Item Coversheet
Pittsfield Charter Township

6201 West Michigan Avenue, Ann Arbor, MI 48108
Phone: (734) 822-3135  I  Fax: (734) 944-6103
Website: www.pittsfield-mi.gov

Office of the Supervisor
 
 


MEMORANDUM  


TO:
Pittsfield Charter Township Board of Trustees
 
THROUGH:
Mandy Grewal, Supervisor

FROM: 
Patricia Denig, Director of Human Resources

DATE:

October 12, 2022

SUBJECT:

Authorize the Supervisor and Clerk to enter into an Agreement for employer provided insurance benefit rates for 2023, and authorize the Human Resources Director to sign the agreements for the same on behalf of the Township, subject to Township Attorney approval

BOARD ACTION REQUESTED:

Authorize the Supervisor and Clerk to enter into an Agreement for employer provided insurance benefit rates for 2023 and authorize the Human Resources Director to sign the agreements on behalf of the Township, subject to Township Attorney approval

 

BACKGROUND:

This agreement is for employer provided insurance benefit rates for 2023 to all Class I: Full-time elected officials and employees of the Township not covered by collective bargaining agreements, and Class II: Full-time employees of the Township covered by collective bargaining agreements:

 

  • Dental Insurance – Delta Dental
  • Health Insurance – Blue Cross/Blue Shield PPO  
  • Life, Accidental Death & Dismemberment (AD&D) and Long-Term Disability (LTD) Insurance – Hartford Life Insurance Company

 

Employer provided health insurance, dental insurance, and life insurance benefits are reviewed and renewed or modified as deemed necessary and appropriate on an annual basis.  The following is a synopsis of the aforementioned benefit rates for 2023:

 

Dental Insurance – The 2023 rate had 0.00% increase from 2022, with an estimated annual expense of $111,121. 

 

Health Insurance – The 2023 rates show a 12.69% increase from 2022 rates (due to the 2023 claims projections being higher than 2022), for an estimated annual expense of $2,320,829.

 

Life, AD&D and LTD Insurance – The 2023 rates had a 0.00% increase from 2022 due to a two-year rate guarantee last year, with an estimated annual expense of $59,890. 

IMPACT ON TOWNSHIP'S HUMAN RESOURCES:
Human Resources will continue to monitor monthly billings to ensure that all eligible employees are listed and billed within the appropriate categories for this benefit, and, ensure that bills are submitted in a timely fashion to the Finance Department for processing payments.

IMPACT ON TOWNSHIP'S BUDGET:

The Township has budgeted for the level of benefits in the 2023 budget. 



IMPACT ON INDIRECT COST:

No Impact



IMPACT ON OTHER TOWNSHIP DEPARTMENTS OR OUTSIDE AGENCIES:

No Impact



CONFORMITY TO TOWNSHIP POLICIES:

Conforms

ATTACHMENTS:
Description
Employer Provided Insurance Benefit Renewals for 2023