View Agenda Item

3.B.

Employee Benefit Trust Board Meeting

Meeting Date:: 03/10/2021
Department Head:: Maria Munoz
Submitted By:: Maria Munoz, HR Benefits Coordinator, Human Resources Department

ITEM:

Discussion and possible action on any and all matters regarding renewal of a broker agreement with Susan Posada Agency, Inc. (Edgardo Carbajal, Acting Director of Human Resources)

SUMMARY:

The current broker agreement expires on June 30, 2021. Susan Posada has advised the Trustees and the City of San Luis since 2013. Attached to this Agenda Item, Ms. Posada provided commission history, the initial April 1, 2013, contract with its exhibits and the 2016 and 2019 amendment. Current proposed amendment agreement ranges from 2021 to 2024.

Services
The services include (but are not limited to) the following consultant and brokerage services on the following benefits for both the U.S. and Mexico Plans:
-Medical,
-Prescription Drugs,
-Dental,
-Short-term Disability/Salary Continuation,
-Long-term Disability,
-Group Life Insurance,
-Voluntary Life and Accidental Death and Disability, and
-Other related services.

In addition, the agreement provides that Ms. Posada will :
-give information on legislative developments affecting employee benefit plans,

-meet quarterly, semi-annually and annually for strategic planning for the Trust, and

-assist with the administration of the programs, including resolution of vendor service issues and addressing employee and management questions.

RECOMMENDATION / SUGGESTED MOTION:

I MOVE TO APPROVE THE EXTENSION OF THE BROKER AGREEMENT AS PRESENTED

Fiscal Impact

Fiscal Impact:

The Broker/Consultant Commission shall not exceed 5% of the fully insured equivalent as determined by EBSO or the appointed Third-Party Administrator (TPA) each year. This amount is calculated by the TPA and provided as a Per Employee Per Month (PEPM) format.

The fee for the duration will not exceed $35 PEPM (Same rate fee from 2018).

AgendaQuick™