Minutes - 06/10/2003 - Board of Trustees1
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MINUTES OF THE JUNE 10, 2003 REGULAR
MEETING OF THE PRESIDENT AND BOARD OF
TRUSTEES OF THE VILLAGE OF OAK BROOK
APPROVED AS WRITTEN ON JUNE 24, 2003.
CALL TO ORDER:
The Regular Meeting of the Village Board of Trustees was called to order by
President Quinlan in the Samuel E. Dean Board Room of the Village Commons
at 7:33 p.m. The Pledge of Allegiance was given.
ROLL CALL:
Village Clerk Linda Gonnella called the roll with the following persons
PRESENT: President Kevin M. Quinlan, Trustees Stelios Aktipis, George T.
Caleel, Susan Chase Korin, Elaine Miologos and Asif Yusuf.
ABSENT: Trustee John W. Craig
IN ATTENDANCE: Richard B. Boehm, Village Manager; Robert L. Kallien,
Jr., Director of Community Development; Darrell J. Langlois,
Finance Director; Richard A. Martens, Village Attorney; Ruth A.
Martin, Library Director; Allen W. Pisarek, Police Chief; Bonnie
Sartore, Bath & Tennis Club Manager; Acting Fire Chief James
Bodony; Robert Morton, Battalion Chief and Gail Peterka,
Communications Supervisor.
ANNOUNCEMENTS AND OPEN FORUM:
President Quinlan announced that resident Ty Warner has kindly offered to
sponsor the 2003 Independence Day Fireworks and celebration in its entirety.
Bath & Tennis Club Manager Sartore will have further information on this.
Trustee Caleel asked if there is any update relating to the reopening of Spring
Road since on June 16th road rejuvenation will begin on Ogden Avenue which
will also produce heavy traffic congestion. Village Manager Boehm explained
that due to the inclement weather the Hinsdale Sanitary District's project on
Spring Road took longer than anticipated. Final paving should be finalized
shortly and possibly done this Thursday morning with the road opened by the
weekend. A bump appears on 31" Street from this project and the resolution of
that is still pending.
President Quinlan announced that the Board will not adjourn to closed session
this evening.
VILLAGE OF OAK BROOK Minutes
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Page 1 of 14 June 10, 2003
CALL TO ORDER
ROLL CALL
ANNOUNCE
MINUTES
4. APPROVAL OF MINUTES:
REG BOT 052703
Motion by Trustee Aktipis, seconded by Trustee Caleel, to approve the Minutes
of the Regular Board of Trustees Meeting of May 27, 2003 as presented and
waive the full reading thereof. VOICE VOTE: Motion carried.
CONSENT AGENDA: C. AGENDA
All items on the Consent Agenda are considered to be routine in nature and will
be enacted in one motion unless someone requests an item to be removed for
further discussion.
President Quinlan asked that Item 5. H. REVIEW— RECONFIGURATION OF
DETENTION BASIN ON LOT 1 - SUE BOON SUBDIVISION be removed
for further discussion.
Motion by Trustee Caleel, seconded by Trustee Yusuf, to approve the Consent
Agenda as amended and that the Board has determined that the circumstances
necessitating the change orders were not reasonably foreseeable at the time the
contract was signed and that the change orders are in the best interest of the
Village and are authorized by law. ROLL CALL VOTE:
Ayes: 5 - Trustees Aktipis, Caleel, Korin, Miologos and Yusuf.
Nays: 0 - None.
Absent: 1 - Trustee Craig. Motion carried.
BILLS-
A. APPROVAL OF BILLS - $607,050.33 APVL
$607,050.33 50.33
SIGNIFICANT ITEMS INCLUDED ABOVE:
1) RATHJE & WOODWARD — VILLAGE OF OAK BROOK VS
DUPAGE HOUSING AUTHORITY - $24,148.15
2) J & R NUMBER ONE IN ASPHALT — PAYOUT #5 — MUNICIPAL
COMPLEX PAVING PROJECT - $20,624.36
B. APPROVAL OF PAYROLL FOR PAY PERIOD ENDING MAY 24, 2003 PYRL - $708,469.01
- $708,469.01
C. CHANGE ORDERS:
CHNG ORDERS
1 CHANGE ORDER 42 - $23,686.00 - COMMUNICATIONS CENTER CO a2 -CHGO
COMM SERV INC. -
- CHICAGO COMMUNICATION SERVICE, INC. - REVISED COMM CTR -
TOTAL CONTRACT AMOUNT - $345,874.00 $23,686.00
2 FINAL CHANGE ORDER - $35,000 — LIBRARY BUILDING ENL CO - HARBR
CTRCTRS - LIB
PROJECT — HARBOUR CONTRACTORS, INC BLDG PROD $35,000
VILLAGE OF OAK BROOK Minutes Page 2 of 14 June 10, 2003
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5. D. REFERRALS:
REFERRALS
1) BARATH — 3 HAMPTON DRIVE — REQUEST FOR VARIATION — HAMPTON DR
TITLE 13 — ZONING ORDINANCE — REFER TO THE ZONING ZNG VAR
BOARD OF APPEALS FOR PUBLIC HEARING AT ITS JULY 1,
2003 MEETING
E. AUTHORIZATION TO SEEK BIDS OR PROPOSALS OR NEGOTIATE SK BIDS, PROP OR
NEG CNTRCTS
CONTRACTS: None.
F. AUTHORIZE ANNUAL CONTRIBUTION TO THE DUPAGE COUNTY ANN CONTR DP
CTY CHLDRNS CTR
CHILDREN'S CENTER - $2,500.00 S2,500
G. ORDINANCE 2003 -CB -G -720, "AN ORDINANCE REPEALING ORD 03 -CB -G -720,
RPL ORD G -399 CBL
ORDINANCE G -399 ENTITLED AN ORDINANCE PROVIDING FOR TV ORD
THE FRANCHISING AND REGULATION OF CABLE TELEVISION
SYSTEMS IN THE VILLAGE OF OAK BROOK, ILLINOIS"
H. REVIEW — RECONFIGURATION OF DETENTION BASIN ON LOT 1 - REMOVED FOR
FURTHER DISC.
SUE BOON SUBDIVISION: Removed for further discussion.
I. APPROVAL OF TIME EXTENSION TO COMPLETION DATE — SUE TIME ExTNSN -
COMP DATE - SUE
BOON SUBDIVISION BOON SUB
J. APPROVE INTERGOVERNMENTAL AGREEMENT — NEW FIRE INTGVNMNTL
AGREE - FIRE RDO
RADIO FREQUENCY FREQ.
K. PROFESSIONAL SERVICES FROM GAGE - BABCOCK & PROF SERV - PLN
REVw
ASSOCIATES, INC.
6. ITEMS REMOVED FROM CONSENT AGENDA:
RMVD C AGNDA
5. H. REVIEW — RECONFIGURATION OF DETENTION BASIN ON LOT 1 - RECONFIG DETEN
BASIN LOT l - SUE
SUE BOON SUBDIVISION BOON SUB
In 1999, the Village approved the Sue Boon Subdivision, a three lot
subdivision on York Road just south of 31St Street. The subdivision
improvements included the construction of the detention basin on Lots 1
and 2 as a dry bottom grassy area. The owner of Lot 1 is proposing to
construct a home that is significantly larger than the anticipated building
pad shown on the subdivision drawings and has developed engineering
plans to make the detention facility into a wet bottom lake with a reduced
footprint. Staff is reviewing the technical issues of this reconfiguration,
such as detention volume and plats and legal documents in which to
accomplish this, and has noticed a significant departure from the Typical
Lake Section found within the Public Works Construction Standards.
VILLAGE OF OAK BROOK Minutes
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Page 3 of 14 June 10, 2003
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5. H. This Typical Lake Section depicts a lake cross section with gradual grass
side slopes proceeding uphill from the normal water level. Note that both
under -water and above -water safety ledges are depicted since residential
subdivision anticipates small children. The issue is one of safety with the
concept being to provide a relatively flat area around lakes just above the
normal water level to catch a falling person before they enter the water.
7
The proposed reconfiguration, as shown on the grading plan entitled "Lot 1
— Sue Boon Subdivision" has a retaining wall along the south and easterly
edges of the proposed lake approximately three (3') feet tall. At the bottom
of the retaining wall is a 3:1 ground slope going down into the water. An
underwater safety ledge is provided. Had this wall section been part of the
original subdivision plan, it would have been reviewed by the Plan
Commission and the Village Board.
Motion by Trustee Miologos, seconded by Trustee Korin, that this be
referred to the Plan Commission for further review. ROLL CALL VOTE:
Ayes: 5 - Trustees Aktipis, Caleel, Korin, Miologos and Yusuf.
Nays: 0 - None.
Absent: 1 - Trustee Craig. Motion carried.
BOARD & COMMISSION RECOMMENDATIONS: None. BD /COMM RECOM
ACTIVE AGENDA (Items for Final Action): ACTIVE AGENDA
A. CONFIRMATION OF APPOINTMENTS: CNFRM APPTS
1) POLICE PENSION FUND BOARD L] BRANS FND
D
CLINGEN
President Quinlan recommended the appointment of Brian Clingen to
the Police Pension Fund Board with a two -year term expiring May,
2005.
Trustee Korin recused herself from the discussion or vote as the
appointee is a relative to her family.
Motion by Trustee Caleel, seconded by Trustee Yusuf, to concur with
the Village President's recommendation to appoint Brian Clingen to the
Police Pension Fund Board. VOICE VOTE: Motion carried.
VILLAGE OF OAK BROOK Minutes Page 4 of 14 June 10, 2003
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8. B. ORDINANCES & RESOLUTIONS:
ORD /RES
1 ORDINANCE 2003- PW -WPA -EXI -S -1039, "AN ORDINANCE ORD03- PW -WPA-
EX1 -S -1039, PREV
ASCERTAINING THE PREVAILING RATE OF WAGES FOR RTE OF WAGES
LABORERS WORKERS AND MECHANICS EMPLOYED IN
PUBLIC WORKS IN THE VILLAGE OF OAK BROOK, DUPAGE
AND COOK COUNTIES, ILLINOIS."
Pursuant to the provisions of the Prevailing Wage Act, the State requires
that each June the Village pass an ordinance ascertaining the prevailing
rate of wages for various trades employed in performing construction on
public works within the Village. The Illinois Department of Labor has
released statistics relative to such prevailing wage rates for DuPage and
Cook Counties.
Motion by Trustee Miologos, seconded by Trustee Caleel, to approve
Ordinance 2003- PW -WPA -EXI -S -1039, "An Ordinance Ascertaining
the Prevailing Rate of Wages for Laborers, Workers and Mechanics
Employed in Public Works in the Village Of Oak Brook, DuPage and
Cook Counties, Illinois," ascertaining the prevailing rate of wages for
various trades employed in performing construction in public works
within the Village of Oak Brook. ROLL CALL VOTE:
Ayes: 5 - Trustees Aktipis, Caleel, Korin, Miologos and Yusuf.
Nays: 0 -None.
Absent: 1 - Trustee Craig. Motion carried.
2 RESOLUTION 2003 -LY -R -850 "A RESOLUTION AUTHORIZING RES 03 -LY -R -850,
NON -RES LIB CRD
AND DIRECTING THE OAK BROOK PUBLIC LIBRARY TO PROG.
PARTICIPATE IN THE NON - RESIDENT LIBRARY CARD
PROGRAM FROM JULY 1 2003 TO JUNE 30,2004."
In accordance with the administrative rules and regulations
implementing Public Act 92 -0166, the governing body of each public
library is required to adopt a resolution annually to authorize and direct
the library to participate in the non - resident card program.
Prior to the passage of P.A. 92 -0166, State law and library system
membership codes varied regarding whether non - resident cards could be
sold and what privileges were provided to a non - resident cardholder.
P.A. 92 -0166 standardized non - resident rules across the State. Each
library governing board has the option to participate or not participate.
Last year, the Village Board of Trustees adopted a resolution directing
OBPL to participate in the program from July 1, 2002 through June 30,
2003.
VILLAGE OF OAK BROOK Minutes Page 5 of 14 June 10, 2003
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8. B. 2) Upon the recommendation of the Library Commissioners, staff proposes
that the Village Board authorize the Library to participate in this
program from July 1, 2003 through June 30, 2004. The cost for a non-
resident card during 2003 is $379.00 using the State's mathematical
formula. (The tax bill method can only be applied if a property tax is
levied on the residents of the service area. As Oak Brook residents are
not taxed for library service, this method is unavailable for setting the
price of the non - resident card.)
Motion by Trustee Caleel, seconded by Trustee Korin, that the Village
Board adopt Resolution 2003 -LY -R -850, "A Resolution Authorizing
and Directing the Oak Brook Public Library to Participate in the Non -
Resident Library Card Program from July 1, 2003 to June 30, 2004," a
resolution that authorizes Oak Brook Public Library (OBPL) to
participate in the non - resident library card program from July 1, 2003
through June 30, 2004. This program allows OBPL to sell full - service
library cards to non - residents and requires OBPL to honor all valid non-
resident library cards sold by other public libraries in the DuPage
Library System. ROLL CALL VOTE:
Ayes: 5 - Trustees Aktipis, Caleel, Korin, Miologos and Yusuf.
Nays: 0 - None.
Absent: 1 - Trustee Craig. Motion carried.
3) ORDINANCE 2003- ZO -SU -S -1040 "AN ORDINANCE AMENDING ORD 03- zo -SU -s-
ORDINANCE S -919 BY EXTENDING THE EXPIRATION DATE TO AMND 5 -919 -
THE SPECIAL USE GRANTED THEREIN (CHRIST CHURCH OF EXTND ExP DTE of
SPEC USE
OAK BROOK 501 OAK BROOK ROAD OAK BROOK, IL 60523)."
Ordinance 2003- ZO -SU -S -1040 extends for an additional five years the
special use granted to Christ Church on December 8, 1998, which
allowed the property at 3212 York Road to be utilized as a temporary
office for a five -year period or until substantial completion of a planned
addition to the existing church building, whichever occurs first.
Because the church did not proceed with its planned addition, the special
use is set to expire on December 8, 2003. The ordinance extends the
expiration date to December 8, 2008.
Motion by Trustee Aktipis, seconded by Trustee Caleel, that the Village
Board pass Ordinance 2003- ZO -SU -S -1040, "An Ordinance Amending
Ordinance S -919 by Extending the Expiration Date to the Special Use
Granted Therein (Christ Church of Oak Brook, 501 Oak Brook Road,
Oak Brook, IL 60523)," amending Ordinance S -919 by extending the
expiration date for the special use granted therein. ROLL CALL VOTE:
Ayes: 5 - Trustees Aktipis, Caleel, Korin, Miologos and Yusuf.
Nays: 0 - None.
Absent: 1 - Trustee Craig. Motion carried.
VILLAGE OF OAK BROOK Minutes Page 6 of 14 June 10, 2003
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8. B. 4 ORDINANCE 2003- ZO -TA -G -721, "AN ORDINANCE _AMENDING ORD 03- ZO -TA -G-
721 , AMND ZNG
THE ZONING ORDINANCE OF THE VILLAGE OF OAK BROOK ORD - SPEC RTL
PROVIDING FOR SPECIALTY RETAIL PROGRAM AS AN PROG - AUTH SPEC'
USE IN B -2
ADDITIONAL AUTHORIZED SPECIAL USE IN THE B -2
REGIONAL SHOPPING CENTER DISTRICT."
Ordinance 2003- ZO -TA -G -721, amends the Zoning Ordinance by
defining a Specialty Retail Program and authorizing such a program as a
special use in the B -2 Regional Shopping Center District.
Motion by Trustee Aktipis, seconded by Trustee Caleel, to pass
Ordinance 2003- ZO -TA -G -721, "An Ordinance Amending the Zoning
Ordinance of the Village of Oak Brook Providing for Specialty Retail
Program as an Additional Authorized Special Use in the B -2 Regional
Shopping Center District." ROLL CALL VOTE:
Ayes: 5 - Trustees Aktipis, Caleel, Korin, Miologos and Yusuf.
Nays: 0 - None.
Absent: 1 - Trustee Craig. Motion carried.
5 ORDINANCE 2003- ZO -SU -S -1041, "AN ORDINANCE GRANTING
ORD 03- ZO -SU -S-
1041, GRNT SPEC
A SPECIAL USE FOR A SPECIALTY RETAIL PROGRAM
USE - SPEC RTL
(OAKBROOK CENTER MALL — NORTHEAST CORNER OF
PROG - OB CTR
MALL
ROUTE 83 AND 22ND STREET)."
Ordinance 2003- ZO -SU -S -1041, grants a special use for a Specialty
Retail Program in the Oakbrook Center, subject to the conditions and
restrictions set forth in Section 3 of the ordinance. The type, materials,
architectural style and general location of the structures and uses of the
pavilions, kiosks, carts, mobile units and activity areas comprising the
Specialty Retail Program must be in accordance with the site plan,
revised program summary, and the architectural elevations.
Motion by Trustee Aktipis, seconded by Trustee Caleel, to pass
Ordinance 2003- ZO -SU -S -1041, "An Ordinance Granting a Special Use
for a Specialty Retail Program (Oakbrook Center Mall — Northeast
Corner Of Route 83 And 22n1 Street)." ROLL CALL VOTE:
Ayes: 5 - Trustees Aktipis, Caleel, Korin, Miologos and Yusuf.
Nays: 0 - None.
Absent: 1 - Trustee Craig. Motion carried.
6 ORDINANCE 2003- ZO- V -SWM -S -1042, "AN ORDINANCE
ORD 03- ZO- V -SwM-
S GRNT VAR
GRANTING A VARIATION FROM THE PROVISIONS OF 9 -5 -4 OF
-1042 ,
FRM 9 -5 -4 OF VIL
THE VILLAGE CODE OF THE VILLAGE OF OAK BROOK
CDE -625
ENTERPRISE DR
ILLINOIS (625 ENTERPRISE DRIVE OAK BROOK, IL 60523)."
VILLAGE OF OAK BROOK Minutes Page 7 of 14 June 10, 2003
B. 6) On June 6, 2003 the Village Engineer met with the applicant and his
engineer at the site to review the outstanding detention items. The
engineer presented a plan that had a 12 inch high curb along the back of
the property that would provide 15% - 20% of the required parking lot
detention based on some preliminary calculations. Since this met the
minimum recommendation of DuPage County staff Village staff
concluded that it would be adequate. The engineer provided
calculations and a detention plan. The fee -in -lieu amount will be
$50,673.00.
The Village Attorney has spoken with the Forest Preserve District
Attorney who confirmed that the Forest Preserve cannot grant any type
of easement or other permission to benefit only a private use such as the
lot in question. Based upon that, the site is severely restricted in
providing detention which establishes a hardship.
Motion by Trustee Miologos, seconded by Trustee Aktipis, to pass
Ordinance 2003- ZO- V -SWM -S -1042, "An Ordinance Granting a
Variation from the Provisions of 9 -5 -4 of the Village Code of the
Village of Oak Brook, Illinois (625 Enterprise Drive, Oak Brook, IL
60523)." ROLL CALL VOTE:
Ayes: 5 - Trustees Aktipis, Caleel, Korin, Miologos and Yusuf.
Nays: 0 - None.
Absent: 1 - Trustee Craig. Motion carried.
C. AWARD OF CONTRACTS:
1) INSURANCE RENEWALS
All of the insurance policies and agreements relating to the Village's
employee benefit program expire on June 30, 2003, the end of the 2002-
2003 Plan Year. From 1993 through 2002, the Village had utilized
Health Plan Management, Inc. (HPM) for third party claims
administration. In late 2002, Health Plan Management was purchased
by Incentus. Since that purchase, Incentus has been the Village's third
party claims administrator. The Village also utilizes the services of
Mack & Parker, Inc. (on a monthly retainer basis) for plan
administration and benefit consulting services. In recent years, stop -loss
and group term life insurance coverages have been placed on a net -of-
commission basis through the third party administrator, rather than an
insurance broker, with oversight by Mack & Parker, Inc.
Health Insurance: The Village became self - insured for employee health
insurance on July 1, 1993. While the Village is directly responsible for
funding health claims, there are also fixed costs associated with being
self insured, all of which expire on June 30.
VILLAGE OF OAK BROOK Minutes
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Page 8 of 14 June 10, 2003
AWARD CT
INS. RENEWALS
8. C. 1) Claims Administration: Third party claims administrative services for
the Village had been provided by Health Plan Management since 1993.
Since that time, the Village has gone through two separate requests for
proposal processes for its employee benefits plans and on both occasions
HPM has been retained. With HPM being sold to Incentus, there have
been numerous changes involving claims processing, the most
significant one being that the claims paying function has been moved to
Texas. From the Village's perspective, the change in ownership has
resulted in several problems occurring regarding claims processing.
Staff has met with Incentus on four occasions, have checked references,
and Incentus has paid for a member of Mack & Parker to go to Texas to
review their office and claims paying procedures.
Incentus has indicated that they will continue to honor HPM's pricing
for claims processing that was contained in their response to the 2001
RFP. Based on the advice of the Village's plan consultant who indicates
that these rates continue to be very competitive, staff recommends
renewing the agreement with Incentus for third party claims
administration services for a period of one year at the rate of
$9.00 /participant /month plus the $1000 base fee. This agreement
provides for a sixty -day cancellation provision should the service issues
fail to improve.
Plan Administration: Plan administration represents the amount
necessary to cover the cost of plan consulting services provided by
Mack and Parker, Inc. Their monthly retainer fee is proposed to increase
from the current rate of $700 to $800 this year. In 2002, Mack and
Parker originally proposed increasing the fee to this amount. Staff was
able to defer this increase for one year, and thus they are requesting an
increase in the monthly retainer for 2003 -2004. Mack and Parker
provides advice, conducts research and serves as liaison between the
Village and Incentus and provides, on average, 80 hours of service to the
Village annually. The new monthly rate results in an hourly rate of
$120. In addition, Mack and Parker has had to spend an unusual amount
of time assisting the Village in dealing with the Incentus issues. The
amount necessary to cover the cost of plan administration for the 2003-
2004 Plan Year is $3.67 /participant/month.
Specific and Aggregate Stop -Loss Insurance: Specific and aggregate
stop -loss insurance is used to reduce the risk associated with being self -
insured by capping the amount of claims for which the Village is
responsible, both for an individual (specific), and for the entire group
(aggregate). The Village's specific stop -loss "deductible" is currently
$60,000.
VILLAGE OF OAK BROOK Minutes Page 9 of 14 June 10, 2003
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8. C. 1) The aggregate "deductible" is determined by the insurance carrier based
on 125% of anticipated claims. The aggregate amount may vary
depending on the actuarial assumptions used by the insurance carrier, as
each carrier has a different view as to the anticipated total amount of
claims.
In total, the cost of stop -loss insurance will increase approximately 27%
from the 2002 -2003 amounts. The primary reason for the increase in the
specific insurance stems from an overall and continuing hardening of the
insurance market. In addition, the 2002 -2003 rate may be unusually low
since the rate quote last year from the Village's current vendor was 22%
lower than the next vendor. Although unlikely, it is still possible that
the rates could change depending on June experience. Barring a
material price change, it is recommended that the Village increase its
stop -loss deductible to $65,000 and enter into a contract with Standard
Security Life.
Insurance for stop -loss coverage at the rates of $36.49 per participant
per month for specific - single coverage, $87.57 per participant per month
for specific- family, and $5.80 per participant per month for aggregate
coverage.
PPO Access/Utilization Review: At the present time, the Village
utilizes the Preferred Plan as its PPO vendor and Medical Cost
Management for pre - certification and utilization review. For several
months now our third party administrator as well as Mack and Parker
have been reviewing an alternative vendor for these services, Private
Healthcare Systems, Inc. (PHCS). PHCS has more doctors and
hospitals in its network and more importantly offers greater discounts
than the Preferred Plan. Staff reviewed hospital and physician coverage
specifically as it applies to the Village's group and found that
approximately $29,000 in claims that were paid at the network rate by
Preferred Plan would no longer be in network. However, approximately
$51,000 of claims that were not in the Preferred Plan network would
now be eligible for discount in the new network. Although most
doctors and hospital are in both networks, the industry generally
acknowledges that PHCS offers much greater discounts.
Although there will be disruption for some employees whose doctor or
hospital may no longer be in network, based on the analysis staff is
recommending changing the preferred provider vendor to PHCS. The
cost for access to the network as well as utilization review is $5.85 per
employee per month, an increase of $1.30 from the prior year.
VILLAGE OF OAK BROOK Minutes Page 10 of 14 June 10, 2003
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8. C. 1) It is expected that this increase will more than be offset by decreases in
claims cost. It should be noted that the stop -loss quotes that were
obtained assumed the change to PHCS and if this is not done the rate
quotes would likely increase.
Conversion Fee: This is a provision in the Village's plan that allows
former employees to elect to convert to an individual policy with the
selected vendor after their rights under COBRA have expired. This
provides the participant with the ability for continued coverage. This
option is provided by Celtic Life Insurance at the rate of $.60 per
participant per month.
Health Claims: For the next plan year, the medical industry estimates
that medical costs will increase in excess of 10 %, and the cost of
prescription drugs is projected to increase by almost 20 %. For the last
eighteen months, the Village experience has been somewhat more
favorable than the rest of the industry and staff anticipates savings due
to the change to PCHS. In order to fund projected health claims for the
next plan year, staff has determined, in consultation with Mack and
Parker, Inc., that equivalent premiums should increase by an average of
6.17 %.
Effective Health Insurance Rates for 2003 -2004: Taking into account
all of the components of the Village's health insurance, the following
are the recommended monthly equivalent premiums for the coming year
in order to fund the entire program:
Dental Insurance: The Village is 100% self - insured for its dental
insurance coverage, with Incentus again providing administrative
services. The administration rates for this service were agreed to as a
result of the 2001 RFP. It is the recommendation of the Village's
consultant and staff to remain with Incentus at a monthly participant rate
of $1.90.
VILLAGE OF OAK BROOK Minutes Page 11 of 14 June 10, 2003
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Single
Sin lg e±l
Family
Claims
301.36
522.09
754.89
Specific Premium
36.49
87.57
87.57
Aggregate Premium
5.80
5.80
5.80
PPO/Utilization
5.85
5.85
5.85
Claims Admin.
9.00
9.00
9.00
Plan Admin.
3.67
3.67
3.67
Conversion Fee
.60
.60
.60
Total
362.77
634.58
867.35
2002/2003 Rates
341.69
597.71
816.95
Dental Insurance: The Village is 100% self - insured for its dental
insurance coverage, with Incentus again providing administrative
services. The administration rates for this service were agreed to as a
result of the 2001 RFP. It is the recommendation of the Village's
consultant and staff to remain with Incentus at a monthly participant rate
of $1.90.
VILLAGE OF OAK BROOK Minutes Page 11 of 14 June 10, 2003
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8. C. 1) Dental claims experience was once again favorable during this past plan
year. Based on this good experience, staff recommends no increase to
the current monthly dental premiums of $23.66 for single coverage and
$73.08 for family coverage. This should be sufficient to fund
administrative costs and anticipated claims for the coming year.
Life Insurance: The Village provides $50,000 of group term life
insurance and AD & D coverage to all full -time employees. CNA
Group Benefits has proposed to leave the 2002 -2003 rate of $0.19 per
$1,000 per month unchanged. Thus, staff recommends continuing with
CNA at the monthly rate of $0.19 per $1,000 effective July 1, 2003.
Vision Insurance: Vision Service Plan (VSP) is the current vision
insurance provider for the Village. Employee coverage is paid for by
the Village, with dependent coverage being optional and fully paid for
by the employee. The current rates are guaranteed through June 30,
2004. Thus, staff recommends that the Village renew with VSP for an
additional year at the unchanged monthly rates of $7.71 /month for each
employee and $16.58 /month for dependent coverage.
Employee Contributions — Health and Dental: The Village contributes
100% of the equivalent premium for employees, and 95% of the
equivalent premium attributable to dependent coverage (i.e. 5% of the
difference between the single coverage equivalent premium and single
plus one or family coverage equivalent premiums). The formula is
applicable for non - represented and represented employees alike.
Based on the proposed 2003 -2004 equivalent premiums employees
opting for single plus one coverage would contribute $16.06 per month,
and employees opting for family coverage would contribute $27.70 per
month to the Self Insurance Fund, beginning in July 2003. This
represents an increase of between 5.2% and 5.6% to the current
employee contributions of $15.27 and $26.23, respectively.
Motion by Trustee Caleel, seconded by Trustee Yusuf, that the Village
Board authorize the Village Manager to enter into agreements for third
party claims administration services; specific and aggregate stop -loss
insurance for the Village of Oak Brook Health and Dental Plan; group
term life insurance; and group vision insurance; all for the period
beginning July 1, 2003 and ending June 30, 2004. ROLL CALL VOTE:
Ayes: 5 - Trustees Aktipis, Caleel, Korin, Miologos and Yusuf.
Nays: 0 - None.
Absent: 1 - Trustee Craig. Motion carried.
VILLAGE OF OAK BROOK Minutes Page 12 of 14 June 10, 2003
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INFORMATION & UPDATES: INFO & UPDATES
A. VILLAGE PRESIDENT: vLLG PREs
President Quinlan announced that the Village Board had an excellent
meeting with the Oak Brook Park District Commissioners. Trustee Korin
will represent the Village and Commissioner Harry Peters will represent the
Park District in meeting on a regular basis to develop joint special events or
programs.
He then asked the public to attend the Highland Games to be held at the
Polo Fields on the Sports Core scheduled for Saturday, June 21, 2003.
B. VILLAGE MANAGER: vLLG MGR
Village Manager Boehm announced that the Village has begun the mosquito
abatement program. The Village plans to have the first spray this weekend
and staff is investigating methods to increase the mosquito eradication
program.
C. VILLAGE CLERK: vLLG CLx
Clerk Gonnella noted that Records Management Clerk Linda Andrys had
processed forty -seven Freedom of Information requests for May, an all time
record, while also assisting the Village's EMS Privacy Officer for final
editing of the Notice of Privacy Practices Brochure (HIPAA).
The Deputy Clerk, Carol Harty, attended the International Institute of
Municipal Clerks (IIMC) annual conference in Columbus, Ohio. This
organization has over 10,000 members, which defines and trains the role of
Municipal Clerks worldwide. The organization announced that it is
requesting that the designation of Certified Municipal Clerk and Master
Municipal Clerk process must include a standardized testing process. In
order to achieve being a Master Municipal Clerk it would require a Bachelor
Degree by the year 2013. She noted the continued training required of
Municipal Clerks to obtain these designations.
D. VILLAGE BOARD COMMENTS: No one commented. VLLG BD
President Quinlan had previously announced that the closed meeting portion of
the agenda had been cancelled due to a lack of new information.
10. ADJOURN TO CLOSED MEETING: To consider litigation, when an action CLSD MTG
CANCELED
against, affecting or on behalf of the Village has been filed and is pending
before a court or administrative tribunal.
VILLAGE OF OAK BROOK Minutes
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Page 13 of 14 June 10, 2003
ADJRN
11. ADJOURNMENT:
Motion by Trustee Caleel, seconded by Trustee Korin, to adjourn the meeting at
7:58 p.m. VOICE VOTE: Motion carried.
ATTEST:
Linda K. Gonnella, CMC
Village Clerk
VILLAGE OF OAK BROOK Minutes Page 14 of 14 June 10, 2003
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