Agenda Plus
School Board of Clay County
March 1, 2018 - Regular School Board Meeting
Title
D7 - Proposed Third Party Administrator ("TPA")/Benefit Consultant with The Bailey Group; Replacing current TPA Agreement with AON Hewitt
Description

The School District obtains a Third Party Administrator/Benefit Consultant to provide scope of services listed but not limited to the following:  Analysis of current Employee Benefit program, Procurement Assistance, Implementation, Transition and on-going Administrative support, Actuarial services, Health Care Reform and HIPAA compliance assistance.

 

Gap Analysis

TPA Commissions for calendar year 2017 were approximately $517,000.00.  Piggybacking off St. Johns County School District RFP#2017-23 could generate a lower commission cost.  

 

Previous Outcomes

Aon Hewitt has served as the TPA consultant of record for approximately fifteen (15) years, and earns commissions from the Insurance Carriers based on the amount of payments from the District to the carriers on a monthly basis.

VENDOR NAME

  COVERAGE TYPE

AMOUNT PAID BY CARRIERS

TO AON HEWITT FOR 2017

   

Delta Dental

  2 Dental Plans

$224,801.11

  

Humana

  Vision

$44,909.67

   

Kemper

  Medical Gap

$13,270.28

    

Liberty Mutual

Vol & Basic Life/AD&D/Plan B  Disability    

$93,108.81

   

Liberty Mutual

  Short Term Disability

$44,133.09

   

Liberty Mutual

  Long Term Disability

$24,933.36

   

UnitedHealthcare

  3 Medical Plans

$72,014.08

    

TOTAL  

$517,170.40

    

Expected Outcomes

The Board to approve termination of the current Consulting Agreement with Aon Hewitt and enter into an agreement with The Bailey Group, piggybacking off St. Johns County School District RFP#2017-23.

 

Strategic Plan Goal

The District ensures fiscal responsibility and equitable distribution of resources.

 

Recommendation

The Board to approve termination of current Agent Agreement with Aon Hewitt and authorize the Superintendent to negotiate and execute an agreement from piggybacking off St. Johns County School District RFP#2017-23. 
 

Contact
Dr. Susan Legutko; Assistant Superintendent of Business Affairs; (904)336-6721; Susan.Legutko@myoneclay.net
Financial Impact
Cost paid out of Insurance Commissions not to exceed $250,000.00 annually.
Review Comments
Attachments
2017-23-RFP SJCSD.pdf
2017-23-Board-Approval.pdf