Agenda - 09-16-2014 - 6a - Laserfiche WebLink

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I Commissioners met with the Carrboro Board of Aldermen in 2011, there was a criteria set by 2 the library standard for calculating square footage based on population. She said, based on the 3 2010 census, this meant an 18,000 square foot library, but the projected 2012 census came out 4 to a square footage of 21,468. She feels it is important to consider the difference for Carrboro's 5 community use when looking at usable space versus gross square footage, and she would like 6 to aim for the 20,000 square feet instead of the 18,000. 7 Commissioner Dorosin asked what due diligence is remaining. 8 Jeff Thompson said the only major item remaining is the transaction structure. He said 9 all of the ground issues have been largely resolved. 10 Chair Jacobs noted that the Board has not formally picked a site yet. 11 Commissioner McKee said he wants to make sure the issue of visibility is addressed. 12 13 14 2. Employee Benefits Updates, Preliminary Renewal Estimates Regarding Calendar 15 Year 2015 Health Insurance, and Anticipated Health Care Reform Components 16 Cheryl Young introduced the new Human Resources Director, Brenda Bartholomew. 17 Brenda Bartholomew said she is excited to take this role, and it is very similar to her 18 previous role in New York, where she served for 15 years. 19 Cheryl Young reviewed the following background information from the abstract: 20 21 Effective January 1, 2014, the County changed the employee health insurance funding from 22 premium -based (fully- insured) to self- insured. The County pays United Healthcare an 23 administrative fee, including stop -loss coverage, and pays the claims costs. The County does 24 not pay a per member premium. The County will save approximately_$667,000 for the 2014 25 Plan Year, because some fees related to health care reform are not-imposed on self- insured 26 plans. 27 28 Based on early claims data, consultant Mark III has projected up to a 14.35% increase in 29 premiums for a renewal of the same benefits beginning January 1, 2015. The projected general 30 fund budgetary increase for FY 2014 -15 is $423,446 (January through June 2015). 31 32 Cheryl Young noted that in April, the original projection was a 13 percent increase, and 33 that number increased in early May, based on additional claims information. She said the 34 projection is now 14.3 percent, and it will adjust as the claims experience changes. She said 35 the final and best projections will be presented in September 2014. 36 Mark Browder from Mark II I reviewed historical data from 2013. He said the plan in the 37 end ran at about a break even position for United Healthcare. He noted that the HSA plan had 38 lower claims activity than the PPO plan. He said the plan trended up about 13 to 14 percent 39 over the prior year, but it worked out to be break even by the end. 40 He said the County transitioned to a self funded plan in 2014, and the funding level 41 remained the same as it was in 2013. He said the County saved about $600,000 by making the 42 transition, and the plans remained stable. 43 Mark Browder reviewed the slide outlining 2014 plan rates, and noted that the 44 dependent cost for the employee is less in the PPO plan than in the HSA plan. 45 Looking at the 2014 plan experience data, he noted that claims were higher in March of 46 this year. 47 He reviewed the final slide outlining 2015 claim expectation. He said they are expecting 48 about a 14% for the 2015 claim year, and this will change as the claims continue to move 49 forward in 2014.