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Public Employees' Benefit Board Minutes
March 17, 2009
 
Public Employees’ Benefit Board
Tues., March 17, 2009, 8:45 a.m. to 2:45 p.m.
DAS * East - General Services Building
1225 Ferry St SE, Salem, OR
                                           
Minutes
APPROVED 04/21/09
NOTE:  Time codes for the video stream (x:xx:xx) are provided at the beginning of each section.
              Please refer to the recorded video stream of this meeting for additional details.
 
 
Board Members Present
Sue Nelson, Chair
Rich Peppers, Vice-Chair
Peter Callero
Rocky King
 
Diane Lovell
Bret West
Paul McKenna
Jeanene Smith
 
PEBB Staff Present
Wendy Edwards
Lydia Lissman
Joan Kapowich
Bobbie Barott
Ingrid Norberg
Chérie Taylor
Margaret Smith-Isa
Chelsea Hollingsworth
 
Guests Present
Brad Garrigues, Providence
Michael White, Providence
Jean Poling, Kaiser
Cynthia Platanov, ODS
Diana Jones, Regence
Tricia Vakknen, Regence
Lynn Yishida, Regence
 
Kristina Herron, Providence
Megan Myrick, Willamette Dental
Denise Zunker, OUS
Jack Friedman, Providence
Thandi Clements, VSP
Deborah Trembley, ODOJ
Consultants Present
Mikel Gray, Mercer
Kari Johnson, Mercer
 
Hans Leitzinger, Mercer
Agenda
Welcome and Approval of Minutes: Feb. 17, 2009
Administrator Updates
Review of 2009 Medical Plan Renewal Responses
COBRA Premium Assistance
Operations Subcommittee
Health Savings Accounts
Review of 2009 Dental, Vision, TPA and Other Benefit Plan Renewal Responses
 
 
 
0:38 
 
 
 
0:44
 
0:50
 
 
 
Welcome and Approval of Minutes (info/actionBdattach. 1)
 
Upon opening the meeting, Chair Nelson called for a motion to approve the Board’s Feb. 17, 2009 Minutes. Diane Lovell moved to approve the minutes and Bret West seconded her motion.
 
Action: The Board unanimously approved the Feb. 17, 2009 minutes.
 
Administrator Updates
 
The Board heard brief updates from Administrator Joan Kapowich regarding legislature meetings and will send a Board update later in the week. Ms. Kapowich also informed the Board of the results of the Governor’s Food Drive and expressed her thanks to PEBB carriers Providence and Regence for their participation whereby they donated cash to the Food Drive for each Health Risk Assessment completed by PEBB members. Ms. Kapowich will update the Board when final numbers are available. She informed the Board that staff would be taking up to four furlough days between now and the end of June.
 
2:48 
 
 
 
 
 
 
 
 
1:16:33 
 
 
 
1:31:48 
Review of 2009 Medical Plan Renewal Responses (info/discussion/actionBdattach.2)
 
Wendy Edwards, and Mercer consultants Mikel Gray and Hans Leitzinger, reviewed the renewal responses from PEBB medical carriers, including recommendations for plan design changes, evidence-based care options, contract changes and rate quotes. Mercer consultants provided an evaluation of the responses and recommendations.
 
Action: Peter Callero moved to accept the recommendation to move forward with Option 2. Diane Lovell seconded the motion. After continued discussion, the Board unanimously approved the recommendation to move forward with Option 2.
 
Action: Bret West’s motion, to reject Regence’s fully insured renewal proposal, was seconded by Diane Lovell. The Board unanimously approved rejection of Regence’s fully insured renewal proposal. (Jeanene Smith was excused to attend another meeting and did not vote.)
 
1:32:24 
 
 
 
1:41:59
COBRA Premium Assistance (info/discussion/actionBdattach.3)
Bobbie Barott reviewed the COBRA premium assistance program under The American Recovery and Reinvestment Act of 2009 (ARRA) and the staff recommendation for implementation.
 
Action: Rocky King moved to accept the staff recommendation that PEBB Stabilization Account funds be used for initial payment of the employers’ COBRA premium subsidy (65 percent), such funds to be repaid by the employers’ payroll centers on a quarterly basis. Peter Callero seconded Mr. King’s motion. The Board unanimously voted to accept the staff recommendation and authorize use of Stabilization Fund dollars from PEBB’s Revolving Fund. (Jeanene Smith was excused to attend another meeting and did not vote.)
 
1:48:34Operations Subcommittee (info/discussion: Bdattach.4)
 
Paul McKenna, Subcommittee Chair gave the Board the opportunity to ask questions about meeting materials developed for the Subcommittee’s cancelled March 10, 2009 meeting. Ingrid Norberg responded to Vice Chair Pepper’s request for clarification of the Communications item (Opsattach.4); specifically, whether a change in the nature of the questions received has occurred, given current budget and economic factors. Ms. Norberg reported that there has been no increase in member questions.
 
2:24:01Health Savings Accounts (info/discussion/actionBdattach.5)
 
Margaret Smith-Isa presented information regarding Health Savings Accounts. The Board will discuss Health Savings Accounts in detail at a future meeting.
 
1:54:39 
 
 
 
 
 
 
 
 
 
2:19:44
Review of 2009 Dental, Vision, TPA and Other Benefit Plan Renewal Responses (info/discussion/actionBdattach.6)
 
Wendy Edwards and Kari Johnson, Mercer consultant, reviewed the renewal responses for dental and vision plans, including recommendations for plan design changes, evidence-based care options, contract changes and rate quotes. The Mercer consultant provided an evaluation and recommendations. The Board also reviewed renewal responses and rate quotes from Cascade Centers for the Employee Assistance Program (EAP), BenefitHelp Solutions, ASIFlex, Standard and Unum.
 
Action: Diane Lovell moved to answer affirmatively to all the questions except The Standard’s insurance renewal. Paul McKenna seconded her motion. The Board voted unanimously to accept 2009 Dental, Vision, and other benefit plan renewals with the exception of The Standard’s insurance. The Board renewal of The Standard’s insurance is pending further inquiry on the effect of furloughs on short- and long-term disability claims. The Standard’s insurance renewal proposal will be acted upon at the April 21, 2009 Board meeting.
 
2:34:41Adjourn