthcare and OptumRx the City recommends that no RFP process is 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 commence a three-year contract extension with UnitedHealthcare and OptumRx, to provide health benefit plan administrator and prescription benefit management services for the period commencing January 1, 2017 and ending December 31, 2019.
Requester
Department of Employee Relations
Drafter
Renee Joos
9/29/16