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File #: 22-0548    Version: 1 Name: 4/18/22 Resolution to Approve Amendment to Agreement with Keenan and Associates
Type: Resolution Status: Passed
File created: 4/18/2022 In control: City Council
On agenda: 4/18/2022 Final action: 4/18/2022
Enactment date: 4/18/2022 Enactment #: R-22-111
Title: Resolution to Approve Amendment to Member Services Agreement with Keenan & Associates ($88,000.00)
Attachments: 1. 2022 Keenan MSA Amendment.pdf
Resolution to Approve Amendment to Member Services Agreement with Keenan & Associates ($88,000.00)
The attached Resolution authorizes Amendment and extension of the City's Member Services Agreement with Keenan & Associates. The Member Services Agreement granted the City membership in the Keenan Pharmacy Purchasing Coalition ("Coalition") through the City's current Pharmacy Benefit Manager, Express Scripts, Inc. The Coalition represents employer groups by negotiating discounts for pharmacy products for city employees and retirees, and their respective dependents. Employees and retirees, through their labor agreements or in accordance with the City's employee benefit plans, have the option to use Express Scripts Network for their pharmacy service needs.

Public Act 106, requires the City to competitively bid our medical, dental and vision coverage every three years. Marsh and McLennan Agency, our healthcare advisor, conducts the bidding on our behalf and recommends a service provider. We completed this bidding process for plan year 2020. Keenan / Express Scripts remained the best option for prescription drug claims processing. We also completed the bidding process for 2022 plan year. Due to the COVID-19 pandemic as well as the potential disruption of benefits for employees and retirees, it was agreed to reevaluate options for the 2023 plan year.

Budget/Fiscal Impact: Coalition membership is on a calendar basis. Cost projections for the Amendment were budgeted in the FY22 budget and will be budgeted in the FY23 budget through the end of the 2022 calendar year. No additional funds are anticipated to be required to provide pharmacy coverage to City employees, retirees, and their respective dependents.

The Express Scripts Network, or its equivalent, is provided for under current labor agreements and our employee benefits program. The plan is administered by Express Scripts.

As part of the City's Coalition membership benefits, an annual market check i...

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