MINUTES
COUNCIL OF COLUMBUS, GEORGIA
WORK SESSION
SEPTEMBER 25, 2007
The regular monthly Work Session of the Council of Columbus, Georgia was
called to order at 9:04 A.M., Tuesday, September 25, 2007, on the Plaza Level
of the Government Center, Columbus, Georgia. Honorable W. J. Wetherington,
Mayor, presiding.
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PRESENT: Present other than Mayor Wetherington and Mayor Pro Tem Evelyn Turner
Pugh were Councilors Wayne Anthony, Mike Baker, Jerry ?Pops? Barnes Glenn
Davis, Berry H. Henderson, Julius H. Hunter, Jr., and Charles E. McDaniel, Jr.,
City Manager Isaiah Hugley, City Attorney Clifton Fay, Clerk of Council Tiny B.
Washington and Deputy Clerk of Council Sandra Davis were also present.
Councilor Evelyn ?Mimi? Woodson arrived at 9:18 a.m.
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ABSENT: Councilor R. Gary Allen was absent.
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INVOCATION: Offered by Pastor Robert Girardeau, Pastor of Our Lady of Lourdes
Catholic Church.
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PLEDGE OF ALLEGIANCE: Led by students from Allen Elementary School.
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GREATER COLUMBUS FAIR:
Mr. Dale Hester of the Civic Center said it?s that time of year again when
you can become a child again, at the Greater Columbus Fair. He said we enjoy
this time of year, as there is nothing better than to come in and watch the
parents watch their children having fun. He said they have great kiddie rides
and said he would encourage the parents to bring their children down to enjoy
the Greater Columbus Fair at the Civic Center beginning this week.
Ms. Robin Walker, also of the Civic Center said the fair will start
tonight and Wednesday, Thursday is from 6:00 p.m. to midnight. Friday night
from 6:00 p.m. ? 1:00 a.m., Saturday from 11:00 a.m. ? 1:00 a.m., and Sunday
from 2:00 p.m. ? 12:00 midnight. She said also on Saturday, they will be
offering, along with the Heart Safe Board, the free CPR classes at 10:00 a.m.
12:00 noon and 2:00 p.m. She said for the first time, they will be offering a
certification class on Saturday form 10:00 a.m. ? 4:00 p.m., and completion of
any of those classes will get you free admission to the free on Saturday.
She said this year they have more inside vendors, as well as outside vendors
than they have ever had.
Mr. Hester said these are local vendors. He said we are trying to get the
old part of the fair to come back, where we have local vendors come in and
cook.
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CONSENT AGENDA:
COMMUNITIES IN MOTION DAY:
Deputy City Manager Lisa Goodwin said Communities In Motion Day is
actually the old Try Transit Day, which is celebrated annually nationwide. She
said all Transit Systems this time of the year, this day will celebrate
Communities In Motion. She said they basically want to get the word out to the
public about the importance of transit in our community, such as ours. She said
we want people to come down to the METRA transfer center, as we will have
different vendors and sponsors to come out. She said we will also recognize
what transit means to the community. She said we would like to invite the Mayor
& Council to come out and join them and take part in this day. She said if you
have not had an opportunity to ride a METRA bus she ask that you do take time
to do on this day, as we will provide you with a pass.
THE FOLLOWING RESOLUTION WAS THEN SUBMITTED AND ADOPTED BY THE COUNCIL:
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A Resolution (414-07) - Commending and congratulating the METRA Transit
System for excellence in public transportation and declaring October 4, 2007 as
Communities in Motion Day. Councilor Hunter read the resolution in its entirety
and moved for its adoption. Seconded by Councilor Anthony and carried
unanimously by those nine members of Council present for this meeting.
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YOUTH ADVISORY COUNCIL:
Clerk of Council Washington pointed out that Councilor Baker is nominating
Ms. Vashawn Ruff, as his District 5 representative and that she needs to be
confirmed. Councilor Henderson moved she be confirmed. Seconded by Mayor Pro
Tem Turner Pugh and carried unanimously by those nine members of Council
present for this meeting.
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HOSPITAL AUTHORITY:
Clerk of Council Washington pointed out that Councilor Davis said two
nominees that he needs to make for the Hospital Authority in order that we may
forward these nominees over to the Hospital Authority for them to select
someone to succeed Mrs. Evelyn Turgeon. She then asked for a motion to allow
her to forward these two nominees over to the Hospital Authority for the
authority to select its member. Mayor Pro Tem Turner Pugh so moved. Seconded by
Councilor Barnes and carried unanimously by those nine members of Council
present for this meeting.
October 4, 2007, as COMMUNITIES IN MOTION DAY in Columbus, Muscogee, Georgia. I
call upon all citizens to support public transportation and COMMUNITIES IN
MOTION DAY, and to become more active in education and advocacy efforts to
promote the vital role that public transportation plays in shaping the fabric
of Columbus, Muscogee, Georgia and across the United States.
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WORK SESSION AGENDA:
FINANCE UPDATE:
Director of Finance Pam Hodge said this finance report was emailed to the
Mayor & Council earlier this week, but said a copy is now being distributed
around the Council table this morning.
She said this report takes us through the end of August, the second month
of the fiscal year for FY-08 and shows a comparison to where we were at the end
of August last week.
Ms. Hodge said something important to note here is that most of the
revenues that we collect in July and August is actually shown as revenue for
FY-07. She said when we receive the sales tax this month in September; it
really applies for sales tax collected in July. She said when you see our
revenues in the general fund to be $4 million; those are $4 million of revenue
that is credited to FY-08. She said any other revenue that we had received is
actually credited to FY-07.
She said in comparison to where we were last year, we are up slightly in
the general fund 5.93%. She said it?s somewhat early in the year to start using
that number as what we expect growth to be in the general fund from last year
to this year; which is only two months of revenue and most of that revenue
applies to FY-07.
Ms. Hodge said most of the revenue that we collect we have not collected
it as of the end of August. She said taxes come in during October and December,
which is a major source of revenue for the general fund.
She said occupational taxes mostly come in during April. Franchise payments
come in quarterly or annually; so we haven?t received the first quartet of
franchise payments. She said that number of 2.93% of budget is not alarming
because that?s another reason that we keep a fund balance to get us to the
first quarter until we do see those revenues come in.
She said the sewer and paving fund are up slightly from where we were at
this same time on last year. She said the reason why we see such an increase is
that this is two months of motor vehicle ad valorem taxes, where during last
year we only had one month recorded by this date. She said we also see a
dramatic increase in the integrated waste fund; which is due to the issues that
we were having at this time last year; and those issues have been corrected now
and we do see the revenue coming in the way it should be.
E911 Fund where we are down 30% going back and looking at the details of
which company have transmitted payments, some of the payments we did receive
the first week of September; so they are not recorded by the end of August.
Ms. Hodge said Economic Development, Debt Service Funds; those increases
are tax related for the motor vehicle tax where we reported one month this year
and by this time last year, we had two months reported. She said we do see a
decrease in the transportation fund; which is METRA and is due to the timing of
the receipt of grant funding. She said by this time last year, we had received
some grant funding from the Federal Government; however, we do not have that
payment in this year. She said that?s just a timing issue on grants.
Parking Management Fund ? Ms. Hodge said we are seeing a decline in the
Parking Management Fund for a couple of reasons. She said one reason is that
we had some free parking offered in the downtown area; therefore, we have not
been collecting as much revenue on the parking side because of all the
streetscapes. She said we have also seen some changes in lease payments from
our parking garage to the new parking garage; so we are not collecting as much
in these payments as we had on last year. She said we are going to be looking
at that and making some recommendations on some changes that we might want to
make.
City Manager Hugley said we have opened the new parking garage because CSU
is downtown. He said CSU were leasing parking spaces in the RiverCenter parking
garage and once the new parking garage was opened; then those lease payments
went away because they are now occupying the new garage.
City Manager Hugley and Director of Finance Pam Hodge then responded to
questions of members of the Council regarding the new parking garage.
After the conclusion of her presentation, Ms. Hodge then responded to
questions of members of the Council.
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BLUE CROSS/BLUE SHIELD-MEDICARE ADVANTAGE:
City Manager Hugley said Director of Human Resources, Mr. Tom Barron
and Director of Finance Pam Hodge have been working with Blue Cross/Blue Shield
on an Advantage Presentation and said a representative
from Blue Cross/Blue Shield is here this morning to make a presentation.
He said they identified a focus group of retirees with this government,
such as Mr. Frank Lambert, Ms. Omagene Holland, and Mr. Aubry Burt and
presented this presentation to them and said it was well received by them.
He said we thought it would be important that they bought into this and said
they have indicated nothing but support in this matter.
Mr. Richard Smith of Blue Cross/Blue Shield then came forward and made a
presentation providing the following information, as outlined below:
Examine changing Retiree Health plan from self-funded to fully insured with
enhanced benefits
Discuss the OPEB liability faced by City
Explain how the program will benefit both retirees and the City
Explore how enhanced benefits, reduced paperwork and easier administration can
actually cost less
Review proposed new benefits
Review the cost to Retirees and the City
Q & A
Snapshot of Changes
1/1/08 $100 Premium returns to current $90 monthly
$300 City plan deductible eliminated
$124 Medicare Part B deductible eliminated
Same basic benefits
Reduced paperwork
Enhanced Services
Retiree Coverage
Retired Members Under Age 65 (Not Medicare Eligible)
Retired Members Under Age 65 (Medicare Eligible due to Disability)
Retired Members Over Age 65 (Medicare Eligible)
*(Under Age 65 Dependents)
Revised Accounting Requirements
FASB 106 ? Private Sector
GASB 45/46 ? Public Sector
SOP 92-6 ? Taft-Hartley Trusts
-IMPACT-
Requires employers, during the years the employee works, to recognize the
expected cost of providing future benefits to employees, beneficiaries and
covered dependents rather than the traditional pay-as-you-go annual expense.
Who / What is GASBGASB stands for the Governmental Accounting Standards Board.
Operating from the same facilities as the FASB, this independent
(nongovernmental) authority establishes accounting principals in the United
States for Local, County, State and Federal Government organizations.
GASB 45 Issues for Public Employers
Significant, current balance sheet liability
Undefined and changing future costs of benefits
?Risk? for retiree coverage if self-funded
Inability to generate funds to match obligations and continue funding of
retiree health care benefit
Impact on Bond ratings
Misunderstood, sometimes unappreciated but anticipated retiree medical benefits
Questions you might have
Are my basic benefits changing? NO
Can I still use my current Doctors? YES
Can I still go to my chosen Hospital? YES
Can I still get Prescription Drugs from my Pharmacy? YES
Is this new coverage from a reputable company? YES
Will I have someone to call if I have Questions? YES
Is there a ?network? that I have to use? NO
Is there anything that Medicare now covers that will not be
covered by this plan? NO
What kind of Plan is this?
This Plan is called a ?PFFS? or Private Fee for Service or Medicare
Advantage Plan
This is a Medicare Intermediary program- you only work with one entity
This is a hybrid between a Medigap plan and an HMO, offering the best of both
products
Lower Premiums with more coverage relative to Medigap Plans
No network ? members see any ?willing
Medicare Provider? (deemed contracting)
Member Gains
What the PFFS Fully Insured Product Will Do for the Member
Offers the same providers as original Medicare
Uniform Benefits throughout the U.S.
Benefit and service stability with dedicated Retiree/Senior Services staffing
Single source vendor removing need for Member to file with Primary Medicare and
Supplementing Plan.
No increase in current monthly premium costs
Elimination of deductibles
Prescription co-payment reductions
Employer Gains
What the PFFS Fully Insured Product Will Do for the Employer
Offers the same providers as original Medicare
Uniform Benefits throughout the U.S.
Supplements the employer premium by the reimbursement amount WellPoint receives
from CMS for the enrollee
Single source vendor to cover entire employer population
Potential reduction in OPEB liability
Employer Saving Potential
Self Funded
Risk for all claims
Direct Admin cost
Full Internal Admin
GASB liability requires annual calculation and disclosure
Interface required for CMS reimbursements
Potential for restrictive networks for hospital, Dr. and RX
Fully Insured
No Risk for Claims
No direct Admin cost
Limited Internal Admin.
Reduce GASB Liability if Defined Contribution Approach utilized
No interface with CMS required for reimbursements
No geographically restrictive provider limitations
PFFS Non-Network Plan
Provider Deeming:
A provider or supplier is ?deemed? to have a contract with a PFFS plan if the
provider or supplier knows, before furnishing service that
1.) the beneficiary is a PFFS plan member and
2.) the provider or supplier must know either the terms or conditions of plan
payment or has reasonable access to the terms and conditions of plan payment.
All Providers, deemed or non-deemed are paid at Medicare Allowable amounts
Wellness/Medical Management
Includes incentives to notify Medical Case Management upon diagnosis of certain
classes of illness
Includes 24 Hour Nurse Line
Includes Silver & Fit a structured program to encourage exercise and overall
fitness (Health Club Memberships)
Includes SeniorLink an Elder Care Advisory and Care Management program.
Tiered Management
WellPoint Rating Process
PFFS Fully Insured
Premium Calculation
Savings and Rates
HR projects this program will save retirees
$112,440 annually in premiums
$397,288 annually in deductibles
Total Retiree Savings $509,728
The City will save an additional $800,000 annually
City savings earmarked to help fund GASB 45 liabilities
Total costs: $120.50 per month per member
Before January 1, 2008
Blue Cross/Blue Shield ?1st Impressions? Call Center
For assistance prior to the plans effective date
Dedicated Customer Service Number (after January 1, 2008
Claims Filing Process
Present you new BC/BS MA Card to your provider
Physician
Pharmacy
Hospital
2. Provider will enter new numbers into their system
3. Claims will be filed by the provider to BC/BS
4. Pay your co-pay to the provider
5. No need to file with Medicare first, BC/BS will act as intermediary with
Medicare on your behalf
6. If you have questions, you will have dedicated numbers to call
BC/BS of GA-WellPoint Facts
BC/BS of GA-WellPoint?s 42,000 associates serve 34.9 million members
one in nine Americans has health coverage through WellPoint
In 2006, we handled:
more than 245million medical claims
more than 350 million pharmacy claims
answered more than 62.7 million customer calls
In 2006, operating revenue exceeded $61 billion
SUMMARY:
GASB Liability directly affects an organizations ability to manage long term
financial obligations (i.e. Bond ratings, etc.)
GASB Liability can directly affect the City?s ability continue to provide
Retiree Benefits
Utilization of a fully insured approach to Retiree Medical coverage will
positively affect the organizations GASB 45 liability.
BC/BS of GA/WellPoint has a dedicated Senior Support unit to facilitate cost
effective and efficient implementation and ongoing support.
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TRAINING:
Mr. Jamie Mack then came forward and gave an overview of the Training for
the Columbus Consolidated Government. He highlight the Current Training that?s
being offered, which includes Management Development Program, Proposed Training
and Development, Customer Service, Continuous Improvement (CI), Continuous
Improvement Status
He went into some details outlining the Impact of CI for the future, as
well as the Benefits of Training and Development Training and
Development-Incentive Based or Mandated.
He then highlighted some Current Incentives, as well as pointed out some
Recommended Incentives.
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TRAFFIC CALMING DEVICES:
Deputy City Manager Arrington, along with Mr. Ron Smith of the Public
Services Department gave a brief report on the traffic calming devices that the
City of Columbus is looking at to assist with slowing down speeders in the
community.
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EXECUITIVE SESSION:
At the request of City Manager Hugley, Councilor Baker made a motion to
allow the Council to go into an executive session. Seconded by Councilor
Woodson and carried unanimously by those eight members of Council present at
the time, with Mayor Pro Tem Turner Pugh being absent for this vote and
Councilor Allen being absent from the meeting.
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At ll:30 a.m. the meeting was adjourned to allow the Council to go into an
executive session.
At 12:18 p.m. the meeting was called back to order at which time Mayor
Wetherington pointed out that the Council did meet in an executive session to
discuss a personnel matter, but there were no votes taken.
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With there being no other business to come before the Council, Councilor
McDaniel then made a motion to adjourn. Seconded by Councilor Baker and carried
unanimously by those nine members of Council present, with the time being 12:19
p.m.
Tiny B. Washington, CMC
Clerk of Council
The Council of Columbus, Georgia
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