Placement: Consent Agenda
Action Requested: Motion / Vote
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Approve the Contract with Cigna Health and Life Insurance Company (Cigna) as the City's Medical Benefits Provider
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Submitted By: Natalie Cabrera, Director, Human Resources
Strategic Plan Link: The City's Mission to utilize fiscal responsibility.
Summary Brief (Agreements/Contracts only)
1. Prepared by: City of Port St. Lucie and Cigna Health and Life Insurance Company (Cigna)
2. Parties: City of Port St. Lucie and Cigna Health and Life Insurance Company (Cigna)
3. Purpose: Medical benefits services
4. New/Renewal/Modified: New
5. Duration: 10/1/26 through 9/30/29 with one (1) additional one (1) year renewal option
6. Benefits to Port St. Lucie: Flat costs in Year 1; Expanded provider network
7. Cost to Port St. Lucie (Annual and Potential): $23,150,045.00 annually. Starting October 1, 2028, Cigna may increase the administrative fee by no more than three percent (3%). This three percent (3%) cap applies to each year after October 1, 2028, including any renewal years.
Presentation Information: Staff is available to answer any questions the Council may have.
Staff Recommendation: Move that the Council approve the contract with Cigna.
Alternate Recommendations:
1. Move that the Council amend the recommendation and approve the contract with Cigna.
2. Move that the Council provide staff with direction.
Background: The City, through its third-party administrator, released a Request for Proposals to the market for medical benefits. Based on the proposals received, and after conducting due diligence, it was determined that Cigna Health and Life Insurance Company best meets the City's objectives of providing quality healthcare coverage while supporting the City's long-term financial and operational goals. On July 13, 2026, City Council approved the conceptual selection of Cigna. Before Council for consideration today is the negotiated contract.
Issues/Analysis: City staff has worked in ...
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