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An ordinance approving Amendment Number 2 to the contract between the Metropolitan Government of Nashville and Davidson County and Cigna Health and Life Insurance Company for administrative services for the account based self-insured medical plan.
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WHEREAS, the Metropolitan Government's medical insurance plans include an account based self-insured plan and a PPO self-insured plan; and,
WHEREAS, the competitive bidding process for administrative services for the account based and PPO self-insured plans concluded at different times, resulting in different expiration dates for each contract; and,
WHEREAS, the term of the administrative services contract with Cigna Health and Life Insurance Company ("Cigna") for the account based plan (Contract No. 6518292) commenced on January 1, 2023 and will expire on December 31, 2027; and,
WHEREAS, the term of the administrative services contract with Cigna for the PPO plan (Contract No. 6533123) commenced on January 1, 2024 and will expire on December 31, 2028; and,
WHEREAS, extending the term of the contract for the account based plan to December 31, 2028, will allow for competitive procurement of administrative services for both self-insured medical plans through the issuance of one comprehensive request for proposal; and,
WHEREAS, extension of the administrative services contract for the account based plan will cause the contract term to exceed 60 months; and,
WHEREAS, Section 4.12.160 of the Metropolitan Code limits the term of contracts for services to sixty months, unless otherwise authorized by the Metropolitan Council; and,
WHEREAS, it is in the best interest of the Metropolitan Government to extend the administrative services contract for the account based plan (Contract No. 6518292) by one (1) year with an ending date of December 31, 2028, in order to resolicit the services simultaneously with the administrative contract for the PPO plan (Contract No. 6533123).
NOW THEREFORE, BE IT ENACTED BY THE COUNCIL ...
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