MINUTES
EMPLOYMENT BENEFITS COMMITTEE
July 25th, 2013
Members Present
Brenda Freese – Chair
Debbie Copp
Aimee Franklin
Will Wayne
Suzanne Harrell
Ron Kantowski
Don Clothier
Suzanne Gilmore
Jannie Porter
Jerry Weber
Members Absent
Don Harrison
Frances Wen
Chad Johnson
Vince Leseney
Alisa Dougless
Ex Officio Members
Les Hoven
Nick Kelly
Angela Hawpe
Tricia Rahal
Breion Rollins
Sarah Millsap
The meeting was called to order by Brenda Freese at 1:32 pm.
I.
Approval of Minutes

The May minutes were approved as written.
II. 2014 Medical Pre-Renewal Presentation/Discussion (Segal Consultants:
Norm Jacobsen, Ruth Donahue, Mitch Bramstaedt)

Segal consultants went through the updated renewal numbers and noted
that June 2013 claims experience did not affect the PPO renewal, but was
favorable on the HMO renewal. As mentioned at last meeting, OU’s claims
experience has been running high, which is resulting in a significant rate
increase.


After heavy negotiations, the final rate increase for 2014, assuming no
plan design changes are as follows: 9.5% increase for the PPO/HCA and
13.5% for the HMO plan.
3%-4% of the rate increase includes new taxes and fees caused by the
Affordable Care Act (ACA).

In order to lower the HMO rate increase, there are options available:
o Changing the coinsurance from 100% to 90% would reduce the
HMO rate increase by 3.8%.
o Changing the deductible from $300 to $500 would reduce the HMO
rate increase by 2.4%.
o Blue Options plan: change in the Blue Preferred Network provisions
to be the same as the 2013 Blue Choice Network provisions.
Increase the Blue Choice Network deductible from $500 to $600
and increase the office visit copayments by $5. This would result in
a savings of approximately 2%-3%.

Per conversations within StaffSenate, many employees appreciate the
predictability of the HMO. They can anticipate their approximate costs for
the upcoming year. Changing the coinsurance from 100% would eliminate
this appeal.
It was discussed that the plan design of the HMO should be left as is.
Those that choose to stay on the HMO will have to accept the increase in
cost. The significant rate increase will show everyone that the HMO is not
sustainable.
A motion was presented to the committee to make no plan design
changes. The motion was seconded and carried; none opposed. The EBC
will draft a recommendation letter to President Boren as the next step.


III. Updates from Chief Human Resources Officer



Per Nick Kelly, the renewal notices for other employee benefits have been
received and it is confirmed that the rates will not be increasing for 2014.
The creation of a Strategic Planning Committee and a Steering Committee
is in process. More to come at a later date.
Also to be discussed at next EBC meeting: electing a new Chair, as
Brenda Freese will be stepping down in the near future.
The meeting was adjourned at 2:57 p.m.