HomeMy WebLinkAbout2001-09-12 Government Operations Committee Minutes . Government Operations Committee
September 12, 2001
Minutes
Attendance: Councilors Farnham, Baldacci; Barrett, Farrar, Cammack, Hodges, J.
Sennett, P. Cerini
1. Refurbishment of Ladder 1 — Bangor Fire Department
The City's only aerial ladder truck is a 1988 Pierce-Arrow (105 feet), and�it is in
need of repair and rehabilitation to extend its service life. Funding for this project,
estimated at approximately $226,000, will be included in the City's upcoming bond
issue, which has been previously discussed and reviewed during the FY02 budget
process. Refurbishing this necessary piece of equipment will extend its life for
approximately ten more years, and will avoid the necessity of replacement, which could
cost between $800,000 and $900,000. As Pierce manufactured the ladder truck
originally, it was staff's recommendation for the Company to perform the refurbishment
as well.
Committee approved staff's recommendation to award contract for work to
� Pierce Manufacturing in the amount of $225,995. This will proceed to Council for final
action.
2. Paramedic Bicycle Patrol Program Update — Bangor Fire Department
This item was brought to the Committee as an informational update. Chief
Cammack indicated that he did not seek the Committee's approval for funding at this
time but would be coming back to the Committee in February, March or April of 2002
for funding approval. Paramedic Jeff Sennett updated the Committee on the program.
The Police Department provided the Fire Department with two bicycles which are in
service. Other items needed are estimated at approximately $15,000. Sennett indicated
that funding needs will include new bikes, Lifepak 5 defribulator, brackets and bags for
the bikes to carry equipment, and maintenance. Each biker will carry approximately 40
pounds of equipment so the Department needs bicycles with full suspension In light of
the upcoming Folk Festival, Cammack felt that additional bicycle patrol was timely. Bike
patrols will be used at the Race for the Cure event and were in use for the Labor Day
Road Race. In response to Councilor Baldacci, the City Manager indicated if the bicycle
purchase is over $10,000, it would go out for bid. Cammack indicated that Sennett
would get three quotes from three vendors and will chose the least expensive item. An
estimated price for each bike is $1,200. During the Folk Festival, the Fire Department
plans to have at least four bike patrollers on duty.
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• 3. Council Ordinance 01-357 Amending Schedule 1 of Chapter 291, Article
3 of the Code of the City of Bangor— Parking Prohibited At All Times —Third
Street— Bangor Police Department
Officer Hodges indicated he had received a request from Pat Cerini, the
proprietor of 122-124 Third Street, asking to prohibit parking for the entire section of
Third Street between her driveway and Warren Street beside the Rescue Mission.
Hodges indicated it is difficult for vehicles exiting the apartment building driveway to
clearly see oncoming vehicular trafFic. Hodges recommended prohibiting parking for
one parking space.
Pat Cerini spoke regarding the request indicating the problem is worsened during
the winter months. Cerini has posted a '�do not block driveway" sign on her building
but it has not been effective.
Farnham recommended approval of staff's suggestion but did ask that the Police
Department insure that it is a workable solution. If not, then staff would come back to
the Committee with another recommendation.
Committee approved stafF's recommendation to approve Council Ordinance 01-
357 to establish a small parking prohibited zone on 3rd Street to assist in providing
� adequate site line for vehicles exiting a parking lot. The item will be referred to the City
Council for final approval.
4. Group Health Insurance Review Process
Bob Farrar, Assistant City Manager, spoke to the Committee regarding group
health insurance rates. Farrar indicated that health insurance has become a serious
issue for the City and its employees. The past two years have shown rate increases
approaching 50%. Staff felt a review process was important to educate the employees
and to look at alternative options with hopes to arrive at a plan to help minimize the
size of the increases to a limited degree. Generally, there are other health insurance
plans availabte but with high co-pays, high deductibles, and do not provide the level of
coverage currently provided by Anthem Blue Cross-Blue Shield. The City has several
groups of employees consisting of 725 participants: ii.unions, non-unionized,
employees at Bangor Public Library, Housing Authority, and 225 retirees. Many of the
groups have differing opinions on the type of health pfan needed. As an example, the
Police Department tends to have a younger workforce and they would prefer a plan
with a very high deductible, higher co-pays with a lower premium. One health
insurance plan does not fit the overall group of City employees. If the City were to
provide 4-5 different plans making smaller pools of employees, the health insurance
companies say the risk is greater resulting in a higher premium.
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� The City's total premium is approximately $4.5M with the employee's
contribution at an approximately $1M. The traditional BC/BS plan is approximately
$11,300/year with the employee paying approximately $2,800 annualfy and the
employer pays $8,500. With the HMO plan, the employee pays almost $4,600/annually
and the City at $8,500. The co-pay arrangement with the City and its employees started
in 1988. City employees with a safary of $30-32,000/annually or less actually lost
money after the cost-of-living increase this year due to the increased health insurance
premiums.
All unions have concurred to participate in this review process. Anthem has
volunteered to participate to provide information and education. Etna, Signa, and
Anthem are the only three health insurance providers in Maine. Language within the
union contracts states that the City has the right to change health insurance carriers, to
join a group plan, or to self-insurance so,long as that action does not reduce the level
of benefits that the City currently providers. If the co-pay or deductible is changed, it
technically becomes a negotiabte issue with the unions.
In order to have a clear comparison, Baldacci asked that the analysis provide the
cost differences with other plans and other providers. Farrar said that part of the
problem is that in order to get that information the City has to provide a specific plan to
the carriers. In essence, a trial insurance package has to be put together and provided
� to the carriers. Anthem is the only provider who writes the City's current plan. Baldacci
asked about ofFering a lower benefit plan with the City paying more of the premium.
Farrar indicated that CNF did drop out of the City's health plan. Baldacci
suggested a meeting with the Council and Bangor Nursing and Rehabilitation Center for
a status update.
Blue Cross has indicated that if the City were to leave the current traditional and
HMO plan for one year, then wanted to return to Anthem at a future time, those two
plans would no longer be available.
Most municipalities are in the MMA Health Trust plan. Their rates are within a
few dollars of the City's current plan. From a budgeting standpoint, the MMA plan is
budgeted on a calendar year basis which puts the City in a position of not knowing how
to budget for the second 6-month period.
Staff's goal is to have a series of ineetings throughout the fall and, if there is
interest or consensus, to take further action or explore other options. This would allow
sufficient time to undertake a follow-up course of action prior to the June 30, 2002
expiration of the current Anthem contract. There will be separate meetings held with
the 11 union groups and non-unionized, etc. in a separate meeting. The goal will be to
• reach a consensus. Farrar was frank indicating that there may not be a consensus. If a
consensus is reached, the bid process needs to be started in January/February 2002 for
• any potential change July 1, 2002. It may be that an additional year may be required
due to the complexity of the issue.
With no further business to come before the Committee, the meeting adjourned at 5:45
p.m.
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