Loading...
HomeMy WebLinkAboutRegular Commission Meeting June 28, 2012 REGULAR MEETING COMMISSION CHAMBER JUNE 28, 2012 Augusta Richmond County Commission convened at 5:00 p.m., June 28, 2012, the Hon. Deke Copenhaver, Mayor, presiding. PRESENT: Hons. Lockett, Guilfoyle, Mason, Hatney, Aitken, Johnson, Jackson, Bowles and Brigham, members of Augusta Richmond County Commission. Absent: Hon. Smith, member of Augusta Richmond County Commission. The invocation was given by Fr. Jerry Ragan, Pastor, St. Mary on the Hill Catholic Church. The Pledge of Allegiance to the Flag of the United States of America was recited. Mr. Mayor: Father, thank you so much for that wonderful invocation. Okay, Madam Clerk, if we could move on to the delegations. The Clerk: DELEGATIONS A. Mr. Phil Lee. RE: Delay in dredging of Lake Aumond and Hiers Pond. (Requested by Commissioner Joe Bowles) Mr. Mayor: Mr. Lee, would you please come forward. And keep it to five minutes, please. Mr. Lee: I’ll try. I appreciate the opportunity to be here today on behalf of Kamel West and Rain Tree Subdivisions to talk about the ponds that intersect our two neighborhoods. I’ve lived in Kamel West for fourteen years. It’s a great family neighborhood. The ponds have always been a focal point of the area and you could say their kind of a centerpiece for all of us to gather and something to be proud of to be honest with you. You’ll see today that they’re not a focal point anymore. They’ve become pretty much an eyesore and they are kind of embarrassing for our guests to see and to smell for that matter. I’m estimating here but about 2004 the upper pond was dredged and the lower pond was not. Upstream construction since that time has caused the upper pond to basically become a creek. It was about three or four feet deep. It’s now a creek. The lower pond was about six feet deep and it’s now about two feet deep at its deepest point. I want to show you some pictures. You can look up and see that’s the, that’s the pond, upper pond Hiers Pond about five years ago, six years ago now. And here’s what it looks like today October 2011 but it looks worse now so. It gives you an idea of those two ponds next to each other, the two pictures side by side. You see a lot of silt and vegetation is now growing up. This is another view of the same pond. Really a pretty area. This is really a big contrast when you see that right there. Some of that vegetation up towards the other end up there is basically smaller trees ten or twelve feet tall. It’s pretty messy looking. The lower pond, there’s a side by side view for you to see. The lower pond is the bigger pond of the two. Once again it 1 was once a very pretty area for a long time. You’ll see here it’s basically being taken over by this vegetation, this hydrilla or whatever it is it’s coming in from all sides of the pond. It also is actually growing up from the bottom of the pond. I was out there this past weekend floating around picking up trash and its right below the surface so it’s; the lower pond is basically turning into a swamp. This is another view of the same pond just too kind of give you an idea of what it looks like from then until now. This is a timetable that is kind of frustrating for us neighbors. Back in ’08 the Savannah River Keepers came to us and they, I didn’t do that. Okay? They wanted us to put monitors in our pond and talking about what was going on in the ponds and we basically just said that we were looking to get them cleaned up and wanted to go through the proper channels with the city to get them cleaned up. That was our plan at that time. So thereafter we had a meeting at my house actually with Don Grantham and Joe Bowles and we, about 50 neighbors showed up, we expressed our concerns. There were no promises made at that meeting of course but they knew where we were at, what we were looking at and they were going to go back and look into and possible get back to us with some sort of timetable. Over the next couple of years our then President David Roberts he would inquire from time to time looking into what was the status of the ponds. Most of the answers he got were that we’re waiting on permits. So you know we went there. I started pushing harder about 2000, about September 2011 that’s about two and a half years since the meeting we had with Don and Joe. Let me just say right here that we’re very fortunate over the last few years because we have not had any prolonged rain event in Augusta. These two ponds were much deeper back in ’90 and ’98 when we had some major flooding in that area. And this pond is so much shallower now that the lower pond would flood. We’ve had very close calls just recently just from a big thunder storm that lasted you know just a few hours. It doesn’t take a lot. We just haven’t had any prolonged event thank goodness. And this should be a major concern for flooding. The last report you’ll see up there from the Engineering Services Department is that they’ve taken sediment samples, they’ve gone to the lab and they’ll be back this month. Once they get back then they are to put those into a application for a permit which includes the data you know from the sediment. We don’t how long that will take once they actually send that the Corps of Engineers. The frustrating part of course is that you know we’ve already been hearing that we’re waiting on permits all this time and now I’m kind of hearing that we’re about the send the application for the permit. That’s a little frustrating. I want to tell you that you know I think I speak for all the neighbors that it’s you know we’re very frustrated with how long this is taking. We were very we think we were very patient in the beginning. And in hindsight I wish we had not been so patient because this directly affects our property values and is a serious threat for flooding in that area. You know I think you should really think about that. I guess today I’m here to ask the Commission to look into the dredging and see and give us an answer on when we can see some dredging actually get started. We’d like to know if we can get an answer from you guys in maybe thirty days to see where we at. Mr. Mayor: I was just saying you’re five minutes is up. Mr. Lee: The last thing I’ll say is that this Commission is who we elected and this is the only place we know where to go to be heard and to get some help. So we’re here to ask for help. Mr. Mayor: Thank you. Do we have any? Commissioner Bowles. 2 Mr. Bowles: Fred, can you get an update for us because I mean this is obviously been going on for way too long. And that’s why I kind of laughed at the idea of creating a new lake at Regency Mall because if we can’t take care of the ponds and lakes we currently have I don’t know why we’re going to build more and expect it to beautify an area after what it’s done to this area. So I’d like to know I guess to hear from engineering if they’ve got any updates today or you know I’m not looking to cast blame but it’s, the permitting seems to have, it could’ve taken place a long time ago. Mr. Mayor: Mr. Ladson. Mr. Ladson: Yes, sir, Mr. Mayor, members of the Commission. This project when we heard or started talking about Hiers Pond that to be exact that was in 2009. However when you’re dealing with ponds and lakes you have to go through the process which is going through the Corp. We’ve met with the Corp on several occasions. We actually went to Savannah on different occasions and initially there were no funds for Hiers Pond. So what the Corp, what we did was and what the Corp suggested was to add several projects into one which is Warren Lake, Lake Olmstead, Hiers Pond and Lake Aumond. And so we did that with the recommendation of the Corp and actually started the process. However there were some other things that came up as far as like the testing and the dredging material had to be tested and based on that that set us back several months. To go to the details I do have the engineers here Cranston Engineering that are actually working on this project and they can actually go into more detail on actually what transpired with as far as with the slippage of the schedule. But as far as the proposed schedule we’re looking to have this hopefully have the permits hopefully at the latest by the July of next year. Like I said everything depends on the Corp and we’ve actually been meeting with them, talking with them and we’ve been going by their recommendation and suggestions on this particular project here. Like I said no funds was actually in there for Hiers Pond. We included that in Lake Olmstead project which $4 million dollars was allocated to that in 2009 out of SPLOST VI. So like I said the process when you’re dealing with the Feds it takes some time. An example is Wrightsboro Road and so I mean that’s been going on you know for years but we’re doing the best we can with this. So it’s not like we’re sitting on our hands and not doing anything. Mr. Mayor: Commissioner Jackson. Mr. Jackson: Thank you, Mr. Mayor. Abie, is that waters of the states? Mr. Ladson: Yes. Mr. Jackson: Okay. Mr. Lee: The estimate for July of next year, is that just based on just experience or did they actually tell you that or? Mr. Ladson: That’s based on the information that we’re getting from our consultants and I’ll work with the Corp and they’re working with the Corp. It’s kind of a back and forth thing but it’s when, I mean if we’re controlling it, yes, we can get it done pretty quick. But when the 3 Corp is, when you have to depend on them then it’s a different situation. And their regulations and everything have gotten even much stricter. Mr. Lee: Back in ’04 I’m assuming we didn’t have to deal with the Corp. There were neighbors that said that they used to see it done like every couple years. They would you know and come in and dredge it. You know I moved there in ’98 but I didn’t see but one. Mr. Ladson: And that’s probably the case. But the rules and regulations has changed quite a bit. Mr. Mayor: Okay. You mean there’s bureaucracy dealing with the federal government? That’s a shocker. Commissioner Brigham. Mr. Brigham: Abie is there anything we can do about the hydrilla, the plant life in Hiers Pond? Mr. Ladson: What we’ve done temporarily was we went in and I think on two occasions and actually sprayed for vegetation. And we did that as a temporary type of thing Mr. Brigham: I understand. Can we put another application out there? Mr. Ladson: We can --- Mr. Lee: I’d just say I wouldn’t waste your money unless it’s free. Mr. Ladson: Well --- Mr. Lee: I’m saying we did it, it was done in May, okay, it’s back again. I’m just being honest. Don’t do it again. If it’s going to come back in two months I wouldn’t do it. We liked it for a month but that’s just not working. Mr. Mayor: Okay. Commissioner Mason. Mr. Mason: Thank you, Mr. Mayor. Abie, what, you said this was included in SPLOST of 2009? Mr. Ladson: Well, the --- Mr. Mason: Well, Lake Aumond was included in 2009. Mr. Ladson: --- Lake Aumond, which is a part of Rae’s Creek basin and a part of the Augusta Canal. The Corp suggested that we all include everything together as one package. Mr. Mason: So did it raise the cost of the project or this? Mr. Ladson: No, it hadn’t increased any funding. 4 Mr. Mason: So what exactly was set aside for Lake Aumond? Mr. Ladson: The $4 million dollars that was approved in SPLOST VI. Mr. Mason: And at that time the thought process was for Lake Aumond. Mr. Ladson: It was for Lake Aumond and --- Mr. Mason: Right and somewhere thereafter --- Mr. Ladson: --- and actuality we actually proposed about $6 million dollars for everything and that was you know that’s what’s we proposed initially but that was cut down to. Mr. Mason: I guess the point I’m trying to get at to make sure that this can happen or not happen is that $4 million was allocated initially for Lake Aumond and Hiers was not included in this process. But now you’ve included it in the process. Are you going to be able to do what you say you can do with the $4 million that was supposed to be for Lake Aumond in the first place when you’re doing more now when you’re including Hiers in? Mr. Ladson: Well, when we put that fund in it we did the $6 million dollars that was worse case scenario. And if you look at Lake Olmstead I mean it doesn’t look bad. I mean we should be able to do it. I think we can do it. Mr. Mayor: Commissioner Guilfoyle. Mr. Guilfoyle: Thank you, Mr. Mayor. Abie, as far as Lake Aumond how long did the process take from the beginning to where you was able to initiate dredging? Mr. Ladson: We haven’t done Lake Aumond yet. Mr. Guilfoyle: Okay. Mr. Ladson: It’s all, what the Corp had suggested was that we take each one of these ponds, lakes included in one package to get a permit. So Hiers Pond is actually depending on Warren Lake. Mr. Guilfoyle: There ain’t no way to expedite this process? Mr. Ladson: Man, if we can get, if I guess the Colonel of the Corp can maybe override whatever decisions are made within the Corp. Mr. Guilfoyle: But the Colonel, no disrespect to the Colonel if he sees what we’re seeing right now on this screen you know and the people that lives around these areas it is affecting them majorly and financially. 5 Mr. Ladson: I agree. But keep in mind and I want to emphasize this that there are certain guidelines and requirements that we have to follow through the Corp. Mr. Guilfoyle: I understand that I’m dealing with --- Mr. Ladson: There’s no way around it. If we go in there then you’re going to get a consent order and all other things. Mr. Guilfoyle: I’m dealing with the Corp right now at the lake so I understand that. Mr. Mayor: And I’ll say I would be more than happy to send a letter to the Corp seeing if there’s an opportunity to expedite the process. And I just having dealt with the Corp and railroads for six and half years those are the two most difficult entities to deal with I’ve ever seen. Commissioner Hatney. Mr. Hatney: Mr. Ladson, straight up. Can you do this without the authorization of the federal government? Mr. Ladson: No. Mr. Hatney: But then you say that. Don’t let these folks sit up there and folks make it think it’s your fault. You cannot do this without the authorization of the federal government. Say it. Mr. Mayor: Okay. Commissioner Bowles. Mr. Bowles: Well, I would just suggest I guess now since it’s out of our hands since it’s a good time for an election year contact your congressman and definitely your senators and try to put some heat on the Colonel at the Corp. Mr. Mayor: Okay, all righty, thank you, sir. Wish we had a better answer for you. Madam Clerk, on to the consent agenda. The Clerk: Our consent agenda consists of items one, two and three items one two and three. And for the benefits for our records item two I received a communication from the Housing and Community Development Department. There were no comments received from during the 30-day comment period. Consent agenda items one, two and three. Mr. Mayor: Okay, gentlemen, do we have any items to be added to the consent agenda? Commissioner Brigham. Mr. Brigham: Mr. Mayor, I’d like to add items 8, 9, 10 and number 11. Mr. Mayor: Okay, do we have any further additions to the consent agenda? Mr. Johnson: Mr. Mayor? 6 Mr. Mayor: Commissioner Johnson. Mr. Johnson: Yes, if it is okay item number five. Mr. Russell: Mr. Mayor, that item was --- Mr. Mayor: Go ahead. Mr. Russell: --- erroneously, is that one? The Clerk: That’s on the agenda. Mr. Russell: Okay, sorry. Thank you. Mr. Mayor: Okay, do we have any, Commissioner Mason. Mr. Mason: Yes, sir, Mr. Mayor, we could add item twelve if no one has a problem with that. Mr. Mayor: Okay. Commissioner Jackson. Mr. Jackson: If there’s no problem add number seven. Mr. Mayor: Okay. Do we have any further additions? Any items to be pulled for discussion? And I believe we have two additions to the agenda? The Clerk: Yes, sir. The Administrator would like to address item two on the addendum agenda. Mr. Mayor: Okay. Mr. Russell. Mr. Russell: What we’d like to do to that due to a mistake on my part we need to move th that to, we don’t need to add it to this agenda. We need to bring it back to July 9 committee meeting. Mr. Mayor: Okay, then we don’t have unanimous consent to add it. Have you unanimous consent to add item number one on the additions? Mr. Brigham: I want to put it on consent to. Mr. Mayor: Can we add that to the consent? Okay. Mr. Brigham: Mr. Mayor? Mr. Mayor: Commissioner Brigham. 7 Mr. Brigham: I would like to have you send item number 13 to the Finance Committee so we can have a workshop on it. Mr. Mayor: Okay, is everybody good with that? Okay. The Clerk: Adding that to the consent? Mr. Mayor: Yes, adding it to consent to go to Finance Committee. Okay, can I get a motion to approve the consent agenda? Mr. Aitken: So moved. Mr. Lockett: Second. CONSENT AGENDA PLANNING 1. ZA-R-214 – A request for concurrence with the Augusta Georgia Planning Commission to approve a petition to amend the Comprehensive Zoning Ordinance for Augusta Georgia by amending area allowances in Section 28-B-8-B (Signs) Freestanding Signs in Professional, Commercial and Industrial Zones dealing with bonus percentages. (Approved by the Augusta Commission June 19, 2012 – second reading) ADMINISTRATIVE SERVICES 2. Motion to approve amending the 2012 Action Plan due to a decrease in Fiscal Year 2012 allocations for the Community Development Block Grant (CDBG), HOME Investment Partnerships (HOME), Housing Opportunities for Persons with AIDS (HOPWA) and increased Emergency Solutions Grant (ESG) Programs. (Approved by Administrative Services Committee subject to 30-day comment period) PETITIONS AND COMMUNICATIONS 3. Motion to approve the minutes of the regular meeting of the Commission held June 19, 2012, Special Called meetings held June 5 and June 11, 2012 and Executive Sessions held April 23, May 29, June 5, 11 & 19, 2012. PUBLIC SERVICES 5. Motion to approve and execute the extension of the contract for Grounds & Landscaping Maintenance with Augusta Lawn & Turf, Inc. This item has been approved by the Aviation Commission on 2/23/12. PUBLIC SAFETY 7. Approve the replacement of obsolete computer equipment (laptops, computers, servers, printers, scanners, switches, routers and other telecommunication devices) as well as the purchase of any required computer software upgrades. FINANCE 8 8. Approve the replacement of one 1996 aerial bucket truck for Engineering Department – Traffic Engineers Division. 9. Approve the replacement of two slope mowers for the Augusta Engineering Department – Maintenance Division. 10. Approve request from Utilities Department – Construction & Maintenance Division to replace one older backhoe loader. ENGINEERING SERVICES 12. Approve granting Georgia Power an easement for their utilities to provide electrical service to the new Search and Rescue Air Hanger N. Entrance (1501 Aviation Way/Doug Barnard Pkwy.), as requested by AED. Also approve having the agreement executed by the appropriate Augusta official(s). ADMINISTRATOR 13. Motion to approve the Reynolds Street Parking Deck Construction, Operating and Reciprocal Easement Agreement, Reynolds Street Parking Deck Management Agreement, Conference Center Parking Lease and Assignment of Parking Deck Management, and to authorize the Mayor and Clerk of Commission to execute same. ADDENDUM 14. Motion to approve the appointment of Jennifer White to the Animal Control Board representing District 8. (Requested by Commissioner Guilfoyle) Mr. Mayor: We have a motion and a second. If there’s no further discussion Commissioners will now vote by the usual sign. Mr. Smith out. Motion Passes 9-0. [Items 1-3, 5, 7-12, 14] Mr. Mayor: Thank you, ma’am, on to the regular agenda please. The Clerk: PLANNING 4. Consider a request from Pastor Hardy S. Bennings, III for a Road Name Change of a portion of Twelfth St., between Reynolds Street and Jones Street, to Springfield Way. Mr. Mayor: Ms. Turner. Ms. Turner: Mr. Mayor, members of the Commission the Planning Department received a petition or a request for a petition from Pastor Hardy Bennings with the Springfield Baptist Church which is the oldest African-American church in the United States with continuous service. It was asked that a portion of Twelfth Street in front of their facility be changed to Springfield Way. Pastor Bennings got the required signatures. It met with all of the requirements and we bring it before you today for approval. 9 Mr. Aitken: Motion to approve. Mr. Lockett: Second. Mr. Mayor: We have a motion and a second. If there’s no further discussion Commissioners will now vote by the usual sign of voting. Ms. Turner: Thank you. Mr. Mayor: And hang on, Ms. Turner, I’ve got two things. One, what an amazing testament, 225 years in this community. That is wonderful for Springfield, that historic church. Thank you for all that you do for this community. Number two, Ms. Turner has received an invitation today I believe to be recognized by the White House. Is that not correct and attend a function at the White House. So I just wanted to say congratulations for that outstanding recognition because it’s well deserved. (APPLAUSE) Mr. Mason: Tell the President I said hello. Mr. Smith out. Motion Passes 9-0. Mr. Mayor: Madam Clerk, on to the --- The Clerk: Item number six. Mr. Mayor: Yes, ma’am. The Clerk: ADMINISTRATIVE SERVICES 6. Approve the selection committee’s choice of HealthStat as the Augusta, Georgia Onsite Clinic Provider. Mr. Mayor: Mr. Russell. Mr. Russell: Mr. Mayor, members of the Commission, several months ago when we began talking about the current Blue Cross Blue Shield contract you asked us to continue to look for ways that would help improve the cost of that contract over a period of time. In addition to that you asked us to continue to look at ways to look at privatization and taking over our particular health contract without the benefit of an outside agent but try to do it internally. I think this is one of the first steps to do that in a way would serve our employees but also in a long term have a positive cash flow aspect for us as we do that. We have our consultant here with us today who would be happy to try to explain this and the proposal that we’ve got and to move forward with that as far as information. Mr. Mayor: Commissioner Lockett. 10 Mr. Lockett: Thank you, Mr. Chairman. Mr. Russell, this selection committee, who did it consist of and secondly, exactly how far are we attempting to go today on this? I hope you’re not looking for approval. Mr. Russell: Well, obviously we’d like to have approval as we go forward with this but knowing that it’s been in your book for only a couple of days and the fact that some of you were out of town we’d like to go ahead and make the presentation while she’s here. And then if you want to refer it back to committee for further questions we’d be more than happy to do this. It is a major step as we move forward but since we are somewhat ahead of schedule right now if we could do that and let her make the presentation I’d appreciate it. Mr. Lockett: And who is --- Mr. Russell: As far as the people on the committee I am not sure off the top of my head. But if Geri’s in the back she might be able to help me with that. Mr. Lockett: Yeah, because if we’re going to have a hearing or something I’d like for them to be present because I know I’d love to have some questions for them to find out why they came to the conclusion that they did. Mr. Russell: Robbie, can you tell me who was on the committee, the selection committee please? Mr. Burns: We had representative from Human Resources, Finance and Procurement on the committee. Mr. Mayor: Okay. Mr. Mayor Pro Tem. Mr. Bowles: I’m just kind of perplexed at something Mr. Russell said that we wanted to outsource it, to do it internally. I think if we’re paying Blue Cross to handle our insurance we’re outsourcing it already so that would kind of like we need to in-source it. Correct? Mr. Russell: I think it’s sort of an in and out source kind of deal we’re looking at here basically by attempting to meet all the wishes of the Commission. We’ve got to do it three, or ten different ways to make it work and we’re just trying to include all the bases as we do that here. Mr. Mayor: This is Augusta, Commissioner Bowles, it’s, everything’s schizophrenic. Mr. Russell: I get confused every once in a while but what we do have as you’ve asked to look at ways to lessen our costs. We feel and I think at the conversation this group had several months ago to take a look at the onsite clinic. I think you’ll see some numbers that’ll be good down the line but I will let our, Ms. Kelly do the presentation. Mr. Mayor: Over to you. 11 Ms. Kelly: Thank you so much. You did task me about a year ago as when I was hired as your consultant to come in and try to find different cost containment strategies for Augusta Richmond County. The first thing we looked at was were you with the right carrier which we determined last year was HealthStat was the right carrier for you. The second thing was to look at whether or not you were in the right funding method being fully insured or possibly moving to being a self funded group. Last year I determined it wasn’t the right time. I hope to be back in front of you in 45 days with my findings on whether or not 2013 is the year to move to self funding. I will tell you all my preliminary findings are showing you’re in a much better place and it looks like this might be the right time to go to self funding. So the second step of that then was to look at other things. What other things can we do besides your funding method to help you start controlling your healthcare costs and then start beginning to reduce those costs. So looked at a variety of different things and started looking at an Onsite Clinic concept. One of the reasons I looked at this is because regardless of whether you stay fully insured of go with self funded an onsite clinic can still work for you. Now I will tell you up front if you’re self funded you’re going to see a much higher return on your investment as a self funded group versus fully insured. However regardless of what you decide to do in 2013 this is something that can save you and your taxpayers’ money. Just to recap your spending about $20 million dollars a year right now on your healthcare costs just in your medical plan alone covering about 2200 employees. That’s about $9,000 per employee per year. And again I will tell you from my experience that is much higher than I’m seeing from other municipalities. Part of that again is I think it’s because you’re a fully insured group and we probably need to get to that self funded platform. So in order to do that there’s really three things that I looked at in your claims information and how you operate your healthcare plan that has to be, there’s three goals that you really need to achieve to start seeing significant reduction in your healthcare spend. That is reducing the waste within your health plan, improving your employee’s overall health and wellness and just overall improving how your employees understand how to use their health plan. That is what this onsite clinic can do for you. You are about as close to a perfect group as I’ve seen in a long time as a candidate for an onsite clinic. I’ve run your analysis probably six different ways and every way comes up with an onsite clinic will almost immediately start to reduce your healthcare spend if we roll it out the right way if we get your employees to buy into it and utilize the clinic like it’s supposed to be used. You will absolutely see a return on investment within the first twelve months. I’ve talked with the selected vendor that we would like to move forward with down the road and it looks like even within the first eight months you’re actually going to see a return on investment. The conservative approach is about $550,000 is what it’s going to cost to run the clinic over a twelve month period. But we’re seeing over a million dollars on a return to Augusta Richmond County. That’s after you pay the half a million dollars to run the clinic you’re still going to see about a million dollars in savings. So I think that’s one of the reasons we really want to get in front of you and let you start thinking about this and let you hear this because the faster we can move forward on this the quicker you’re going to start to see that return on investment. Mr. Mayor: Thank you, ma’am, and I’ll say and I know everybody wants to have time to review materials and all but it sounds like a very good deal to me. Commissioner Lockett. 12 Mr. Lockett: Thank you, Mr. Chairman. I think I have two questions. One you brought it up but I was planning on asking it anyway, the employees. What will we do to entice them to make them want to become a part of this program? Because based on what you said we can’t make them. Is that correct? Ms. Kelly: Well, now and I say that I don’t know if you want to make them. There are certainly ways to design your health plan especially if you go self funded to steer your employees to your onsite clinic. The truth is the easiest way to make them buy into this is to make the clinic free for your employees to use especially the ones that are enrolled in your health plan. I would say to make it free for all Augusta Richmond County employees including the ones that aren’t enrolled in the health plan we may want to be careful with that because what you don’t want to do is have employees drop your health insurance coverage and only use the clinic as their source of medical care. But I think for employees that are enrolled in the medical plan that are paying a premium to be a part of that plan the clinic should be free to them. Mr. Lockett: And my last question is one that’s going to be unexpected. Based on the Supreme Court decision today will that have any impact on the plan? Ms. Kelly: On the onsite clinic plan? Mr. Lockett: Any part of it, yes. Ms. Kelly: Let me tell you. The Supreme Court actually that ruling on the holding Affordable Care Act in honestly that’s probably one of the reasons this is a little late getting to you because I was waiting and hoping that that was going to go through because what that did for you there’s a portion of the Affordable Care Act that allows employers that have wellness programs, disease management programs and things like that it’s going to allow you to charge a much higher premium differential from employees that participate in programs like an onsite clinic versus employees that don’t. Right now there’s a restriction of 20% premium differentials. All you can charge as an employer for employees that participate in wellness and employees that don’t. Under the Affordable Care Act that’s going to be increased to 50% down the road. Mr. Lockett: Thank you very much I enjoyed your presentation the first time and even more this time. Thank you. Mr. Mayor: And I’ll tell you I just think a natural incentive is just the proximity and the ease of access to the facility. Commissioner Hatney. Mr. Hatney: Ma’am, one question please. Number one, you said reduce waste in health plan. Would you help me? Ms. Kelly: Sure, when I look at your information from Blue Cross Blue Shield and I look at it every month and I track what’s going on with your healthcare claims there is a lot of spend on specialists. A lot of your employees are going to specialists when they should be going to a primary care physician. A lot of your employees are going to a specialist only to find out it’s the wrong specialist and then they have to go to another specialist. So that’s what I’m 13 talking about with waste within a healthcare. Your employees don’t know where to go. And onsite clinic, by going to an onsite clinic they will help them determine which physician they need to go to, which specialist they need to go to. Every time they go to the wrong specialist you’re being charged, that’s hitting your claims so you’re paying for it regardless. So by reducing that spend and I believe in 2011 if I’m remembering correctly there was almost a million dollars in claims just to specialists. So by reducing that by something as simple as 20% you’re going to, so you can start to see there’s a $20,000 savings right there and so on and so on. So that’s really the waste in your health plan is that the employees just don’t know where to go. Mr. Hatney: The reason I asked that question is that most, I was under the impression and that don’t mean a whole lot but was that most, the way you get the most specialists is you got to be referred by your primary care person. That’s the normal process I thought. Ms. Kelly: Unfortunately that’s not the norm any longer. Mr. Hatney: It’s not? You can just go on to a specialist? Ms. Kelly: Correct as long as they’ve been to a specialist that’s in the Blue Cross Blue Shield provider network they can go see whoever they want. Mr. Hatney: You call your shots. Okay. Mr. Mayor: Commissioner Guilfoyle. Mr. Guilfoyle: Thank you, Mr. Mayor. Thank you for the presentation so far at this time and I appreciate all your knowledge and your study on this. How many other municipalities have you had conducted this as far as this doc in a box? Ms. Kelly: I personally have worked with about a dozen municipalities over the last eight years that have done onsite clinic or some form of an onsite clinic. Now the particular vendor that we would be recommending has extensive background with municipalities which was actually one of the main reasons that we chose them was because of how many municipalities they actually worked with and how successful they’ve been with their municipalities. Mr. Guilfoyle: So your success in the savings is pretty accurate. Ms. Kelly: Oh, absolutely. Mr. Guilfoyle: Thank you so much. Mr. Mayor: Mr. Mayor Pro Tem. Mr. Bowles: I feel a lot better about this than I did but I’m still a little bit confused. If we implement this plan in 2013 and we enter into a contract to be fully insured in 2013 how is that going to save us money because we’re still going to pay Blue Cross a fixed amount? 14 Ms. Kelly: You’re going to pay Blue Cross a fixed amount but the amount of claims that are filed with Blue Cross is going to be greatly reduced because you’re employees are going to be using the clinic and there won’t be a claim filed with Blue Cross if they go to your clinic. And the clinic a lot of things can do at a much lower cost than Blue Cross is contracted with out in your community with the providers. Mr. Bowles: But that savings doesn’t come back to the city. That savings is to Blue Cross. Ms. Kelly: No, it, because here’s what we hope to have happen. We would like to get this as Fred said in place because this is a huge negotiating tool for us with Blue Cross at your renewal if you stay fully insured. Again I’m going to just go out on a limb here and tell you all of my numbers that are coming up so far say that you guys need to move to a self funded platform in January. You look much better this year than you did last year. Mr. Bowles: My concern is that I’m not sure that the will of the body is to move to self insured. And so next year we really won’t see a savings because we’ll be negotiating for 2014’s rates --- Ms. Kelly: Right, but if you have --- Mr. Bowles: --- and that’s where the savings would be. Ms. Kelly: --- if we have this in place prior to negotiating that renewable Blue Cross I can negotiate lower rates with Blue Cross based on the fact that we can show them how many less claims are going to be filed with them, how many more employees we’re going to be able to get engaged with preventive care, disease management. There’s some things we can actually carve out from your Blue Cross contract and do in the clinic at a much lower rate. Mr. Bowles: Okay. Mr. Mayor: Commissioner Brigham. Mr. Brigham: And it’s my understanding it’s not only just Blue Cross that we might be negotiating with that we’re actually are looking at bids on our health insurance. Ms. Kelly: Yeah, I mean the reality is we will go out --- Mr. Brigham: So it may not be Blue Cross, it may be another vendor besides Blue Cross. Ms. Kelly: Correct. Absolutely, but I’ll tell you --- Mr. Brigham: But we can still use the negotiations on either one. 15 Ms. Kelly: Absolutely. All of the vendors that would be viable carriers for Augusta Richmond County have worked with onsite clinics in the past and understand this concept. So yes even at most even the United Health Cares will accept this as a cost saving tool and negotiate with us. Mr. Russell: If I can, Mr. Mayor, I think --- Mr. Mayor: Mr. Russell. Mr. Russell: --- that what this does is help us move towards what might be a self funded platform. And even if we decide not to do that it puts us in a whole lot better negotiating place with whichever we, whichever vendor that we deal with. So you know and I, you know while there might be additional questions and whatever you know I think you probably got the bulk of the information in front of you. And the faster we move with this the more impact it’s going to have. Ms. Kelly: If I just said one thing this is your clinic so the great thing about this is it’s going to be designed to meet your needs. This is just not a cookie cutter clinic we’re putting in place. One of the things we envision in the future is also incorporating on your clinic as your first reportive injury for your workers comp as well. So there’s a lot of other savings down the road that we see that we envision coming out of this clinic. And we haven’t even hit on the absenteeism reducing that because of employees a lot of times if they have a two o’clock appointment they go to the doctor they just don’t come back to work. They come here they go to the clinic they’re back at work in twenty minutes. So you know there’s a lot of other costs, soft dollar costs we haven’t added in yet. Mr. Mayor: Mr. Lockett is Chairman of the Administrative Services Committee. Would you be potentially ready to vote on this today or do you want to go back through your committee? Mr. Lockett: Mr. Mayor I have one question. You had indicated, you mentioned 45 days. What was the 45 days? Does that mean you need to know something? Ms. Kelly: No, no, no what I was saying is I’m getting ready to do what the Commissioner at the end said earlier which is release your RFP for your medical insurance on fully insured an self funded. And what I hope is in 45 days be back in front of you saying here is my recommendation for 2013, you need to be fully insured or you need to be self funded. Mr. Lockett: Okay, if you didn’t get this information, if you didn’t get approval on this th until the 17 of next month would that put you in a pickle or what? Ms. Kelly: We, certainly we can work in whatever timeline (inaudible). Mr. Lockett: The reason I say this, Mr. Mayor, is I would like for not only myself but for th my colleagues to have a time with it. It sounds real good but I do think that if the 17, going for 16 thth approval in committee on the 9 and back to this body by the 17 that’s not going to mess up anything so why rush it. If it’s going to mess up things than we’ll just have to consider it. Mr. Mayor: Okay, would you like to make a motion to put this back on the Administrative Services committee for the next committee meetings? Mr. Bowles: We’re waiting for an answer. Mr. Mayor: Hang on. Mr. Russell. Mr. Russell: If I can, Mr. Mayor, obviously if that’s the will of the body we can do that. It will back us up some. It would cut some of the data that we’d have available. But that’s the will of the body and we can work with whatever you want to. I just wanted to make sure we weren’t going to put ourselves in a hole. Mr. Mayor: Mr. Lockett, would you like to make a motion to that affect? Mr. Lockett: Well, Mr. Mayor, what I was going to say is trusting the Administrator and th this young lady if they feel that waiting until the 17 for a positive vote from this body is going to set them back some. But I’m a little leery of that because we have too many things that come before this body that we’re in a hurry to do and we do it and often times it doesn’t work out. But what she said on both occasions, it sounds real good to me. Now if it’s the will of the body that this be voted on tonight, I’ll go along with it. Mr. Mayor: Okay, would anybody like to make a motion to approve? Mr. Aitken: Motion to approve. Mr. Jackson: Second. Mr. Mayor: We have a motion and a second. If there’s no further discussion Commissioners will now vote by the usual sign of voting. Mr. Mason votes No. Mr. Hatney abstains. Motion Passes 7-1-1. Mr. Russell: Thank you, gentlemen. Mr. Mayor: And I would say speaking from personal experiences as beat up as you get being down here all day every day we can use that onsite clinic. So thank you. If there’s, Madam Clerk, I believe that disposes of the agenda. The Clerk: Yes, sir, that’s it. Mr. Mayor: If there’s no further business to come before the body we stand adjourned. 17 [MEETING ADJOURNED] Lena Bonner Clerk of Commission CERTIFICATION: I, Lena J. Bonner, Clerk of Commission, hereby certify that the above is a true and correct copy of the minutes of the Regular Meeting of the Augusta Richmond County Commission held on June 28, 2012. ______________________________ Clerk of Commission 18