Draft 8/14/2024 HCTB Minutes

City of Chandler — Regular Meeting (2024-11-13)

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Meeting Minutes
Health Care Benefits Trust Board
Regular Meeting
August 14, 2024| 4:00 pm
Council Chambers Conference Room
88 East Chicago Street, Chandler, AZ
Call to Order
The meeting was called to order by Chair Terry Bond at 4:00 pm.
Roll Call
Commission Attendance
Chair Terry Bond
Vice Chair Jennifer Huppenthal
Secretary Zac Cummard
Mark Knight
Carson Mohr
Absent
None
Other Attendance
Rae Lynn Nielsen, HR Director
Fernanda Acurio, HR Manager
Matthew Dunbar, Budget and Policy Director
Kristi Smith, Financial Services Director
Julie Goucher, Accounting Senior Manager
Lina Alam, Accounting Supervisor
Joshua Jumper, Heinfeld Meech
Rachel Calisi, Segal Consultants
Rowena Laxa, Assistant City Attorney
Sarah Meland, Management Assistant
Scheduled and Unscheduled Public Appearances
None.
Consent Agenda and Discussion
1. June 12, 2024 City of Chandler Health Care Benefits Trust Board Minutes. Move to approve
the City of Chandler Health Care Benefits Trust Board meeting minutes from February 28, 2024.

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Consent Agenda Motion and Vote
Secretary Cummard moved to approve the Minutes for June 12, 2024 Health Care Benefits Trust Board
Meeting; Vice Chair Huppenthal seconded the motion. Motion carried unanimously (5-0).
Briefing
2.
Capital Project Funding/Bond Election Discussion – Matthew Dunbar
Matthew Dunbar gave a presentation regarding Chandler’s capital project funding/bond election. The
presentation and the handout entitled 2025-2034 Capital Improvement Program-GO Bond Funded Programs are
attached to the meeting agenda. An additional handout entitled Bond Exploratory Committee/Election Process
2024-2025 is attached to these minutes.
Chair Bond asked if inflation would continue to rise. Mr. Dunbar said that construction prices are starting to
normalize.
Chair Bond and Vice Chair Huppenthal asked what TPT is? Mr. Dunbar replied that TPT stands for Transaction
Privilege Tax, commonly called sales tax. He went on to explain that rental TPT will be eliminated in 2025. They
expect to fund the ten-year plan using current tax rates.
Vice Chair Huppenthal asked the effect bonds have on property tax. Mr. Dunbar said the will stay the same.
Board Member Mohr asked if the City of Chandler used a municipal advisor. Mr. Dunbar responded that we use
a financial advisor and bond council. He went on to say that Chandler is a very financially stable municipality with
AAA ratings on general obligation bonds and enterprise tax revenue obligations from all agencies which mean
we get the best rates offered.
3.
Financial Audit Report for Calendar Year 2023 – Joshua Jumper, Heinfeld Meech
Josh Jumper of Heinfeld Meech presented the calendar year 2023 audit report which is attached to the meeting
agenda.
4.
Medical Trust Actuarial Report – Rachel Calisi, Segal
Rachel Calisi of Segal presented the actuarial report through June 30, 2024. The report is attached to the meeting
agenda.
Chair Bond asked about the effects of specialty drugs and if it’s any particular category causing the increase.
Ms. Calisi responded that it is GP-1s. Vice Chair Huppenthal commented that there may be a correlation between
advertising and the increase.
5.
Financial Statements and Wellness Report – Lina Alam, Management Services
6.
Investment Report – Lina Alam, Management Services
Kristi Smith introduced Julie Goucher who is the city’s new accounting senior manager. Lina Alam presented the
Financial Statements and Wellness Report and Investment Report which are attached to the meeting agenda.
There was no discussion or questions about the presentation.
7.
Review Calendar Year 2025 Meeting Dates – Fernanda Acurio

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Fernanda Acurio asked everyone to review the proposed calendar year 2025 meeting dates. There were no
objections to the dates.
8.
Resolution No. HB-015 for 2025 Rates – Fernanda Acurio
Fernanda Acurio presented Resolution HB-015 regarding employee benefits rates and explained that this
resolution was needed every year before open enrollment.
Chair Bond asked if employees were aware of the rate increase. Ms. Acurio responded that we were in the third
year of a 3-year plan to raise rates and the employees were aware of this.  She also stated the increase amounted
to about $17 per pay period. Board Member Mohr asked if a national comparison had been conducted.  Ms.
Acurio confirmed there had been.
Action Agenda
9. Resolution No. HB-0115 approving the Total Monthly Rates for Employee Premiums for the
Red Plan, the Blue Plan, and the White Plan for Calendar Year 2025
Chair Bond asked for a motion to approve Resolution No. HB-0115 approving the Total Monthly Rates
for Employee Premiums for the Red Plan, the Blue Plan, and the White Plan for Calendar Year 2025.
Secretary Cummard made the motion which was seconded by Vice Chair Huppenthal. The motion
passed 5-0.
Member Comments/Announcements
None.
Calendar
The next regular meeting will be held on Wednesday, November 13, 2024 at 4:00 pm in the Council
Chambers Conference Room, 88 East Chicago Street. This meeting will be a joint meeting with the
Workers’ Compensation and Employer Liability Trust Board.
Informational Items
Chair Bond let the Board know that items for future meetings are the Actuarial Audit Report, Financial
Statements and Wellness Report, and the Investment Report.
Adjourn
Secretary Cummard motioned to adjourn the meeting which was seconded by Vice Chair Huppenthal.
Motion passed unanimously (5-0). The meeting was adjourned at 4:54 pm.
______________________________
______________________________
Zac Cummard, Secretary                                                 Terry Bond, Chair

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