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Home My WebLink About04/09/2013 Study Session MinutesSTUDY SESSION MINUTES 11555 W. Civic Center Drive Marana, Arizona 85653 Council Chambers, Apri19, 2013, at or after 6:00 PM Ed Honea, Mayor Patti Comerford, Vice Mayor David Bowen, Council Member Herb Kai, Council Member Carol McGorray, Council Member Jon Post, Council Member Roxanne Ziegler, Council Member �.�� 1]�i.�E.3.�17� CALL TO ORDER AND ROLL CALL. Mayor Honea called the meeting to order at 6:00 p.m. Town Clerk Bronson called roll. All Council Members were present. PLEDGE OF ALLEGIANCE/INVOCATION/MOMENT OF SILENCE. Led by Mayor Honea. APPROVAL OF AGENDA. Motion to approve by Council Member McGorray, second by Council Member Ziegler. Passed unanimously. CALL TO TAE PUBLIC. No speaker cards were presented. DISCUSSION/DIRECTION/POSSIBLE ACTION D1: Presentation: Relating to Personnel; discussion and consideration of proposed employee benefits health insurance plans for fiscal year 2014. Presented by Ann Berkman, who introduced the Human Resources team who have been working on the benefits package, including Lupita Chavez and Nikki Hemphill. Ms. Berkman gave an update on medical group purchasing discussions with other local municipalities, the Arizona Public Employers Health Pool, a request for proposal from life and disability benefits and online enrollment for employees through Munis as an additional feature of that system. The town got a three-year renewal with no rate increase from Hartford on the life and disability benefits and some additional services. She then noted the goals and strategies for FY 2014, including a review of utilization. Ms. Berkman noted that about 78 percent of the Copper Plan is paid out on claims as opposed to the Teal Plan with 34% of the claims. The Copper Study Session Minutes — April 9, 2013 Page 1 of 4 Plan is more costly to pay for and has a greater impact on the cost of the plan. They looked at the utilization and found that 18 percent of inembers are spouses and are costing 43 percent on the plan, and that is relatively high. So that might be area to apply increases in cost-sharing. HR is also look at adding a third plan this year which is the high deductible health savings account. It usually takes a few years for people to feel comfortable making that move. They also found areas where they want to do more education: the use of the emergency room vs. urgent care. Cigna found that 22 percent of emergency visits were considered inappropriate, but staff is not sure employees know the difference. It's cheaper for employees and takes less time. They will also continue on the wellness effort which will help the utilization numbers. The committee looked at proposed changes such as increasing prescription tiers. There would be no changes in generic tier. This could result in a$42,000 savings. Increasing the Copper Plan deductible from $100/$200 to $200/$400 could result in a$23,000 savings, and introducing the consumer-driven health care option by offering an HDlHAS plan. Ms. Berkman also noted that Cigna initially renewed at nine percent; Gallagher Benefits negotiated to six percent and plan design changes resulted in only a 4.2 percent increase. She then referred to a chart showing the increases for the deductibles and contribution changes for each of the plans for FY 2014. The Affordable Care Act costs have not been passed on to the Teal Plan because those costs are so low now. When the Teal Plan started there were 17 people enrolled, and there are now 72 enrolled. There was further discussion with Council as to how to incentivize employees to use the lesser cost plans so that the town isn't subsidizing employees' spouses who have other insurance. Ms. Berkman explained some of the issues that arise in those scenarios. D2: Relating to Commerce; authorizing the Town Manager to investigate and initiate a separate tourism and visitors strategy for Marana. Mr. Davidson presented this item. As discussed at last week's meeting, this is the formal authorization to proceed with the Town of Marana establishing its own convention and visitors bureau program. Discussions centered on a multi-phased approach. The first phase is working with a consultant who is familiar with marketing and the convention business. This would be establishing what's involved and then making decisions after that first year on a broader RPF/RFQ process with a longer term partner who would help us grow the program. One of the things we would want to look at is working with members of our business community, our resorts and our local chamber of commerce. All of that would be explored as part of the first year phase. This motion would be giving authority to do that. Motion to proceed as discussed by Mr. Davidson by Vice Mayor Comerford, second by Council Member McGorray. Passed unanimously. D3: Resolution No. 2013-032: Relating to Utilities; approving and authorizing the Mayor to execute the Intergovernmental Settlement Agreement between Pima County and the Town of Marana Relating to the Provision of Sewer Service. Presented by Mr. Cassidy, who noted that the town has negotiated a settlement with the County. There is one change from the documents as contained in the agenda materials. He expanded the resolution Study Session Minutes — April 9, 2013 Page 2 of 4 authorizing the settlement a bit to lay out some historic timing facts as to when the town Council approved the 1979 intergovernmental agreement. There is now an additional WHEREAS clause in the resolution with some historical information that wasn't appropriate for the settlement agreement. Due to a conflict on this item, Council Member Kai left the dais at 6:58 p.m. Motion to approve the resolution as amended by Council Member McGorray, second by Council Member Post. Passed 6-0. Council Member Bowen thanked the Council for their hard work in bringing this to fruition as well as Gilbert Davidson, Frank Cassidy and other town staff. He also was appreciative of county supervisors for being able to review this again, and Michael Racy, who he believes has shown himself to be a true friend of the town in helping us go between the town and county on many occasions. Mayor Honea thanked many people who worked on this agreement, whether at the legislature, writing agreements, negotiating back and forth as well as our professional staff who have been running the plant on very short notice. He particularly noted the work of Mr. Cassidy, who he said was the author of the document that basically ended up being the settlement agreement which was a really good piece of work. The Mayor further noted that he and other members of the Council have been negotiating this settlement from the beginning, and he believes this is a good day for the town of Marana and he hopes the relationships with the county will improve. He believes this will give Marana an opportunity in the north area to do some great things in the future. Executive Session pursuant to A.R.S. §38-431.03 (A)(3), Council may ask for discussion or consultation for legal advice with the Town Attorney concerning any matter listed on this agenda. Mayor Honea called for a mation to go into executive session on Items E 2 and E3. Motion by Council Member Ziegler, second by Vice Mayor Comerford. Passed unanimously at 6:01 p.m. 1: E1: Executive Session pursuant to A.R.S. §38-431.03 (A)(3), Council may ask for consultation for legal advice with the Town Attorney concerning any matter listed on this agenda. 2: E2: Executive session pursuant to A.R.S. § 38-431.03(A)(3),(4) and (7), for discussion or consultation with the Town's attorneys and to instruct the Town's representatives concerning (1) the lawsuit entitled Pima County v. Town of Marana, Maxicopa County Superior Court No. CV2011-099966 and (2) pending legal issues, settlement discussions and contract negotiations relating to the transition of Marana wastewater collection and treatment from Pima County to the Town of Marana. Due to a conflict, Council Member Kai was excused from this discussion. 3: E3: Executive Session pursuant to A.R.S. § 38-431.03(A)(3), (4), and (7) for discussion and consultation with the Town's attorneys for legal advice and to consider the Town's position and instruct its representatives regarding pending negotiations with the Arizona State Land Department concerning the Tortolita Preserve Lease. Motion for authorization to proceed as proposed in executive session by Council Member Post, second by Council Member McGorray. Passed unanimously. Study Session Minutes — April 9, 2013 Page 3 of 4 ADJOURNMENT. Motion to adjourn by Council Member Post, second by Council Member McGorray at 7:03 p.m. Passed unanimously. CERTIFICATION I hereby certify that the foregoing are the true and correct minutes of the Marana Town Council meeting held on Apri19, 2013. I further certify that a quorum was present. yn C. �jfonson, Town Clerk Study Session Minutes — Apri) 9, 2013 Page 4 of 4