A SPECIAL MEETING of the Board of Chippewa County Road Commissioners was duly held in their offices located at 3949 S. Mackinac Trail, Sault Ste. Marie, Michigan on September 12, 2007.

 

The meeting was called to order at 10:15 a.m.

 

PRESENT:  Commissioners Carr, Holt and MacDonald, Manager Heckman and Office Mgr. Decker.

 

Also present was Mr. Cameron Cronkright, Blue Cross/Blue Shield Representative.

 

Purpose: Health Insurance Options

 

Commissioner MacDonald opened discussion by stating that the Road Commission cannot afford to keep paying each year increased amounts seen in the recent past and should look at different options that would substantially reduce the increases.

 

Mr. Cronkright started by giving the Board an overview of our current system and how the self-funded program is structured.  Approximately 10% of costs are the administrative fees and stop loss fees and 90% are actual claims paid through usage.  He indicated areas to shift costs are deductibles and co-pays as well as paying a share of premium based upon the illustrative rates.

 

Illustrative rates/self-funded vs annual premiums were debated and pros and cons discussed.

 

UP Blue option was discussed and the benefits of the rider.  This rider would only affect current employees not retirees and would give discounts on premiums if employees use providers in-state.  Benefit to this rider is seen by directly reducing the premium or illustrative rate.

 

Retirees were discussed and options available and what other counties are doing with health care.  Road Commission liability with Medicare eligible retirees is 20% after Medicare and 100% of drug costs.  Retirees ages 55-65 are the most costly because the Road Commission pays 100% of the costs.

 

Mr. Cronkright reviewed the latest quarterly settlement and explained the bottom line numbers and how monthly payments are figured.

 

He also reviewed Benefits At A Glance for our current coverage for BC/BS.  Deductibles and co-pays were discussed and how they can affect the overall program.  Options were given.  Vision and Dental benefits explained and options given for changes to deductibles and co-pays.

 

There being no further business to come before the Board it was MOVED by Commissioner Holt SECONDED by Commissioner Carr that the meeting be adjourned at 12:05 p.m.

 

MOITON CARRIED BY UNANIMOUS ROLL CALL VOTE.

 

 

 

________________________     ________________________

Brian F. Decker              Clifford H. Carr

Deputy Clerk                 Chairman