Agenda Item # 1
Columbus Consolidated Government
Council Meeting
February 14, 2012
Agenda Report # 007
TO: Mayor and Council
SUBJECT: Benefits Manager Contract
INITIATED: Human Resources Department
Recommendation: Approval is requested of a resolution authorizing a 1-year
benefits manager contract extension with Northwestern Benefits Corporation of
Georgia.
Background: The City entered into a 1-year contract with Northwestern
effective June 1, 2011 and expiring on May 31, 2012. The contract allows
annual extensions for up to two (2) additional one (1) year terms, unless
either party gives written notice to the other at least sixty (60) days before
the expiration of the initial or any subsequent term.
During the initial 1-year contract period Northwestern has performed well in
all areas, improved our open enrollment processes, maintained tighter controls
over our benefits carriers, provided timely information about benefits issues
and at their own expense provided an improved on-line benefits enrollment and
management system.
Analysis: Starting with the Benefits Manager RFP process, the City has
invested significant productive resources in transitioning responsibilities to
the benefits manager that continues to strengthen control over our
multi-million dollar benefits investment. Although Northwestern has performed
well during their first contract year, much of their effort was directed at
managing the successful transition of responsibility from the prior manager,
conducting open enrollment and installing new benefits management software.
During their brief tenure Northwestern has provided excellent benefits
management service to the CCG, our employees and retirees and to the Retirees?
Health Benefits Committee.
Financial Considerations: There is no additional cost to the City for
contracting with Northwestern, as payment for services will continue to be from
commissions.
Projected Annual Fiscal Impact Statement: Although an exact number cannot be
calculated, continuing to utilize a benefits manager is expected to generate a
continued positive financial impact.
Legal: Authorization of Council to extend the contract with Northwestern is
required.
Recommendation/Actions: The City Manager, Human Resources Director, Finance
Director and Internal Auditor recommend the proposed contract extension with
Northwestern.
A RESOLUTION
NO.___
A RESOLUTION AUTHORIZING A ONE-YEAR EXTENSION OF THE BENEFITS MANAGER CONTRACT
WITH NORTHWESTERN BENEFIT CORPORATION OF GEORGIA.
WHEREAS, the City entered into a one-year contract with Northwestern on June 1,
2011, that will expire on May 31, 2012; and,
WHEREAS, the contract contains a provision for three (2) remaining one-year
contract extensions; and,
WHEREAS, the Columbus Council must authorize the recommended contract extension.
NOW, THEREFORE, THE COUNCIL OF COLUMBUS, GEORGIA, HEREBY RESOLVES AS FOLLOWS:
That the City Manager is hereby authorized to extend the benefits
management contract with Northwestern Benefit Corporation of Georgia for one
(1) additional year.
__________
Introduced at a regular meeting of the Council of Columbus, Georgia, held
the _________ day of ____________, 2012 and adopted at said meeting by the
affirmative vote of ________ members of said Council.
Councilor Allen voting _______________.
Councilor Baker voting _______________.
Councilor Barnes voting _______________.
Councilor Davis voting _______________.
Councilor Henderson voting _______________.
Councilor Huff voting _______________.
Councilor McDaniel voting _______________.
Councilor Thomas voting _______________.
Councilor Turner Pugh voting _______________.
Councilor Woodson voting _______________.
_________________________________ _________________________
Sandra T. Davis, Deputy Clerk of Council Teresa Pike
Tomlinson, Mayor
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