Salina commission to consider $1.12 million Blue Cross health plan renewal

The Salina City Commission will consider authorizing the city manager Monday, Nov. 9, to renew an agreement with Blue Cross Blue Shield of Kansas for administrative services on the city’s self-funded health and prescription plan and for individual and aggregate stop-loss coverage totaling $1,117,117.

Staff is recommending the 2027 renewal option that raises individual stop-loss from $200,000 to $250,000. Fixed costs under that option are listed as $255,038 in administrative fees, $5,812 for aggregate stop-loss and $856,266 for individual stop-loss.

The city has self-funded health coverage since 1997, with BCBSKS as administrator. The plan also covers subgroups including the Salina Public Library, Salina Airport Authority and Salina Housing Authority, plus under-65 retirees who elect coverage. A staff report from Human Resources Director Natalie Fischer says the higher stop-loss tier would accept more risk in exchange for lower fixed costs than renewing at the $200,000 level.