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HomeMy WebLinkAboutCORRESPONDENCE - RFP - P682 BENEFITS (2)ZOOZ S Z d33
May 16 2002
A nfl ltll \� INII 111 tilt! I(1H I11f.\NI
Vincent Pascale
City of Ft Collins Colorado
200 W Mountain Ave
Ft Collins CO 80521
Dear Vince
As The City of Fort Collins 1s a valued customer of Vision Service Plan (VSP) we hope the group has enjoyed a positive
outcome with all aspects of our services We are pleased to offer the group another period of quality coverage The renewal
will be in effect from January 1 2003 for a 24 month term
VSP reviewed the group s program and developed rates based on the experience of the vision care program These rates are
outlined in the enclosed renewal exhibit VSP considers many factors when determining rates including claim cost utilization
claim frequency and trend VSP has offered a renewal rate moving the city closer to a standard VSP allowance as well as an
alternative renewal that would leave the group with the current level of benefits The rates are provided on the proposed rate
report enclosed with this letter As you will see we are comfortable with leaving our administrative fees the same for an
additional 24 months
Please review the renewal information and let me know if you have any questions I am available to meet with you to further
discuss the enclosed material or provide additional information if necessary
To renew the contract with Vision Service Plan please sign the bottom portion of this letter and return it to VSP
We appreciate your business and value our relationship with The City of Fort Collins
Cordially
Tom Swartzbaugh CEBS
Senior Account Executive
RENEWAL NOTICE
Please sign and return this letter or fax to (303) 892 7768 to acknowledge acceptance of the renewal VSP produces the Plan
document upon receipt of the confirmation of renewal
City ojFort Collins Group Number 12063997 Renewal Date —January 1 2003
Self Funded Renewal Rate $2 15
Renewal Option I Rate $2 15 Claim Cost $ 10 19
Renewal Option 11 Rate $2 15 Claim Cost $$9 74 (current program)
Plan Acceptmg zew-e t— Q .-rT- (fuaw) T
Prized Group Representative Slgnamre
VISION SLRSICL PI AN
I050 17TH SIRFeT SUITE 1885 DENVRR CO 80256 TFI 303 892 7C63 FAX 303 8)2 7768 800 225 3665
11SI1 OUR W611 SIFF 41 IX V %SP (.ONI
26
June 16 2000
Jerry Rueschhoff
William M Mercer Inc
370 17" Street, Suite 4000
Denver CO 80202
Dear Jerry
RWA
As The City of Fort Collins is a valued customer of Vision Service Plan (VSP) we hope the group has enjoyed a positive
outcome with all aspects of our services We are pleased to offer the group another period of quality coverage The renewal
will be in effect from January 1 2001 for a 24 month term
VSP reviewed the group s program and developed rates based on the experience of the vision care program These rates are
outlined in the enclosed renewal exhibit VSP considers many factors when determining rates including claim cost
utilization claim frequency and trend Currently VSP is moving to a standard allowance for all our existing groups Please
review the rate report which provides renewal rates with standard benefits and rates with current plan design As you will see
we are comfortable with leaving our fees the same for an additional 24 months and project about 8% trend in claim costs We
offer the claim projection for budgeting for the City As requested by the group we have also provided voluntary composite
risk rate for review
Please review the renewal information with the group and let me know if you have any questions I am available to meet with
you to further discuss the enclosed material or provide additional information if necessary
To renew the contract with Vision Service Plan please have the appropriate representative sign the bottom portion of this letter
and return it to VSP
We appreciate your business and value our relationship with The City of Fort Collins
Cordially
Tom Swartzbaugh CEBS
Senior Account Executive
RENEWAL NOTICE
Please sign and return this letter or fax to (303) 892 7768 to acknowledge acceptance of the renewal VSP produces the Plan
document upon receipt of the confirmation of renewal
City of Fort Collins Group Number 12063997 Renewal Date —January 1 2001
Self Funded Renewal Rate $2 00
Renewal Option I Rate $2 00
Risk Option II Composite Rate $16 8,9
Plan Accepting r4 2 Y�,"
cc Cheleyne Parsons Account Service Administrator VSVU
razed Group Representative Signature
Vincent Pascale City of Ft Collins
VISION SERVICE PLAN Vision Service Plan is an Equal Opportunity and Affirmative Action Employer
I050 17TH STREET SUITE 1885 DENVER CO 8o265 TEL 303 892 7663 800 225 3665 FAX 303 892 7768
VISIT OUR WEB SITF AT W VSP COM 26
Administrative Services
rurcnasmg uivision
-ity of Fort Collins
November 2 2001 NOV 82001
Tom Swartzbaugh CEBS
Sr Account Executive
Vision Service Plan
1050 17th St STE 1885
Denver CO 80265
Pe Renewal VSD Rates 2002
Dear Mr Swartzbaugh
The City of Fort Collins wishes to extend the agreement term for the above captioned program per
the terms and conditions outlined in your October 3 2001 letter Stating the current administrative
fee will remain at $2 15 The term will be extended for one (1) additional year January 1 2002
through December 31 2002
If the renewal is acceptable to your firm please sign this letter in the space provided and return it
to the City of Fort Collins Purchasing Division P O Box 580 Fort Collins CO 85022 within the
next fifteen days
If this extension is not agreeable with your firm we ask that you send us a written notice stating that
you do not wish to renew the contract and state the reason for non -renewal
If you have any questions regarding this matter please contact Keith Ashby CPPO Buyer at 416-
2191
erely
am s B O Neill II CPPO FNIGP
it ctor of Purchasing and Risk Management
cc Vincent Pascale Human Resources
Phil Goldstein William M Mercer Inc
Proposal #P-682
�.. j".
Signature Date
(Please indicate your desire to renew vision care for the City of Fort Collins by signing this letter and
returning it to Purchasing Division within the next fifteen days )
NOV 0 2001
215 North Mason Street 2nd Floor • PO Box 580 Fort Collins CO 80522 0580 • (970) 221 6775 FAX (970) 221 6707
October 3, 2001
Vincent Pasacle, SPHR
Benefits Administrator
Citv of Fort Collins
200 W Mountain Ave
Ft Collins, CO 80521
RE VSP Rates 2001-2003 for City of Ft Collins
Dear Vince
This letter is to confine the rates for the City of Ft Collins as you requested
Please note that the renewal on January 1, 2001 was a guaranteed renewal rate for a 24-month
period Therefore no changes in the plan benefits or administrative fees will occur until January
1 2003
The current administrative fee will remain at $2 15
If you have any questions please feel free to contact the Denver VSP sales office
Regards,
Tom Swartzbaugh, CEBS
Sr Account Executive
VISION SLRS11 E PI 4N
1050 17TH SIRIET SUFF 1885 DeNVFR CO 80,65 TLL 303 8927663 800 225 3665 Fvr ;03 8Jz 7�65
V ISII OL R W Fp )11 6 11 IX W W V )1 (0AI
w 26
w
Group Name
Plan Number
State of Delivery
0,
COLORADO VISION SERVICES, INC
3333 Quahty Drive
Rancho Cordova, California 95670
GROUP VISION CARE PLAN
ADMINISTRATIVE SERVICES PROGRAM
CITY OF FORT COLLINS COLORADO MUNICIPAL
CORPORATION
12063997
COLORADO Effective Date JANUARY 1, 1999
Premium Due Date FIRST DAY OF MONTH Plan Term TWENTY-FOUR (24)
MONTHS
In consideration of the statements and agreements contained in the Group Application and
in consideration of payment by the Group of the premiums as herem provided Colorado Vision
Services Inc ("VSP") agrees to insure certain individuals under this Group Vision Care Plan
("Plan") for the benefits provided herem subject to the exceptions limitations and exclusions
hereinafter set forth This Plan is delivered in and governed by the laws of the state of delivery
and is subject to the terms and conditions recited on the subsequent pages hereof, which are a
part of this Plan
John T Alemus Executive Vice President
-i-
W
PROPOSED RATES REPORT
CITY OF FORT COLLINS
Renewal Date January 1, 2003
24 month rate guarantee
MEMBER DOCTOR BENEFITS
CURRENT PROPOSED PROPOSED
PLAN OPTION I OPTION II
12/12/24 12/12/24 12/12/24
Frame Allowance
3400
3900
3400
Elective Contact Lenses
10000
11000
10000
Exam Copayment
1500
1500
1500
Material Copayment
1500
1500
1500
NON-MEMBER DOCTOR REIMBURSEMENT SCHEDULE
CURRENT PROPOSED PROPOSED
PLAN RENEWAL OPTION I
12/12/24 12/12/24 12/12/24
Examination
3000
3500
3000
Single Vision Lenses
3000
3000
3000
Bifocal Lenses
4000
4000
4000
Trifocal Lenses
5000
5500
5000
Frame
3000
4500
3000
Elective Contact Lenses
8000
11000
8000
Necessary Contact Lenses
15000
21000
15000
CURRENT
PROPOSED
PROPOSED
PLAN
RENEWAL
OPTION I
Administrative Fee $2 15
$2 15
$2 15
Estimated Claim Cost $9 32
$10 19
$9 74
Prepared 5/16/02
Administrative Services
Purchasing Division
Fort Collins
October 1 2002
Vision Service Plan
Attn Tom Swartzbaugh CEBS Senior Account Executive
1050 17`h Street Ste 1885
Denver CO 80256
RE RFP Renewal Option II
Dear Mr Swartzbaugh CEBS
Enclosed please find your copy of the signed contract for the above -mentioned matter
Sincerely
am s B O Neill II CPPO
ctor of Purchasing and Risk Management
enc
JBO/cp)
cc Dept
61b North Mason Street 2nd Floor PO Box 580 Fort Collins CO 80522 0580 (970) 221 6775 FAX (970) 221 6707
May 16 2002
Vincent Pascale
City of Ft Collins Colorado
200 W Mountain Ave
Ft Collins CO 80521
Dear Vince
HWN r+e90U1kCF5
As The City of Fort Collins is a valued customer of Vision Service Plan (VSP) we hope the group has enjoyed a positive
outcome with all aspects of our services We are pleased to offer the group another period of quality coverage The renewal
will be in effect from January 1 2003 for a 24 month term
VSP reviewed the group s program and developed rates based on the experience of the vision care program These rates are
outlined in the enclosed renewal exhibit VSP considers many factors when determining rates including claim cost utilization
claim frequency and trend VSP has offered a renewal rate moving the city closer to a standard VSP allowance as well as an
alternative renewal that would leave the group with the current level of benefits The rates are provided on the proposed rate
report enclosed with this letter As you will see we are comfortable with leaving our administrative fees the same for an
additional 24 months
Please review the renewal information and let me know if you have any questions I am available to meet with you to further
discuss the enclosed material or provide additional information if necessary
To renew the contract with Vision Service Plan please sign the bottom portion of this letter and return it to VSP
We appreciate your business and value our relationship with The City of Fort Collins
Cordially
Tom Swartzbaugh CEBS
Senior Account Executive
RENEWAL NOTICE
Please sign and return this letter or fax to (303) 892 7768 to acknowledge acceptance of the renewal VSP produces the Plan
document upon receipt of the confirmation of renewal
City ofFort Collins
Group Number 12063997 Renewal Date —January] 2003
Self Funded Renewal Rate $2 15
Renewal Option I Rate $2 15 Claim Cost $ 10 19
Renewal Option II Rate $2 15 Claim Cost $$9 74 (current program)
Plan Accepting
Authorized Group Representative Signature
VISIONSIRVICI P1AN
1050 171 H 11 RIL r S1.191 1885 DiNVMR CO 80256 Ti I 303 892 7(63 Fiv 303 892 7768 800 225 3665
%ISII 0IRAH9l111 AT(V%% \,I (OM
26
PROPOSED RATES REPORT
CITY OF FORT COLLINS
Renewal Date January 1, 2003
24 month rate guarantee
MEMBER DOCTOR BENEFITS
CURRENT PROPOSED PROPOSED
PLAN OPTION I OPTION II
12/12/24 12/12/24 12/12/24
Frame Allowance
3400
3900
3400
Elective Contact Lenses
10000
11000
10000
Exam Copayment
1500
1500
1500
Material Copayment
1500
1500
1500
NON-MEMBER DOCTOR REIMBURSEMENT SCHEDULE
CURRENT
PLAN
12/12/24
PROPOSED
RENEWAL
12/12/24
PROPOSED
OPTION I
12/12/24
Examination
3000
3500
3000
Single Vision Lenses
3000
3000
3000
Bifocal Lenses
4000
4000
4000
Trifocal Lenses
5000
5500
5000
Frame
3000
4500
3000
Elective Contact Lenses
8000
11000
8000
Necessary Contact Lenses
15000
21000
15000
CURRENT
PROPOSED
PROPOSED
PLAN
RENEWAL
OPTION I
Administrative Fee $2 15
$2 15
$2 15
Estimated Claim Cost $9 32
$10 19
$9 74
Prepared 5/16/02
FORT COLLINS COLORADO, CITY OF
RENEWAL EXHIBIT
12063997
Self -funded VSP Program
Average Claims Amount (ACA)
Inflation (INF) Year i
Year 2
Modifications to Benefit Allowances (MOD)
Reserve Establishment for Incurred but
not Reported Claims (RES)
Retention (RET)
Paid Frequency (PF)
Current Revenue per Member (REV/MBR)
ACA x (1+INF) + MOD x PF = Clm And
$95 08 x 1 045 + $4 63 x 0 098 = $10 19
Service Profile
/ of Patients Seeing In Network Providers
/ of Patients Seeing Out -of Network Providers
Service Percentages
Eye Examination Only
Receiving Materials
Single Vision Lenses
Bifocal Lenses
Trifocal Lenses
Elective Contact Lenses
Frame
Equals 100/ of claims with matenals dispensed
Last Twelve Months ending
Apr-02
97/
3/
29/
71/
34 /
28 h
2/
36 /
47 /o
Renewal Date
Renewal Contract Term
Number Covered
$ 9508
30/
15/
$4 63
OT
12 5°/
9800 Claims per 1 000 employees
$ 215
January 1 2003
24 Months
713
RET Admin Fee / REV/MBR = GUARANTEE
(Clm Amt / 0 RET)) Chin Amt
0 125 $1 46 / $2 15 = 0 0 /.
Modifications
furren
Rem
Wholesale Frame
$34
$89
Elective Contact Lenses
$100
$110
Examination up to
$30
$35
Single Vision Lenses up to
$30
$30
Bifocal Lenses up to
$40
$40
Tr9ocal Lenses up to
$50
$55
Frame up to
$30
$45
Elective Contact Lenses up to
$80
$110
Vision Se vce Plan
FORT COLLINS COLORADO, CITY OF
RENEWAL ALTERNATIVE EXHIBIT
)63997 Renewal Date
Self funded VSP Program Renewal Contract Term
Number Covered
Average Claim Amount (ACA) $ 9508
Inflation (INF) Year 1 3 0%
Year 2 1 5%
Reserve Establishment for Incurred but
not Reported Claims (RES) 0%
Retention (RET) 13 5%
Paid Frequency (PF) 9800 Claims per 1 000 employees
Current Revenue per Member (REV/MBR) $ 215
January 1 2003
24 Months
713
I
ACA x 1 + INF x PF
$95 08 x 1 045 x 0 098
Renewal Formula
= CIm Amt RET Admin Fee / REV/MBR = GUARANTEE
(Clm Amt / (1 RET)) CIm Amt
= $ 974 0 135 $ 152 / $ 215 = 0 0%
Service Profile
• of Patients Seeing In Network Providers
97%
• of Patients Seeing Out of Network Providers
3%
Service Percentages
Eye Examination Only
29%
Receiving Materials
71%
Single Vision Lenses
34%
Bifocal Lenses
28%
Trifocal Lenses
2%
Elective Contact Lenses
36%
Frame
47%
Equals 100% of claims with materials dispensed
Administrative Services
Purchasing Division
Fort Collins
LETTER OF TRANSMITTAL
TO Vincent Pascale
FROM Keith I Ashby CPPO Buyerl d
DATE October 1 2002 l%
RE VSP Renewal Contract
Enclosed please find your copy of the signed contract in the above -mentioned matter
If you have any questions please call me at 2191
cpj/kia
Encl
215 North Mason Street 2nd Floor PO Box 580 Fort Collins CO 80522 0580 (970) 221 6775 FAX (970) 221 6707
WILLIAM AA
MERCER
NOV -1-MG0
`
Z,
November 15,
REIM
Mr Vincent Pascale
7 Is 41
Benefits Administrator
City of Fort Collins
"`
200 West Mountain Avenue, Suite A
P O Box 580
Fort Collins, Colorado 80522-0580
Subject VSP - 2001 Vision Care Renewal
Dear Vincent
Enclosed is a copy of the renewal acceptance letter from Vision Service Plan (VSP) for
the City of Fort Collins 2001 vision care renewal
Please have the appropriate City representative sign the letter and then send it to VSP with
a copy to us There is also a space in VSP s letter where the City needs to indicate the
plan design that is to be effective in 2001 Please insert 'Cur -rent Plan in this space since
there are to be no plan changes in 2001
If you have any questions regarding VSP's renewal letter please call me at (303) 376
5989
Sincerely,
Phil Goldstein
PEG GLR lkb
Copy Mr Jerry Rueschhoff
Enclosure
0 \Pr=ce\H80\CIryFtC\pnnnp�001\Renewal LetterNvspaccept tlx
William M Mercer Incorporated
370 17th Street Suite 4000
Denver CO 80202
Phone 303 376 0800
An AUK Company