2015 2:00:00 PM

Monday, September 28, 2015 2:00 PM
City Council Chambers, Legislative Building, 745 Fourth Street, Sparks, Nevada

General Business: 9.6

Title: Consideration, discussion and possible approval to terminate the existing contract with Universal Health Network (UHN), the third party that maintains a network of health care providers for the City's self-insured group health plan.

Petitioner/Presenter: Chris Syverson/Chris Syverson

Recommendation: Terminate the existing contract with Universal Health Network (UHN), the third party that maintains a network of health care providers for the City's self-insured group health plan.

Financial Impact: None

Business Impact (Per NRS 237):
A Business Impact Statement is not required because this is not a rule.

Agenda Item Brief:

A contract with UHN was approved by the City Council in June 2006 and became effective July 1, 2006. The contract has mutually agreeable options to extend each fiscal year. The contract was extended July 1, 2015 and now continues until the end of the fiscal year, June 30, 2016. This previously approved contract has a termination clause of 90 days notice by either party. Please see attached UHN Contract.

City staff is requesting consideration and possible approval to terminate the existing contract with UHN to allow for transition to a new provider by January 1, 2016, which is the start of the benefit plan year.

Background:

UHN establishes the network of preferred providers for the City's self-funded group health insurance.

In recent months, the City has engaged in seeking proposals for services through our membership with the Nevada Business Group on Health. This process allowed us to find significant savings through a new hospital contract with Renown, which also provided savings when utilizing Renown's Hometown Health Network.

Analysis:

Termination of this contract is required prior to engaging new service providers.

These potential contracts are to be addressed in a subsequent staff report.

Alternatives:

1. The City Council may approve the motion as recommended by outlined by staff.

2. The City Council may not approve the motion as recommended by staff.

3. The City Council may not approve, and direct the staff to other alternatives.

Recommended Motion:

I move to terminate the existing contract with UHN as the city's Third Party Administrator for the City of Sparks, effective December 30, 2015.

Attached Files:

01 01 2006 - UHN agreement.pdf

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