HomeMy WebLinkAboutApprove Resolution No. 4162 Approving and Adopting the Montana Municipal Interlocal Authority Revised and Restated Employee Benefits Program
Commission Memorandum
REPORT TO: Honorable Mayor and Commission Members
FROM: Anna Rosenberry, Finance Director
Greg Sullivan, City Attorney
Chris Kukulski, City Manager
SUBJECT: Resolution No. 4162 Approving and Adopting the Montana Municipal
Interlocal Authority Revised and Restated Employee Benefits (Health
Insurance) Program Agreement.
MEETING DATE: May 11, 2009
RECOMMENDATION: Approve Resolution No. 4162 Approving and Adopting the
Montana Municipal Interlocal Authority Revised and Restated Employee Benefits (Health
Insurance) Program Agreement.
BACKGROUND: The Montana Municipal Insurance Authority, of which the City is a
member, is seeking to make changes to their Workers Compensation Program agreement for all
members, effective September 1, 2010. Attached is their correspondence, dated March 24 and
March 31, 2009. In his Memo on March 31st, Alan Hulse, CEO of MMIA describes the
changes in the Workers Compensation Program agreement:
“ General Changes:
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As described in my cover memo to you, consistent in all of these agreements is the change in
name from the “Montana Municipal Insurance Authority” to the “Montana Municipal Interlocal
Authority.”
We have also removed all reference to “insurance” as it relates to the MMIA. Instead, we refer
to “Coverage” under the various program agreements.
In addition, for consistency between and among the documents, “Participant” was changed to
“Member Entity”, and “premium” was changed to “Assessment”.
Employee Benefits Program Agreement: Effective July 1, 2009
The same substantive changes listed above were made to the EB Program Agreement, with the
exception that the pool assessment audit period and refund request period for this Program is
limited to 90 days.
Thus, in this Program Agreement you will also find provisions to change the name of the MMIA,
delete references to “insurance” and “premium” except where appropriate, and more accurately
identify the accounts and funds used, as well as the same provisions dealing with withdrawal,
suspension and termination from membership. In addition, the notification requirement for
withdrawal from this Program was increased from 90 to 120 days. Consistent with a policy
recently implemented by the MMIA Board, members who withdraw from the MMIA EB Program
will not be eligible for re-entry for a period of 36 months.”
FISCAL EFFECTS: None.
ALTERNATIVES: As suggested by the City Commission.
Attachments: MMIA Memo, 3/24/09
MMIA Memo, 3/31/09
Resolution No. 4162
Revised and Restated Employee Benefits Program Agreement, effective 7/1/09
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COMMISSION RESOLUTION NO. 4162
APPROVING AND ADOPTING THE MONTANA MUNICIPAL INTERLOCAL
AUTHORITY EMPLOYEE BENEFITS PROGRAM AGREEMENT
WHEREAS, the City of Bozeman (Member Entity) is duly organized under the laws of
the State of Montana; and
WHEREAS, Article XI, Section 7 of the Montana Constitution provides that a political
subdivision may (a) cooperate in the exercise of any function, power, or responsibility with, (b)
share the services of any officer or facilities with, and (c) transfer or delegate any function,
power responsibility, or duty of any officer to one or more other local government units, the state
or the United States;
WHEREAS, Mont. Code Ann. Title 7, Chapter 11, Part 1, (the Interlocal Cooperation
Act) authorizes political subdivisions to create interlocal agreements to jointly perform any
undertaking that each such political subdivision unit is authorized by law to perform;
WHEREAS, Mont. Code Ann. § 2-18-702, authorizes cities and towns to enter into
group hospitalization, medical, health, including long-term disability, accident or group life
insurance contracts or plans for the benefit of their officers and employees and their dependents;
WHEREAS, Mont. Code Ann. § 2-18-711, permits the establishment of group programs
by local government entities to provide employee group benefits;
WHEREAS, the Montana Municipal Interlocal Authority (Authority) is a joint exercise
of powers entity established pursuant to an Interlocal Cooperation Agreement in accordance with
the provisions of the Interlocal Cooperation Act for the purpose of providing pooled risk
coverage programs for the Member Entity and other political subdivisions executing the
Interlocal Agreement; and
WHEREAS, the Authority is authorized to exercise necessary powers to implement the
purposes of the Authority as established by the Interlocal Agreement;
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WHEREAS, by executing this Program Agreement, the Member Entity signatory hereto
has heretofore determined and does hereby confirm that the Assessments and other charges
required by the Employee Benefits Program have been and are just and reasonable and
advantageous to the public benefit of the citizens of such Member Entity; and
NOW THEREFORE, BE IT RESOLVED THAT the City of Bozeman hereby
approves and adopts this Employee Benefits Program Agreement.
PASSED AND ADOPTED this 11th day of May, 2009.
______________________________
KAAREN JACOBSON
Mayor
ATTEST:
______________________________
STACY ULMEN, CMC
City Clerk
APPROVED AS TO FORM:
______________________________
GREG SULLIVAN
City Attorney
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