R-494 - 04/10/1990 - INTERGOVENMENTAL AGREEMNT - Resolutions --R—*g c�. Qse•
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*RESOLUTION NG- R-_ 494 t!agt�i11U r1
A PESOLUTION A1ITHORIZING CONTINUING MEMBERSHIP IN THE d 4 ga
INTERGOVERRMENTAL PERSONNEL BENEFIT COOPERATIVE
WHEREAS, the Village of Oak Brook has previously authorized membership in
the Intergovernmental Personnel Benefit Cooperative (IPBC"); and
WHEREAS, the IPBC has effectively provided health insurance coverage to its
Members; and
WHEREAS, the IPBC, on January 1, 1990, will commence the next three-year
cycle of the Cooperative; and
WHEREAS, the Board of Directors of the Cooperative has requested each of its
Members to pass resolutions reaffirming their continuing membership in the
Cooperative, agreeing to continue as Members during the next three-year cycle of
the Cooperative, and reaffirming that the Member will continue as a Member of the
Cooperative until such time as it withdraws prior to the commencement of a three-
year cycle; and
WHEREAS, absent such withdrawal, which must take place in Writing at least
sixty (60) days prior to the commencement of a three-year Cooperative cycle, the
Village of Oak Brook is committed to continue in the Cooperative until the end of
that three-year cycle except as otherwise provided in the Contract and By-Laws
document;
NOW, THEREFORE, BE IT RESOLVED BY THE PRESIDENT AND BOARD OF TRUSTEES OF THE
VILLAGE OF OAK BROOK, DU PAGE AND COOK COUNTIES, ILLINOIS as follows:
Section 1: The corporate authorities of the Village of Oak Brook hereby
acknowledge their commitment to remain a participant of the Intergovernmental
Personnel Benefit Cooperative, pursuant to the provisions of the Contract and By-
Laws except as the Village of Oak Brook may withdraw or the Cooperative shall
cease its existence.
Section 2: The Village of Oak Brook intends by the passage of this
Resolution to positively confirm its continuing membership in the IPBC for the
three-year term commencing on duly 1, 1990.
Section This Resolution shall be in full force and effect, immediately
Upon its passage and approval as provided by law.
PASSED and APPROVED THIS 10 t�,h. day of gW K�,j „_____„�.� 1990 by
the President and Board of Trustees of the Village of Oak Brook, DuPage and Cook
Counties, Illinois acoording to a Roll Call Vote as follows:
Ayes: Trustees Barteckl Bush , Maher, Pa ovich, Rush and Winters
Nays: None
Absent: None
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Village President
ATTEST:
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Vi11a a Clerk
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VILLAGE OF OAK BROOK
1200 OAK BROOK ROAD
OAK BROOK, ILLINOIS 60521 -2255
April 3, 1990 708 990-3000
MEMO TO: Village President and Board of Trustees
FROM: Stephen Berley, Village Manager
Vince Long, Assistant to Village Manager
SUBJECT: Continuing Membership In The Intergovernmental Personnel
Benefit Cooperative (IPBC)
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RECOMMENDATION: That the Village President and Board of Trustees approve and pass
a resolution authorizing the Village's continuing membership in
the IPBC. The IPBC has requested that its members pass
resolutions reaffirming their continuing membership in the
Cooperative for the next three-year cycle beginning July 1, 1990
and concluding June 30, 1993.
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The Village has been a member of IPBC since 1983. IPBC is a pool of approximately
twenty-six (26) municipalities that self-insures for health insurance coverage.
The Village of Oak Brook has enjoyed a long and successful relationship with IPBC
and the Arthur J. Gallagher Insurance Company staff that help to administer the
pool.
In previous years, it was assumed that existing members would remain as members at
the start of each three-year cycle unless they specifically said that they were
opting out. This July 1 begins another three-year cycle and the pool has requested
that its members make a positive statement of continuing membership by passing
resolutions affirming same. While the language of our Cooperative Contract and By-
Laws obligate members to a three-year obligation, at the moment it does not require
an affirmative act of the Cooperative Board of Directors to extend for the three-
year period. By passing this Resolution, the Village will make that affirmative
not of continued membership.
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RE: IPBC
April 3, 1990
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We believe that IPBC has had a great stabilizing affect on our health insurance
renewal increases. While members are experience-rated, IPBC utilizes a concept
known as "banding" that compresses the fluctuation of member's rate increases or
decreases at the time of renewal. Banding has not only reduced our renewal
premiums almost every year (see Table 1 below) but due to the large number
of employees in the pool, it has provided enough of a cost stablizer to allow us a
measure of predictability making it possible to rationally budget for health
insurance. There are also significant advantages to being a member of IPBC as
opposed to being with a private health insurance company such as the elimination of
premium taxes and risk charges. Since the Village is represented in the
Cooperative Board of Directors, the Village can also participate in the day-today
administration of the Pool. In short, IPBC membership is a risk and cost stablizer
for the Village's health insurance.
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TABLE 1
OAK BROOK RENEWAL
YEAR BEFORE BANDING RENEWAL AFTER BANDING
7/1/90-7/1/91 +46% +22%
7/1/89-7/1/90 +68% +14%
7/1/88-7/1/89 +41% +32%
7/1/87-7/1/88 +16% +15%
7/1/86-7/1/87 - 1% + 1%
AVERAGE +32% +19%
Sincerely,
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Stephen Berl 6y
Village Manager
Vince Long j
Assistant to Village Manager
VL/SB/jr
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VILLAGE OF OAK BROOK Minutes -3- April 10, 1990
I. RESOLUTION NO. R-494 A RESOLUTION AUTHORIZING CONTINUING MEMBERSHIP IN
THE INTERGOVERNMENTAL PERSONNEL BENEFIT COOPERATIVE (IPBC).
e The IPBC has requested that its members pass resolutions reaffirming
their continuing membership in the Cooperative for the next three-year
cycle beginning July 1, 1990 and concluding June 30, 1993.
Trustee Rush moved, seconded by Trustee Bushy...
To pass Resolution No. R-494 authorizing the Village of Oak Brook's
continued membership in the Intergovernmental Personnel Benefit
Cooperative (IPBC).
ROLL CALL VOTE: Ayes: Trustees Bartecki, Bushy, Maher, Payovich, Rush, Winters
and President Cerne.
M Nays: None
Absent: None So ordered.
IV. FINANCIAL:
A. !!louts:
1. James J. Bones i Associates Inc. - Payout #3 - EnEineeri
ry cos - Gi er Croak Subdivision I rovements:
Trustee Rush moved, seconded by Trustee Bartecki...
To authorize payment of Payout #3 to James J. Bones & Associates,
Inc. for professional engineering design services for the Ginger
Creek Subdivision street improvements in the total amount of
$20,593.69.
ROLL CALL VOTE: Ayes: Trustees Bartecki, Bushy, Maher, Payovich, Rush, Winters
and President Cerne.
Nays: None
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Absent: None So ordered. i
2. Christo her B. Burke Iginearing Ltd. - Pa out #7 - Lower Salt
Creek Study:
Trustee Payovich moved, seconded by Trustee Bushy...
To authorize payment of Payout #7 to Christopher B. Burke
Engineering Ltd. for preliminary engineering analysis for the
atorawater management planning of Lower Salt Creek from Roosevelt
Road to the Tri-State Tollway in the total amount of $37,041.20
ROLL CALL VOTE: Ayes: Trustees Bartecki, Bushy, Maher, Payovich, Rush, Winters
and President Cerne.
Nays: None
Absent: None So ordered.
3. Marino Construction Com an Inc. - Payouts #6 8 #7 - Reservoir B
Canatruot on 2 10 Mo ers Road):
Trustee Rush moved, seconded by Trustee Maher...
To authorize payment of Payout #6 in an amount of $164,830.05 and
Payout #7 in an amount of $237,589.44 to Marino Construction
Company, Inc. for construction of Reservoir B and all appurtenant
itosr.
ROLL CALL VOTE: Ayea: Trustees Bartaeki, Bushy, Maher, Payovich, Rush, Winters
and President Carne.
Nays None
Aboont: Mono So ordered.
VILLAGE OF OAK BROOK Minutes •3- April 10, 1990
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VILLAGE OF OAK BROOK
1200 OAK BROOK ROAD
OAK BROOK, ILLINOIS 60521-2255
708 990-3000
April 12, 1990
Pat Piper
Northwest Municipal Conference
1616 East Golf Road
DesPlaines, Illinois 60016
Dear Pat:
The Village of Oak Brook Board of Trustees, at its Regular Meeting of April 10,
1990, approved a resolution authorizing the continuing membership of the Village in
the Intergovernmental Personnel Benefit Cooperative for the next three-year cycle
beginning July 1, 1990. Enclosed is a copy of that resolution.
Should you have any questions about this chatter, please contact me. Thank you,
Pat, for your assistance.
Sincerely,
- ,/P.
Vince
Assistant to Village Manager
VLljr
Enclosure (Res. R-494)
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cc: A(ephen Berley, Village Manager
Terry C. Klein, Finance Officer
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