HomeMy WebLinkAboutCity Council Meeting - Council - Agenda - 1/1/2019
KENT CITY COUNCIL AGENDAS
Tuesday, January 1, 2019
Chambers
Mayor Dana Ralph
Council President Bill Boyce
Councilmember Marli Larimer Councilmember Brenda Fincher
Councilmember Satwinder Kaur Councilmember Les Thomas
Councilmember Toni Troutner Councilmember Dennis Higgins
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COUNCIL MEETING AGENDA - 7 P.M.
1. CALL TO ORDER / FLAG SALUTE
2. ROLL CALL
3. AGENDA APPROVAL
Changes from Council, Administration, or Staff.
4. PUBLIC COMMUNICATIONS
A. Public Recognition
i. Employee of the Month
ii. Proclamation for Constitution Week
B. Community Events
C. Public Safety Report
5. REPORTS FROM STANDING COMMITTEES, COUNCIL, AND STAFF
6. PUBLIC HEARING
7. PUBLIC COMMENT
The Public Comment period is your opportunity to speak to the Council and
Mayor on issues that relate to the business of the city of Kent. Comments
that do not relate to the business of the city of Kent are not permitted.
Additionally, the state of Washington prohibits people from using this Public
Comment period to support or oppose a ballot measurement or candidate for
office. If you wish to speak to the Mayor or Council, please sign up at the
City Clerk’s table adjacent to the podium. When called to speak, please state
your name and address for the record. You will have up to three minutes to
provide comment. Please address all comments to the Mayor or the Council
as a whole. The Mayor and Council may not be in a position to answer
questions during the meeting.
8. CONSENT CALENDAR
City Council Meeting Training Meeting - Non Public January 1, 2019
A. Consultant Services agreement with ALliant Insurance Services, Inc. -
Authorize
B. Write-offs of Uncollectable Accounts - Recommend
C. Budget Certification for Annexation Sales Tax Credit-Resolution -
Adopt
9. OTHER BUSINESS
A. 2018 Mid-Biennium Budget Adjustment – Set Date for Second Public
Hearing
10. BIDS
11. EXECUTIVE SESSION AND ACTION AFTER EXECUTIVE SESSION
A. To evaluate the qualifications of a candidate for appointment to elective
office as per RCW 42.30.110(1)(h)
12. ADJOURNMENT
NOTE: A copy of the full agenda is available in the City Clerk's Office and at
KentWA.gov.
Any person requiring a disability accommodation should contact the City Clerk's
Office in advance at 253-856-5725. For TDD relay service, call the Washington
Telecommunications Relay Service 7-1-1.
DATE: January 1, 2019
TO: Kent City Council
SUBJECT: Consultant Services agreement with ALliant Insurance
Services, Inc. - Authorize
MOTION: Authorize the Mayor to sign a contract with Alliant Insurance
Services, Inc. to provide benefits and actuarial services for an initial term
of 3.5 years, at an approximate cost of $85,000 per year, with an option to
renew for an additional 3 year term, subject to final terms and conditions
acceptable to the HR Director and City Attorney.
SUMMARY: For the past 35 years, the RL Evans Company has been the City’s
third-party benefits broker, providing benefits consulting and actuarial services and
assisting all medical, dental, vision, life insurance, and other benefits-related
contracts and activities. RL Evans is a relatively small, boutique firm that has
supported the City well despite having limited resources. During this time, medical
costs have skyrocketed and the benefits landscape has shifted dramatically creating
confusion and concern.
Working with a consulting firm with a wide range of expert resources is critical for
the City to develop a sustainable benefits strategy that provides excellent benefits
at affordable costs for both staff and the City.
A Request for Proposal (RFP) process was held in May/June 2018. Twelve (12) firms
were invited to present proposals and four were selected to give final presentations
to representatives of the City’s Healthcare Board. The four firms were RL Evans Co.,
Alliant Employee Benefits, Mercer, and Aon Hewitt.
Based on those presentations, Alliant Employee Benefits was selected by the
Healthcare Board participants. Alliant was the clear winner for the following
reasons:
• Comprehensive, transparent, all-inclusive contract with a reasonable annual
fee
• Staff with deep expertise in all benefits areas, including contract negotiation,
legal compliance, communication, patient advocacy, online systems, and
training
• Vast experience in working with management and labor unions
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BUDGET IMPACT: $85,000 per year ($7,083.33 per month), representing an
incremental cost of $25,000 per year over the current contract with RL Evans Co.
SUPPORTS STRATEGIC PLAN GOAL:
Thriving City, Evolving Infrastructure, Innovative Government, Sustainable Services
ATTACHMENTS:
1. Alliant Employee Benefits Consulting Agreement 072018 (PDF)
2. Alliant Additional Commission opt-out-form (DOCX)
Operations Committee Completed 12/31/2018 4:00 PM
City Council Meeting Pending 01/01/2019 6:00 PM
12/31/18 Operations Committee RECOMMENDED TO
COUNCIL
RESULT: RECOMMENDED TO COUNCIL [UNANIMOUS] Next:
1/1/2019 6:00 PM
AYES: Bill Boyce, Dennis Higgins
EXCUSED: Les Thomas
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Version 04.10.2018 1
CONSULTING SERVICES AGREEMENT
This Consulting Services Agreement (“Agreement”) is effective August 1, 2018 (“Effective
Date”) between Alliant Insurance Services, Inc., a Delaware corporation with its principal place of
business at 1301 Dove Street, Suite 200, Newport Beach, CA 92660 (“Alliant”), and the City of
Kent, a public employer with its principal place of business at 400 West Gowe Street, Kent, WA
98032 (“Client”). Alliant and Client may be referred to in this Agreement individually as a “Party”
and together as the “Parties.”
1. Services.
a. Scope of Services. Alliant shall provide the services described in Schedule I
(collectively, “Services”) for Client’s employee benefit plan(s) for which Alliant is
designated as the broker of record (“Plan(s)”).
b. Services Warranty. Alliant warrants that the Services will be performed in a
professional and workmanlike manner in accordance with industry standards and in
compliance with applicable laws and regulations.
2. Compensation. As consideration for the Services, Alliant shall receive the compensation
described in Schedule II.
3. Client Obligations.
a. Service-Specific Obligations. Client shall be responsible for all client obligations
identified in Schedule I.
b. Client-Provided Information. Client shall, promptly after the Effective Date and
thereafter upon Alliant’s request, provide all information requested by Alliant that may
be necessary for Alliant to perform the Services, including, without limitation,
information about Client, Client’s existing employee benefits plans, loss experience,
and risk exposures; provided that, Client shall not provide Alliant with any individual’s
personally identifiable information unless Alliant specifically requests such
information in order to perform the Services. Client acknowledges that Alliant relies
on such Client-provided information in order to perform the Services. Client confirms
that all information it provides to Alliant will be complete and accurate.
c. Material Changes. Client shall promptly report to Alliant in writing any significant
changes in exposures, loss-related data, Client’s operations, coverages or limits,
lines of coverage, or any other change that will change the scope or nature of
Client’s insurance plans.
d. Review. Client shall promptly review coverage documents, templates, and other
documents for the Plan(s) provided by Alliant, the insurer, or the third party
administrator (TPA), to ensure that the documents are consistent with Client’s
specifications. Client shall promptly inform Alliant of any discrepancies or required
changes.
e. Delay. Client shall perform its obligations under this Section 3, including the
obligation to provide all information requested by Alliant, as soon as practicable but
no later than the dates agreed upon by Alliant and Client. Alliant is not liable for any
delay or partial performance in performing the Services to the extent such delay or
partial performance arises from Client’s delay in performing its obligations under this
Section 3 or promptly making decisions related to the Plan(s).
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4. Disclaimers.
a. Not Legal or Tax Advice. Alliant is not responsible for Client’s compliance with any
laws, regulations, and/or statutes affecting the Plan(s). None of the services, advice,
recommendations, or communications provided by Alliant constitutes legal or tax
advice, analysis, or opinion, and Client shall not interpret or rely on any of Alliant’s
services, advice, recommendations, or communications as legal or tax advice,
analysis, or opinion.
b. No Fiduciary Relationship. Alliant will not have discretionary authority or
discretionary control with respect to the administration or management of any of the
Plan(s). Alliant also will not have authority to exercise any discretion or control with
regard to the management, use, or disposition of any assets of the Plan(s) and will
not render any investment advice with respect to the Plan(s) or any assets of the
Plan(s). Alliant’s performance of the Services will not make it a “fiduciary” for
purposes of the Employee Retirement Income Security Act of 1974 (“ERISA”), as
amended. Client shall not represent that Alliant is a fiduciary for purposes of ERISA.
c. Plan Recommendations and Funding. Any plans or plan provisions recommended
by Alliant are solely recommendations, and Client, not Alliant, has the ultimate
authority to select and modify the plans. Alliant shall have no responsibility, risk,
liability, or obligation for funding the Plan(s). All responsibility, risk, liability, and
obligation for funding the Plan(s) lies solely with the Plan(s) and the plan sponsor(s).
d. Other Brokers. Alliant is not responsible for, and hereby disclaims all liability for,
any acts, errors, and/or omissions of Client’s previous brokers, consultants, and/or
advisors. If Client has any employee benefits plan(s) for which Alliant is not the
broker of record, Alliant is not responsible for performing any services with respect to
such plan(s) and hereby disclaims all liability for any acts, errors, and/or omissions of
Client’s other brokers, consultants, and/or advisors. The exclusions provided by this
section shall not apply to any subcontractors or other agents Alliant may retain to
perform the Services under this Agreement.
5. Confidentiality.
a. Definitions. The Services and work product exchanged by the Parties under this
Agreement are to be used exclusively to carry out the terms, conditions, and
purposes set forth in this Agreement. However, as a public agency, records and
information provided to or otherwise used by the Client may be subject to a request
submitted under the Washington State Public Records Act. During the Term, the
Parties may each exchange information considered and conspicuously marked
“confidential,” “proprietary,” and/or “trade secret,” including, without limitation,
financial information, pricing information, intellectual property, ideas, concepts,
systems, designs, research and technical information, business and operational
policies, plans, processes, procedures and strategies, system design and operating
specifications, data, recommendations, proposals, reports and similar information
(collectively, “Confidential Information”). For purposes of this Section 5, the Party
disclosing Confidential Information is the “Disclosing Party” and the Party receiving
Confidential Information is the “Receiving Party.”
b. Exclusions. Confidential Information does not include information that is (i) in, or
that becomes part of, the public domain other than as a result of a breach of this
Section 5; (ii) independently developed by the Receiving Party as demonstrated by
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its records; (iii) lawfully known by the Receiving Party, without any obligation of
confidentiality or other restriction on use or disclosure, prior to disclosure of the
information by Disclosing Party; or (iv) disclosed by a third party whom the Receiving
Party has no reason to believe has any confidentiality or fiduciary obligation to such
information’s owner.
c. Legal Compulsion. A Receiving Party may disclose Confidential Information only to
the extent necessary to comply with a valid order of a court or governmental agency
with proper jurisdiction or as required by law or regulation; provided that, the
Receiving Party shall, to the extent allowed by law, make reasonable efforts to
promptly advise the Disclosing Party of the order, subpoena, or request in order to
enable the Disclosing Party to employ lawful means to avoid or limit disclosure. In the
event Alliant takes action to avoid or limit the Client’s disclosure of information Alliant
claims is Confidential Information, Alliant agrees to defend, indemnify, and hold the
Client, its officers, officials, employees, and agents harmless from any and all claims,
injuries, damages, losses or suits including all legal costs, attorney fees, and
penalties, arising out of or in connection with Alliant’s efforts to avoid or limit
disclosure of claimed Confidential Information. Either Party is also entitled to release
Confidential Information as required to prosecute or defend any claim under this
Agreement; provided however, that the Party seeking to release or use the
information shall take all reasonable steps necessary to avoid disclosing Confidential
Information, including filing documents and papers under seal.
d. Non-Disclosure; Reasonable Efforts. Except as otherwise provided in this
Agreement or as required by applicable law, a Receiving Party shall not knowingly
distribute, use, or rely upon Confidential Information without the Disclosing Party’s
permission. Additionally, except as otherwise provided in this Agreement, a
Receiving Party shall not directly or indirectly communicate, divulge, or otherwise
disclose the Confidential Information to any unauthorized person or entity. The
Parties shall employ reasonable and customary business practices to protect and
secure Confidential Information from unauthorized release or distribution and to limit
access and usage of Confidential Information to those employees, officers, directors,
agents, subcontractors, representatives, and advisors (including, without limitation,
attorneys, accountants, and financial advisors) (collectively, its “Representatives”)
who have legitimate “need to know” the information in order to perform under this
Agreement and who are bound by obligations of confidentiality no less restrictive
than this Section 5. The Receiving Party will be liable for any breach of this
Agreement by any of its Representatives.
e. Ownership of Confidential Information. Except as otherwise provided in this
Agreement, Confidential Information is and remains the absolute and exclusive
property of the Disclosing Party and its unique and variable asset.
f. Return of Confidential Information. Upon the Disclosing Party’s request at the
time of this Agreement’s termination, or earlier, the Receiving Party shall promptly
return all Confidential Information, including all copies, received in non-electronic
form and shall destroy all information received electronically. Notwithstanding
anything to the contrary in this Agreement, the Receiving Party may retain copies of
Confidential Information in order to comply with legal or regulatory requirements and
any electronic files automatically saved pursuant to its archiving and document
retention procedures and that cannot reasonably be deleted; with respect to all such
retained copies, the Receiving Party will remain subject to the confidentiality
obligations stated in this Section 5 for so long as the copies are retained.
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g. Survival. The obligations contained in this Section 5 will survive termination of this
Agreement for a period of two years or longer as required by law. Nothing in this
section limits or otherwise diminishes the protections afforded to trade secret
information or by applicable law.
h. Injunctive Relief. A breach of this Section 5 may cause irreparable injury to a
Disclosing Party. For this reason, in the event of a breach, a Disclosing Party is
entitled to seek injunctive relief or other equitable relief, without prejudice to any
other remedies that may be available.
6. Licenses and Ownership.
a. Media License. To the extent that Alliant will prepare benefit brochures, open
enrollment materials, or other benefit communications for Client’s employees
(collectively, “Benefit Materials”), and Client has or will provide photographs,
images, other media, trademarks, and/or logos (collectively, “Media”) to include in
the Benefit Materials, Client hereby grants Alliant a worldwide, perpetual, royalty-
free, non-exclusive, sublicensable right and license to use the Media in the Benefit
Materials. This license includes the right to use, reproduce, edit, crop, retouch,
distribute, and create derivative works of the Media as needed to incorporate the
Media into the Benefit Materials and to otherwise prepare and distribute the Benefit
Materials. Client represents and warrants that (i) it is the owner of the Media or has
the right to grant Alliant the licenses to use the Media, free of all liens, claims, and
encumbrances; and (ii) Alliant’s use of the Media as specified in this Agreement will
not infringe the rights, including the personal or proprietary rights, of any other party.
b. Other Client Information. Client hereby grants Alliant a worldwide, royalty-free,
non-exclusive, sublicensable, and revocable license to use all Client-provided
information as necessary to provide the Services. Client represents and warrants
that it has or will obtain the necessary consents from each individual before providing
or otherwise disclosing any of the individual’s personally identifiable information to
Alliant.
c. Ownership. Except as otherwise expressly stated in this Agreement, Client will
retain all ownership rights in the Media and other Client-provided information. Alliant
will retain all ownership rights to all information, data, benefit analysis, materials,
specifications, and products supplied by Alliant (collectively, “Work Product”),
together with all intellectual property rights in the Work Product. Work Product is
solely for use by Client and its Plan(s) and may not, without Alliant’s prior written
consent, be shared with anyone other than Client’s employees and advisors who
have a legitimate need to know, Plan participants and beneficiaries, or as required by
law.
7. Term and Termination.
a. Term. Unless terminated in accordance with this Section 7, this Agreement will have
an initial term of three and a half (3.5) years from the Effective Date (“Initial Term”),
after which the Parties agree the Agreement may be extended, at the Client’s
discretion, for one (1) additional three-year period, under the same pricing and terms,
for a total contract duration of six and a half (6.5) years. (“Renewal Term(s)”). The
Initial Term and all Renewal Term(s) are collectively the “Term.”
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b. Termination. Either Party may terminate this Agreement, with or without cause,
upon providing the other party thirty (30) days advance written notice to its address
set forth in this Agreement.
c. Final Fees. No later than 30 days after this Agreement’s termination, Alliant shall
issue a final invoice for any services performed and expenses incurred by Alliant on
or before the Agreement’s effective date of termination and that remain payable by
Client. The Client shall pay such invoice within 45 days of its receipt of the invoice.
d. Survival. Except as otherwise stated in this Agreement, the rights and obligations
contained in Sections 1, 5, 7, 8, 9, 10, and 11 of this Agreement shall survive the
termination of this Agreement.
8. Indemnification.
Alliant shall defend, indemnify and hold the Client, its officers, officials, employees, agents
and volunteers harmless from any and all claims, injuries, damages, losses or suits,
including all legal costs and attorney fees, arising out of or in connection with Alliant’s
negligent performance of this Agreement, except for that portion of the injuries and damages
caused by the Client's negligence.
The Client's inspection or acceptance of any of Alliant’s work when completed shall not be
grounds to avoid any of these covenants of indemnification.
IT IS FURTHER SPECIFICALLY AND EXPRESSLY UNDERSTOOD THAT THE
INDEMNIFICATION PROVIDED HEREIN CONSTITUTES ALLIANT’S WAIVER OF
IMMUNITY UNDER INDUSTRIAL INSURANCE, TITLE 51 RCW, SOLELY FOR THE
PURPOSES OF THIS INDEMNIFICATION. THE PARTIES FURTHER ACKNOWLEDGE
THAT THEY HAVE MUTUALLY NEGOTIATED THIS WAIVER.
In the event Alliant refuses tender of defense in any suit or any claim, if that tender was
made pursuant to this indemnification clause, and if that refusal is subsequently determined
by a court having jurisdiction (or other agreed tribunal) to have been a wrongful refusal on
Alliant’s part, then Alliant shall pay all the Client’s costs for defense, including all reasonable
expert witness fees and reasonable attorneys’ fees, plus the Client’s legal costs and fees
incurred because there was a wrongful refusal on Alliant’s part.
a.
b. Process. The Client will promptly notify Alliant in writing of any claims subject to
indemnification under this Section 8, provided that the Client’s delay in providing
such notice will not relieve Alliant of its indemnification obligations except to the
extent that Alliant is materially prejudiced by the delay. Alliant, at its sole expense,
will have the right to control the defense and settlement of the claim. Alliant may
settle or consent to the entry of any judgment with respect to any claim involving only
the payment of money, but shall not, without the Client’s prior written consent, which
shall not be unreasonably withheld, settle any other claim or consent to any judgment
that obligates the Client to take any independent action or pay money. The Client
shall reasonably cooperate with Alliant, at Alliant’s expense, in connection with the
defense of any claim subject to this Section 8 and shall, at Alliant’s expense, provide
all information reasonably requested for defense of such claim. The Client may, at its
own expense, retain separate counsel and participate in (but not control) any action
under this Section 8, unless that separate counsel is required due to any legal
conflict of interest that prohibits dual representation of both Alliant and the Client.
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9.
10. Resolution of DisputesArbitration. If the Parties are unable to resolve any dispute,
difference or claim arising from the Parties’ performance of this Agreement, the exclusive
means of resolving that dispute, difference or claim, shall only be by filing suit exclusively
under the venue, rules and jurisdiction of the King County Superior Court, King County,
Washington, unless the parties agree in writing to an alternative dispute resolution process.
In any claim or lawsuit for damages arising from the parties' performance of this Agreement,
each party shall pay all its legal costs and attorney's fees incurred in defending or bringing
such claim or lawsuit, including all appeals, in addition to any other recovery or award
provided by law; provided, however, nothing in this paragraph shall be construed to limit the
Client's right to indemnification under this Agreement.
11. Miscellaneous.
a. Independent Contractor. Alliant is an independent contractor for Client. This
Agreement does not create a partnership, joint venture, franchise, employment, or
any agency relationship between the Parties. Neither Party has any authority to act
on behalf of the other Party or bind the other Party in any respect; provided,
however, that Alliant has the authority to act as a broker on behalf of Client as
contemplated hereunder.
b. Notice. All notices given under this Agreement shall be in writing and deemed given:
(i) on the business day when delivered personally; (ii) one business day after being
sent by a reputable overnight courier services (charges prepaid); or (iii) five business
days after being sent by certified mail (charges prepaid). Notices must be sent to the
Party’s following address or any other address that the Party designates by proper
notice:
If to Client: If to Alliant:
City of Kent Alliant Insurance Services, Inc.
400 West Gowe Street 1420 5th Avenue, Suite 1500
Kent, WA 98032 Seattle, WA 98101
Attn: Marty Fischer Attn: Keith Robertson
With a copy to:
General Counsel
701 B Street, 6th Floor
San Diego, CA 92101
c. Governing Law; Venue. This Agreement will be governed by and construed in
accordance with the laws of the State of Washington without regard to its conflicts of
law principles, and the Parties each consent to the exclusive jurisdiction of the state
and federal courts in Washington.
d. Assignment. Neither Party may assign this Agreement without the prior written
consent of the other Party, except that prior written consent will not be required for a
Party to assign this Agreement to its successor in interest after a merger,
consolidation, reorganization, or sale of substantially all of that Party’s assets.
Subject to the foregoing, this Agreement shall inure to the benefit of and be binding
upon the Parties and their permitted successors and assigns.
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Version 04.10.2018 7
e. Waiver. A Party’s failure to enforce any provision of this Agreement shall not be
construed as a waiver of that provision and shall not prevent the subsequent
enforcement of each and every provision of this Agreement.
f. No Third Party Beneficiaries. Except as stated in this Agreement, this Agreement
does not create any right or cause of action in or on behalf of any person or entity
other than the Parties.
g. Entire Agreement; Amendments; Severability. This Agreement, together with its
attached schedules and incorporated documents, constitutes the entire agreement
between the Parties relating to its subject matter and supersedes all prior or
contemporaneous agreements, negotiations, representations and proposals of any
kind, whether written, oral, express or implied, related to its subject matter. Any
modification to this Agreement must be in writing and signed by authorized
representatives of both Parties. If any provision of this Agreement is declared invalid
by a court of competent jurisdiction, that provision will be severed from this
Agreement without affecting the validity or enforceability of all other provisions of this
Agreement, which will remain in full force and effect.
h. Construction. The Parties jointly negotiated the terms of this Agreement and each
Party has had an opportunity to review and discuss each provision with legal
counsel, to the extent desired. Therefore, the normal rule of construction that
construes any ambiguities against the drafting party shall not be employed in the
interpretation of this Agreement.
SO AGREED:
City of Kent
By: _________________________________
Name: Dana Ralph
Title: Mayor
Alliant Insurance Services, Inc.
By: _________________________________
Name:
Title:
8.A.a
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8.A.a
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Schedule I
Version 04.10.2018 1
SCHEDULE I
SERVICES
In accordance with the Client’s Request for Proposals for Benefits Consulting and Actuarial Services
(“RFP”), Alliant’s Response to that RFP, and any supplemental documentation and information
Alliant provided during the RFP process, all of which are incorporated herein by this reference,
Alliant shall perform the following Services during the term of this Agreement. “Standard” services as
indicated in this Schedule I are included in fees. If an additional fee applies, it is indicated below.
Except where specified, the services set forth below do not include the provision of third-party
administrator services.
A. Strategic Benefit Consulting
1. Quarter One - Annual benefit objective setting and
development of strategic plan with post-open enrollment
review, if applicable.
Standard
2. Quarter Two Meeting – Planning or Pre-renewal Standard
3. Quarter Three Meeting - Pre-renewal or Renewal Standard
4. Quarter Four Meeting – Renewal or Open Enrollment Standard
5. Agenda, meeting notes and project management Standard
6. Annual service/benefit calendar Standard
7. Introduction to new and progressive benefit innovations Standard
8. Benchmarking Standard
B. Health & Productivity Consulting
1. Development and alignment of health and productivity
strategy including incentive design in coordination with
annual benefit planning and goal setting
Standard
2. Annual review of Incentive design review in partnership with
compliance team, if needed
Standard
3. Assistance in procuring carrier dollars for wellness and
leveraging carrier solutions
Standard
4. Access to annual benchmarking reports, updates on industry
trends and proprietary health and wellness toolkits and
templates
Standard
5. Assistance in implementing wellness champion programs,
facilitating meetings and implementing culture building
policies and strategies
Standard
6. Access to health education library includes posters,
pamphlets and monthly employee facing newsletter
Standard
7. Vendor review, market assessment and project management
of implementation, as needed
Standard
C. Annual Renewal Report & Financial Analysis
1. Vendor marketing (as required) Standard
8.A.a
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Schedule I
Version 04.10.2018 2
a. Pre-qualify potential vendors and develop bid specs Standard
b. Detailed evaluation of plan design, cost and funding
alternatives
Standard
2. Premium rate and service fee negotiation Standard
3. Benefit analysis and plan design modeling (self-funded) Standard
4. Employee contribution strategy Standard
5. Annual cost summary Standard
6. Underwriting calculations
a. Annual Renewal Projection Standard – Self-funded
b. Annual High Claims Analysis Standard – Self-funded
c. Quarterly IBNR Standard – Self-funded
7. Experience Reports (monthly, quarterly) Standard – Quarterly/Monthly
D. Plan Implementation & Administration Support
1. Project Management of vendor relationship
a. Regular evaluation of service providers Standard
b. Resolve problems relating to vendor performance Standard
c. Network updates Standard
d. Assist in resolving claim problems or procedures,
plan design issues, billing problems, etc.
Standard
2. Create custom employee communication campaign and
materials to include:
a. Branded benefit summary Standard
b. Open enrollment memos Standard
c. Annual notices (i.e. Medicare Part D, CHIP, etc.) Standard
d. Open enrollment PPT presentations Standard
e. Ben-IQ Mobile application Standard
f. Employee portal Standard
g. Home mailings Standard
h. Wallet cards Standard
i. Total compensation statements Standard
3. Coordinate/conduct open enrollment meetings and/or
benefits fairs
a. WebEx Standard
b. Travel for meetings Standard
c. Travel for meetings in locations with less than 25
employees
Standard
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Schedule I
Version 04.10.2018 3
4. Benefit Advocate Department – Assist HR, employees and
families with benefit questions, claims issues, appeals
Standard
a. Quarterly utilization reports Standard
E. Compliance Consulting
1. Plan Administration Support
a. Integrated daily support from assigned in house
compliance professional
b. Risk analysis and recommendations for short term
and long term plan design strategies
Standard
2. Ongoing Client Education
a. Compliance Alerts
b. Compliance Updates
c. Alliant Insights (white papers)
d. Friday Fast Facts
e. Quarterly HRCI accredited webinars
f. Compliant with Alliant Podcast
Standard
3. Annual Reporting and Disclosure Support
a. Facilitate annual 5500 Preparation and Filing
b. Wrap SPD Plan Document
c. Summary Material Modification
d. Customizable Compliance Calendar and Checklist
e. Annual Notices Package
f. PCORI Fee Calculation Support
Standard
4. HIPAA Compliance Infrastructure
a. Review plan design and recommend HIPAA
compliance strategy
b. Implementation-ready HIPAA Privacy & Security
Policies and Procedures
c. HIPAA Training for Benefits Team
Standard
5. Practical Compliance Tools
a. Cadillac Tax Modeler
b. ACA Employer Reporting Guide
c. Pay or Play Risk Assessment
d. ACA Health Care Reform Review Analysis
Standard
F. Human Resources Consulting (ThinkHR) Standard
G. Benefit Administration Outsourcing
1. Vendor RFP and evaluation Standard
2. Implementation support Standard
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Schedule II
Version 04.10.2018 1
SCHEDULE II
COMPENSATION
1. Compensation. As consideration for the Services, Alliant shall receive the following
compensation:
a. Fees and Payment.
i. Fees. The fee for the standard Services will be $85,000 per year or
$7,083.33 per month.
ii. Payment. Client shall pay any fee hereunder within 45 days of its receipt of
Alliant’s invoice.
b. Changes in Services. If Client requests a change in Services or if changes in
Client’s size, operations, or organization require a change in the scope and/or nature
of the Services and/or Plans, the compensation described in this Section 1 will be
adjusted accordingly.
2. Transparency and Disclosure. Upon Client’s reasonable request, Alliant will disclose
compensation it receives, where possible, in connection with any insurance placements on
behalf of Client under Alliant’s “Transparency and Disclosure” policy, a copy of which is
made available upon request. Pursuant to its policy, Alliant will conduct business in
conformance with all applicable insurance regulations and in advancement of the best
interests of its clients. In addition, Alliant’s conflict of interest policy precludes it from
accepting any form of broker incentives that would result in business being placed with
carriers in conflict with the interests of Alliant’s clients.
3. Services Included in Cost of Premium. In addition to the compensation described in this
Schedule II, Alliant and/or its related entities may receive additional compensation for
underwriting, program administration, and other services that are (a) provided to either Client
or the insurance carrier, (b) not contracted for directly by Client, and (c) outside the scope of
Services described in Schedule I. This additional compensation, if any, will be included in the
cost of the premium Client pays to the carrier and accordingly, will create no additional cost
for Client. Notwithstanding this paragraph, any services contracted for directly by Client may
be subject to additional costs, as provided in Section 1 above.
4. Indirect Income. Alliant has provided the City of Kent with an “opt-out” form for review and
sign off. The form may also be found on Alliant’s website: http://www.alliant.com/Legal-
Notices/Pages/Disclosure-Policy.aspx. The City of Kent has elected to have the premium
associated with all policies managed by Alliant excluded from consideration in any and all
contingent and supplemental income.
8.A.a
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ADDITIONAL COMMISSION “OPT OUT”
Attn: General Counsel
Alliant Insurance Services, Inc.
701 B Street, 6th Floor
San Diego, CA 92101
RE: Additional Commission “Opt Out”
Please be advised that the City of Kent has elected to have the premium associated with
any and all insurance policies where Alliant is the broker of record excluded from
consideration in any and all:
✓ Contingent income agreements
✓ Supplemental income agreements
Sincerely,
Company Name
By:
Title:
Dated:
8.A.b
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-
DATE: January 1, 2019
TO: Kent City Council
SUBJECT: Write-offs of Uncollectable Accounts - Recommend
MOTION: Recommend Council authorize the Mayor to write-off
uncollectable accounts owed to the City in the amount of $181,686.86,
subject to final approval of the Finance Director and City Attorney.
SUMMARY: Authorization is requested to write-off $181,686.86 in uncollectable
accounts receivable and utility billing receivables. The requested accounts
receivable write-off of $107,881.17 represents 9.8% of the receivables balance and
the requested utility billing write-off of $73,805.69 represents .96% of the utility
receivables balance. The requested write-off also includes $1,352.50 in interest
and finance charges.
Of the $181,686.86: $9,500 represents unpaid violations and fines; $7,628.61 is
for miscellaneous permits, taxes and fees; $28,320.11 is for Parks fees and golf
operations tenant debt and $62,432.45 is comprised of miscellaneous Public Works
repairs and services. $73,805.69 is Utility Billing accounts in bankruptcy and
unfiled utility liens. All write-offs range from 2003 through 2018.
Finance has adopted a procedure to write-off all delinquent accounts receivable
invoices older than 3 years, not including current year, unless requested by the
department. The write-off does not forgive the debt. Accounts may stay in
collections if the billing department ensures all backup documents are retained
while the accounts remain with the collection agency.
BUDGET IMPACT: There are no expected budget impacts as a result of this
motion.
Operations Committee Completed 12/31/2018 4:00 PM
City Council Meeting Pending 01/01/2019 6:00 PM
12/31/18 Operations Committee RECOMMENDED TO
COUNCIL
8.B
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RESULT: RECOMMENDED TO COUNCIL [UNANIMOUS] Next:
1/1/2019 6:00 PM
AYES: Bill Boyce, Dennis Higgins
EXCUSED: Les Thomas
8.B
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DATE: January 1, 2019
TO: Kent City Council
SUBJECT: Budget Certification for Annexation Sales Tax Credit-
Resolution - Adopt
MOTION: Adopt Resolution No.____ certifying the Panther Lake annexation
sales tax credit of $4,977,770 for the period July 1, 2018 through June 30,
2019.
SUMMARY: The City is required to certify to the State of Washington before March
1st of each year, the amount needed from the annexation sales tax credit to
provide services in the annexed area. The Finance Department has calculated
estimated costs and revenues within the Panther Lake annexation area and has
determined a gap between revenues generated and expenditures used to provide
services of $4,977,770 for July 1, 2018 through June 30, 2019.
This certification period is the ninth year the City will receive the annexation sales
tax credit, which will expire June 30, 2020.
BUDGET IMPACT: Estimated costs for the Panther Lake annexation area for the
State’s fiscal year 2018 is anticipated to be $14,243,180 in expenditures to provide
City services to those residents, while we anticipate revenues of $9,265,410 from
property taxes, sales taxes and other sources. The net of the revenues and costs
produces a deficit of $4,977,770, which is the amount being certified as the amount
of annexation sales tax credit we are requesting from the State.
SUPPORTS STRATEGIC PLAN GOAL:
Sustainable Funding
Operations Committee Completed 12/31/2018 4:00 PM
City Council Meeting Pending 01/01/2019 6:00 PM
City Council Meeting Pending 01/01/2019 6:00 PM
12/31/18 Operations Committee RECOMMENDED TO
COUNCIL
8.C
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RESULT: RECOMMENDED TO COUNCIL [UNANIMOUS] Next:
1/1/2019 6:00 PM
AYES: Bill Boyce, Dennis Higgins
EXCUSED: Les Thomas
8.C
Packet Pg. 21
DATE: January 1, 2019
TO: Kent City Council
SUBJECT: 2018 Mid-Biennium Budget Adjustment – Set Date for
Second Public Hearing
MOTION: Set October 17, 2017, for the second public hearing of the
2018 Mid-Biennium Budget Adjustment at the regular City Council
meeting.
SUMMARY: Public input is welcome.
BUDGET IMPACT: None.
SUPPORTS STRATEGIC PLAN GOAL:
Sustainable Funding
ATTACHMENTS:
1. 2018 Budget Adjustment Summary (PDF)
City Council Meeting Pending 01/01/2019 6:00 PM
9.A
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