On Thursday, the City Council authorized the payment with United Healthcare of Texas, Inc. (UHC) as the Administrator for the City of Baytown's (the "City") medical and pharmaceutical claims in an amount not to exceed $396,000. There is no rate increase for FY2021.
The City is self-insured; and, as a political subdivision, it may not self-administer claims, and therefore utilizes an administrator in managing the plan and in processing medical and pharmaceutical claims, flexible spending accounts (FSAs), PPO network fees, RX fees, stop loss fees, and legislative fees mandated by the Affordable Care Act (ACA).
The City has implemented a long-term strategy designed to encourage employees to make healthy lifestyle choices as well as effectively utilize their healthcare coverage and the City of Baytown Employee Wellness Center. The long-standing relationship with UHC has proven to be effective and efficient with respect to re-pricing, network access, provider discounts, customer service, and partnering to improve the health and wellness of our employees.
The funds will come out of the Operating budget for Fiscal Year 2021.
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