Okay. Do you want to wait for uh Councilman Ramos or should we start? >> I think we could start with the the reading of the public meeting and the flag and then we'll see where we stand. >> You got it. I would like to advise all
those present that this notice of this meeting has provided to the public in accordance with the provisions of the open public meetings act and the notice was published in the city website. Copies were provided in the Bergen record, L Especiallyito, the Newark Star Ledger, Jersey Journal, and also placed
on the bulletin board and lobby of city hall. Written objections, if any, should be made to city clerk. We could all rise for the flag. >> I pledge allegiance to the flag of the United States of America. America to the republic. >> Republic which stands >> stands one nation
>> under God indivisible. >> Indivisible with liberty and justice for all. >> Okay. I will take roll call. Councilman Cohen. Councilwoman Fischer. >> Yep. I'm here.
>> Councilwoman Imus. Councilwoman Jabor >> here. Councilman Preszano >> present. >> Councilman Cano >> present. >> Councilman Ramos is about to join us. >> Yeah, I'm bring >> Councilman Russo and Council President
Doyle >> present. >> We have full quorum. >> Did you get Did you get Councilwoman Immus? I did not hear. >> Yes, she's muted, but I did get her. Yep. >> Okay. Thank you. >> I'm just waiting for Ruben to join us. One second. I'm just uh and Michael Russo. Councilman Russo has arrived as
well, folks. So, will we One person that's not here is Councilman Cohen. >> Okay. So, we have uh only one item on the agenda. >> Yep. I'm just going to read uh Council President, I'm just going to read the letter of notice. Um
>> Okay. >> Dear City Dear City Clerk, please be advised the mayor of city of Hobo, can I hereby call a special meeting of the governing body for Tuesday, December 23rd to begin promptly at 7 p.m. for the following purpose. A1 >> sorry 6 PM uh A1 resolution awarding
contract for stop-loss insurance to 180 intermediaries. Action will be taken and other matters will be discussed and act upon at this meeting. Please ensure that council members are noticed of this special meeting in accordance with the applicable laws and rules. Also, please
publicly notice this special meeting as required to the Open Public Meetings Act, NJSA 104-6, virtually yours, Mayor Robbie Bala. >> Uh, Deputy Clerk, did you say action will be taken? You're referring to the
action on this one resolution. >> That's correct. That's correct. >> All right. So, we're going to we are required to have a public comment opportunity with regard to this one resolution as well as a public comment
opportunity, a general uh public comment opportunity. So, we're going to do both of those now. So, if there are members of the public who are interested in speaking about this resolution or anything else, uh, you're welcome to
raise your hand. And Jerry, you'll be able to let them in. >> Yes. >> Okay. >> Yes, Council President. >> And And do you have any members of the public? Uh, >> no hands raised right now for Oh, we do
have um Wait one second. There was a hand Manuel Rivera Solair. I will bring him in. >> I anticipated that. >> Okay. So, he'll be joining us. Manny >> or we can just allow him to talk either
way. >> Manny, do you hear us? Hold on. Let me see. Yeah, you're you're Rod. You're saying he can just be essentially unmuted to give him the opportunity. We don't need to
necessarily see his visage necess. >> That's correct. Uh Manny, can you hear us? >> Yes. Good evening. Can you hear me? >> Yes, we can. >> Thank you. Thank you, Council uh President. Uh yeah, I didn't want to show my mug today, but I just wanted to
have a few questions. Council President, I know that this meeting should be short and sweet, but um there are questions in regards to um the resolution that you're going to be voting on this evening. Was this resolution um the one obviously that was postponed in a prior meeting?
And is this resolution the best one that we have right now? Meaning the context of the resolution um the bid, was it the only bid? um is the bid comparable to um the prior one that we just recently um had or it's
going to expire? Um questions like this and does the council uh in complete have complete um information uh when determining if they're going to vote or not for this um for this uh resolution and for this uh step stop I was going to
say stop gap but it's stop loss right uh um insurance. So uh can council president or any member of the council help members of the public understand the reasoning um for for the meeting and for this resolution at this time? Um council president also um you said to
combine both things meaning public portion or just the question now? >> No, you're welcome to speak on on anything you'd like. So we're proposing to combine the two at this juncture. >> Okay, perfect. So I may have a few more
minutes. So um president I just want to say um I was not present in last meeting obviously I want to say once again thank you sir for your service um also I just want to make a comment I was watching and I was a little bit horrified um in regards to some um public comments that
were made um everyone has has the right to express themselves but when their expressions turn into a little bit the side of um hate or or um you know some type of a phobia whether it be um uh you know, Islamophobia or xenophobia or
anything like this. So, I just want to say for the record that me as a resident of Hobok and I reject any hate that was mentioned in last meeting and any hate at all. We are a city that is compassionate. We're a city of um people
who are from all walks of life and one flag does not represent does not represent a whole nation. the flag that the person was um mentioning in her comments or their comments. So, Council President, I just want to
express that because um I also want to uh applaud and and um note that Council Vice President Cohen stood up for the residents and for the city and all of you by saying and rejecting um hate in
any form because we cannot hate one group and then say we love another or say we love another group. We are fair. So that's what I wanted to put on the record. Um, council president, again, I just wanted to thank you all and, you know, have a great holiday, be safe, and to all of Hoboken, you know, God bless
you, Council President, and God bless you all and God bless Hoboken. Thank you, sir, for for um allowing the expressions. Have a good evening. >> All right. Thank you, uh, man, Manny. Um, yeah, I I would agree. Uh Caleb Stratton, the director Stratton is going
to explain just the basics of of what we're voting on tonight. And as to your second point, I thought, you know, the the council actually applauded Councilman Cohen's words at the last meeting, which I think indicates,
you know, a a unanimous uh cons agreement with his with his words. So um >> president can I provide an overview of the >> some of these questions I'm sure other options had. So the reason for the
special meeting tonight is that the city must uh renew its policy. The uh RFP window was for 60 days which fell outside of the traditional uh council meeting schedule. So, we want to try to award this contract um so that we can
make it put it in force for January 1st and there's no lapse in the contract. Um we did go out to RFP. This was the only bid we received. It was from 180 intermediaries which is the city's existing stop-loss provider. Um the coverage amounts are the same
year-over-year. Um the contract is increased by about 6% or $79,000 for a total contract amount of $1,69,933. >> You're saying the cost to the city is increased 6% and the coverage remains
the same. Correct. >> Correct. And the and the reason we're doing this today is because we couldn't do it January 5th because that would mean we would have a lapse in coverage for the city which is imprudent.
>> Correct. >> Okay. Um are there other any other members of the public signed up to speak? Uh count uh deputy lure. >> Nope. No. Council president.
>> Okay. Um motion to close public portion. >> Motion. >> Second. >> Thank you. All those in favor? >> I >> I >> I >> Okay.
Uh Mr. Councilman President Zano, was your question answered? >> Yeah, I think he I think you did. It's just that's >> Is that kind of normal or in line to 6% director Stratton and in kind of what
other contracts have been doing? >> We had an expectation that this would increase in the 5% range. So 6% seems about on par par. The service the costs increase year-over-year for our provider. And one last thing, did they we went out to bid for this and only one
came back? Is that what I heard earlier? Is that correct? >> Is there a reason for that or it's just that the universe is so small for this stuff? >> I don't know if I could provide a reason, but usually the reason why someone competed and was
successful in the past is because they had insights into our losses. Anyone can compete and submit. So, um, they understand our market, which is why I think that we received the response. >> Okay. Thank you. >> Okay. >> Council President.
>> Yes. Councilman Russo. >> Uh, Caleb, if you if you don't mind, what were the what were the limits? The individual and then the overall. >> Uh, I don't believe that there is an overall limit. I can go back and look, but the individual limit is 300,000 is when it
trips into the stop-loss trigger. >> Is that an increase from last year? >> I don't believe so, but I can double check. >> I thought we were at 250 last year. >> You you may be right. I'd have to go back and look at our responses from last year, but the quotes were substantially
similar. Um, you you may be correct. I can send you a note with our coverage from last year and coverage from this year as well. Yeah, just it it it causes me a little bit of concern because we have less coverage and we're increasing by 6%.
Um, and we don't have an overall limit. So, that that kind of there's no security there, right? So, if we budget what what's our anticipated budget for health insurance this year? >> I use round numbers, but in in the neighborhood of $30 million,
>> right? So, so we should have a we should have an overall limit of 30 million. So, at least we're covered. We're not going above that $30 million mark. >> Is is this stop-loss for health care versus >> is for medical coverage?
>> Yeah. >> Yeah. Yeah, cuz without without that overall without that overall limit, it it becomes problematic because if we have a bad uh claims year and we go to 35 million, that's 5 million that that's on our you know, we're stuck with that
li that dollar amount if we don't have the stop loss in place for an overall limit. This was my argument the last time we talked about removing the overall limit. Well, we're, if I'm not mistaken, we're in a spot where we went out for bids. We
got one. We probably shouldn't reject this one. I would think if and putting us in it, we'd be out for another bid proposal period without coverage for a duration.
So, >> yeah, I understand that. But but remember stop loss doesn't kick in until somebody really hits an individual limit, right? So it's not happening in January unless there's a a massive catastrophe for an individual uh
employee. So it it's something that we do have a little bit of leeway with, but uh if everybody's comfortable with not having that protection, then you know that's on you guys. I I just don't see why we choose not to have that limit in
place just in case, especially with a 6% increase. I mean, if it was a flat rate and we were at the same levels as last year, so be it. But we're we're losing coverage and we're increasing our cost overall. So, that becomes that becomes
concerning for me. Can I council president can I ask a question? >> Yes, you can council. >> Yes. So, >> Kale, can you walk through an example with an individual? An individual files, let's say they file claims
for 500,000, whatever whatever it is. H how does how does this insurance wrap around our self-insured program? What does the city pay and then what does this um policy pay? >> So the city will pay $300,000 and the
policy will pay anything above that. >> It is and it limits our our higherend risk on um large medical exposure. >> Right? So if it's if we don't have a limit then the $5 million increase
doesn't matter because we just have an individual limit with no constraints. So we could have at 500,000 we could have 60 people at 500,000 and or 70 people at 500,000 we'd be at
35 million and the stop loss would kick in at 300 across all of them. So the the stop loss would pick up all of that exposure. It doesn't really matter having an upper limit or did do I interpret that incorrectly? >> That's my understanding. Um >> okay there's
There's a nuance to that. So, um, if every individual goes to $299,000, right, uh, let's just call it $1,000 under the individual limit, the overall
plan can still exceed the $30 million that we're budgeting. So, and and again, we're talking like extremely unlikely, but the concern here is to make sure that we're covered. Uh, and that shouldn't that shouldn't change
the overall plan itself as far as the dollars amount for the for the city. I I just don't understand why we remove that one protection even in the most unlikely case where it may happen. That that's just the nuance of it. But I
I guess the the question I have is if it's without limit aka unlimited then we could still clearly as you mentioned if every single person got sick up to
300,000 so we never bumped in to stop loss then you're suggesting we should have a overall limit on the 30 million. So that if if everything in aggregate
was within our 300,000 but we were at 31 million, the stop loss would kick in because we had a lot more people. >> What? >> I think he was he was distracted, but >> Got it. So right. So if we had more
people get sick, not not individuals get more sick, but more people get sick that are within the 300 and our 30 million is actually 31 or 32. It sounds like in the past, and I I don't recall, there was an
overall plan limit that doesn't exist anymore that we don't have that insurance for. Um, and then the the second I guess question I have is so the difference between 250, if 250 was the number last year and 300's the number
this year, that's a real exposure, right? That that I would think is quantifiable. I don't know if it's 10 people that had, let's say it's 10 people um that had uh medical issues that were greater than 250,000 or
greater than 300,000. The difference between 250 and three is 50,000 or 500,000 of reduced exposure and increased costs to the city. Have we calculated that Caleb?
If that if there is a difference between the 250 and the 300 that to me seems like greater exposure to us. I think that the answer to that question is the cost of carrying that same coverage at 250 would be higher than the
city's potential exposure on the number of individuals we expect to exceed the stop loss policy. So, we are we are recommending the purchase of a policy that limits the city's exposure in an affordable way to not increase
this contract cost, but um >> so it's risk management. >> It it's balanced, >> right? So it so we're paying75,000 out of pocket and we're we're paying we would have paid
another 200 or something like that for the potential I'm making it up because we don't know the number for the potential to not have to pay 200 plus in um increased costs the difference
between 250 and 300. Good. >> So, we're hoping >> that in in round numbers in that analog. Yes, that's my understanding. >> Yeah. >> Well, the the RF the the request for for the the bids were set these numbers. Is
that correct? >> Correct. >> Okay. So, it's not a surprise that they came in and said we're going to bid with 300 instead of 250. It's what we put out there. So, >> did anyone
>> I don't know if that's >> Go ahead. >> I'm just asking. I'm not >> Is that Well, no, that's the question. You're right, Jim. Did we Did we set those parameters ourselves or did we leave that open to interpretation and that's the parameters that they came back with?
>> We set we set them. We asked for three quotes at at different levels. So, we got a quote at our current level. We got a quote at an higher level, and we got a quote at an lower level. Let's >> like 250, 275, 300.
>> Gotcha. And and we're choosing to go with the 300 because the of that risk analysis. >> Yes. >> Councilman Russo, I posted on I don't know the on the chat. There's two links there. One is to the from uh Voya uh
that had something we had in 2023. There was a renewal option and there was another renewal option and the individual deductible was 300 325 and it shows some numbers at the bottom. And then we looked then the second link that I put up there was for last year's contract and I think that you know that
represents 1.5 something I mean right around what uh director Stratton's saying. Uh, and that it looks like what was approved last year on December 18th or 24th was for 300,000. So the 250 I
don't think was in play. And if I and again >> Yeah, it might have been the year before. >> Yeah. So I think it's 300. It's been across the board. And it looks like when it seems like there was more people that bid in the past. I'm just saying. Uh, but it looks as if 300's been the amount
that what's what we've approved. I can't find the actual contract, you know, just just looking this last minute stuff. Uh, but there was also something that we did in for the year of 2024
that the contract would void of financial if I'm saying it correctly. Uh, it increased by 13,397. I think that is where we total of 150. I think it went up
slightly from the year before. So kind of the 13,000 from 23 to 24 it looks like it went up whatever that uh sorry to 25 it looks like it went up. So again we're talking marginal amount this is a lot more the 6% but those two links
might help you get somewhere where you need some of the answers on those questions but it looks like 300,000 has been what we've been what we've had for the past couple of years. >> Thanks Paul. Appreciate it. Yeah, this is more like 60 I guess.
>> Yeah, it looks a little more count uh council president, but yeah, >> you know, insurance in general has been painful. >> Caleb, who who managed the process and like made the recommendation because it sounds sounds
like they made it to you, but maybe you weren't specifically hands-on. It's not a negative. I'm just curious who within the city actually >> purchasing opened the bid this afternoon and then was reviewed by um individuals on staff as well as we ran it by our
current health insurance provider to make sure that there are no inconsistencies or or red flags. Um and my team was confident in the bid. Um as well as the recommendation to award Okay. Are we
ready to call a vote? >> Yeah. I I just hope next year the 60 days goes out earlier so we don't have this that we can take care of this on the uh the second meeting. >> Yeah. I I think we all agree in that.
Well, Jim, I mean, you're going to be like, you know, sitting home watching this on TV. >> I'm gonna be sitting next to Manny in the front row. >> All right. I hope Manny can hear that. >> Yep. >> Okay. Um, Mr. Lore, please call the
vote. >> You got it. So, we are voting on resolution A1, a warning contract for stop-loss insurance to 180 intermediaries. Councilman Cohen absent. Councilwoman Fischer, >> yes.
>> Councilwoman Imus, >> yes. >> Counciloman Jabor, >> yes. >> Councilman Preszano, >> I. >> Councilman Cano, >> I. >> Councilman Ramos, >> I. >> Councilman Russo,
>> I >> Council President Doyle, >> I pass. >> Thank you. That is all the business for this evening. >> Motion to close. >> Second. >> All in favor?
>> I >> I Merry Christmas. Monica.