Loading...
Minutes - 06/11/2002 - Board of Trustees2 3 a MINUTES OF THE JUNE 11, 2002 REGULAR MEETING OF THE PRESIDENT AND BOARD OF TRUSTEES OF THE VILLAGE OF OAK BROOK UNOFFICIAL UNTIL APPROVED AS WRITTEN ON JUNE 25, 2002. CALL TO ORDER: The Regular Meeting of the Village Board of Trustees was called to order by President Bushy in the Samuel E. Dean Board Room of the Village Commons at 7:35 p.m. The Pledge of Allegiance was given. R ClT T C A T .T Village Clerk Linda Gonnella called the roll with the following persons PRESENT: President Karen M. Bushy, Trustees Stelios Aktipis, George T. Caleel, Susan Chase Korin, Elaine Miologos and Alfred P. Savino. ABSENT: Trustee John W. Craig. IN ATTENDANCE: Stephen B. Veitch, Village Manager; Michael A. Crotty, Assistant Village Manager; Debra J. Jarvis, Fire Chief ; Bruce F. Kapff, Director of Information Services & Purchasing; Ruth A. Martin, Library Director; Michael J. Meranda, Public Works Director; Bonnie Sartore, Bath & Tennis Club Manager and Trey VanDyke, Golf Club Manager. ANNOUNCEMENTS AND OPEN FORUM: William Lindeman, 11 Pembroke Lane, reminded the Board that in November he addressed the Board with a request to provide videotapes for check -out at the Library for residents who do not have cable TV. He added that Village Manager Veitch indicated to him that it was being considered and that after the new Library opened there would be space to provide that service. He also spoke with Library Director Martin in March and she indicated to him that in the near future the Library would have the videotapes. He indicated that they were currently not available. President Bushy explained that it has been discussed at the Board's Special Committee -of- the -Whole Meeting as a Library objective and that it would be addressed. Terry O'Malley, President of Breakenridge Farm Homeowners Association, 30 Breakenridge, addressed the Board of his concern with natural gas pricing and distributed a report to each Board member. The report included natural gas price forecasting which he believed would impact the Village. He described the options that Nicor was offering in the new rate plans and he felt that it was a very constructive vehicle. He gave his home telephone number of 794 -0705 for any residents to contact him for further explanation of this program. VILLAGE OF OAK BROOK Minutes Page 1 of 18 June 11, 2002 CALL TO ORDER ROLL CALL ANNOUNCE 3. Village Manager Veitch indicated that information on this topic has been communicated to Village residents through the Village newsletter. President Bushy indicated that a copy of Mr. O'Malley's report would be available at the Library and at the Village Hall for any interested residents. 4. APPROVAL OF MINUTES: Motion by Trustee Aktipis, seconded by Trustee Caleel, to approve the Minutes of the Regular Board of Trustees Meeting of May 28, 2002 as presented and waive the full reading thereof. VOICE VOTE: Motion carried. 5. CONSENT AGENDA: All items on the Consent Agenda are considered to be routine in nature and will be enacted in one motion. Trustee Korin asked that 5.C.1. CHANGE ORDERS # 34 -36, #38, #42 AND #44 -46 MUNICIPAL COMPLEX PROJECT - HARBOUR CONTRACTORS, INC. $53,922.00 - REVISED TOTAL CONTRACT AMOUNT - $8,091,426.00 be removed for further discussion. Motion by Trustee Aktipis, seconded by Trustee Korin, to approve the Consent Agenda as amended. ROLL CALL VOTE: Ayes: 5 - Trustees Aktipis, Caleel, Korin, Miologos and Savino. Nays: 0 - None. Absent: 1 - Trustee Craig. Motion carried. MINUTES 05 -28 -02 C. AGENDA APPROVAL A. APPROVAL OF BILLS: $264,840.89. BILLS - S264,840.89 Significant items included above: 1) Peerless Enterprises — Payout #3 and Final — Library Building Project - $4,043.90. B. APPROVAL OF PAYROLL FOR PAY PERIOD ENDING MAY 25, 2002 PAYROLL - - $523,197.79. $523,197.79 C. CHANGE ORDERS: 1) CHANGE ORDERS # 34 -36, #38, #42 AND #44 -46 MUNICIPAL REMOVED COMPLEX PROJECT - HARBOUR CONTRACTORS INC. $53,922.00 - REVISED TOTAL CONTRACT AMOUNT - $8,091,426.00. Item removed from the Consent Agenda for further discussion D. REFERRALS: NONE. VILLAGE OF OAK BROOK Minutes W Page 2 of 18 June 11, 2002 5. E. AUTHORIZATION TO SEEK BIDS OR PROPOSALS OR NEGOTIATE CONTRACTS: 1) AUTHORIZATION TO BID — PUBLIC WORKS UNDERGROUND Pw UST UPGRADE STORAGE TANK UPGRADE. 2) AUTHORIZATION TO WAIVE BIDS AND NEGOTIATE PARAMEDIC sERV. RENEWAL OF THE CONTRACT WITH PARAMEDIC SERVICES OF ILLINOIS. F. AUTHORIZE FINANCIAL SUPPORT — NORTHEASTERN ILLINOIS N[PC PLANNING COMMISSION (NIPC) - $3,151.00. 6. ITEMS REMOVED FROM CONSENT AGENDA: RMVD C AGNDA 5. C. 1) CHANGE ORDERS # 34 -36, #38, #42 AND #44 -46 MUNICIPAL MUNCPLx PROD COMPLEX PROJECT - HARBOUR CONTRACTORS, INC. $53,922.00 - REVISED TOTAL CONTRACT AMOUNT - $8,091,426.00. Trustee Korin asked that this Agenda item be removed from the Consent Agenda for further discussion Trustee Korin expressed concern for the large number of recent change orders related to the Communications Center and why these issues were not part of the original contract. Village Manager Veitch responded that the term communications is used frequently and means different things for different applications. These change orders are not related to the contractor for the Communications Center, they are for electrical conduits to the communications room and the computer server room on the other side of the building. The surge suppression issue were items that were identified as a result of the review of the plans for the building permit which comes after the bidding for the project. He added that the Village of Oak Brook Codes are stricter than elsewhere and the architects were not aware of this. Trustee Korin felt that architects bidding for a project should be aware of the codes related to the project. Manager Veitch responded that by awarding a not -to- exceed fee arrangement there are trade -offs that make it difficult to eliminate change orders. It was felt that this arrangement was the most cost effective and that he felt the quantity of change orders for a project of this type and magnitude was actually on the low side. Trustee Caleel expressed the same concerns and felt that change orders were more costly because they were not part of a bid process. VILLAGE OF OAK BROOK Minutes Page 3 of 18 June 11, 2002 6. 5.C.1) Information Services and Purchasing Director Kapff explained that Harbour Contractors, as our construction manager, reviews the change orders and in some cases has spent several months negotiating to make sure that the Village receives a good price. He added that change orders are discussed at many levels and only those that are felt to be critical are brought to the Board. Manager Veitch interjected that staff sees the goal of offsetting the additional dollars somewhere in the budget as their mission. Discussion ensued related to changes to address the permit process of the electrical code. The change in the Village's policy to re- engineer the permit process does not need Board approval and is currently being reviewed. Motion by Trustee Savino, seconded by Trustee Caleel, to approve Agenda Item 45. C. 1) Change Orders #34 -36, #38, and #44 -46 Municipal Complex Project- Harbour Contractors, Inc. $53,922.00 — Revised Total Contract Amount - $8,091,426.00 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. Ayes: 5 - Trustees Aktipis, Caleel, Korin, Miologos and Savino. Nays: 0 - None. Absent: 1 - Trustee Craig. Motion carried. BOARD & COMMISSION RECOMMENDATIONS: NONE. BD/COMM RECOM ACTIVE AGENDA (Items for Final Actions ACTIVE AGENDA A. CONFIRMATION OF APPOINTMENTS: NONE. B. ORDINANCES & RESOLUTIONS: 1) ORDINANCE 2002- ZO -TA -G -696, "AN ORDINANCE AMENDING ORD 02- ZO -TA -G- 696 - TITLE 13, SEC TITLE 13, SECTION 13 -IOC -2 OF THE VILLAGE CODE OF THE 13-IOC -2 VILLAGE OF OAK BROOK, ILLINOIS." Pursuant to Board direction, Attorney Martens drafted Ordinance 2002 - ZO -TA -G -696, "An Ordinance Amending Title 13, Section 13 -10C -2 of the Village Code of the Village Of Oak Brook, Illinois ", which permits expanded utilization of "The Lodge" by making hotel and restaurants permitted uses in the ORA -3 District. VILLAGE OF OAK BROOK Minutes Page 4 of 18 June 11, 2002 8. B.1) Motion by Trustee Savino seconded by Trustee Caleel, to pass Ordinance 2002- ZO -TA -G -696, "An Ordinance Amending Title 13, Section 13 -IOC -2 of the Village Code of the Village Of Oak Brook, Illinois." ROLL CALL VOTE: Ayes: 5 - Trustees Aktipis, Caleel, Korin, Miologos and Savino. Nays: 0 - None. Absent: 1 - Trustee Craig. Motion carried. 2) ORDINANCE 2002- PW -WPA -EXI -S -1019, "AN ORDINANCE OP-D- 02- PW -WPA- XI -S- ASCERTAINING THE PREVAILING RATE OF WAGES FOR WAGE Es ]019 — PREV 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. This ordinance adopts these mandated wage rates. Comments were made as to the impact of this unfunded mandate. Motion by Trustee Miologos, seconded by Trustee Korin, to pass Ordinance 2002- PW -WPA -EXI -S -1019, "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." ROLL CALL VOTE: Ayes: 4 - Trustees Aktipis, Korin, Miologos and President Bushy. Nays: 2 - Trustees Caleel and Savino. Absent: 1 - Trustee Craig. Motion carried. 3) ORDINANCE 2002- LC -AL -G -697, "AN ORDINANCE AMENDING ORD- 02- LC -AL -G- 697- AMND TITLE 4, TITLE 4, CHAPTER 1, SECTION 8A OF THE VILLAGE CODE OF CxAP I, SEC sa THE VILLAGE OF OAK BROOK, ILLINOIS RELATIVE TO THE NUMBER OF AUTHORIZED LIQUOR LICENSES (FINN MCCOUL'S & THE LODGE)." Two establishments that currently hold liquor licenses in the Village of Oak Brook have applied for new licenses. Finn McCoul's, Ltd. has applied for a Class A -1 license. This establishment has been in business in Oak Brook for several years, however, Jennifer Shannon who has been the manager for the past two years, has become the new owner. VILLAGE OF OAK BROOK Minutes Page 5 of 18 June 11, 2002 8. B. 3) McDonald's Corporation d/b /a The Lodge has requested a change in classification, applying for a Class D & E liquor license as a result of the amendment to the Zoning Ordinance which permits hotels and restaurants in the ORA -3 District. Joseph Endress representing McDonald's Corporation and Jennifer Shannon the new owner of Finn McCoul's were in attendance of the Board Meeting. Motion by Trustee Caleel, seconded by Trustee Savino, to pass Ordinance 2002- LC -AL -G -697, "An Ordinance Amending Title 4, Chapter 1, Section 8A of the Village Code of the Village of Oak Brook, Illinois Relative to the Number of Authorized Liquor Licenses (Finn McCoul's & The Lodge)." ROLL CALL VOTE: Ayes: 5 - Trustees Aktipis, Caleel, Korin, Miologos and Savino. Nays: 0 - None. Absent: 1 - Trustee Craig. Motion carried. 4) ORDINANCE 2002- AL -RR -G -698, "AN ORDINANCE AMENDING ORD- 02- AL -RR -G- 698 - AMND TITLE TITLE 4 ENTITLED, `BUSINESS AND LICENSE REGULATIONS" 4, CHAP I CHAPTER 1, "LIQUOR CONTROL" OF THE VILLAGE CODE OF THE VILLAGE OF OAK BROOK, ILLINOIS." Changes in the Mandatory Alcohol Awareness Training have been requested since it has been determined that General Managers and Liquor Managers in Oak Brook establishments have not had the turnover that was prevalent in the past that prompted the annual requirement. In addition, the requirement for BASSET or TIPS certified training programs provides for excellent training in alcohol awareness. In an attempt to expedite the processing of liquor licenses, more than half of the renewal applications were sent electronically. To expedite the return of these renewals, amendments to the Village Code are requested to provide for receipt of electronic renewals. It is suggested that Classification F be deleted from the Village Code as this classification referred only to The Lodge. Trustee Caleel asked why the managers were still expected to attend a session every two years. President Bushy responded that changes in either the Village's ordinance or the State Liquor Laws would be reviewed and also provides an opportunity to interact with the managers as a group who on occasion have made suggestions that would better serve the public. It also offers an opportunity to acquaint them with any changes in the command staff of the Police Department. VILLAGE OF OAK BROOK Minutes Page 6of18 June 11, 2002 S. B. 4) Motion by Trustee Savino, seconded by Trustee Korin, to pass Ordinance 2002- AL -RR -G -698, "An Ordinance Amending Title 4 Entitled, "Business and License Regulations" Chapter 1, "Liquor Control' of the Village Code of the Village of Oak Brook, Illinois." ROLL CALL VOTE: Ayes: 5 - Trustees Aktipis, Caleel, Korin, Miologos and Savino. Nays: 0 - None. Absent: 1 - Trustee Craig. Motion carried. C. AWARD OF CONTRACTS: AWARD CT 1) MOVING SERVICES - MUNICIPAL COMPLEX PROJECT MVC sERV. - MCP As the completion of the Municipal Complex is approaching, it is necessary to provide moving services to relocate departments. Four proposals were received from companies that attended a pre - proposal meeting that included a tour of all areas involved in the move. The move consists of three phases. Phase one moves the departments from the existing Village Hall and Fire Station 41 into the new addition. Phase two moves the Police Department into temporary quarters while the current location is renovated. Phase three will move the Police Department into the newly renovated location. This expense is funded in the Municipal Complex Project program budget. Ace World Wide, with over fifty years experience in the moving business, submitted the best proposal. References were positive and all stated that they would not hesitate to use Ace World Wide again. Motion by Trustee Korin, seconded by Trustee Aktipis, that a contract be awarded, subject to staff review, to the lowest responsive and responsible bidder, Ace World Wide Group, 1120 North Villa Avenue, Villa Park, Illinois at a lump sum bid of $29,313.00 for Municipal Complex Moving Services. ROLL CALL VOTE: Ayes: 5 - Trustees Aktipis, Caleel, Korin, Miologos and Savino. Nays: 0 - None. Absent: 1 - Trustee Craig. Motion carried. 2) FURNITURE INSTALLATION — MUNICIPAL COMPLEX FURN INSTALL - PROJECT, ASSIGNMENT OF CONTRACT TO HARBOUR MCP CONTRACTORS AND ADJUSTMENT OF GUARANTEED MAXIMUM PRICE The Village previously awarded contracts to purchase new furniture, however the GSA pricing obtained did not include installation services. VILLAGE OF OAK BROOK Minutes Page 7 of 18 June 11, 2002 8. C. 2) Two sealed bids were received. Motion by Trustee Korin, seconded by Trustee Aktipis, that a contract be awarded, subject to staff review, to the lowest responsive and responsible bidder, Desks, Inc., 2323 West Pershing Road, Chicago, Illinois at a lump sum price of $28,300.00 to install new furniture as a part of the Municipal Complex Project. ROLL CALL VOTE: Ayes: 5 - Trustees Aktipis, Caleel, Korin, Miologos and Savino. Nays: 0 - None. Absent: 1 - Trustee Craig. Motion carried. It is recommended that an assignment of this contract be made to Harbour Contractors, Inc., the Village's construction manager. Motion by Trustee Savino, seconded by Trustee Korin, that the Board of Trustees authorize and direct the Village President and Village Clerk to Execute an Assignment to Harbour Contractors, Inc. of the Trade Contract for Furniture Installation for the Municipal Complex Project. ROLL CALL VOTE: Ayes: 5 - Trustees Aktipis, Caleel, Korin, Miologos and Savino. Nays: 0 - None. Absent: 1 - Trustee Craig. Motion carried. Following the award of the furniture purchase contracts, there remained a $24,639.07 allowance for furniture installation in the Village's contract with Harbour Contractors. The difference between the remaining allowance of $24,639.07 and the recommended award to Desks, Inc. of $28,300 requires $3,660.93 to be added to the GMP. Motion by Trustee Caleel, seconded by Trustee Miologos, that the Board of Trustees Approve Adjustment of the Guaranteed Maximum Price (GMP) Stated in the Contract for Construction Services for the Municipal Complex Project Between the Village and Harbour Contractors, Inc. from $8,063,126 to $8,091,426, as a Result of the Assignment of the Trade Contract for Furniture Installation, and Deduction of the Previously Approved Allowance for this Trade. ROLL CALL VOTE: Ayes: 5 - Trustees Aktipis, Caleel, Korin, Miologos and Savino. Nays: 0 - None. Absent: 1 - Trustee Craig. Motion carried. VILLAGE OF OAK BROOK Minutes Page 8 of 18 June 11, 2002 NO 8. C. 2) President Bushy and Village Manager Veitch clarified some information about the cost and use of furniture being purchased. The Village purchased required furniture through GSA pricing, which is the price provided to the United States General Services Administration, and whereby the United States Government prohibits a better price being given to anyone for the same units. The $132,000 furniture bid covers roughly half of the items that will be used in the addition, the other half is being moved from their current locations. 3) INSURANCE RENEWALS All of the insurance policies and agreements relating to the Village's employee benefit program expire on June 30, 2002. The Village utilizes Health Plan Management, Inc. for third party claims administration, and plan administration/consulting services are performed by Mack & Parker, Inc. on a monthly retainer. In recent years, stop -loss and group term life insurance coverage have been placed on a net -of- commission basis through Health Plan Management, rather than an insurance broker, with oversight by Mack & Parker, Inc. After several years of less than favorable claims experience, the 2001- 2002 plan year showed a marked improvement. The increases to the equivalent premiums are the lowest increases proposed over the past several years. These premiums remain very competitive with those of similar plans. The plan will continue to be managed as cost effectively as possible. Claims Administration Third party claims administrative services for the Village have been provided by Health Plan Management since 1993. HPM was retained last year following a request for proposals process, and the administrative fees quoted by HPM at that time were guaranteed for three years. We continue to monitor the performance of Health Plan Management with the assistance of our plan consultant, and we have experienced virtually no unfavorable results in the past several years. Based on the advice of our plan consultant who indicates that these rates continue to be very competitive, staff recommends renewing the agreement with Health Plan Management for third party claims administration services for a period of one year at the rate of $9.00 /participant /month plus the $900 base fee. VILLAGE OF OAK BROOK Minutes NO Page 9 of 18 June 11, 2002 [NS. RENEWALS 8. C. 3) Plan Administration Plan administration represents the amount necessary to cover the cost of plan consulting services provided by Mack and Parker, Inc. ($700 per month), and Health Plan Management's annual renewal fee ($900). Mack and Parker, Inc. has not proposed to increase its monthly fee of $700. Mack and Parker provides advice, conducts research and serves as liaison between the Village and HPM, and provides, on average, 80 hours of service to the Village annually, resulting in an hourly rate of $105. The amount necessary to cover the cost of plan administration for the 2002 -2003 Plan Year is $3.55 /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 $50,000. The aggregate "deductible" is determined by the insurance carrier, usually on the basis of 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 our claims. In order to secure contracts for the 2002 -2003 plan year, our third party administrator sought quotes from ten reinsurance carriers on a net -of- commission basis. Quotes were received from seven vendors including the Village's current provider, Union Labor Life (ULL). The quotes were reviewed by staff and the plan consultant. The lowest quote for specific stop -loss premiums using the current $50,000 deductible was provided by ULL, and would result in an annual increase of approximately $44,000, or 35 %. ULL also provided a quote using a $60,000 deductible, and this quote reduced the increase to approximately $16,000, or 13 %, saving an estimated $28,000 of annual premium. Increasing the deductible would create an additional $10,000 worth of exposure per plan participant for the Village, meaning that the savings would be negated if three plan participants reached the deductible during the plan year. It is advisable and even necessary to periodically review the deductible, given market conditions and upward- trending claims experience. VILLAGE OF OAK BROOK Minutes Page 10 of 18 N. June 11, 2002 8. C. 3) Based on the plan's experience concerning the number of participants likely to reach that deductible, as well as the advice of the plan consultant, it is the recommendation of staff that the Village increase the stop -loss "deductible" to $60,000 for Plan Year 2002 -2003 to take advantage of the more favorable rate. ULL's figures (using a $60,000 "deductible ") compare to our current rates, as follows: Specific- Single Specific- Family Aggregate Current 23.88 /participant /mo. 59.71 /participant/mo. 6.09 /participant /mo. Proposed 26.91 /participant /mo. 67.29 /participant /mo. 6.09 /participant /mo. The primary reason for the increase in the specific quotes stems from an overall and continuing hardening of the market. 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 $60,000 and enter into a contract with ULL for stop -loss coverage at the rates of $26.91 per participant per month for specific- single coverage, $67.29 per participant per month for specific- family, and $6.09 per participant per month for aggregate coverage. PPO Access/Utilization Review Two other components needed to set equivalent premiums for health insurance are the PPO access premium and utilization review fee. Utilization review is necessary to pre- certify hospital stays and treatments, and currently HPM subcontracts pre - certification to Medical Cost Management. The PPO access fee is charged to HPM by the current PPO provider, and the cost is passed through to the Village. The current PPO provider is raising its fees by $.50 per participant per month. HPM has informed us that a change in providers is being considered for implementation in September. The change would likely result in a PPO access fee increase, however the new provider under consideration offers much greater discounts by physicians and hospitals. It is expected that any increase in PPO access fee would be more than offset by the discounts realized by the Village. VILLAGE OF OAK BROOK Minutes Page 11 of 18 June 11, 2002 8. C. 3) HPM includes its PPO access premium in its utilization fee, and has proposed to raise its fees by $.50 per participant per month, or from $4.55 /participant /month to $5.05 /participant/month. Conversion Fee This is a provision in our 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, and the rate has not changed since it was first instituted in 1993. Health Claims Over the last several years, the Village has seen dramatic increases in the cost of health claims. Several years of double -digit percentage increases in prescription drug costs, a large increase in the number of outpatient surgeries, and medical costs increasing at rates much greater than general inflation were some of the causes of these increases. The escalating cost of health claims is the primary reason why premiums were increased by 12.5% in 1999, 24.17% in 2000, and 15.76% in 2001. During the most recent plan year, medical claims have leveled off somewhat from the large increases noted previously and were in fact slightly below the prior year claims amount. Nonetheless, going forward it is prudent to expect that medical costs will continue to increase at rates substantially greater than the general inflation rate. In order to fund projected health claims for the next plan year, we have determined, in consultation with Mack and Parker, Inc., that equivalent premiums should increase by an average of 6.1 %. Effective Health Insurance Rates for 2002 -2003 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: VILLAGE OF OAK BROOK Minutes Page 12 of 18 June 11, 2002 8. C. 3) Single Sin lg e+1 Family Claims 290.49 506.13 725.37 Specific Premium 26.91 67.29 67.29 Aggregate Premium 6.09 6.09 6.09 PPO/Utilization 5.05 5.05 5.05 Claims Admin. 9.00 9.00 9.00 Plan Admin. 3.55 3.55 3.55 Conversion Fee .60 .60 .60 Total 341.69 597.71 ju6m 2001/2002 32025 563.00 770.88 Rates DENTAL INSURANCE The Village is 100% self - insured for its dental insurance coverage, with Health Plan Management again providing administrative services. Again, the administrative fees charged by HPM were guaranteed for a period of three years as a result of last year's RFP process. It is the recommendation of the Village's consultant and staff to remain with HPM at a monthly participant rate of $1.90. Dental claims experience was 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. Last year, CNA Group Benefits proposed a two -year rate of $0.19 per $1,000 per month resulting in a two -year savings of $6,660. Staff recommends continuing with CNA at the monthly rate of $0.19 per $1,000 effective July 1, 2002. (Note that this rate is also net -of- commission.) VISION INSURANCE Vision Service Plan (VSP) is the current vision insurance provider for the Village. VILLAGE OF OAK BROOK Minutes Page 13 of 18 June 11, 2002 8. C. 3) Employee coverage is paid for by the Village, with dependent coverage being optional and fully paid for by the employee. As a result of last year's RFP process, the current rates were guaranteed for a period of two years beginning July 1, 2001. Based on the recommendation of Mack and Parker, 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 2002 -2003 equivalent premiums for health and dental coverage, employees opting for single plus one coverage would contribute $15.27 per month, and employees opting for family coverage would contribute $26.23 per month to the Self Insurance Fund, beginning in July 2002. This represents an increase of between 4.5% and 4.9% to the current employee contributions of $14.61 and $25.00, respectively. Trustee Korin expressed concern for the size of the life insurance offered to employees. She felt that it was high based on her knowledge of what the business world offered. Manager Veitch responded the in the municipal field, this amount was low and was actually very inexpensive. Trustee Caleel concurred with manager Veitch's analysis. Motion by Trustee Caleel, seconded by Trustee Aktipis, 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, 2002 and ending June 30, 2003 pursuant to the staff recommendations of Assistant Village Manager Crotty's memorandum of June 7, 2002. ROLL CALL VOTE: Ayes: 5 - Trustees Aktipis, Caleel, Korin, Miologos and Savino. Nays: 0 - None. Absent: 1 - Trustee Craig. Motion carried. VILLAGE OF OAK BROOK Minutes Page 14 of 18 June 11, 2002 e 11. UNFINISHED AND NEW BUSINESS: For discussion only A. USE OF SPORTS CORE — FALCON FOOTBALL Trustee Korin suggested that Agenda Item 11. A. be moved on the agenda for discussion at this time since there were a number of people in the audience who wished to address this issue. The Hinsdale Falcons have requested use of the Sports Core. Trustee Miologos asked that this be brought to the Board for discussion. Their first request contemplated significant expenditure in terms of permanent facilities and commitment of staff time. A preliminary opinion from our Engineering and Community Development staff indicates that a flood plain special use process would be necessary for the proposed facilities. An alternate one -year arrangement had been suggested involving little or no physical alteration of the playing field. A compensatory flood plain storage area is under construction by the DuPage County at the site of the old Show Field. The completion date of the 31S` Street project, of which this work is part, is scheduled for late Fall of this year. The turf must be in an acceptable condition, pursuant to the terms of the contract, by that point in time. At present the field is soft and the turf bumpy, thin, and immature. It has flooded several times last Fall and this Spring, as it is designed to do, and at this point it does not appear likely that there will be playable turf at that particular location this year. President Bushy noted that Trustee Miologos asked that this be placed on the agenda for discussion. She commented that items are not generally added to the agenda until staff has researched a topic and is ready to make a recommendation based on the Board's wishes and their research. Staff did not had enough time to make a recommendation or make a presentation. Trustee Miologos explained her personal involvement in the topic and reported that Bath & Tennis Club Manager Sartore had worked with Mr. Miologos since March to find a location for a playing field on the Sports Core facility. She also reported that since Trustee Craig was unable to attend this meeting she had discussed the topic with him indicating the time concerns for the organization. She indicated that he said he would be supportive as long as it did not cost the Village any money. VILLAGE OF OAK BROOK Minutes N., Page 15 of 18 June 11, 2002 DISC - SPORTS CORE USAGE - FALCON FTBL 11. A. Mr. Paul Miller, 702 S. Monroe, Hinsdale and David Stone, 40 Orchard Place, Hinsdale, addressed the Board indicating they have been working since March with Sports Core staff to locate a playing field on Polo Field 2. Village Manager Veitch explained that the field is also the driving range for Butler National Golf Club when polo is not played. Trustee Caleel questioned parking issues. Manager Veitch responded that staff has not yet addressed that issue. Bath & Tennis Club Manager Sartore responded that parking could probably be accommodated in a similar manner as for polo. President Bushy suggested that with expansion of the Bath and Tennis Club the parties are much larger therefore the use of the Bath &Tennis Club hard surfaced parking lots would not be feasible. Manager Veitch added that a number of issues had arisen that staff has not had time to assess including the fact that the field may not fit into the space suggested, an unusual east /west orientation, and the more critical aspects of the impact of golf play of both clubs. Golf Club Manager VanDyke stated if you place a net up for football it would change the golf play on hole #16 and cost approximately $25,000 to change it and would interfere with polo and it would be aesthetically unpleasant. He also addressed other issues related to polo play. Mr. Stone stated they do not wish to make changes to the property and to see if they could find a feasible location on the Sports Core property. Trustee Savino asked what the condition of the grass would be after five or six games per weekend. He said there is very little damage due to the small size of the players barring weather concerns. Trustee Savino stated he didn't think Polo Field 2 would work for them. He also asked what other revenue the Falcon Football organization would bring to the Sports Core besides the $5,000 fee. Mr. Stone commented that they were able to do fundraisers if there were needs of the Village. Mr. Stone commented that he had no idea of the complexities that the Sports Core faced and reiterated that they are looking for a permanent location for the future, but short term they were looking for a temporary place for one year. He added that if there was any way it would work they would be willing to alternate their games so they not interfere with other programs on the property. Trustee Aktipis stated the Village should provide some needs with the community and find a mutually acceptable program to provide support for some community activities. Mr. Stone explained their timeframe indicating that their first games are August 24 -26th with games on Saturday and Sunday with an eight week program. There was a concern about scheduling as a result of the overlap with the polo program. VILLAGE OF OAK BROOK Minutes Page 16 of 18 June 11, 2002 e 11. A. President Bushy offered observations to include during the thought processes related to the topic. She gave history relating that the Sports Core property was obtained to preserve the open space and suggested looking to a park district. Topics that need to be addressed included issues with Butler National Golf Club, parking, the DuPage Area Boy Scouts Camp outing, the business interruption in regards to the driving range and the contract with Butler National Golf Club for their driving range. Village Attorney Martens would be asked to review the contract. Golf Club Manager Van Dyke also reminded the Board of the covenants included in the purchase of the property. Trustee Savino asked staff to review this further and determine alternatives that could be discussed with the Falcon Football organization. 9. INFORMATION & UPDATES: INFO & UPDATES A. VILLAGE PRESIDENT: None reported. B. VILLAGE MANAGER: None reported. 10. DEPARTMENTAL REPORTS —LIAISON ASSIGNMENTS: Trustee Caleel asked that the departmental reports be filed and not presented due to the lateness of the evening. There was no objection. Community Development Trustee Savino Finance & Purchasing Trustee Aktipis Library & Technology Trustee Korin Public Safety Trustee Caleel Engineering, Public Works & Safety Pathway System Trustee Miologos Sports Core, Community Events & Hotel, Convention Trustee Craig & Visitors Committee Village Clerk Clerk Gonnella VLLG PRES VLLG MGR DEPT.RPTS 11. UNFINISHED AND NEW BUSINESS: This was discussed earlier in the UNEIN & NEW BUSINESS agenda. 12. OTHER BUSINESS PERTAINING TO VILLAGE OPERATIONS: None. OTHER BUS. 13. ADJOURNMENT: Motion by Trustee Caleel, seconded by Trustee Korin, to adjourn the meeting at 10:18 p.m. VOICE VOTE: Motion carried. VILLAGE OF OAK BROOK Minutes Page 17 of 18 June 11, 2002 0 ADJRN ATTEST: r -, � /", 'Y' - Linda K. Gonnella, CMC Village Clerk VILLAGE OF OAK BROOK Minutes Page 18 of 18 June 11, 2002