The City of Aurora provides a fully-insured health maintenance organization (HMO) for active employees through Blue Cross Blue Shield of Illinois. It does not allow retirees to remain on the HMO.
Renewal rates are set by BCBS and the required premium is based on the sum total of projected new paid claims, physician service fees, pooling charge, risk, and administration determined by BCBS.
The City government received 2018 renewal rates equaling a 2.25% increase over 2017 rates.
All the contracts are for one year for the more than 5 groups which include, current employees, pre-Medicare retirees, Medicare-eligible retirees, and mandated Consolidated Omnibus Budget Reconciliation Act (C.O.B.R.A.) for separated employees.
The City will increase deductibles and the out-of-pocket maximum to reduce premiums.
Alisia Lewis, director of Human Resources said, “We are looking at at least a $2 Million savings.
“We’re almost doubling the deductibles and the out of pocket maximums.
“These are cost increases that are pretty typical of what’s in the market. We’re just trying to get even to what’s going on in the market and we’re not raising anything out of the ordinary.”
Consent was given to the health care resolutions.
• The Council honored the Aurora Payroll Division for National Payroll Week. The division serves more than 1,200 employees of the City government of Aurora.
The American Payroll Association designate the week in which Labor Day falls to honor payroll professionals for their commitment and dedication.
The City’s Payroll Division members, Kandis Adams, Erin Miller, Margaret Gustavson, and Merilyn Thiesen (not present), were honored with mayoral commendations and flowers. They were joined by supervisor assistant Finance director Linda Read and chief financial officer Martin Lyons.
• Dan Hites, who owns three properties in Special Service Area 1 (SSA1) (downtown Aurora) used his allowed three minutes to explain to the Council to not extend the tax levy for an additional eight years in SSA1.
For more than 16 years, he’s bought and renovated buildings, investing $4 Million.
Hites served on the SSA1 Oversite Committee in several capacities.
Aurora Downtown was created in 1975 to represent building owners and assist with the redevelopment of Aurora downtown.
“Whereas 43 years ago, Aurora Downtown was a good idea, led by locally powerful leaders, it has now become corrupt.
“It is now the time for the SSA to be closed.
“Aurora Downtown no longer serves the function for which it was established.
“Over the years, it has lost almost all of its founding banks and major stakeholders.”
Hites cited several more reasons including fraudulent activity.
“One result of this is the SSA property owners are being double taxed to fund the downtown.
“The most pressing reason to not renew the SSA is the oversite board has become corrupt. The Board of Directors does not confront the issues or problems that lay at the roots of controversies.”
Hites said he provided documents to City officials.
Aurora alderman-at-large, Robert O’Connor suggested to place the ordinance on unfinished business for discussion at the full City Council meeting Tuesday.
Agenda items given consent from the COW will move to City Council meeting Tuesday.