Recommend approval to authorize the City Manager to execute an annual contract with Health Management Systems, Inc. for auditing of City of Savannah employee benefit plan 2018 in the amount of $43,710. The purpose of this contract is to conduct an audit of the Plan’s medical claims that have been processed in 2018 by the City’s medical claims third party administrator. This vendor may have incorrectly paid medical providers in a number of ways, from paying claims multiple times to paying providers more than the contracted rate.  Such incorrectly paid claims can be a financial and administrative burden that the City has the opportunity to correct.  The audit will show that the City is fulfilling its obligations of protecting the Plan by ensuring the Plan is operating as efficiently as possible.  The HMS audit report and recommendations will help improve Plan compliance and performance.

Our current employee benefits consultant, USI Insurance Services, conducted a market assessment and determined this to be a cost effective contract for this specialized service.

Approval