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HomeMy WebLinkAboutAgenda Packet 10-22-2024
CITY COMMISSION MEETING
AGENDA FOR OCTOBER 22, 2024
5:00 PM
CITY HALL COMMISSION CHAMBERS
300 SOUTH FIFTH STREET
Any member of the public who wishes to make comments to the Board of Commissioners is asked to fill out a Public
Comment Sheet and place it in the box located at the end of the Commissioner’s desk on the left side of the Commission
Chambers. The Mayor will call on you to speak during the Public Comments section of the Agenda.
ROLL CALL
INVOCATION
PLEDGE OF ALLEGIANCE
PROCLAMATION “ Hunger and Homelessness Awareness Month” - Heather Anderson
PRESENTATION HUB International - D. J. Story - Benefits Advisor
ADDITIONS/DELETIONS
PUBLIC COMMENTS
MAYOR'S REMARKS
Items on the Consent Agenda are considered to be routine by the Board of Commissioners and will be enacted by one
motion and one vote. There will be no separate discussion of these items unless a Board member so requests, in which
event the item will be removed from the Consent Agenda and considered separately. The City Clerk will read the items
recommended for approval.
I. CONSENT AGENDA
A. Approve Minutes for October 3, 2024, Joint Special Called Meeting between
the Paducah Board of Commissioners and the McCracken County Fiscal
Court, and the October 8, 2024, Board of Commissioners Meeting
B. Receive & File Documents
C. Personnel Actions
D. Appointment of Denny Roof and Michele Murphy to the Civic Beautification
Board
E. Authorized Contract Modification No. 7 for the Robert Cherry Civic Center
Project.
F. Approve the Application for a 2024 Ky Office of Homeland Security State
and Local Cyber Grant for the Technology Department. --E.STUBER
G. Approve Release of all Claims, and Ratify the Mayor's signature and
execution of the Release of All Claims against Kenneth W. Flournoy and El
Camino Logistics, LLC, dated October 10, 2024.
H. Purchase of One (1) 3/4Ton Service Truck and One (1) 1Ton Service Truck
I. Use of Spending Credits for Eligible Employees Pursuant to the City's Group
Health Plan for the 2025 Plan Year - S. WILCOX
J. Approve Strategic Health Risk Advisor & Strategic Benefit Placement
Services with HUB S. WILCOX
K. Administrative Services Agreement with Anthem Blue Cross Blue Shield - S.
WILCOX
L. Health, Vision, and Dental Benefit Plan Premiums for 2025 - S. WILCOX
M. Stop Loss Insurance with Voya Financial Advisors. Inc. - S. WILCOX
N. Authorize the Application and Acceptance of a Kentucky League of Cities
Liability Grant in the Amount of $3,000. --S. Wilcox
II. ORDINANCE(S) - ADOPTION
A. Adopt a new Interlocal Agreement for the Paducah/McCracken County
Geographic Information System.”. E. Stuber
B. Amending Chapter 78 Personnel Ordinance - S. WILCOX
C. Amend Interlocal Agreement for Provisions of Emergency 911 Services with
McCracken County. D JORDAN
D. Amend Ordinance Creating a Real Estate Parcel Fee for the Funding of 911
services, Maintenance and Equipment. D JORDAN
III. DISCUSSION
A. Main Street C. Gault
IV. COMMENTS
A. Comments from the City Manager
B. Comments from the Board of Commissioners
V. EXECUTIVE SESSION
At a Special Called Meeting of the Paducah Board of Commissioners held jointly with the
McCracken County Fiscal Court, on Thursday, at 5:00 p.m.,in Courtroom C of the McCracken
County Courthouse located at 300 Clarence Gaines Street, Paducah, Kentucky, Mayor Bray and
Judge Clymer presided.
Upon a call of the roll, the following Fiscal Court members answered to their names:
Commissioners Bill Bartleman, Richard Abraham, Edwin Jones, and Judge Executive Craig
Clymer. (4)
Upon call of the roll by City Manager Daron Jordan, the following answered to their names:
Commissioners Guess, Henderson, Wilson, and Mayor Bray(4). Commissioner Smith was unable
to attend.
KENDIG KEAST COLLABORATIVE WORKSHOP
A copy of the presentation PowerPoint is included in the minute folder.
COUNTY ADJOURN
Motion to adjourn made by Commissioner Jones and seconded by Commissioner Abraham. All
parties present voting Aye
CITY ADJOURN
Mayor Bray offered Motion, seconded by CommissionerGuess,that the meeting be adjourned.
Adopted on call of the roll yeas, Commissioners Guess, Henderson, Wilson, and Mayor Bray (4).
TIME ADJOURNED: 6:25 p.m.
ADOPTED: October 22, 2024
_________________________________
George Bray, Mayor
ATTEST:
_______________________________
Claudia S. Meeks, Assistant City Clerk
October 8, 2024
At a Regular Meeting of the Paducah Board of Commissioners held on Tuesday, October 8, 2024, at
5:00 p.m., in the Commission Chambers of City Hall located at 300 South 5th Street, Mayor George
Bray presided. Upon call of the roll by Communications Manager Pam Spencer, the following
Henderson and Wilson were unable to attend the meeting.
INVOCATION
Commissioner Smith led the Invocation.
PLEDGE OF ALLEGIANCE
Mayor Bray led the pledge.
PUBLIC COMMENTS:
Cathy Coad – Widening Pecan Drive
Rick Robertson – Refugee Relocation Program
MAYOR REMARKS
Communications Manager Pam Spencer offered the following summary:
Clarification of Information Regarding Refugee Resettlement Program.
“Mayor George Bray wanted to clarify information regarding a September 30 meeting in which the
Healthy Paducah Coalition heard a presentation from the Director of Catholic Charities with the
Diocese of Owensboro regarding information about the refugee resettlement process. Mayor Bray said
that misinformation has been circulating in the community. The Paducah Board of Commissioners
received a letter today from Diocese of Owensboro Chancellor and Chief Administrative Officer Tom
Lilly clarifying the resettlement process. Mayor Bray asked City Manager Daron Jordan to read the
letter in its entirety at the meeting. (The letter will become a part of the Minutes file for this meeting).
CONSENT AGENDA
Mayor Bray asked if the Board wanted any items on the Consent Agenda removed for separate
consideration. No items were removed. Mayor Bray asked the Communications Manager to read
the items on the Consent Agenda.
I(A) Approve Minutes for the September 17, 2024, and September 30, 2024 Special Called
Board of Commissioners Meetings
I(B) Receive and File Documents:
Minute File:
1. Special Called Meeting Notice September 30, 2024 Meeting of the Board of
Commissioners
Deed File:
1. Deed in Lieu of Foreclosure – Christopher Helm, Thomas Eric Helm, and
Elizabeth Anne Helm to City of Paducah – 1104 Ellis Street – MO #2951
2. Deed in Lieu of Foreclosure – Christopher Helm, Thomas Eric Helm, and
th
Elizabeth Anne Helm to City of Paducah – 1128 North 13 Street – MO #2951
Contract File:
1. Tower Lease with SBAS Towers X, LLC – 911 Radio Upgrade – MO #2923
2. Agreement to Purchase One Crew Cab Dump Truck from Linwood Motors – MO
#2955
3. Agreement to purchase One ¾ ton pickup truck from Linwood Motors – MO
#2956
4. Reimbursement Agreement with Paxton Park Golf Board d/b/a Paxton Park
Municipal Golf Course for purchase of a Greens Mower –MO #2957
5. Notice of Award – National Park Service Paul Bruhn Grant - $750,000 MO #2958
6. Employment Agreement – Carol Gault – Planning Director – MO #2960
7. Professional Services Agreement between City of Paducah and Thomas Barnett –
No Commission Action – signed by City Manager Daron Jordan
Financials:
1. Paducah Water Works – Month Ended August 31, 2024
Bids and Proposals File:
1. One Crew Cab Dump Truck for Public Works Department
a. Linwood Motors – MO #2955
October 8, 2024
b. Tim Short Ford of Morehead
c. Tim Short Chrysler, Dodge, Jeep, Ram of Morehead
2. One ¾ Ton Pickup Truck for Parks Department
a. Linwood Motors – MO #2956
b. Tim Short Ford of Morehead
c. Tim Short Chrysler, Dodge, Jeep, Ram of Morehead
I(C) Personnel Actions
I(D) A MUNICIPAL ORDER AUTHORIZING THE MAYOR TO EXECUTE A
CONTRACT WITH WEST KENTUCKY COMMUNITY & TECHNICAL COLLEGE
AND PADUCAH JUNIOR COLLEGE, INC. IN THE AMOUNT OF $85,000 FOR THE
OPERATION OF THE PUBLIC AND GOVERNMENT ACCESS CHANNELS.
(MO #2963; BK 13)
I(E) A MUNICIPAL ORDER APPROVING A FLEET MAINTENANCE,
MOTORIZED EQUIPMENT AND EMERGENCY APPARATUS SERVICE
AGREEMENT WITH CRITTENDEN COUNTY VOLUNTEER FIRE
DEPARTMENT TO PROVIDE FLEET MAINTENANCE SERVICES AT
HOURLY RATES AND AUTHORIZING THE EXECUTION OF ALL
DOCUMENTS RELATED TO SAME. (MO #2963; BK 13)
I(F) A MUNICIPAL ORDER ACCEPTING THE BID OF INFRASTRUCTURE PRECAST,
INC., FOR SALE TO THE CITY OF PADUCAH REINFORCED CONCRETE PIPES
RELATED TO THE FRIEDMAN LANE PIPE REPLACEMENT PROJECT IN THE
TOTAL AMOUNT OF $73,728, AND AUTHORIZING THE MAYOR TO EXECUTE A
CONTRACT FOR SAME. (MO #2965; BK 13)
I(G) A MUNICIPAL ORDER AUTHORIZING THE MAYOR TO EXECUTE A GRANT
APPLICATION AND ALL DOCUMENTS NECESSARY TO APPLY FOR A
KENTUCKY TRANSPORTATION CABINET GRANT FOR THE COUNTY
PRIORITY PROJECTS PROGRAM TO SUPPLEMENT THE STREET
REHABILITATION PROGRAM BUDGET FOR FISCAL YEAR 2026.
(MO #2966; BK 13)
Commissioner Guess offered Motion, seconded by Commissioner Smith, that the items on the
consent agenda be adopted as presented.
Adopted on call of the roll yeas, Commissioners Guess, Smith, and Mayor Bray (3).
ORDINANCE ADOPTION
ACCEPTANCE OF PERMANENT UTILITY EASEMENT FROM OWNER OF
PROPERTY LOCATED AT 723 CRUSE AVENUE
Commissioner Smith offered Motion, seconded by Commissioner Guess, that the Board of
Commissioners adopt an Ordinance entitled, “AN ORDINANCE AUTHORIZING THE
MAYOR TO ACCEPT AN EASEMENT BETWEEN THE CITY OF PADUCAH,
KENTUCKY, AND TC-3 LLC, OWNER OF PROPERTY LOCATED AT 723 CRUSE
AVENUE.” This
Ordinance is summarized as follows: This Ordinance authorizes the City of Paducah to accept
a Permanent Utility Easement between TC-3 LLC and the City of Paducah, for and in
consideration of One Dollar and no/100 ($1.00) for an area located on the west side of Cruse
Avenue and south of Marianne Drive.
Adopted on call of the roll yeas, Commissioners Guess, Smith, and Mayor Bray (3).
(ORD 2024-10-8824; BK 37)
ORDINANCE INTRODUCTIONS
ADOPT INTERLOCAL AGREEMENT FOR THE PADUCAH/McCRACKEN
COUNTY GEOGRAPHIC INFORMATION SYSTEM
Commissioner Guess offered Motion, seconded by Commissioner Smith, that the Board of
Commissioners introduce an Ordinance entitled, “AN ORDINANCE OF THE CITY OF
PADUCAH, KENTUCKY, APPROVING AND AUTHORIZING THE EXECUTION OF AN
INTERLOCAL COOPERATIVE AGREEMENT WITH McCRACKEN COUNTY FISCAL
COURT, PADUCAH WATER WORKS, PADUCAH POWER SYSTEM, PADUCAH
McCRACKEN COUNTY JOINT SEWER AGENCY, AND McCRACKEN COUNTY
PROPERTY VALUATION ADMINISTRATOR FOR THE PROVISION AND
October 8, 2024
MAINTENANCE OF THE GEOGRAPHIC INFORMATION SYSTEM FOR THE MAPPING
OF McCRACKEN COUNTY.” This ordinance is summarized as follows: An ordinance
authorizing the Mayor to execute an Interlocal Agreement which adds the McCracken County
Property Valuation Administrator to the current Interlocal Agreement between the City of
Paducah, McCracken County Fiscal Court, Paducah Water, Paducah Power and Paducah
McCracken County Joint Sewer Agency for the provision and maintenance of the Geographic
Information System for the Mapping of McCracken County. This Agreement allows the PVA to
provide in-kind services for the benefit of GIS in lieu of payment as was required by all other
members.
AMEND CHAPTER 78 – PERSONNEL ORDINANCE
Commissioner Smith offered Motion, seconded by Commissioner Guess, that the Board of
Commissioners introduce an Ordinance entitled, “AN ORDINANCE AMENDING CHAPTER
78, PERSONNEL ARTICLES II, BENEFITS AND LEAVE, AND ARTICLE III,
COMPENSATION OF THE CODE OF ORDINANCES OF THE CITY OF PADUCAH,
KENTUCKY.” This Ordinance is summarized as follows: This Ordinance removes any
language in either Article that conflicts with and/or is addressed by collective bargaining
agreements in which the rights and/or benefits may be different than those offered to non-union
employees; removing any language specific to 911 employees as such language was only
applicable when 911 was a stand-alone agency; adding language that allows part-time employees
who work on designated Holidays to be paid at time and one half their hourly rate; including
language that requires employees to follow HR-21 Sick Leave policy when requesting sick leave;
defining the total amount of time Fire Department employees working 24 hour shifts may be paid
while on military leave; updating the section relating to deferred compensation plans to include all
deferred plans to which the City allows its employees to participate; and adding language to allow
each Department to define specialty pay.
AMEND INTERLOCAL AGREEMENT FOR PROVISION OF EMERGENCY 911
SERVICES WITH McCRACKEN COUNTY
Commissioner Guess offered Motion, seconded by Commissioner Smith, that the Board of
Commissioners introduce an Ordinance entitled, “AN ORDINANCE OF THE CITY OF
PADUCAH, KENTUCKY, APPROVING AND AUTHORIZING THE EXECUTION OF AN
INTERLOCAL COOPERATION AGREEMENT BETWEEN THE CITY OF PADUCAH,
KENTUCKY AND THE COUNTY OF MCCRACKEN, KENTUCKY FOR THE PROVISION
OF 911 SERVICES.” This ordinance is summarized as follows: An ordinance authorizing the
Mayor to execute an Interlocal Agreement with McCracken County which adds language to the
current Interlocal Cooperation Agreement for the provision of 911 service that establishes a Joint
Appeals Board which will be responsible for hearing those appeals of classification of property
after review and denial by staff.
AMEND ORDINANCE CREATING A REAL ESTATE PARCEL FEE FOR FUNDING
OF 911 SERVICES, MAINTENANCE AND EQUIPMENT
Commissioner Smith offered Motion, seconded by Commissioner Guess, that the Board of
Commissioners introduce an Ordinance entitled, “AN ORDINANCE REPEALING ORDINANCE
NO. 2024-06-8816 AND ADOPTING A NEW ORDINANCE ESTABLISHING AND IMPOSING A
FEE ON ALL OCCUPIED REAL ESTATE PARCELS LOCATED WITHIN THE
TERRITORIAL LIMITS OF THE CITY OF PADUCAH TO FACILITATE FUNDING FOR
THE PROVISION OF JOINT 911 SERVICES AS MORE FULLY SET FORTH IN THE
INTERLOCAL COOPERATION AGREEMENT BETWEEN THE CITY OF PADUCAH AND
MCCRACKEN COUNTY.” This ordinance is summarized as follows: The City of Paducah
previously adopted an ordinance establishing a parcel fee on all occupied real estate parcels located
within the territorial limits of the City of Paducah to facilitate funding for the provision of 911
services. Subsequent thereto, it was determined that all appeals filed by citizens for reconsideration
of classification of property should first be considered by City staff which would prevent the Joint
Appeals Board from having to convene to hear those appeals that staff can resolve by granting the
requests made in said appeals. This new ordinance adds language to the previously-enacted
ordinance to that effect.
October 8, 2024
DISCUSSION
QUARTERLY GRANT REVIEW
Grants Administrator Hope Reasons provided an update of grants activity.
COMMENTS
Commissioner Guess: Thanked the Mayor for clearing up a lot of misinformation
circulating about the refugee issue.
Commissioner Smith: A lot of social media focused on the City; however, this is not
solely a city issue, it’s a community issue.
EXECUTIVE SESSION
Commissioner Smith offered motion, seconded by Commissioner Guess, that the Board of
Commissioners go into closed session for discussion of matters pertaining to the following
topics:
Future sale or acquisition of a specific parcel(s) of real estate, as permitted by
KRS 61.810(1)(b)
Adopted on call of the roll yeas, Commissioners Guess, Smith, and Mayor Bray (3)
RECONVENE IN OPEN SESSION
Commissioner Smith offered motion, seconded by Commissioner Guess, that the Paducah
Board of Commissioners reconvene in open session.
Adopted on call of the roll yeas, Commissioners Guess, Smith, and Mayor Bray (3)
ACTION FOLLOWING EXECUTIVE SESSION
MUNICIPAL ORDER
Commissioner Smith offered Motion, seconded by Commissioner Guess, that the Board of
Commissioners adopt a Municipal Order entitled, “A MUNICIPAL ORDER ACKNOWLEDING THAT
THE PADUCAH BOARD OF COMMISSIONERS AUTHORIZES THE MAYOR AND/OR CITY
MANAGER, OR THEIR DESIGNEES, TO ACT AS AGENTS FOR THE CITY OF PADUCAH, KY IN
THE MATTER OF TENDERING AN OFFER NOT TO EXCEED ONE HUNDRED TWENTY
THOUSAND DOLLARS ($120,000), FOR THE PURCHASE OF CERTAIN REAL PROPERTY AND
THAT UPON ACCEPTANCE OF THE OFFER BY THE SELLER THE MATTER WOULD RETURN
TO THE PADUCAH CITY COMMISSION FOR FINAL ACTION.”
Adopted on call of the roll yeas, Commissioners Guess, Smith, Mayor Bray (3) (MO #2967;
BK 13)
ADJOURN
Commissioner Guess offered Motion, seconded by Commissioner Smith, that the meeting be
adjourned.
Adopted on call of the roll yeas, Commissioners Guess, Smith, and Mayor Bray (3).
TIME ADJOURNED: 6:03 p.m.
ADOPTED: October 22, 2024
George Bray, Mayor
October 8, 2024
ATTEST:
Claudia S. Meeks, Assistant City Clerk
October 22, 2024
RECEIVE AND FILE DOCUMENTS:
Minute File:
1. Notice of Cancellation of September 10, 2024, Board of Commissioners Meeting
2. Notice of Called Joint Meeting between Paducah Board of Commissioners and
McCracken Fiscal Court – October 3, 2024
3. Letter from Office of Chancellor, Diocese of Owensboro sent to Mayor George Bray
October 8, 2024. (Read during October 8, 2024, Board of Commissioners Meeting)
4. Information for the public regarding Refugee Resettlement Program – Diocese of
Owensboro
Deed File:
1. Permanent Utility Easement – 723 Cruse Avenue, Paducah, KY ORD 2024-10-8824
Contract File:
1. Ground Lease between City of Paducah, County of McCracken and the McCracken
County Sports Tourism Commissioner, pursuant to ILA entered into on September 7,
2022. (ORD 2022-09-8747)
2. Fleet Maintenance Agreement – City of Paducah – Crittenden County Volunteer Fire
Department – MO #2964
3. Agreement with Infrastructure Precast, Inc. - Friedman Lane Pipe Replacement Project -
– MO #2965
Financials:
1. Paducah Water Works – Years Ended June 30, 2024 and 2023
Agenda Action Form
Paducah City Commission
Meeting Date: October 22, 2024
Short Title: Authorized Contract Modification No. 7 for the Robert Cherry Civic Center Project.
Category: Municipal Order
Staff Work By: Amie Clark
Presentation By: Amie Clark
Background Information: Authorize Contract Modification No. 7 for reduction in scope of work for the
installation of a manual transfer switch, providing a credit to the City in the amount of $3,034.03.
Does this Agenda Action Item align with a Commission Priority? No
If yes, please list the Commission Priority: Commission Priorities List
Communications Plan:
Account Name: Civic Center
Funds Available:
Account Number: PA0123
Staff Recommendation: Approve
Attachments:
1. MO - contract modification 7 – Midstates Robert Cherry Civic Center
2. 2024-10-14 PR 29 Transfer Switch Credit Recommendation
3. 2147-RFP 29-RC Civic Center CREDIT-Transfer Switch
MUNICIPAL ORDER NO. ________
A MUNICIPAL ORDER ADOPTING CONTRACT MODIFICATION NO. 7 TO
THE CONSTRUCTION CONTRACT WITH MIDSTATES CONSTRUCTION,
INC. FOR THE ROBERT CHERRY CIVIC CENTER, IN THE TOTAL
AMOUNT OF $3,034.03 AND AUTHORIZING THE MAYOR TO EXECUTE
THE CONTRACT MODIFICATION AND ALL OTHER DOCUMENTS
RELATED TO SAME
WHEREAS, by Municipal Order No. 2715, the City of Paducah authorized an
Agreement with Midstates Construction, Inc. in the amount of $1,557,697 for the Robert Cherry
Civic Center Renovation Project; and
WHEREAS, by Municipal Order No. 2760, the City Commission approved
Contract Modification No. 1 to the Agreement with Midstates Construction, Inc., for a price
increase in the amount of $51,108.15 and authorized the Mayor to execute all documents
necessary on behalf of the City; and
WHEREAS, by Municipal Order No. 2774, the City Commission approved
Contract Modification No. 2 to the Agreement with Midstates Construction, Inc., to add 45 days
to the contract for a final completion date of December 28, 2023, and additions requested by the
City for a total change in the amount of $6,168.52.
WHEREAS, by Municipal Order No. 2792, the City Commission approved
Contract Modification No. 3 to the Agreement with Midstates Construction, Inc. for other
necessary changes and credits in an amount of $7,097.38; and
WHEREAS, by Municipal Order No. 2822, the City Commission approved
Contract Modification No. 4 with Midstates Construction, Inc. for the removal and replacement
of 1 ½” underground natural gas piping in an amount of $12,369.08; and
WHEREAS, by Municipal Order No. 2823, the City Commission approved
Contract Modification No. 5to the Agreement with Midstates Construction, Inc., for a price
increase in the amount of $4,790.15 for new ventilation for the bathroom exhaust fans and
additional hardware for kitchen and mechanical room doorways.
WHEREAS, by Municipal Order No. 2835, the City Commission approved
Contract Modification No. 6 to the Contract with Midstates Construction, Inc., for materials and
additional scope of work to include ADA parking stalls and entries, and subgrade work in the
parking lot, resulting in a total contract modification of $166,073.30, bringing the total project to
$1,805,303.58.
WHEREAS, it is now necessary to enter into Contract Modification No. 7 with
Midstates Construction, Inc.for reduction in scope of work for the installation of a manual
transfer switch, providing a credit to the City in the amount of $3,034.03, bringing the total
project to $1,802,269.55.
NOW, THEREFORE, BE IT ORDERED BY THE BOARD OF
COMMISSIONERS OF THE CITY OF PADUCAH, KENTUCKY:
SECTION 1. The City Commission hereby approves Contract Modification
No. 7 to the Agreement with Midstates Construction, Inc., for a reduction in scope of work for
the installation of a manual transfer switch, providing a credit to the City in the amount of
$3,034.03, bringing the total cost of the project to $1,802,269.55.
SECTION 2. The adoption of Contract Modification No. 7 decreases the
Agreement amount by $3,034.03, reducingthe total agreement to an amount of $1,802,269.55.
SECTION 3. This Order shall be in full force and effect from and after the date
of its adoption.
____________________________________
George Bray, Mayor
ATTEST:
__________________________________
Claudia S. Meeks, Assistant City Clerk
Adopted by the Board of Commissioners, October 22, 2024
Recorded by Claudia S. Meeks, Assistant City Clerk, October 22, 2024
mo\\contract modification 7 – Midstates Robert Cherry Civic Center
MIDSTATES CONSTRUCTION CO INC PHONE: 270-442-5477
GENERAL CONTRACTORS FAX: 270-442-8526
P O BOX 253 730 NORTHVIEW
PADUCAH KY 42002-0253
October 14, 2024
PFGW Architects
th
101 South 4 Street
Paducah, KY 42001
Re: Renovation
Robert Cherry Civic Center
2701 Park Avenue
Paducah, KY 42001
PFGW File No. 2147
(RFP 29)-(Response to Marcum engineering RFP-08 Transfer Switch Credit)
Attn: Jeff Canter, NCARB, AIA
Please find below breakdown, including attachment, of material and labor to provide the City of Paducah with a credit on the above referenced
project based on the transfer switch no longer being necessary due to the use of Kirk Keys in the MPD for back-up generator power to the
entire building.
Material Labor Sub
Item #1: Credit Transfer Switch & Start Up/Testing, Electrical Labor & Conduit
and fittings completed to date, Overhead/Profit/Tax reduced per scope
Jay’s Electric: SEE ATTACHED $3,218.47
Item #2: Kirk Key Locks & Breakers
Jay’s Electric: SEE ATTACHED $12,712.78
Item #3: Camlock Box
Jay’s Electric: SEE ATTACHED $2,623.50
$18,554.75
Total Material, Labor, & Sub: $18,554.75
5% Overhead: $927.74
5% Profit: $927.74
$20,410.23
1% Bond $204.11
Total: $20,614.34
Total Amount of Item 1.05 of Change Order 01 Approved on 7/14/2023: $23,648.37
Less Actual work in place to provide back-up generator power for entire building: <$20,614.34>
Total amount in excess of actual work in place: $3,034.03
The total amount to be credited back to the City of Paducah for actual work in place to provide back-up generator power for the entire building
is <$3,034.03>
Change order
Jay's Electric, Inc.#2
156 Ross Lane Revised
Benton, Kentucky 42025
Tel. (270) 527-2201
Fax (270) 527-2202
WORK PERFORMED AT:Robert Cherry Civic Center
Midstates Construction
BILL TO:
ATT:Logan
Salesperson:Brandon Harmon Date of order:9/23/24
Invoice number: Invoice date:
Order number:
ITEM NO.QTY. PRICE EACH AMOUNT
DESCRIPTION
RFP-2 Response to RFI-1 Manual Transfer Switch
& Response to RFP-8 Transfer Switch Credit
11Manual Transfer Switch-See attached 24week lead time14,295.000.00
1Start up and testing1,200.000.00
32Labor to install over the 60amp disconnect65.002,080.00
1Junction box, LB's, Myers Hubs, Grounding Bushings, etc.. 798.00798.00
1OH&P292.59292.59
1Tax47.8847.88
2Items from Change Order #4
1Kirk Key locks and breaker8,144.388,144.38
1Electrical Labor2,080.002,080.00
1Conduit and Fittings795.00795.00
1OH&P1,157.041,157.04
1Taxes536.36536.36
3Items from Change Order #5
1Camlock Box2,250.002,250.00
1Tax135.00135.00
1OH&P238.50238.50
Sub total: 18,554.75
rate: 10%Overhead, Profit 0.00
KY Sales Tax 6%0.00
You pay this amount:18,554.75
Agenda Action Form
Paducah City Commission
Meeting Date: October 22, 2024
Short Title: Approve the Application for a 2024 Ky Office of Homeland Security State and Local Cyber
Grant for the Technology Department. --E.STUBER
Category: Municipal Order
Staff Work By: Eric
Stuber, Hope Reasons
Presentation By: Eric
Stuber
Background Information: The FY 2024 SLCGP addresses the 2020-2024 DHS Strategic Plan by helping
DHS achieve Goal 3: Secure Cyberspace and Critical Infrastructure. This includes Objective 3.3: Assess and
Counter Evolving Cybersecurity Risks. Additionally, the FY 2024 SLCGP supports the 2022-2026 FEMA
Strategic Plan, which outlines a bold vision with three ambitious goals, including Goal 3: Promote and Sustain
a Ready FEMA and Prepared Nation, under which falls Objective 3.2: Posture FEMA to meet current and
emergent threats. The FY 2024 SLCGP also aligns with the Cybersecurity and Infrastructure Security Agency’s
(CISA) 2024–2025 Strategic Plan, which encompasses Goal 1: Cyber Defense, Goal 2: Risk Reduction and
Resilience and Goal 3: Operational Collaboration.
The City of Paducah Technology Department is requesting funding for three areas:
1. Active Directory password policy strengthening and monitoring
2. SysLog Server
3. Secure WiFi network with 802.1x protocol
The Technology Department is applying for an amount not to exceed $50,000. The grant requires a 30% match.
Does this Agenda Action Item align with a Commission Priority? No
If yes, please list the Commission Priority: Commission Priorities List
Communications Plan:
Account Name:
Funds Available:
Account Number: 10000501-523070
Staff Recommendation: Approve the application for a KOHS State and Local Cyber Grant and authorize
the Mayor to sign all documentation related to same.
Attachments:
1. MO - app-Homeland Security Cybersecurity Grant 2024
MUNICIPAL ORDER NO. ________
A MUNICIPAL ORDER AUTHORIZING THE MAYOR TO EXECUTE A GRANT
APPLICATION AND ALL DOCUMENTS NECESSARY TO APPLY FOR A
CYBERSECURITY GRANT THROUGH THE KENTUCKY OFFICE OF HOMELAND
SECURITY IN AN AMOUNT NOT TO EXCEED $50,000
BE IT ORDERED BY THE CITY OF PADUCAH, KENTUCKY:
SECTION 1. The Mayor is hereby authorized to execute a grant application and
all documents necessary to apply for a Cybersecurity Grant through the Kentucky Office of
Homeland Security in an amount not to exceed $50,000, for the following three areas:
1. Active Directory password policy strengthening and monitoring
2.SysLog Server
3. Secure WiFi network with 802.1x protocol
SECTION 2. This grant requires a 30% match, which will be paid from Account
Number 1000 0501 523070.
SECTION 3. This order shall be in full force and effect from and after the date of
its adoption.
____________________________________
George Bray, Mayor
ATTEST:
_______________________________
Claudia S. Meeks, Assistant City Clerk
Adopted by the Board of Commissioners, October 22, 2024
Recorded by Claudia S. Meeks, Assistant City Clerk, October 22, 2024
\\mo\\grants\\app-Homeland Security Cybersecurity Grant 2024
Agenda Action Form
Paducah City Commission
Meeting Date: October 22, 2024
Short Title: Approve Release of all Claims, and Ratify the Mayor's signature and execution of the Release of
All Claims against Kenneth W. Flournoy and El Camino Logistics, LLC, dated October 10, 2024.
Category: Municipal Order
Staff Work By: Daron
Jordan, Claudia Meeks
Presentation By: Daron
Jordan
Background Information: On or about September 27, 2022, a motor vehicle accident occurred at the
intersection of H. C> Mathis Drive and Park Avenue, resulting in property damage to the Robert Cherry Civic
Center. This accident and property damage resulted in a lawsuit being filed by the City of Paducah against
Kenneth W. Flournoy and El Camino Logistics, LLC to recover damages. Settlement negotiations resulted in
the City of Paducah receiving the sum of $150,000 and requiring the City of Paducah to execute a Release of
all claims against Defendants, Kenneth W. Flournoy and El Camino Logistics, LLC. This action authorizes the
Mayor to execute said Release of of claims, and ratifies his signature on said agreement, which was executed
October 10, 2024.
Does this Agenda Action Item align with a Commission Priority? No
If yes, please list the Commission Priority: Commission Priorities List
Communications Plan:
Account Name:
Funds Available:
Account Number:
Staff Recommendation: Approve Release of all Claims, authorize Mayor to execute same and ratify
Mayor's signature of October 10, 2024.
Attachments:
1. MO - Release of all Claims - Flournoy and El Camino Logistics - Cherry Civic Center
2. Release of All Claims - Cherry Civic Center
MUNICIPAL ORDER NO. _______
A MUNICIPAL ORDER AUTHORIZING THE EXECUTION OF A RELEASE OF ALL
CLAIMS AGAINSTE KENNETH W. FLOURNOY AND EL CAMINO LOGISTICS, LLC
FOR DAMAGES INCURRED TO THE ROBERT CHERRY CIVIC CENTERAND
RATIFYING THE MAYOR’S SIGNATURE
WHEREAS, On or about September 27, 2022, a motor vehicle accident occurred at the
intersection of H. C. Mathis Drive and Park Avenue, resulting in property damage to the Robert
Cherry Civic Center; and
WHEREAS, this accident and property damage resulted in a lawsuit being filed by the
City of Paducah against Kenneth W. Flournoy and El Camino Logistics, LLC to recover
damages; and
WHEREAS, Settlement negotiations resulted in the City of Paducah receiving the sum of
$150,000 and requiring the City of Paducah to execute a Release of all claims against
Defendants, Kenneth W. Flournoy and El Camino Logistics, LLC.
NOW, THEREFORE, IT IS HEREBY ORDERED as follows:
Section 1. The Board of Commissioners authorizes the Release of Claims,
and hereby ratifies and confirms the Mayor’s signature affixed thereto.
Section 2.This Order shall be in full force and effect on and after the date as
approved by the Board of Commissioners of the City of Paducah, Kentucky.
____________________________________
George Bray, Mayor
ATTEST:
______________________________________
Claudia S. Meeks, Assistant City Clerk
Adopted by the Board of Commissioners, October 22, 2024
Recorded by Claudia S. Meeks, Assistant City Clerk, October 22, 2024
mo\\release of all claims Flournoy and El Camino Logistics – Cherry Civic Center
Agenda Action Form
Paducah City Commission
Meeting Date: October 22, 2024
Short Title: Purchase of One (1) 3/4Ton Service Truck and One (1) 1Ton Service Truck
Category: Municipal Order
Staff Work By: Jim
Scutt, Debbie Collins
Presentation By: Chris
Yarber
Background Information: On September 26, 2024, sealed written bids were opened for the purchase of One
(1) 3/4Ton Service Truck to be used by the Paducah Public Works Maintenance Division and One (1) 1Ton
Service Truck to be used by the Paducah Floodwall Department. One bid was received. Linwood Motors was
the responsive and responsible bidder in accordance with the specification, at a price of $63,422.00 for the
3/4Ton Service Truck and $105,074.00 for the 1Ton service truck. With a delivery time of 180 days for each
after contract execution. The purchase price would be a total of $168,496.00.
Does this Agenda Action Item align with a Commission Priority? No
If yes, please list the Commission Priority: Commission Priorities List
Communications Plan:
Account Name: Rolling Stock/Vehicle Fleet Lease Trust Fund
Funds Available:
Account Number: 71000210 540050
Staff Recommendation: To receive and file the bid and adopt a Municipal Order authorizing the Mayor to
execute an agreement with Linwood Motors for both the purchase of One (1) 3/4Ton Service Truck for use by
the Paducah Public Works Maintenance Division at a price of $63,422.00 and One (1) 1Ton Service Truck for
use by the Paducah Floodwall Department at a price of $105,074.00 in accordance with the specifications. For a
total price of $168,496.00.
Attachments:
1. MO - purchase two service trucks –Maintenance Division and Floodwall Division
2. 00020 - Invitation to Bid_3/4 Ton Service Truck
3. Bid Tab - 3_4Ton Service Truck
4. 00500 - Agreement_proposed_Linwood_3/4Ton Service Truck
5. Spec Pick Up List_3/4Ton Service Truck
6. Linwood bid - One 3_4Ton Service Truck
7. 00020 - Invitation to Bid_1Ton Service Truck
8. Bid Tab -1Ton Service Truck
9. 00500 - Agreement_proposed_1Ton Service Truck
10. Spec Pick Up List_1Ton Service Truck
11. Linwood bid_1Ton Service Truck
MUNICIPAL ORDER NO. __________
A MUNICIPAL ORDER ACCEPTING THE BID FOR SALE TO THE CITY OF PADUCAH
ONE ¾-TON SERVICE TRUCK AND ONE ONE-TON PICKUP TRUCK IN THE TOTAL
AMOUNT OF $168,496, FOR USE BY THE PUBLIC WORKS DEPARTMENT
MAINTENANCE DIVISION AND THE PADUCAH FLOODWALL DEPARTMENT,
RESPECTIVELY, AND AUTHORIZING THE MAYOR TO EXECUTE A CONTRACT FOR
SAME
BE IT ORDERED BY THE BOARD OF COMMISSIONERS OF THE CITY OF
PADUCAH, KENTUCKY:
SECTION 1. The City of Paducah accepts the bid of Linwood Motors in the
amount of $63,422 for sale to the City of Paducah a ¾-ton service truck to be used by the
Paducah Public Works, Maintenance Division, and $105,074, for a one-ton service truck to be
used by the Floodwall Division,. One bid was received. Linwood Motors was the responsive
and responsible bidder in accordance with the bid specification, said bid being opened on
September 26, 2024.
SECTION 2. The Mayor is hereby authorized to execute a contract with Linwood
Motors, in the total amount of $168,496, for the purchase of the two service trucks, authorized in
Section 1 above, according to the specifications, bid proposal and all contract documents
heretofore approved and incorporated in the bid.
SECTION 3. This purchase shall be charged to Rolling Stock/Vehicle Fleet
Maintenance Trust Fund, Account Number 71000210 -540050.
SECTION 4. This Order shall be in full force and effect from and after the date
of its adoption.
______________________________
George Bray, Mayor
ATTEST:
________________________________
Claudia S. Meeks, Assistant City Clerk
Adopted by the Board of Commissioners, October 22, 2024
Recorded by Claudia S. Meeks, Assistant City Clerk, October 22, 2024
\\mo\\purchase two service trucks –Maintenance Division and Floodwall Division
00020
INVITATION TO BID
PAGE 1 OF 1
INVITATION TO BID
RECEIPT OF PROPOSALS:
The City of Paducah, Public Works Department will receive sealed bids for the purchase of ONE
(1) 3/4TON SERVICE TRUCK for use by the PUBLIC WORKS MAINTENANCE DIVISION on Thursday,
September 26, 2024 at 1:00 P.M. CST. All Bids received will be publicly opened and read aloud in the
Commission Chambers, Second Floor, City Hall, 300 South 5th Street, Paducah, Kentucky.
OBTAINING CONTRACT DOCUMENTS
Copies of specifications may be obtained at the office of the Public Works Fleet Division located
at 1120 North 10th Street.
BID EVALUATION - AWARD OF CONTRACT
After reasonable consideration of all bids received, a Notice of Award will be given to the
responsible bidder who submits the responsive bid of the lowest evaluated bid price in accordance
with the specifications.
PREFERENCE TO KENTUCKY BIDDERS
In accordance with KRS 45A.365, prior to a contract being awarded, a resident bidder of the
Commonwealth shall be given a preference against a non-resident bidder registered in any state that
gives or requires a preference to bidders from that state. The preference shall be equal to the preference
given or required by the state of the non-resident bidder.
EQUAL EMPLOYMENT OPPORTUNITY
The Contractor shall ensure that employees and applicants for employment are not discriminated
against because of their race, religion, color, sex, national origin, age or disability.
DRUG FREE WORKPLACE
The City of Paducah has adopted a Drug and Alcohol Free Workplace Policy in compliance with
803 KAR 25.280, in which drug and alcohol use and abuse in the workplace is prohibited. All contractors
and subcontractors doing business for the City of Paducah shall adhere to this policy.
OWNER'S RIGHTS RESERVED:
The City res
Code of Ordinances and the Specifications.
CITY OF PADUCAH, KENTUCKY
PUBLIC WORKS DEPARTMENT
One (1) 3/4Ton Service Truck - Maintenance Division
LOWEST EVALUATED BID
Bid Opening 09/26/24 1:00 PM
OFFICIAL BIDDER OF RECORDLinwood
Contact: Jake Brenningmeyer
Mailing Address: 3345 Park Ave
$63,422.00
One (1) 1Ton Service Truck
Delivery Time180 Days
Manufacturer:Ram
DOCUMENTS REQUIRED FOR COMPLIANCE SUBMITTED:
1. Bidder's Required Certification
Yes
2. Manufacturer Specifications
Yes
3. Warranty Information
Yes
4. Compliance with Tech Specs form
Yes
5. Deviations with Information
None
Yes
Kentucky State Bidder
Responsive & Responsible Bidder:
Yes
Evaluation Score:
1000.00
BID RECOMMENDED FOR ACCEPTANCE
Yes
00020
INVITATION TO BID
PAGE 1 OF 1
INVITATION TO BID
RECEIPT OF PROPOSALS:
The City of Paducah, Public Works Department will receive sealed bids for the purchase of ONE
(1) 1TON SERVICE TRUCK for use by the FLOODWALL DEPARTMENT on Thursday, September 26,
2024 at 1:00 P.M. CST. All Bids received will be publicly opened and read aloud in the Commission
Chambers, Second Floor, City Hall, 300 South 5th Street, Paducah, Kentucky.
OBTAINING CONTRACT DOCUMENTS
Copies of specifications may be obtained at the office of the Public Works Fleet Division located
at 1120 North 10th Street.
BID EVALUATION - AWARD OF CONTRACT
After reasonable consideration of all bids received, a Notice of Award will be given to the
responsible bidder who submits the responsive bid of the lowest evaluated bid price in accordance
with the specifications.
PREFERENCE TO KENTUCKY BIDDERS
In accordance with KRS 45A.365, prior to a contract being awarded, a resident bidder of the
Commonwealth shall be given a preference against a non-resident bidder registered in any state that
gives or requires a preference to bidders from that state. The preference shall be equal to the preference
given or required by the state of the non-resident bidder.
EQUAL EMPLOYMENT OPPORTUNITY
The Contractor shall ensure that employees and applicants for employment are not discriminated
against because of their race, religion, color, sex, national origin, age or disability.
DRUG FREE WORKPLACE
The City of Paducah has adopted a Drug and Alcohol Free Workplace Policy in compliance with
803 KAR 25.280, in which drug and alcohol use and abuse in the workplace is prohibited. All contractors
and subcontractors doing business for the City of Paducah shall adhere to this policy.
OWNER'S RIGHTS RESERVED:
The City reserves the right
Code of Ordinances and the Specifications.
CITY OF PADUCAH, KENTUCKY
PUBLIC WORKS DEPARTMENT
One (1) 1Ton Service Truck - Floodwall Department
LOWEST EVALUATED BID
BID OPENING: 1:00 PM 09/26/24
OFFICIAL BIDDER OF RECORDLinwood
Contact: Jake Brenningmeyer
Mailing Address: 3345 Park Ave.
$105,074.00
One (1) 1Ton Service Truck
Delivery Time180 Days
Manufacturer:Ram
DOCUMENTS REQUIRED FOR COMPLIANCE SUBMITTED:
1. Bidder's Required Certification
Yes
2. Manufacturer Specifications
Yes
3. Warranty Information
Yes
4. Compliance with Tech Specs form
Yes
5. Deviations with Information
None
Yes
Kentucky State Bidder
Responsive & Responsible Bidder:
Yes
Evaluation Score:
1000.00
BID RECOMMENDED FOR ACCEPTANCE
Yes
00500
AGREEMENT
Page 1 of 1
CITY OF PADUCAH, KENTUCKY
PUBLIC WORKS DEPARTMENT
AGREEMENT TO PURCHASE ONE (1) 1TON SERVICE TRUCK
THIS AGREEMENT, made this day of , 20___ by and between the CITY OF
PADUCAH, hereinafter called the OWNER, and Linwood Motors hereinafter called the VENDOR, for the
consideration hereinafter named, agree as follows:
ARTICLE 1. SCOPE OF WORK
The Vendor shall provide ONE (1) 1TON SERVICE TRUCK to be used by Floodwall
Department in full compliance with the Bid Proposal Dated September 26, 2024 and with this Agreement,
the Specifications and any Addendum(s) issued.
ARTICLE 2. TIME FOR COMPLETION AND LIQUIDATED DAMAGES
The Vendor hereby agrees to commence work under this Contract and to fully complete the
delivery of the aforementioned Vehicle(s) within 180 consecutive calendar days thereafter from the date of
this Agreement.
ARTICLE 3. THE CONTRACT SUM
The Owner agrees to pay the Vendor the following, subject to additions and deductions provided
therein: One Hundred Five Thousand and Seventy-four Dollars ($105,074.00) as quoted in the
aforementioned Bid Proposal and as approved by the Board of Commissioners on ___________
by Municipal Order#____________.
ARTICLE 4. PAYMENTS
The Owner will make Payment in full upon satisfactory delivery in accordance with the Contract
Documents and the Specifications. The Payment shall constitute full compensation for the work and
services authorized herein.
ARTICLE 5. GOVERNING LAW
The Parties agree that this Agreement and any legal actions concerning its validity, interpretation
and performance shall be governed by the laws of the Commonwealth of Kentucky. The parties further
agree that the venue for any legal proceeding relating to this Agreement shall exclusively be in McCracken
County, Kentucky.
ARTICLE 6. THE CONTRACT DOCUMENTS
The Specifications and any addendum that may have been issued are fully a part of this Contract
as if thereto attached or herein repeated.
IN WITNESS WHEREOF: The parties hereto have executed this Agreement, the day and year first above
written.
VENDOR CITY OF PADUCAH, KENTUCKY
BY __________________________ BY ____________________________
TITLE ________________________ George Bray, Mayor
ADDRESS: ADDRESS:
_____________________________ Post Office Box 2267
_____________________________ Paducah, Kentucky 42002-2267
Agenda Action Form
Paducah City Commission
Meeting Date: October 22, 2024
Short Title: Use of Spending Credits for Eligible Employees Pursuant to the City's Group Health Plan for the
2025 Plan Year - S. WILCOX
Category: Municipal Order
Staff Work
By: Stefanie
Wilcox
Presentation
By: DJ Story
Background Information: The City makes financial contributions to subsidize the cost of the premium
charges in the approved health and wellness plan. Allocation of spending credits towards the purchase of
certain benefits such as health, dental or vision pursuant to the City's group health insurance plan shall be
$8,724 per employee. For those employees who opt out of the City's group health insurance, who were hired
prior to January 1, 2014, and can show proof of coverage under another sponsored group health insurance plan
are recommended to receive an employer contribution of $2,850. New participants to the waiver credit, with a
hire date after January 1, 2014, are subject to a $500 maximum employer contribution. In addition, any
employee should be able to increase their allotment, at the minimum, by participating in the wellness program.
This can be achieved through biometric readings ($1,000), completing an annual physical ($250), not using
nicotine ($250), getting a physical and turning in lab work ($250) and participating in six events ($750) such as
walking a 5k.
There will be another increase in the deductible on the Investor Plan in 2025, to comply IRS regulations. The
individual will go to $3,300 per individual, and $6,600 per family. The out of pocket maximum will change
accordingly on both plans (Investment and Elite) to follow this mandated IRS change. See attachment for
details.
Does this Agenda Action Item align with a Commission Priority? No
If yes, please list the Commission Priority: Commission Priorities List
Communications Plan:
Account Name:
Funds Available:
Account Number:
Staff Recommendation: Approve the use of spending credits for eligible employees pursuant to the City's
group health insurance plan for the 2025 plan year.
Attachments:
1. MO - ins policy spending credits 2025
2. City of Paducah Wellness Program 24-25
MUNICIPAL ORDER NO. _______
A MUNICIPAL ORDER ESTABLISHING POLICY FOR USE OF SPENDING CREDITS
TOWARD THE PURCHASE OF CERTAIN BENEFITS SUCH AS HEALTH, DENTAL OR
VISION PURSUANT TO THE CITY’S GROUP HEALTH INSURANCE PLAN FOR THE
2025PLAN YEAR
BE IT ORDERED BY THE BOARD OF COMMISSIONERS OF THE CITY OF
PADUCAH, KENTUCKY:
Section 1.To be eligible for the benefits provided in Section 2, employees must
timely enroll in that portion of the City’s group health insurance plan referred to as medical and
prescription drug coverage. The City shares the cost of medical, prescription drug, dental and
vision coverage with the City employees by contributing $8,724 per employee (“base credit”) to
be used under the Plan and other applicable credits which may be earned pursuant to the
applicable City policy. In addition, any employee should be able to increase their allotment, at
the minimum, by participating in the wellness program. This can be achieved through biometric
readings ($1,000), not using nicotine ($250), getting a physical and turning in lab work ($250)
and participating in six free events ($750) such as walking a 5k. There will be an increase in the
deductible on the Investor Plan in 2025 to comply with IRS regulations. The out of pocket
maximum will also change accordingly on both plans to follow mandated IRS changes.
Section 2.All eligible employees who timely apply for coverage under the City’s
group health insurance plan (medical and prescription drug coverage) shall be permitted to
redirect any unspent employer contribution toward the applicable pre-tax vehicle (HSA, FSA,
HRA) subject to all applicable federal and state laws and regulations and as may be amended
from time to time by order of the Board of Commissioners. Any changes requested by the
employee due to change in family status shall be considered on a pro-rata basis from the
effective date of timely enrollment pursuant to the plan documents of any affected benefit plan.
Section 3.
A. Employees who opt out of the City’s group health insurance, who were hired
prior to January 1, 2014, and can show proof of coverage under another sponsored group health
insurance plan shall receive an employer contribution of $2,850. New participants to the waiver
credit, with a hire date after January 1, 2014 are subject to a $500 maximum employer
contribution which can be applied to an HRA, deposited on an as accrued basis, as established by
the City and which can be amended from time to time by order of the Board of Commissioners.
In the event the City in its sole discretion does not accept the creditability of the spouse’s
employer-sponsored group health insurance plan, other group sponsored health insurance plan,
or non-group sponsored health insurance plan, and the employee chooses to remain covered
under such group health insurance plan, then such employee shall be governed under the
procedures established in Section 4.
B.All eligible employees who opt out of the City’s group health insurance plan
to enroll in a health insurance plan that is not under a spouse’s employer-sponsored group health
insurance or other group sponsored health insurance plan shall not be permitted to participate in
an employer contribution of any unspent health insurance credits.
Section 4. All eligible employees who opt out of the City’s group health
insurance plan (medical and prescription drug coverage) for any reason other than those stated in
Section 3 above, shall not be entitled to an employer contribution of unspent credits.
Section 5.All eligible employees and their spouse may receive the maximum
wellness credit that can be earned and that is $2,500 for an employee and $1,000 for a spouse.
Section 6. For all employees who subsequently become eligible for coverage
under the City’s group health insurance plan because of initial employment or a qualifying event
(i.e., change in family status), and is timely enrolled under the Plan or opts out of the Plan, shall
be governed under the same procedures described in Sections 1-4 above, except any benefits
shall be applied on a pro-rata basis.
Section 7. Except as provided under the applicable plan document covering any
benefit plan, or HIPAA’s special enrollment rights or the United States Internal Revenue Code,
or any other applicable federal or state law or regulation, or any participant in the City’s group
health plan as described in Section 2 or any employee who has opted out of the plan as described
in Sections 3 or 4 above, shall be precluded from making any changes to pre-tax elections (HSA,
FSA, HRA) once the plan year starts except as otherwise permitted by this Municipal Order.
Section 8. This Order shall be in full force and effect from and after the date of
its adoption.
_____________________________
George Bray, Mayor
ATTEST:
________________________________
Claudia S. Meeks, Assistant City Clerk
Adopted by the Board of Commissioners, October 22, 2024
Recorded by Claudia S. Meeks, Assistant City Clerk, October 22, 2024
\\mo\\ins policy spending credits 2025
Agenda Action Form
Paducah City Commission
Meeting Date: October 22, 2024
Short Title: Approve Strategic Health Risk Advisor & Strategic Benefit Placement Services with HUB S.
–
WILCOX
Category: Municipal Order
Staff Work
By: Stefanie
Wilcox
Presentation
By: Stefanie
Wilcox
Background Information: The City has utilized the Health Risk Advisor services with HUB (formerly Peel
& Holland) since July 1999 pertaining to issues regarding the administration, renewal, claim resolution, cost
containment and bidding process of the City's health insurance plan. Staff recommends entering into a contract
with HUB to continue these services for calendar year 2025. The 1-year contract with HUB has a five percent
(5%) increase from last year at $81,900. This fee is payable in four equal installments of $20,475 to be billed
quarterly. There has not been an increase since 2019.
Does this Agenda Action Item align with a Commission Priority? No
If yes, please list the Commission Priority: Commission Priorities List
Communications Plan:
Account Name:
Funds Available:
Account Number:
Staff Recommendation: Authorize the Mayor to execute a contract between the City of Paducah and HUB
pertaining to the administration of the City's health insurance.
Attachments:
1. MO - contract – HUB (formerly Peel & Holland) Health Risk Advisor & Benefit Placement Services
2025
2. City of Paducah_ Client Business Associate Agreement March 2022
3. City of Paducah__Employee Benefits Service Agreement - Fee for Servicedocx
MUNICIPAL ORDER NO.
A MUNICIPAL ORDER AUTHORIZING THE MAYOR TO EXECUTE A
CONTRACT FOR A STRATEGIC HEALTH RISK ADVISOR & STRATEGIC
BENEFIT PLACEMENT SERVICES WITH HUB (FORMERLY PEEL &
HOLLAND) FOR ADMINISTRATION OF THE CITY OF PADUCAH’S
HEALTH INSURANCE IN AN AMOUNT OF $81,900
BE IT ORDERED BY THE CITY OF PADUCAH, KENTUCKY:
SECTION 1. The City of Paducah hereby authorizes the Mayor to execute a
contract for a Strategic Health Risk Advisor and Strategic Benefit Placement Services with
HUB (formerly Peel & Holland), in the amount of $81,900, payable in four equal installments
of $20,475 each, for administration services pertaining to the administration of the City of
Paducah’s health insurance.
SECTION 2. Said contract authorized in Sections 1 and 2 above will be for the
2025calendar year.
SECTION 3. This order will be in full force and effect from and after the date of
its adoption.
George Bray, Mayor
ATTEST:
Claudia S. Meeks, Assistant City Clerk
Adopted by the Board of Commissioners, October 22, 2024
Recorded by Lindsay Parish, City Clerk, October 22, 2024
mo\\contract – HUB (formerly Peel & Holland) Health Risk Advisor & Benefit Placement Services 2025
Business Associate Agreement
THIS BUSINESS ASSOCIATE AGREEMENT (, dated as of 1/1/2025 is
entered into by and between Hub International Midwest Limited
those Employee Welfare Benefit Plans (as defined in the Employee Retirement Income
Security Act of 1974) of City of Paducah that are subject to 45 CFR Parts
160 and 164, Subparts A and E and 45 CFR Parts 160 and 164, Subpart C
and on whose behalf this BAA has been executed and delivered. Business Associate
and Covered Entity
Capitalized terms used herein but not otherwise defined in this
BAA will have the same meaning as the meaning ascribed to such terms in the HIPAA Rules
(as defined below).
WHEREAS
provides services to Covered Entity that may involve the use, disclosure, transmission,
maintenance and/or creation of Protected Health Information; and
WHEREAS, Business Associate and Covered Entity are committed to compliance with the
Privacy, Security, Breach Notification and Enforcement Rules of the Health Insurance
current and future regulations promulgated t
NOW, THEREFORE, in consideration of the mutual covenants and agreements herein, and
for other good and valuable consideration, the Parties agree as follows:
I. DEFINITIONS
For purposes of this BAA, the following terms shall have the meanings ascribed to them
below:
A. Breach.
§164.402, subject to all exclusions under 45 CFR §§164.402(1)(i), (ii) and (iii).
B. Electronic Protected Health Information.
created or received by Business Associate from or on behalf of Covered Entity.
C. Electronic Transactions Rule.
regulations issued by HHS concerning standard transactions and code sets under
45 CFR Parts 160 and 162.
D. HHS.
E. Individual
45 CFR § 160.103.
F. Protected Health Information.
limited to the information created or received by Business Associate from or on
Version: March 10, 2022
behalf of Covered Entity, including but not limited to Electronic Protected Health
Information.
G. Required By Law.
§164.512(a).
H. Secretary
I. Security Incident.
J. Transaction. as
CFR §160.103.
K. Unsecured Protected Health Information.
as
II. OBLIGATIONS OF BUSINESS ASSOCIATE
Business Associate agrees:
A. Not to use or disclose Protected Health Information other than (i) as permitted or
required by this BAA, (ii) as permitted or required to perform its obligations
pursuant to the Agreements, or (iii) as Required by Law.
B. To use appropriate safeguards, and comply with Subpart C of 45 CFR Part 164
with respect to Electronic Protected Health Information, to prevent the use or
disclosure of PHI other than as provided for by this BAA.
C. To mitigate, to the extent practicable, any harmful effect that is known to Business
Associate of a use or disclosure of PHI by Business Associate in violation of the
requirements of this BAA.
D. To report to the appropriate Covered Entity any use or disclosure of PHI not
provided for by this BAA of which it becomes aware and any Successful Security
Incident of which Business Associate becomes aware. For purposes of this BAA,
Security Incident that results in
unauthorized access, use, disclosure, modification, or destruction of Electronic
Protected Health Information of Covered Entity. The parties further stipulate and
agree that this paragraph constitutes notice by Business Associate to Covered
purposes of this BAA as any Security Incident that is not a Successful Security
Incident. Covered Entity and Business Associate agree that reporting of
Unsuccessful Security Incidents are too numerous to be meaningful or helpful and
therefore this BAA constitutes the report from Business Associate that these
incidents occur.
2
E. In accordance with 45 CFR §§164.502(e)(1)(ii) and 164.308(b)(2), if applicable,
to ensure that any subcontractor that creates, receives, maintains or transmits
Protected Health Information on behalf of Business Associate agrees to the same
restrictions and conditions that apply through this BAA to Business Associate with
respect to such PHI. If Business Associate becomes aware of a pattern or practice
by the subcontractor that violates such agreement, Business Associate shall take
steps to cure the breach or end the violation. If efforts to cure the breach or end
the violation are not successful, Business Associate shall terminate its arrangement
with the subcontractor, if feasible. If not feasible, Business Associate shall notify
Covered Entity of the breach or violation.
F. To make available, at the request of Covered Entity, and in the form and format
designated by such Covered Entity, PHI in a Designated Record Set, to Covered
Entity or, as directed by Covered Entity, to the requesting Individual or such
under 45 CFR § 164.524; provided, however, that this Section II.F is applicable
only to the extent Business Associate is required to maintain a Designated Record
Set for the particular Covered Entity pursuant to the terms of the Agreements.
G. To make any amendment(s) to PHI in a Designated Record Set as directed or
agreed to by Covered Entity pursuant to 45 CFR § 164.526, or to take other
164.526; provided, however, that this Section II.G is applicable only to the extent
Business Associate is required to maintain a Designated Record Set for the
particular Covered Entity pursuant to the terms of the Agreements.
H. To make applicable internal practices, books and records available to the Secretary
or his designee for purposes of the Secretary's determining
compliance with the HIPAA Rules.
I. To maintain and make available upon request by Covered Entity the information
required to provide an accounting of disclosures as necessary to satisfy Covered
.
J. Without unreasonable delay and in no case later than sixty (60) days following
discovery by Business Associate (except as otherwise required under 45 CFR
§164.412), Business Associate will notify Covered Entity in writing of any Breach
of Unsecured Protected Health Information. Business Associate shall provide
Covered Entity, to the extent known, the identity of each Individual whose
Unsecured Protected Health Information has, or is reasonably believed by
Business Associate, to have been affected by the Breach. In addition, Business
Associate shall provide to Covered Entity, either at the time it provides notice to
Covered Entity of the Breach or promptly thereafter as information becomes
available, any other information that Covered Entity is required to include in its
notification to an Individual under 45 CFR §164.404(c).
K. In the event Business Associate transmits or receives a Transaction on behalf of
Covered Entity, it shall comply with all provisions of the Electronic Transactions
Rule to the extent applicable.
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L. To the extent Business Associate is to carry out one or more of Covered Entity's
obligation(s) under Subpart E of 45 CFR Part 164, Business Associate shall
comply with the requirements of Subpart E that apply to Covered Entity in the
performance of such obligation(s).
M. In its performance of the functions, activities, services, and operations for Covered
Entity, Business Associate agrees to make only the minimum necessary uses and
disclosures and requests for Protected Health Information.
N. Business Associate shall not engage in the Sale of Protected Health Information or
otherwise directly or indirectly receive direct or indirect remuneration in exchange
for the disclosure of Protected Health Information of an Individual, unless Covered
Entity or Business Associate has obtained a valid authorization from the
Individual, consistent with the requirements under 45 CFR §164.508.
III. PERMITTED USES AND DISCLOSURES BY BUSINESS ASSOCIATE
Except as otherwise limited in this BAA, Business Associate may:
A. Use or disclose PHI for purposes of performing the functions, activities or services
for, or on behalf of, each Covered Entity as specified in the Agreements, provided
that such use or disclosure would not violate Subpart E of 45 CFR Part 164 if done
by Covered Entity or is permitted under paragraphs B and C below.
B. Use PHI for all appropriate management and administrative functions of Business
Associate, or as needed to carry out the legal responsibilities of Business
Associate.
C. Disclose PHI for all appropriate management and administrative functions of
Business Associate, or as needed to carry out the legal responsibilities of Business
Associate, provided that such disclosures are either Required by Law, or Business
Associate obtains reasonable assurances from the person to whom the information
is disclosed that it will remain confidential and will be used or further disclosed
only as Required by Law or for the purpose for which it was disclosed to the
person, and the person notifies Business Associate of any instances of which it is
aware in which the confidentiality of the information has been breached.
IV. OBLIGATIONS OF COVERED ENTITY
Each Covered Entity shall:
A. Provide Business Associate with the notice of privacy practices that Covered
Entity produces in accordance with 45 CFR § 164.520, as well as any changes to
such notice.
B. Provide Business Associate with any changes in, or revocation of, permission by
an Individual to use or disclose PHI, if such changes affect Business Associate
permitted or required uses and disclosures.
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C. Notify Business Associate of any restriction to the use or disclosure of PHI that
Covered Entity has agreed to in accordance with 45 CFR § 164.522, to the extent
that such restriction may affect Business Associate
D. Not request Business Associate to use or disclose PHI in any manner that would
not be permissible under the Subpart E of 45 CFR Part 164 if done by Covered
Entity, except as set forth in Sections III.B and C.
E. Disclose only the minimum necessary Protected Health Information to Business
Associate as may be required for Business Associate to perform its services to
Covered Entity, except that Covered Entity will not be obligated to comply with
this minimum necessary limitation if neither Business Associate nor Covered
Entity is required to limit its use, disclosure or request to the minimum necessary.
V. TERM AND TERMINATION
A. Term. As to each Covered Entity, the term of this BAA shall be effective as
of the date set forth above in the first paragraph. This BAA shall terminate on the
date Business Associate ceases to be obligated to perform functions, activities or
services for Covered Entity under the Agreements. However, Business
this BAA with respect to any PHI so long as it remains in the possession of
Business Associate.
B. Termination for Cause. Without limiting the rights of the Parties respecting
s:
1. By Covered Entity.
activity or practice of Business Associate that constitutes a material breach
or violation of this BAA by Business Associate with respect to PHI
maintained for that Covered Entity, such Covered Entity shall provide an
opportunity for Business Associate to cure the breach or end the violation.
Covered Entity shall terminate this BAA and the Agreements if Business
Associate does not cure the breach or end the violation within such
reasonable time as is specified by Covered Entity, or immediately
terminate this BAA and the Agreements if Business Associate has
breached or violated a material term of this BAA and cure is not possible.
with respect to any other Covered Entity shall continue to remain in effect
until otherwise terminated.
2. By Business Associate. Upon Business Associate
pattern of an activity or practice of Covered Entity that constitutes a
material breach or violation of this BAA by such Covered Entity, Business
Associate shall provide an opportunity for Covered Entity to cure the
breach or end the violation. Business Associate shall terminate this BAA
and the Agreements with respect to that Covered Entity if Covered Entity
does not cure the breach or end the violation within such reasonable time
as is specified by Business Associate, or immediately terminate this BAA
5
and the Agreements with respect to that Covered Entity if Covered Entity
has breached or violated a material term of this BAA and cure is not
this BAA with respect to any other Covered Entity shall continue to remain
in effect until otherwise terminated.
C. Effect of Termination. Upon termination of this BAA for any reason, Business
Associate, with respect to Protected Health Information received from Covered
Entity, or created, maintained, or received by Business Associate on behalf of
Covered Entity, shall:
1. Retain only that PHI which is necessary for Business Associate to continue
its proper management and administration or to carry out its legal
responsibilities;
2. Return to Covered Entity or destroy the remaining PHI that Business
Associate still maintains in any form;
3. Continue to use appropriate safeguards and comply with Subpart C of 45
CFR Part 164 with respect to Electronic Protected Health Information to
prevent use or disclosure of the PHI, other than as provided for in this
Section V.C, for as long as Business Associate retains the PHI;
4. Not use or disclose the PHI retained by Business Associate other than for
the purposes for which such PHI was retained and subject to the same
conditions set out under Sections III.B and III.C which applied prior to
termination; and
5. Return to Covered Entity or destroy the PHI retained by Business Associate
when it is no longer needed by Business Associate for its proper
management and administration or to carry out its legal responsibilities.
VI. MISCELLANEOUS PROVISIONS
A. Regulatory References. A reference in this BAA to a section in the HIPAA Rules
means the section as in effect or as amended, and for which compliance is required
at the time of the use or disclosure in question. In case a specific regulatory
reference used in this BAA changes, as may occur when an enforcement body
moves or otherwise changes its numbering system, this BAA shall remain in place
and the Parties subject to the BAA shall use all reasonable efforts to discern the
correct and applicable reference currently in effect in order to optimally satisfy
compliance obligations as set forth under governing law.
B. Amendment. The Parties agree to take appropriate action as necessary to amend
this BAA from time to time in order for Covered Entity and Business Associate to
comply with the HIPAA Rules. Moreover, to the extent permitted by applicable
law, upon the compliance date of any final regulation, or amendment to final
regulation promulgated by HHS that affects Business Associate or Covered
6
the obligations imposed on Business Associate or Covered Entity remain in
compliance with the final regulation or amendment to final regulation.
C. Survival. The respective rights and obligations of the Parties to this BAA shall
survive the termination of this BAA.
D. Governing Law. This BAA shall be governed by the laws of the State of
Kentucky.
E. Notices. All notices hereunder shall be in writing and delivered by hand, by
certified mail, return receipt requested or by overnight delivery. Notices shall be
directed to the Parties at their respective addresses set forth below their signature,
as appropriate, or at such other addresses as the Parties may from time to time
designate in writing.
F. Entire Agreement; Modification. This BAA represents the entire agreement
between Business Associate and each Covered Entity relating to the subject matter
hereof and supersedes all prior oral and written agreements relating to the subject
matter hereof. No provision of this BAA may be modified, except in writing,
signed by the Parties.
G. No Third Party Beneficiaries. There shall be no third party beneficiaries to this
BAA, and no individual (including an Individual) or entity who is not a party to
this BAA shall have any rights in connection with a breach or violation of this
BAA.
H. Binding Effect. This BAA shall be binding upon the Parties hereto and their
successors and assigns.
I. Counterparts and Signature. This BAA may be executed in any number of
counterparts, which, when taken together, shall constitute one original. This BAA
may be executed by an electronic or facsimile signature of an authorized
representative of the Parties, and any such signature shall be deemed to be an
original signature and shall be binding on the Parties to the same extent as if such
electronic or facsimile signature were an original signature.
J. Interpretation of this Agreement. Any ambiguity in this BAA shall be resolved
in favor of a meaning that permits the Parties to comply with applicable law.
\[Remainder of page left intentionally blank\]
7
IN WITNESS WHEREOF, the Parties hereto have caused this BAA to be executed as of the
date first above written.
BUSINESS ASSOCIATE: Hub International Midwest Limited
By: _________________________________________
Name: __Cooper Jones____________________________________
Title:___President_____________________________________
Address of Business Associate:
1120 Main St
Benton, KY 42025
For Notices, a copy (which will not constitute notice) shall be sent to:
Hub International Limited
c/o Legal Department
th
150 North Riverside Plaza, 17 Floor
Chicago, IL 60606
PLAN SPONSOR: City of Paducah
on behalf of its group health plan as Covered Entity
By: _________________________________________
Name: ______________________________________
Title: _______________________________________
Address of Plan Sponsor:
300 South 5th Street
Paducah, Kentucky 42003
Version: March 10, 2022
EMPLOYEE BENEFITS FEE FOR SERVICES AGREEMENT
Agreement
as of January 1, 2025 Commencement DateCity of Paducah
ClientHUB International- Mid-South Hub
WHEREAS, the Client desires to continue to engage Hub to perform certain services with respect
, if applicable; and
WHEREAS, HUB desires to perform such services for the Client, in each case in accordance with
and subject to the terms and conditions set forth in this Agreement.
NOW, THEREFORE, in consideration of the mutual promises contained herein, and other good
and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties agree
as follows:
1. Services. Hub shall perform the insurance brokerage services set forth in the scope of
services attached hereto as Exhibit A Services. For the avoidance of doubt, Hub shall
have no obligation pursuant to this Agreement to perform any service for or with respect to any employee
benefit plan that is not identified on Exhibit A.
2. Consulting Fee.
Quarterly Fee- In consideration of the Services, the Client shall pay to Hub a quarterly fee in an
amount equal to eighteen thousand nine hundred dollars and zero cents ($18,900.00) Consulting
Fee and a quarterly fee in an amount equal to one thousand five hundred seventy five dollars and zero
cents ($1,575.00) Data Analytics Fee, for a total quarterly fee of twenty thousand four hundred
seventy five dollars and zero cents ($20,475.00) - The Client shall pay to Hub the Consulting Fee promptly
(but in no event later than thirty (30) days) following the date of any applicable invoice Client
Commencement Date or any annual anniversary thereof.
Consulting Fee during the first month of any annual term of this Agreement.
The Client acknowledges that Hub reserves the right to reasonably adjust the Consulting Fee upon
notice to the Client in the event that the nature or extent of the Services changes, including, for example, as
-eligible workforce.
Additionally, an optional annual fee in an amount equal to six hundred dollars and zero cents
($600.00) (the Compliance Fee paid quarterly in the amount of one hundred fifty dollars and zero
cents ($150)- can be added, which would provide access to compliance dashboard for the year.
Check here to add Compliance Dashboard
In further consideration of the Services, Hub will be paid by each applicable insurance carrier core
commissions which are currently expected to be as follows:
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Dental: 10% of monthly premium
Vision: 10% of monthly premium
Group Term Life: 15% of monthly premium
Vol. Life: 15% of monthly premium
LTD: 15% of monthly premium
Colonial: 35% of monthly premium (first year) / 3% of monthly
premium (renewal)
Core commissions may increase or decrease as determined by the applicable insurance carrier.
In addition, Hub may be paid from time to time by each such carrier or agent contingent
commissions, guaranteed supplemental commissions, profit sharing payments, bonuses, override
commissions, or other profit-, volume- or incentive-based non-standard commissions, which commissions
may or may not relate, in whole or in part, to the employee benefits plans for which the Client appoints and
maintains Hub as broker of record from time to time. Hub also may be paid other commissions or fees
from other third parties that may from time to time perform employee benefits-related services on behalf
of the Client. The Client acknowledges that it has read
available at hubinternational.com.
3. Independent Contractor. Hub shall perform the Services as an independent contractor. The
parties intend to have an independent contractor relationship, and do not intend to have a relationship in the
nature of an employer-employee, partnership, joint venture or agency.
4. Representations and Warranties. Hub represents and warrants that it has all necessary
authority and approval to enter into this Agreement and that it will perform the Services in a professional
manner in accordance with prevailing insurance brokerage industry standards. Except as otherwise
provided for herein, all services performed pursuant to this Agreement, whether the services are performed
or warranty
of any kind. Hub makes no express or implied representations or warranties with respect to such services,
including without limitation any express or implied warranty of merchantability or fitness for a particular
purpose or intended use.
5. Information Submission. The Client shall timely submit to Hub all information in the
for the accuracy and completeness of such information. Such information includes, but is not limited to,
historical benefits plan documentation, plan census information or other information that Hub must provide
to carriers, benefits vendors or other third parties for underwriting, marketing, quoting, servicing or other
purposes. If Hub establishes a deadline by which the Client is required to provide certain information to
Hub, the Client agrees to provide the information by that deadline, unless Hub agrees to an extension. The
Client hereby consents to Hub sharing with third parties, whether engaged by Hub or the Client, information
Hub receives from the Client as necessary or advisable to provide the Services or as otherwise requested
by the Client. The Client shall be responsible for obtaining all individual consents and all other legally
necessary consents or permissions required or advisable to disclose, process, retrieve, transmit or view the
be responsible for retaining for its own use information that it delivers to, or receives from, Hub and for
2
taking other precautions the Client deems necessary in the event that such information or other materials
delivered to Hub are lost or destroyed.
6. Nature of Services; Plan Operation. The Client acknowledges that the Services are not of
a legal nature and that Hub will in no event give, or be required to give, any legal or tax opinion or advice,
or otherwise provide any legal or tax representation to the Client. The Client is responsible to procure its
own legal or tax advice to the extent required or prudent for the Client to obtain the full benefit of the
Services or otherwise. The Client acknowledges that Hub will in no event assume any responsibility or
authority for or with respect to any of the following: the selection, design, funding or operation of any
employee benefits plan or the compliance of any such plan with applicable plan documents or law; duties
incumbent upon or required to be performed by a plan sponsor, plan administrator, fiduciary
benefits plan; or insuring or
underwriting any liability to provide any benefit under any employee benefits plan. Without limiting the
generality of the foregoing, the Client acknowledges that Hub is not a fiduciary with respect to any of the
benefits plans and that Hub has no discretion with respect to the management or
benefits plans. All such
benefits
plans.
7. Non-Core Functions. From time to time, Hub may perform or provide, or arrange for the
performance by third parties of, services that are not directly related to the Services, including the provision
to the Client of sample documents or forms, whether or not related to those employee benefits plans
identified on Exhibit A (collecNon-Core Functions). Hub performs or arranges for the Non-
Core Functions, if at all, as a courtesy to the Client and does not warrant the Non-Core Functions in any
regard. Without limiting the generality of Section 6, the
responsibility to ensure that the Non-Core Functions are performed, and that any template or sample
document or form that is provided to the Client by Hub is utilized, properly and in accordance with
applicable plan documents and law. The Client acknowledges and agrees that Hub shall have no liability
arising out of or relating to the performance of the Non-Core Functions. Except as otherwise agreed to
between the parties from time to time, Hub shall not be responsible to make payment on behalf of the Client
to any third party for any of the Non-Core Functions.
8. Term and Termination. This term of this Agreement shall begin on the Commencement
Date and continue in full force and effect unless earlier terminated in accordance with this Section. Either
party may terminate this Agreement upon at least ninety (90) days advance written notice to the other party;
provided, however, that no such termination shall be effective prior to the first annual anniversary of the
Commencement Date. In the event of termination of this Agreement
perform the Services shall terminate immediately.
9. Business Associate Agreement. In connection with the execution of this Agreement, the
parties shall use good faith efforts to execute a Business Associate Agreement in substantially the same
form as attached hereto as Exhibit B, unless (a) as of the Commencement Date, the parties have entered
into an enforceable Business Associate Agreement (in which case such Business Associate Agreement shall
continue in full force and effect in accordance with its terms) or (b) the parties determine that applicable
law does not require that they enter into a Business Associate Agreement (and, for the avoidance of doubt,
Exhibit B.
3
10. LIMITATION OF LIABILITY. IN NO EVENT WILL A PARTY HERETO OR ITS
AFFILIATES BE LIABLE TO THE OTHER PARTY OR ANY OF ITS AFFILIATES UNDER THIS
AGREEMENT FOR INCIDENTAL, CONSEQUENTIAL, INDIRECT, PUNITIVE, SPECIAL OR
SIMILAR DAMAGES (INCLUDING LOSS OF PROFITS, DATA, BUSINESS OR GOODWILL)
CAUSED BY ITS ACTS OR OMISSIONS UNDER THIS AGREEMENT, REGARDLESS OF
WHETHER SUCH LIABILITY IS BASED ON BREACH OF CONTRACT, TORT, STRICT
LIABILITY, BREACH OF WARRANTIES, FAILURE OF ESSENTIAL PURPOSE OR OTHERWISE,
EVEN IF SUCH PARTY IS ADVISED OF THE LIKELIHOOD OF SUCH DAMAGES.
11. Intellectual Property Rights. Nothing herein shall be construed to grant to the Client any
intellectual property right in any insurance or insurance brokerage know-how, expertise, technique,
methodology or strategy, or any form, template, source or similar documentation or program, that from
time to time have been, is or may be utilized by Hub in connection with the operation of its business or the
performance of the Services.
12. Limited Use of Name and Logo.
logo for the express and sole purpose of identifying the Client as a client of Hub in the marketing materials
Section shall be subject to any restrictions or
guidelines which may be provided from time to time by the Client to Hub. In the event that the Client
withdraws the authorization set forth in this Section, Hub shall use commercially reasonable efforts to
pr
13. Governing Law; Venue. This Agreement will be governed by, and construed in accordance
with, the substantive laws of the State or Commonwealth where the Hub office is located (as reflected at
,
without regard to its choice of law rules. The parties consent to exclusive venue and personal jurisdiction
of any federal or state court located in the county where the Hub Office is located (provided that if no such
court is located in that county, venue and personal jurisdiction will be exclusively exercised by the nearest
applicable court having jurisdiction over that county).
14. Counterparts. This Agreement may be executed and delivered (including by facsimile,
original, but all of which together shall constitute one and the same instrument.
15. Entire Agreement. Except as provided in Section 9, this Agreement sets forth the entire
agreement and understanding, and supersedes any and all prior or contemporaneous agreements and
understandings, oral or written, between the parties regarding the subject matter hereof.
16. Notice. Unless otherwise agreed to by the parties, all notices required under this
Agreement (except, for the avoidance of doubt, those ordinary course communications relating to product
pricing, changes, etc.) will be deemed effective when received and made in writing by (a) registered mail,
(b) certified mail, return receipt requested, or (c) a national overnight courier service, in each case sent to
the applicable address set forth immediately below (or such other address
as either party may designate in writing in accordance with this Section).
4
17. Amendments and Waivers. This Agreement may not be amended or waived except by an
instrument in writing signed, in the case of an amendment, by an authorized representative of each party to
this Agreement or, in the case of a waiver, by the party against whom such waiver is to be effective. No
course of conduct or failure or delay by any party in exercising any right, power or privilege hereunder
shall operate as a waiver thereof, nor shall any single or partial exercise thereof preclude any other or further
exercise thereof or the exercise of any other right, power or privilege.
18. No Third Party Beneficiaries. Nothing in this Agreement, express or implied, is intended
or shall be construed to confer upon any third party other than the parties hereto and their respective
successors and permitted assigns any right, remedy or claim under or by reason of this Agreement.
19. Assignment. This Agreement
be assigned or assumed by another without the prior written consent of the other party; provided, however,
ut the consent of
the Client. This Agreement shall inure to the benefit of, and be binding upon the parties hereto, their
successors and permitted assigns.
20. Force Majeure. Neither of the parties shall be liable to the other for any failure to satisfy
an obligation under this Agreement
limited to, inclement weather, Acts of God, war, riot, terrorist acts, malicious acts of damage, civil
commotion, industrial dispute, power failure or fire.
21. Severability. Each party agrees that all covenants and agreements set forth in this
Agreement constitute a series of separate covenants and are severable. The invalidity, illegality or
unenforceability of any provision of this Agreement will not affect the validity, legality and enforceability
of the remaining provisions of this Agreement.
\[Remainder of page left intentionally blank\]
5
IN WITNESS WHEREOF, the parties hereto have duly executed this Agreement as of the
Commencement Date.
HUB International- Mid- South City of Paducah
By: By:
Name: Cooper Jones Name:
Title: President Title:
Hub address:, Client address:
Hub International- Mid South City of Paducah
1120 Main St 300 South 5th Street
Benton, KY 42025 Paducah, Kentucky 42002
Attention: DJ Story or April Rambo Attention: Stefanie Wilcox
For Notices, a copy (which will not constitute
notice) shall be sent to:
Hub International Limited
c/o Legal Department
150 North Riverside Plaza, 17th Floor
Chicago, IL 60606
6
Exhibit A
SCOPE OF SERVICES
Benefit Advisory Services
GENERAL ADVISORY SERVICES
1. Review all insurance contracts and employer forms relating to health, vision, dental, and drug
benefits, HRA, H.S.A. and make recommendations to the CLIENT on such contracts.
2. Coordinate on-site enrollers or web-based enrollments and assistance with annual open
enrollment for eligible employees during the period(s) contracted.
3. Provide assistance with questions on behalf of CLIENT including but not limited to health
insurance claims, eligibility, plan selection for employees.
4. Provide consultation on issues relating to cost share, stop-loss and plan administration, and
oversight in bid processes annually.
5. Review and provide commentary on plan data such as claims, administrative and reinsurance
costs and comparisons of data for varying years on a quarterly basis agreed to committees and/or the City
Commission, or City Manager as agreed to by CLIENT.
6. Prepare annual request for proposals (RFP) for years CLIENT requests formal bid processes.
Provide oversight and coaching services in review of bids, assembly of data received by bidders and make
specific recommendations to CLIENT for placement or procurement of health/drug, dental and vision
insurance contracts.
7. Review preferred provider agreements and assist client in comparing and selecting preferred
provider organizations (PPO).
8. Assist CLIENT with meetings and coach on benefit plan issues with employee groups as
requested by CLIENT.
9. When qualified provide advice for all other areas of health, dental and drug plan operations as
requested by CLIENT.
10. Provide COBRA administrative services via a separate administrative party as per a separate
agreement between, Flores & Associates and CLIENT.
11. Provide expert witness services in connection for employer and employee bargaining, legal
7
12. Provide data analytics via Acclaim Health Analytics and NavMD Design180 with customized
reporting and care management integration with disease management firms chosen independently by
CLIENT.
13. Access to Compliance Dashboard, tool to help assure compliance with health plan laws.
8
Exhibit B
FORM OF BUSINESS ASSOCIATE AGREEMENT
See attached.
9
Agenda Action Form
Paducah City Commission
Meeting Date: October 22, 2024
Short Title: Administrative Services Agreement with Anthem Blue Cross Blue Shield - S. WILCOX
Category: Municipal Order
Staff Work
By: Stefanie
Wilcox
Presentation
By: DJ Story
Background Information: DJ Story of HUB recommends that the city continue with Anthem Blue Cross
Blue Shield for the 2025 plan year, effective January 1, 2025, as the City's Third-Party Administrator (TPA) to
provide claims administrative services related to the City's health insurance plan. Remaining with Anthem
offers the best overall option for quality of plans, administrative services and competitive discount rates and
factors. A summary of Anthem's administrative fees, rates and factors is attached.
Does this Agenda Action Item align with a Commission Priority? No
If yes, please list the Commission Priority: Commission Priorities List
Communications Plan:
Account Name:
Funds Available:
Account Number:
Staff Recommendation: Authorize the Mayor to execute ASO agreement with Anthem Blue Cross Blue
Shield for administrative services only.
Attachments:
1. MO - administrative services - Anthem 2025
2. 2025 Anthem ASO Agreement
3. 2025 Anthem Fixed ASO Cost
MUNICIPAL ORDER NO. _______
A MUNICIPAL ORDER AUTHORIZING AN AGREEMENT FOR
ADMINISTRATIVE SERVICES WITH ANTHEM BLUE CROSS
BLUE SHIELD FOR THE GROUP HEALTH INSURANCE PLAN FOR
THE CITY OF PADUCAH, KENTUCKY FOR THE 2025PLANYEAR
AND AUTHORIZING THE MAYOR TO EXECUTE ALL
DOCUMENTS RELATING TO SAME
BE IT ORDERED BY THE BOARD OF COMMISSIONERS OF THE
CITY OF PADUCAH, KENTUCKY:
SECTION 1. That the City of Paducah authorizes and approves an
agreement withAnthem Blue Cross Blue Shield as the City’s Third-Party Administrator
to provide claims administrative services related to the City’s health insurance plan. The
effective date of this Agreement is January 1, 2025 and ending December 31, 2025.
SECTION 2. The Mayor is hereby authorized to execute all documents
relating to administrative services as authorized in Sections 1 above.
SECTION 3. This Order shall be in full force and effect from and after
the date of its adoption.
_________________________________
George Bray, Mayor
ATTEST:
__________________________________
Claudia S. Meeks, Assistant City Clerk
Adopted by the Board of Commissioners, October 22, 2024
Recorded by Claudia S. Meeks, Assistant City Clerk, October 22, 2024
\\mo.\\ administrative services - Anthem 2025
Agenda Action Form
Paducah City Commission
Meeting Date: October 22, 2024
Short Title: Health, Vision, and Dental Benefit Plan Premiums for 2025 - S. WILCOX
Category: Municipal Order
Staff Work By: Stefanie Wilcox
Presentation By: DJ Story
Background Information:
The following reflect the recommended monthly health insurance premiums, by plan, for the 2025 calendar year. These
rates, as presented by DJ Story, of HUB, are flat to last year for the City of Paducah, and continue to allow us to maintain
an acceptable escrow levels to cover expected claims and plan costs. As a note, the City’s health insurance premiums
have not been increased in the last ten years and we have been able to maintain a healthy escrow balance.
Health Insurance -
City of Paducah:
Investor Plan Monthly Premium Elite Plan Monthly Premium
Employee $781 Employee $856
Employee/Spouse $969 Employee/Spouse $1,139
Employee Child $825 Employee Child $974
Family $1,118 Family $1,319
Vision Premiums -
The following will reflect the monthly Vision Premium rate for the 2025 calendar year. The renewal rates will not
increase from last year.
Blue View Vision Monthly Premium
Employee $6.58
Employee/Spouse $11.51
Employee / Child(ren) $12.51
Family $19.09
Dental Premiums -
The following will reflect the recommended monthly Delta Dental Plan Premiums for the 2025 Calendar year. The
premium renewal percentage rate will increase by 3% from last year.
Delta Dental of KY Monthly Premium
Employee $27.26
Employee/Spouse $55.63
Employee / Child(ren) $58.19
Family $94.66
Does this Agenda Action Item align with a Commission Priority? No
If yes, please list the Commission Priority: Commission Priorities List
Communications Plan:
Account Name:
Funds Available:
Account Number:
Staff Recommendation:
Approve the premiums listed above for Health Insurance, Vision and Dental.
Attachments:
1. MO - Health Vision & Dental Premiums 2025
2. 2025 Anthem Vision Renewal
3. Delta Renewal 2025 City of Paducah
MUNICIPAL ORDER NO. _______
A MUNICIPAL ORDER APPROVING AND ADOPTING THE COMPREHENSIVE
HEALTH INSURANCE BENEFIT PLAN PREMIUMS, THE VISION INSURANCE PLAN
PREMIUMS, AND THE DENTAL INSURANCE PLAN PREMIUMS FOR CALENDAR
YEAR 2025 FOR EMPLOYEES OF THE CITY OF PADUCAH, AND AUTHORIZING THE
MAYOR TO EXECUTE ALL DOCUMENTS RELATED TO SAME
BE IT ORDERED BY THE BOARD OF COMMISSIONERS OF THE CITY OF
PADUCAH, KENTUCKY:
SECTION 1. That the City of Paducah approves and adopts the following
monthly health insurance premiums for calendar year 2025 for employees of the City of
Paducah:
Health Insurance:
Investor PlanMonthly PremiumElite PlanMonthly Premium
Employee$ 781Employee $ 856
Employee/Spouse $ 969Employee/Spouse$1,139
Employee Child$ 825Employee Child $ 974
Family $1,118Family $1,319
SECTION 2. That the City of Paducah hereby approves the following monthly
premiums for the Blue View Vision Plan through Anthem BlueCross BlueShield for vision care
for employees for calendar year 2025:
Vision Insurance:
Monthly
Premium
Employee $6.58
Employee/Spouse $11.51
Employee Child $12.51
Family$19.09
SECTION 3. That the City of Paducah hereby approves the following monthly
premiums for the Delta Dental Plan for optional dental care for employees for calendar year
2025:
Dental Insurance
Monthly
Premium
Employee $27.26
Employee/Spouse $55.63
Employee/Child(ren) $58.19
Family $94.66
SECTION 4. That the premiums for the Comprehensive Health Insurance Benefit
Plan, the Blue View Vision Plan and the Delta Dental Plan for employees of the City of Paducah,
adopted in Sections 1,2 and 3above, shall become effective January 1, 2025.
SECTION 5. That the Mayor is hereby authorized to execute all documents
related to the premiums approved in Sections 1, 2 and 3 above.
SECTION 6. This order shall be in full force and effect from and after the date of
its adoption.
______________________________
George Bray, Mayor
ATTEST:
______________________________
Claudia S. Meeks, Assistant City Clerk
Adopted by the Board of Commissioners, October 22, 2024
Recorded by Claudia S. Meeks, Assistant City Clerk, October 22, 2024
\\mo\\Health Vision & Dental Premiums 2025
Fully Insured Renewal
City of Paducah
Group Number(s): W29698
RenewalTotal
Core Plan
Effective Date: 1/1/2025 - 12/31/2026
Anthem Sales Representative: Libby Woosley Blue View Vision
Voluntary
Group Size: 250-499
Option 25
Full Service
Frequency
Exam12 months
12 months
Lenses
24 months
Frames
12 months
Contact Lenses
In Network Copayments
Exam$10.00
$10.00
Materials
In Network Plan Allowance
$130
Frame Allowance
Contact Lens Allowance$130
ENROLLMENT
110
Subscriber Only
35
Subscriber + Spouse
15
Subscriber + Child
22
Subscriber + Children
51
Subscriber + Family
233
Total Number of Contracts
RATES
$6.97
Subscriber Only
$12.20
Subscriber + Spouse
$13.26
Subscriber + Child
$13.26
Subscriber + Children
$20.24
Subscriber + Family
$2,716.56
Total Monthly Premium
$32,598.72
Total Annual Premium
0.0%
% Rate Increase
$16,622.28$0.00$0.00$0.00$16,622.28
NOTES:Benefits may be subject to approval by CET.
Authorized SignatureAuthorized SignatureAuthorized SignatureAuthorized Signature
The rates quoted are guaranteed for 2 years.
Rates are Net of Commissions
6/12/2024
Underwriter Issue Date:DateDateDateDate
(10/03)
Refer to your sales brochure(s) for benefit details and limitations. This benefit description is intended to be a brief outline of coverage. The entire provisions of benefits
and exclusions are contained in the Group Contract. In the event of a conflict between the Group Contract and this description, the terms of the Group Contract will prevail.
Bullitt County Fiscal Court\\2020\\Anicllary\\Vision\\2019-10-01_Bullitt County Fiscal Court_FI_Vision_Negotiated_Renewal Benefit Sheet
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Delta Dental of Kentucky
Delta Dental PPO plus Premier™
Summary of Dental Plan Benefits
Group Name: CITY OF PADUCAH
Group Number: 692290-4001, 4002, 4003
Benefit Year: January 1 through December 31
Covered Services –
Delta Dental PPO™ Delta Dental Non-Participating
DentistPremier® DentistDentist
Plan PaysPlan Pays Plan Pays*
Diagnostic & Preventive
Diagnostic and Preventive Services – exams, cleanings,
100% 100% 100%
fluoride, and space maintainers
Emergency Palliative Treatment – to temporarily relieve pain 100% 100% 100%
Sealants–to prevent decay of permanent teeth 100% 100% 100%
Brush Biopsy– to detect oral cancer100% 100% 100%
Radiographs – X-rays 100% 100% 100%
Basic Services
Minor Restorative Services– fillings and crown repair80% 80% 80%
Endodontic Services – root canals80% 80% 80%
Periodontic Services – to treat gum disease80% 80% 80%
Oral Surgery Services–extractions and dental surgery 80% 80% 80%
Other Basic Services –misc. services 80% 80% 80%
Denture Repair – repairs to complete or partial dentures80% 80% 80%
Major Services
Major Restorative Services – crowns 50% 50% 50%
Relines and Rebase–to dentures 50% 50% 50%
Fixed Prosthodontic Repair–to bridges 50% 50% 50%
Implant Repair– implant maintenance, repair, and removal 50% 50% 50%
Adjustments to Dentures –adjustments to complete or
50% 50% 50%
partial dentures
Prosthodontic Services – bridges, implants, and dentures 50% 50% 50%
Orthodontic Services
Orthodontic Services – braces 50% 50% 50%
Orthodontic Age Limit – Dependent Children to the end of the month of age 23
* When you receive services from a Nonparticipating Dentist, the percentages in this column indicate the portion of Delta Dental's
Nonparticipating Dentist Fee that will be paid for those services. The Nonparticipating Dentist Fee may be less than what the dentist
charges and you are responsible for that difference.
Oral exams (including evaluations by a specialist) are payable twice per calendar year. Limited oral evaluations for a specific
problem or complaint are also payable twice in the same calendar year.
Prophylaxes (cleanings) are payable twice per calendar year. Two additional periodontal maintenance procedures are payable
per calendar year for individuals with a documented history of periodontal disease. Full mouth debridement is payable once in
a lifetime.
Customer Service Toll-Free Number: 800-955-2030
https://www.DeltaDentalKY.com
2013-004-DD Rev 3/14
September 13, 2024
People with specific at-risk health conditions may be eligible for additional prophylaxes (cleanings) or fluoride treatment. The
patient should talk with his or her Dentist about treatment.
Fluoride treatments are payable once per calendar year for people age 18 and under.
Space maintainers are payable once per area per lifetime for people age 13 and under.
Bitewing X-rays are payable once per calendar year and full mouth X-rays (which include bitewing X-rays) or a panorex are
payable once in any five-year period.
Sealants are payable once per tooth in any two-year period for first and second permanent molars for people age 15 and under.
The surface must be free from decay and restorations.
Payment for crowns, inlays, and onlays are payable once per tooth in any five-year period. Stainless steel crowns are payable
once per tooth in any two-year period on primary teeth only.
Composite resin (white) restorations are payable on posterior teeth.
Root canal treatment is inclusive of periapical X-rays, cultures, follow-up care, treatments, pulpotomy or pulpectomy, and
routine post-operative procedures. Separate charges are not Covered Services for these procedures. Retreatment is payable
two years after the initial treatment.
Denture and/or bridge replacement is payable five-years post initial place. Replacement is not a Covered Service for lost or
stolen dentures and/or bridges. Interim dentures are payable only for people under age 17 to replace extracted anterior
permanent teeth.
The initial installation of any prosthodontic service to replace missing teeth, or teeth that were lost before coverage began,
including congenitally missing teeth is not payable. Replacements of existing appliances can be considered.
Fixed bridges or removable cast partials are payable only for Eligible Dependents over age 16. Services and appliances that
replace missing natural teeth (such as bridges, endosteal implants, implant crowns, partial dentures, and complete dentures)
may be subject to an Alternate Benefit.
Porcelain and resin facings on bridges are payable on posterior teeth.
Implants are payable once per tooth in any five-year period. Implant related services are Covered Services.
Crowns over implants are payable once per tooth in any five-year period. Services related to crowns over implants are Covered
Services.
Deductible – Delta Dental PPO™ Dentist - $25 Deductible per person total per Benefit Year limited to a maximum Deductible of $75
per family per Benefit Year. The Deductible does not apply to diagnostic and preventive services, emergency palliative treatment,
brush biopsy, X-rays, sealants, cephalometric films, photos, diagnostic casts and orthodontic services (including surgical
repositioning of teeth).
Delta Dental Premier® Dentist or Non-Participating Dentist - $50 Deductible per person total per Benefit Year limited to a
maximum Deductible of $150 per family per Benefit Year. The Deductible does not apply to diagnostic and preventive services,
emergency palliative treatment, brush biopsy, X-rays, sealants, cephalometric films, photos, diagnostic casts and orthodontic
services (including surgical repositioning of teeth).
Maximum Payment – $2,000 per person total per Benefit Year on all services, except cephalometric films, photos, diagnostic casts
and orthodontic services (including surgical repositioning of teeth). $1,000 per person total per lifetime on cephalometric films,
photos, diagnostic casts and orthodontic services (including surgical repositioning of teeth).
Dependent Age Limit – Dependents are covered up to age 26.
Waiting Period – There is a 12-month waiting period for certain services. Major Restorative Services, Relines and Adjustments,
Fixed Prosthodontic Repair, Prosthodontic Services, and Orthodontic Services will not be covered until after a person is enrolled in
the dental plan for 12 consecutive months.
Eligible People – The subscriber (you) is eligible for dental benefits when your employer or organization notifies Delta Dental.
Also eligible at your option are your legal spouse and your children who meet the age requirements noted above. Enrollees and
dependents choosing this plan are required to remain enrolled for a minimum of 12 months. Should an Enrollee or Dependent
choose to drop coverage after that time, he or she may not re-enroll prior to the date on which 12 months have elapsed.
Dependents may only enroll if the Enrollee is enrolled (except under COBRA) and must be enrolled in the same plan as the Enrollee.
An election may be revoked or changed at any time if the change is the result of a qualifying event as defined under Internal
Revenue Code Section 125.
Customer Service Toll-Free Number: 800-955-2030
https://www.DeltaDentalKY.com
2013-004-DD Rev 3/14
September 13, 2024
If you and your spouse are both eligible under this Contract, you may be enrolled as both a Subscriber on your own application and
as a dependent on your spouse's application. Your dependent children may be enrolled on both applications as well. Delta Dental
will coordinate benefits.
Benefits will cease on the last day of the month in which your employment is terminated.
This Summary of Dental Plan Benefits should be read along with your Certificate. Your Certificate provides additional
information about your Delta Dental plan, including information about plan exclusions and limitations. If a
statement in this Summary conflict with a statement in the Certificate, the statement in this Summary applies to you
and you should ignore the conflicting statement in the Certificate. The percentages above are applied to Delta
Dental's allowance for each service and it may vary due to the dentist's network participation.*
Customer Service Toll-Free Number: 800-955-2030
https://www.DeltaDentalKY.com
2013-004-DD Rev 3/14
September 13, 2024
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hvbsbouffe!gps!b!pof!zfbs!dpousbdu/!!!
Tfmg.cjmmjoh!jt!opu!bmmpxfe!boe!zpv!bhsff!up!qbz!bt!jowpjdfe!fbdi!npoui/!
Tvctdsjcfs!nbufsjbmt!xijdi!bsf!qspevdfe!cz!Efmub!Efoubm!xjmm!cf!vqebufe!boe!qspwjefe!xifo!qmbo!dibohft!bqqmz!boe!bsf!
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The plan specifications are subject to Delta Dental's standard exclusions and limitations, including:
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Agenda Action Form
Paducah City Commission
Meeting Date: October 22, 2024
Short Title: Stop Loss Insurance with Voya Financial Advisors. Inc. - S. WILCOX
Category: Municipal Order
Staff Work
By: Stefanie
Wilcox
Presentation
By: DJ Story
Background Information: Since January 1, 2023, the City of Paducah has purchased stop loss insurance
with Voya to protect the City's health insurance plan in the event of a catastrophic claim(s). It is recommended,
for the 2025 plan year beginning on January 1, 2025, the Commission renew the agreement with Voya
Financial Advisors, Inc. to purchase stop loss insurance which is set at a $175,000 maximum city liability per
person (individual stop loss), Voya assumes liability for all claims in excess of this amount, and $3,242,828
maximum city liability of total claims combined (aggregate stop loss limit), Voya assumes liability for all
claims in excess of the aggregate total up to $1,000,000. Premium rates are $108.97 per member per month for
individual stop loss insurance. This is an increase of 2.5% from last year; and $5.94 per member per month for
aggregate stop loss insurance, which is flat from last year. We will be adding Gene Therapy Stop-loss (GTS)
coverage to our plan for 2025. This is $4.75 per member per month to assist with high prescription drug costs
related to gene therapy. The producer/agent of record where monthly premium payments will be made is
Stealth Partner Group.
Does this Agenda Action Item align with a Commission Priority? No
If yes, please list the Commission Priority: Commission Priorities List
Communications Plan:
Account Name:
Funds Available:
Account Number:
Staff Recommendation: Authorize the Mayor to execute a Stop Loss Agreement and any other documents
related to such with Voya Financial Services, Inc. for stop loss, GTS, and aggregate insurance coverage.
Attachments:
1. MO - health ins-stop loss coverage – Voya- 2025
2. VOYA Proposal
3. Stealth GTS15 Service Agreement_Gene Therapy Stealth Service Agreement_10.01.2024
MUNICIPAL ORDER NO. _____
A MUNICIPAL ORDER ACCEPTING THE RATES FOR STOP LOSS INSURANCE
COVERAGE, AUTHORIZING AN AGREEMENT WITH VOYA FINANCIAL ADVISORS,
INC., FOR THE CITY OF PADUCAH, KENTUCKY FOR THE 2025 CALENDAR YEAR
AND AUTHORIZING THE MAYOR TO EXECUTE ALL DOCUMENTS RELATING TO
SAME
BE IT ORDERED BY THE BOARD OF COMMISSIONERS OF THE CITY OF
PADUCAH, KENTUCKY:
SECTION 1. That the City of Paducah accepts the rates offered through Voya
Financial Advisors, Inc., for Stop Loss Insurance Coverage for the group health insurance plan
for the City of Paducah, Kentucky. Effective January 1, 2025. The stop loss rates are as follows:
1) Individual Stop Loss - $175,000 maximum City liability per person with a
monthly rate of $108.97 per member; and
2) Aggregate Stop Loss - $3,242.828 maximum City liability of total claims
combined with a monthly rate of $5.94 per member. Voya assumes
liability for all claims in excess of the aggregate total up to $1,000,000.
3) Gene Therapy Stop Loss (GTS) $4.75 per member per month to assist
with high prescription drug costs related to gene therapy.
SECTION 2. The Mayor is hereby authorized to execute all documents relating
to stop loss insurance coverage as authorized in Sections 1 above.
SECTION 3. The producer/agent of record where monthly premium payments
will be made is Stealth Partner Group.
SECTION 4. This Order shall be in full force and effect from and after the date
of its adoption.
_________________________________
George Bray, Mayor
ATTEST:
____________________________
Claudia S. Meeks, Assistant City Clerk
Adopted by the Board of Commissioners, October 22, 2024
Recorded by Claudia S. Meeks, Assistant City Clerk, October 22, 2024
\\mo.\\health ins-stop loss coverage – Voya- 2025
Stop Loss Insurance Renewal Offer
Voya Employee Benefits
Prepared for:
City of Paducah
Effective Date
01/01/2025
Policy Number
733059
Excess Risk Insurance is issued by ReliaStar Life Insurance Company, a member of the Voya® family of companies.
Issued by ReliaStar Life Insurance Company
®
A member of the Voyafamily of companies
Stop Loss Proposal for City of Paducah
Individual Excess Risk Insurance
Plan DescriptionCurrentRenewal Option 1Renewal Option 2
Plan Effective DateJanuary 1, 2024January 1, 2025January 1, 2025
CoveragesMedical, RxMedical, RxMedical, Rx
Individual Deductible$ 175,000$ 175,000$ 200,000
Policy Year MaximumUnlimited Unlimited Unlimited
Lifetime MaximumUnlimitedUnlimitedUnlimited
Paid in 12 Months and Paid in 12 Months and Paid in 12 Months and
Coverage Periodincurred Jan 01, 2022 or incurred Jan 01, 2022 or incurred Jan 01, 2022 or
afterafterafter
Benefit Percentage
100%100%100%
Rates Include Commissions of:NoneNoneNone
Endorsements
Renewal Rate Cap50.00 %50.00 %50.00 %
Individual Advanced FundingIncludedIncludedIncluded
Plan Mirroring CoordinationIncludedIncludedIncluded
Coverage DescriptionEnrollment
286
$ 106.31$ 108.97$ 92.95
Composite
Cost
Estimated Monthly Costs$ 30,405$ 31,165$ 26,584
Estimated Annual Costs$ 364,856$ 373,985$ 319,004
2.50%-12.57%
% Change from Current
Page 1
Issued by ReliaStar Life Insurance Company
®
A member of the Voyafamily of companies
Aggregate Excess Risk Insurance
Plan DescriptionCurrentRenewal Option 1Renewal Option 2
Plan Effective DateJanuary 1, 2024January 1, 2025January 1, 2025
CoveragesMedical, RxMedical, RxMedical, Rx
Aggregate Adjustment Corridor125 %125 %125 %
Individual Deductible$ 175,000$ 175,000$ 200,000
Maximum Annual Reimbursement$ 1,000,000$ 1,000,000$ 1,000,000
Paid in 12 Months and Paid in 12 Months and Paid in 12 Months and
Coverage Periodincurred Jan 01, 2022 or incurred Jan 01, 2022 or incurred Jan 01, 2022 or
afterafterafter
Rates Include Commissions of:NoneNoneNone
Coverage DescriptionEnrollment
$ 5.94$ 5.94$ 6.49
Composite286
Monthly Aggregate Corridor*
286$ 944.80$ 944.88$ 967.06
PEPM
Aggregate Deductible$ 3,242,554$ 3,242,828$ 3,318,950
Minimum Annual Aggregate Deductible$ 2,756,171$ 2,756,404$ 2,821,108
Select Acceptance Choice
*Monthly Aggregate Corridor means the Monthly Aggregate Factor (amount of expected claims per month per covered person) multiplied
by the Aggregate Adjustment Corridor.
Page 2
Issued by ReliaStar Life Insurance Company
®
A member of the Voyafamily of companies
Individual Excess Risk Insurance
Plan DescriptionRenewal Option 3
Plan Effective DateJanuary 1, 2025
CoveragesMedical, Rx
Individual Deductible$ 225,000
Policy Year MaximumUnlimited
Lifetime MaximumUnlimited
Coverage PeriodPaid in 12 Months and incurred Jan 01, 2022 or after
Benefit Percentage100%
Rates Include Commissions of:None
Endorsements
Renewal Rate Cap50.00 %
Individual Advanced FundingIncluded
Plan Mirroring CoordinationIncluded
Coverage DescriptionEnrollment
286
$ 81.55
Composite
Cost
Estimated Monthly Costs$ 23,323
Estimated Annual Costs$ 279,880
-23.29%
% Change from Current
Page 3
Issued by ReliaStar Life Insurance Company
®
A member of the Voyafamily of companies
Aggregate Excess Risk Insurance
Plan DescriptionRenewal Option 3
Plan Effective DateJanuary 1, 2025
CoveragesMedical, Rx
Aggregate Adjustment Corridor125 %
Individual Deductible$ 225,000
Maximum Annual Reimbursement$ 1,000,000
Coverage PeriodPaid in 12 Months and incurred Jan 01, 2022 or after
Rates Include Commissions of:None
Coverage DescriptionEnrollment
$ 6.95
Composite286
Monthly Aggregate Corridor*
286$ 979.48
PEPM
Aggregate Deductible$ 3,361,575
Minimum Annual Aggregate Deductible$ 2,857,339
Select Acceptance Choice
*Monthly Aggregate Corridor means the Monthly Aggregate Factor (amount of expected claims per month per covered person) multiplied
by the Aggregate Adjustment Corridor.
Page 4
Issued by ReliaStar Life Insurance Company
®
A member of the Voyafamily of companies
Stop Loss Proposal for City of Paducah
Account Assumptions
Renewal As Of DateOctober 3, 2024
Renewal Good ThroughOctober 31, 2024
Situs StateKentucky
Claim AdministratorAnthem Blue Cross Blue Shield (KY)
Network2025-01 BlueCross BlueShield (State)
Additional Contract Specifications:
Any FDA approved cell and gene therapies are covered under our Stop Loss policy, provided they are also covered under the group’s
medical plan and used for the purpose for which they were approved. This includes any new approvals that occur mid-policy year. We
also exclude these high-cost claims from the following year’s renewal package, helping to lower the impact of this cutting-edge care on
self-funded employer costs.
No fully insured lives are covered.
In addition to base commissions, certain brokers and/or service providers may receive compensation related to factors such as overall
sales of Company products, total premium for products sold through the broker/service provider, growth in the number of customers,
and retention of existing customers. Compensation and fees may also be paid to brokers and/or service providers for administrative
services in connection with Company products. Please contact us if you would like additional detail on compensation and fees payable
on your case.
Quote assumes pharmacy benefits are not carved out to a separate Pharmacy Benefit Manager.
Plan designs and contribution levels are assumed as submitted to underwriting. Any changes may require an adjustment to the
individual excess risk rates and/or monthly aggregate corridor.
Plan must have medical case management and utilization review.
All claims are reported/paid in U.S. dollars.
The monthly aggregate corridor cannot be finalized more than 90 days prior to the effective date. Claims data must include a minimum
of 9 months in the most recent experience period.
Any costs charged by the claim administrator for reports required to substantiate claims will be paid by the employer.
The proposal is based on the data submitted. Any changes to this data may allow us to modify the proposal.
There is no coverage for retirees.
We reserve the right to (i) recalculate Monthly Aggregate Factor(s) \[if applicable\] and Individual Excess Risk Monthly Premium Rates
as shown on the Excess Risk Schedule and continue this Policy, or (ii) terminate this Policy in accordance with the Policy Termination
provision of this Policy if an increase or decrease in the number of Covered Persons and Covered Dependents that exceeds 15% of
the current number covered under the Employee Benefit Plan.
Premium rates were adjusted via filed and approved underwriting discretion in consideration of the carrier reporting fees assessed by
the PBM or TPA, which are directly associated with the claims information we require to administer our Policy.
Renewal Rate Cap Endorsement guarantees your subsequent year's renewal will be capped at 50% and no new individual adjusted
deductible will apply (laser free renewal).
The individual stop loss renewal is based upon the current leveraged trend factors, market conditions, plan designs and current
demographic factors. The aggregate renewal is based upon the experience of the group and current trend. Any plan changes may affect
this renewal and need to be disclosed prior to the renewal acceptance.
Authorized SignatureDate
City of Paducah
Page 5
Issued by ReliaStar Life Insurance Company
®
A member of the Voyafamily of companies
01/01/2025
Excess Risk Insurance is underwritten by ReliaStar Life Insurance Company. Policy form RL-SL-POL-2013 (may vary by state).
Exclusions and limitations are described in the policy.
Page 6
Issued by ReliaStar Life Insurance Company
®
A member of the Voyafamily of companies
Economic Factors: Manage the Effects of Leveraged Trend (Illustrative)
Medical trend is the anticipated annual increase in the cost of medical claims from year to year. Medical costs
generally increase every year through inflation, and there are many additional factors that determine the actual
medical trend for a specific health plan.
Components of medical trend include:
Plan DesignTechnologyNetwork
Utilization PatternsDemographicsCost Shifting
Medical trend gets leveraged when parties responsible for medical claims do not maintain the same proportional
share of the risk from year to year. Put simply, rising medical costs affect stop loss carriers differently than
employers. But rather than passing our increasing risk back on to you in the form of large rate increases, we can
compensate with small increases in deductibles.
Here's an example. In Year 1, the plan elects a $150,000
individual stop loss deductible. If there is an individual claim of
$225,000, the first $150,000 is the employer’s responsibility
and the remaining $75,000 is reimbursed by the stop loss
carrier.
In Year 2, assuming an 8% increase in medical costs, a claim
that would have been $225,000 in Year 1 now costs $243,000.
If the deductible doesn't change, the first $150,000 is the
employer’s responsibility and the remaining $93,000
reimbursed by the stop loss carrier. So that 8% trend produces
a 24% cost increase to the stop loss carrier’s claim and 0%
increase to the employer.
If the stop loss deductible is left at the same dollar level year after year, the employer’s risk actually decreases
as a percentage of the overall claim. Conversely, the insurer’s risk is increasing -- and, in response, the insurer
has to increase rates well beyond medical trend.
In order to eliminate the leveraging effect, the employer should increase its individual deductible by
trend each year. This essentially retains the exact same proportion of the risk.
In an effort to mitigate the effects of leveraged trend, your underwriter has included an optional quote
during this year’s renewal.
Excess Risk Insurance is issued by ReliaStar Life Insurance Company, a member of the Voya® family of companies.
Page 7
Issued by ReliaStar Life Insurance Company
®
A member of the Voyafamily of companies
SERVICES CONTRACT
This Services Contract (the “Agreement”) is entered into between Stealth Partner Group, LLC
(“Company”), and
, which may include a self-funded group health plan or plans (“Group”) and any such certain self-
funded group health plan. Company and Group are sometimes referred to individually as a “Party”
and collectively as the “Parties.” This Agreement is effective ______________________, 2024
(the “Effective Date”).
RECITALS
WHEREAS, Company provides certain cell and gene therapy related benefits pursuant to a
performance guarantee, as set forth in this Agreement (the benefits and structure provided herein
are the “Program”);
WHEREAS, Group is establishing and maintaining a self-funded group health plan (“GHP”) for
its employees and dependents;
WHEREAS, Company has contracted with, and may in the future contract with, one or more
insurers selected by Company or its affiliates from time to time, to provide coverage to Company
under contractual liability insurance policies (“CLIPs”) to indemnify Company for certain of its
liabilities associated with the performance guarantee provided under this Agreement (individually
and collectively, as applicable, the “Insurer”);
WHEREAS, Company may also offer and sell certain CLIPs issued by insurers selected by
Company or its affiliates from time to time including, without limitation, through a liability risk
purchasing group, that will reimburse employers and/or their self-funded group health plans, as
applicable, for certain cell and gene therapy risk exposures that are assumed by contract by the
employers and/or their self-funded group health plans, as applicable (the “Company CLIP
Program”);
WHEREAS, Group would like to participate in the Program; and
THEREFORE, in consideration of the mutual agreements and covenants contained in this
Agreement and other good and valuable consideration the receipt of which is acknowledged, the
Parties agree to the following:
AGREEMENT
SECTION 1: DEFINITIONS
The following are definitions of terms used in this Agreement. Other terms are defined in Exhibit
B to this Agreement or where they are first used in this Agreement. Defined terms are capitalized
when used in the defined context.
1.1 “Agreement Period” and “Term” mean the period this Agreement is in full force and
effect, which Agreement Period shall mirror the policy period of the Covered Plan;
provided, however, if the Agreement is terminated early for any reason prior to the
expiration of the Agreement Period or the Term, the shorter period between the first day of
the Term and the date the Agreement terminates is the Term. For the avoidance of doubt,
and notwithstanding anything to the contrary in this Policy, the “Agreement Period” or
1
“Term” will not include any period before the Covered Plan is in effect or following the
expiration or termination of the Covered Plan.
1.2 “Claim” means a Covered Expense that is (i) the responsibility of Company with respect
to a Participant under the terms of this Agreement; and (ii) a Participant is diagnosed with
a Covered Disease; and (iii) Covered Pharmaceuticals are prescribed with an intent to treat
a Covered Disease; and (iv) a covered expense has been approved and Paid by the GHP or
its third-party administrator within the Claims Period, and submitted to Company within
the Claims Period; and (v) Covered Pharmaceuticals are administered within the Benefit
Period, and proof of administration, including date, are submitted to Company.
1.3 “Participant(s)” means an individual entitled to receive benefits for the cost of prescribed
Covered Pharmaceuticals under the terms of the GHP and the Covered Plan at the time
services are performed (and, solely with respect to the Covered Pharmaceuticals Zolgensma
or Spinraza, shall also include such individuals meeting those requirements who are born
within the Run-In Period provided that they do not have an existing diagnosis for a Covered
Disease at any time within the Run-In Period).
1.4 “Paid Claims” means the dollar amount that Group’s third-party administrator has (i)
adjudicated as being owed pursuant to the terms of Group’s SPD; and (ii) disbursed for a
Participant’s Claim in response to a request for payment of benefits under the GHP, which
disbursement must be made by the GHP prior to the end of the Claims Period. The Paid
Claim must be unconditional and directly made to the Participant’s health care provider(s)
and/or pharmacy, as applicable. Provided, however, that, in each case, the Covered Plan
has also approved the amount of the Claim for coverage under the Covered Plan and funded
in full the balance of any Claim paid by Group. Payment will be deemed made on the date
the payment is tendered by mailing (or by other form of delivery) a draft or check; and the
account upon which the payment is drawn contains, and continues to contain, sufficient
funds to permit the check or draft to be honored by the institution upon which it is drawn.
1.5 “Proprietary Materials” means Company’s proprietary and confidential records,
documents, lists, books, recorded information, data stored on data processing media, trade
secrets, symbols, trademarks, service marks, systems, formats, programs, procedures,
protocols, contract forms, pricing data, deidentified data, utilization information, fee
schedules, reasonable and customary charges profiles, designs, and business plans.
1.6 “SPD” means Group’s summary plan description of its self-funded health care benefits plan
and is a written summary of the terms and benefits of the GHP available to Participants. An
SPD will not be prepared by Company. A Group with different health care benefit plan
options may describe those options in one SPD document or in separate SPD documents
for each alternative health benefit plan option, all of which, taken together, shall constitute
the SPD. If such SPD in effect on the inception of the Agreement Period is subsequently
amended, written notice of such amendment must be given to Company at least thirty (30)
days prior to the effective date of such amendment. If Company does not provide Group
with its written acceptance of such amendment, the SPD on file with Company prior to such
amendment will be the operative SPD for purposes of this Agreement. If the SPD is
terminated for any reason, Group will notify Company in writing no later than two (2)
Business Days following the date of such termination.
SECTION 2: RELATIONSHIP OF THE PARTIES
2
2.1 Company Acting in Ministerial Capacity Only. Except as may otherwise be expressly
provided in this Agreement, the Parties acknowledge and agree that Company is acting
solely in a ministerial capacity in performing Company’s duties and obligations under this
Agreement and will have no fiduciary duties with respect to the administration of Group’s
health plan. While Company may facilitate and coordinate the various relationships,
Company does not have discretionary authority over the Program. Company will not be
responsible for advising Group with respect to their fiduciary duties under the Agreement
or from making any recommendations with respect to the investment of GHP assets.
2.2 Company is Not Insuring any Group Liabilities. Company does not insure or underwrite
any liability associated with the GHP and will have no financial risk or liability with respect
to the provision of benefits under the GHP, subject to the delivery and acceptance of the
Specified Specialty Pharmaceutical Performance Guarantee (defined below).
2.3 Authority. Group grants Company the authority to serve as an agent of Group in
performing Company’s duties under this Agreement, but only those Company duties that
are expressly stated in this Agreement or as mutually agreed in writing by the Parties.
2.4 Company is an Independent Contractor. Company is and will remain an independent
contractor with respect to the services being performed under the terms of this Agreement
and will not for any purpose be deemed an employee of Group, and Company will not be
deemed to be a partner or to be governed by any legal relationship other than that of
independent contractor. Company does not assume any responsibility for the general policy
design of the GHP, the adequacy of the funding thereof, nor any act, omission, or breach
of duty by Group.
SECTION 3: COMPENSATION AND ADOPTION OF BENEFIT DISBURSEMENT
TERMS
3.1 Specified Specialty Pharmaceutical Benefit Disbursement Terms. The Parties hereby
incorporate and make a part of this Agreement the terms and conditions of the Specified
Specialty Pharmaceutical Benefit Disbursement Terms (“Disbursement Terms”) attached
to this Agreement as Exhibit B, which, together with the other terms, conditions,
limitations, and exclusions of this Agreement, shall control Group’s right and ability to
receive any payment for any Covered Expenses. Group acknowledges that to participate
in the Program, the Covered Plan may not exclude or otherwise limit reimbursements for
the therapies outlined in Exhibit B.
3.2 Compensation. Group will pay to Company $4.75 per covered employee per month under
the Covered Plan to participate in the Program.
SECTION 4: TERMINATION AND MODIFICATION
4.1 Termination Without Cause.
(a) A Party may terminate this Agreement without cause by giving the other Party at least
sixty (60) days’ prior written notice to the other Party prior to the start of a new Term.
(b) Company may terminate this Agreement upon thirty (30) days’ written notice to Group
if Company has implemented a Company CLIP Program, in which case, the Parties will
work cooperatively to transition Group over to the Company CLIP Program.
3
4.2 Termination for Cause. This Agreement terminates, and Company’s obligations
hereunder will cease upon such termination, in accord with any of the following:
(a) Thirty (30) days after written notice has been given by Company to Group, or by Group
to Company, of the breach of any material obligations under this Agreement; provided
that such breach has not been cured within such thirty (30) day period. Notwithstanding
the foregoing, Group’s default in any payment under this Agreement will be subject to
termination under Section 4.2(c).
(b) immediately if the Covered Plan is terminated for any reason, such termination to be
effective as of the effective date of termination of the Covered Plan.
(c) upon thirty (30) days’ written notice, in Company’s sole discretion, if Group fails to
pay:
a. Any payment due under this Agreement or any other agreements that are a part of
the Program.
b. Any administrative fees, charges, or other amounts due to Company under the
terms of this Agreement.
(d) Upon five (5) business days’ written notice, in Company’s sole discretion:
a. if Group assigns this Agreement, unless such assignment had Company’s prior
approval in writing; or
b. if Group is sold (including a sale of substantially all assets of Group) or merges,
unless such sale or merger had Company’s prior approval in writing. Company will
not unreasonably withhold any such approval.
(e) As of the effective date of any law, regulation, or interpretation of any law or regulation
is enacted that prohibits the continuance of this Agreement, as interpreted by Company.
(f) Immediately, if Group terminates the GHP or if the SPD is terminated for any reason,
such termination to be effective as of the effective date of termination of the SPD.
(g) Within ten (10) days following the occurrence of any of the following if not reversed
or cured prior to the expiration of the ten (10) day period:
a. a finding or admission that Group or the GHP is insolvent;
b. the date that Group or GHP files for protection provided under any bankruptcy law;
c. the date that Group or GHP’s creditors seek to have Group or GHP declared
bankrupt or placed under the protection of a Bankruptcy Court; or
d. the date that Group or Group’s creditors seek to have a receiver appointed to
manage Group’s business.
(h) Immediately, at the end of the Term of this Agreement.
4
4.3 Other Rights to Terminate. Company’s right to terminate under this Section 4 will be in
addition to and not a limitation of any right to terminate (or right to offset) under any other
provisions of this Agreement or under applicable law.
4.4 Late Payment and Reinstatement. Any payment received by Company after termination
of this Agreement will be deposited for security purposes only and will not be deemed to
have been accepted for reinstatement or as an accord and satisfaction. This Agreement will
be reinstated only upon the written agreement of Company and Insurer.
4.5 Modification. Except as otherwise specifically provided in this Agreement, this Agreement
may be modified only by a written agreement signed by an authorized representative of each
Party.
4.6. Effect of Termination. In the event of any termination of this Agreement in accordance
with the terms and conditions of this Agreement, all compensation will be fully earned, so
there will be no refund of any compensation paid through the termination date of this
Agreement.
SECTION 5: SERVICES
During the Term of this Agreement and any period of run out, Company will support Group in
various stop-loss procurement services and reimbursement of certain gene therapy treatments as
set forth in Exhibit A of this Agreement, which includes: (a) stop-loss policy placement; (b)
evaluate new drugs; (c) work with program managers and/or actuaries; (d) coordinate with
Company on applicable disbursements and reimbursements; and (e) premium collection/
remittance. Company’s services under this agreement are contingent on Group procuring a stop-
loss policy that does not exclude or otherwise limit access to the treatments and therapies outlined
in Exhibit B to this Agreement.
SECTION 6: GENERAL
6.1 Licenses. Each Party will maintain in good standing, at its own cost, licenses required by
all applicable statutes, regulations, and local jurisdictions. Each Party will notify the other
Party of its knowledge of any event which might lead to the suspension or revocation of any
licenses which relate to this Agreement, or its knowledge of the actual suspension,
revocation, lapse, or non-renewal of any licenses required of a Party by applicable state law.
If a Party fails to obtain and maintain the appropriate licenses or fails to comply with the
applicable statutes, the Parties will work in good faith to ensure that any impact to an insured
in minimized.
6.2 Compliance with Laws. Each Party will comply with all applicable federal and state laws,
regulations, and local rules that apply to this Agreement, and shall indemnify, defend, and
hold the other party harmless for its failure to do so. Further, Each Party will comply with
all applicable federal and state laws, rules and regulations governing privacy security,
confidentiality, integrity, and/or data protection, including but not limited to, as applicable,
the Gramm-Leach-Bliley Act of 1999 (GLBA), the Health Insurance Portability and
Accountability Act of 1996 (HIPAA), and regulations issued thereunder, the Health
Information Technology for Economic and Clinical Health Act (the “HITECH ACT”), as
incorporated in the American Recovery and Reinvestment Act of 2009 and regulations
issued thereunder, the Insurance Information and Privacy Protection Act, (IIPPA), any
applicable state privacy law. Neither Party shall be liable to the other party for
5
reimbursement of any regulatory or compliance related fine or penalty assessed against the
other Party unless such fine and/or penalty is the direct result of a wrongful act of that Party.
6.3 Indemnification. Each Party hereto agrees to indemnify, defend, and hold harmless the
other Party, their directors, officers, and employees from any loss or damage, including
reasonable attorney’s fees, which solely result from, arise out of or are caused by the
indemnifying party’s negligence, misconduct, or breach of this Agreement, or from the
failure of the indemnifying party to comply with any applicable federal or state laws, rules,
or regulations, except to the extent any such loss, damage, or expense is found in a final
judgment by a court of competent jurisdiction (not subject to further appeal) to have resulted
directly and solely from the failure of the non-indemnifying Party to act in good faith or its
fraud, criminality, or willful misconduct. Each Party hereto agrees to immediately notify
the other Party upon receipt of service of process or other notice for any suit or claim. The
Party which is to be indemnified shall have the right to approve counsel used to defend said
indemnified Party pursuant to this paragraph.
6.4 Limitation of Liability. Notwithstanding anything in this Agreement to the contrary and any
Business Associate Agreement provisions for indemnification and hold harmless related to
HIPAA, Group agrees that in no event will it seek to hold Company liable or responsible for
amounts related to (i) any claims, for incidental, lost profits, consequential, or any similar
damages or lost profits related to the services provided by Company under this Agreement of
any kind or (ii) any damages, whether directly in contract, tort or otherwise, or through a claim
for indemnity or contribution, in excess of the annual aggregate amount of any fees paid to
Company for this engagement in the year the action or inaction leading to the loss first occurs,
even if Company has been advised of the possibility of such damages. Notwithstanding the
preceding, nothing will prohibit a group from making any claim as against the Performance
Guarantee provided in Exhibit B.
6.5 Insurance. Each Party will obtain, at its own cost, and keep in force adequate policies
providing comprehensive general liability and other insurance in amounts consistent with
industry standards as may be necessary to insure the Party and its agents and employees
against any claim or claims for damages arising out of the performance of its obligations
under this Agreement. If any Party procures one or more claims-made policies to satisfy its
obligations under this Agreement, the Party will obtain any extended reporting endorsement
(“tail coverage”) required to continuously maintain such coverage in effect for all acts,
omissions, events, or occurrences during the Term of this Agreement, without limit or
restriction as to the making of the claim or demand. Evidence of the insurance coverage
required under this Section will be made available to a Party upon request.
6.6 Joint Ownership of Records; Confidentiality. The Parties agree that records and
documents that include proprietary information from both Parties and that constitute
“protected health information” as that term is defined in 45 CFR 160.103 and that pertain to
administration of the GHP will be and remain the joint property of the GHP and Company.
All Company Proprietary Materials are the sole property of Company, and all Group and
GHP Proprietary Materials are the sole property of Group and GHP. Each Party will have
the right to protect the confidentiality of the Proprietary Materials and will not be required
to make such Proprietary Materials available to anyone. Each Party agrees to maintain the
confidentiality of any Proprietary Materials the other Party provides, and the Party will not
provide any Proprietary Materials to any other person, including any data extracts or
summary information, except to the extent such Proprietary Materials have been made
available to the public without fault of the Party. In the event of a termination of this
6
Agreement, Company will cooperate with Group to provide copies of certain requested
jointly owned information. Group agrees to reimburse Company for the reasonable cost of
such assistance and copies.
In performing its obligations pursuant to this Agreement, each Party may have access to and
receive certain non-public information about the other Party and its affiliates which are
considered confidential or proprietary to the disclosing Party.
6.7 Records Retention. Each Party agrees to maintain adequate books and records concerning
the services provided hereunder in accordance with applicable laws and prudent standards
of insurance record keeping, and further agrees to provide the other Party with necessary
reports regarding the services it performs.
6.8 Entire Agreement. This Agreement, its Addenda, and its Exhibits supersede and replace
all prior oral or written agreements, if any, between Group and Company and is the entire
agreement between the Parties.
6.9 Non-Waiver. The failure or refusal of any Party to enforce or enjoin any breach or violation
of any provision of this Agreement will not be a waiver of that Party’s right to enforce any
subsequent breach.
6.10 Severability. In the event any one or more of the terms, conditions, or provisions contained
in the Agreement or any application thereof is declared invalid, illegal, or unenforceable in
any respect by any arbitrator or court of competent jurisdiction, the validity, legality, or
enforceability of the remaining terms, conditions, or provisions of this Agreement and any
other application thereof will not in any way be affected or impaired thereby, and this
Agreement will be construed as if such invalid, illegal, or unenforceable provisions were
not contained herein.
6.11 Restriction on Assignment. No Party will assign or transfer any of its rights, or delegate
any of its duties or obligations hereunder, directly or indirectly, without the prior written
consent of the other Parties. A Party may, with the prior written consent of the other Parties,
assign this Agreement in its entirety to any person or entity, other than a direct competitor
of a Party, which acquires the business of the assigning Party or with which the Party merges
or is consolidated or affiliated, provided that the permitted assignee agrees in writing to be
bound by the terms of this Agreement. Any attempted assignment, transfer, or delegation in
violation of this paragraph will be null and void.
6.12 Notices. Except for endorsements or amendments to this Agreement (which would be
effective on the endorsement or amendment effective date), all notices, requests, demands,
and other communications required or permitted to be given or made under the Agreement
will be in writing and will be effective on the date of actual hard copy receipt (including by
confirmed email receipt), and will be sent to Group or Company, as the case may be, to such
address, person, or entity as set forth below, or as any Party will designate by notice to the
other Parties in accordance herewith.
6.13 Binding Effect. This Agreement shall be binding on the Parties and their respective heirs,
executors, administrators, successors, and assigns. Neither Party may assign its rights or
obligations hereunder without the prior written consent of the other party, which consent
shall not be unreasonably withheld, delayed, or conditioned.
7
6.14 Disaster Recovery Plan. While this Agreement is in effect, each Party, or their designated
agent, shall have in place a disaster recovery plan that a Party will implement after a disaster
occurs. The plan must outline the necessary steps that the Party will take to completely
restore all data related to and business applications needed to resume a Party’s
responsibilities under this Agreement. The plan must also indicate the number of times a
comprehensive test-run will occur annually.
6.15 Choice of Law. This Agreement is governed by and shall be construed and enforced under
the laws of North Carolina. In the event that a Party brings an action under this Agreement,
the parties agree that such action will be vested exclusively in the United States District
Court for the Western District of North Carolina, or should federal jurisdiction not attach,
courts in Mecklenburg County, North Carolina.
6.16 No Third-Party Beneficiaries. Nothing in this Agreement, express or implied, is intended
to confer on any person, other than the Parties hereto, any right or remedy of any nature
whatsoever; and nothing in this Agreement will create, or be deemed to create, any rights,
obligations, or legal relationship between Company and any Participant.
6.17 Force Majeure. No Party will be deemed to be in violation of this Agreement if it is
prevented from performing its obligations by events beyond its control including, without
limitation, acts of God, war or insurrection, terrorism, flood or storm, strikes, or rule or
action of the government or agency. The Parties will make a good faith effort, however, to
assure Participants have access to services under the Program.
6.18 Counterparts. This Agreement may be executed in one or more counterparts, each of which
will be deemed an original, and all of which together will constitute one and the same
instrument.
Stealth Partner Group, LLC:
Signature:
SjwbEvnfoz-Qsftjefou-HspvqCfofgjutEjwjtjpo
Name and Title:
Date:
Address: 4725 Piedmont Row Drive, Ste. 600
Charlotte, NC 28210
Group:
Signature:
Name and Title:
Date:
8
EXHIBIT A
Schedule of Services
Company’s services consist of the following:
Conduct strategic planning sessions to review performance of Group’s stop-loss coverage and
establish future objectives and strategies to manage Group’s stop-loss coverage to which this
Agreement applies.
Meet with Group’s key designated representatives to discuss strategy and open items.
Develop mutually agreeable renewal action plan and timeline that meets Group’s stated
objectives.
Keep Group informed of significant changes and/or trends in the stop-loss marketplace.
Analyze factors driving Group’s stop-loss costs, and review utilization reports to determine
causes of cost increases and develop mitigation strategies for the same.
Benchmark various gene therapy treatments and evaluate the addition of new drugs and
therapeutics for inclusion within the program.
Coordinate with actuaries to ensure accurate and appropriate pricing for the therapies and
program costs.
Collect, validate, and submit all payments under the Program to Company per the terms of the
contractual liability insurance policies and this Agreement. The Company will then remit
payment, minus retail broker compensation and Company fees, to Insurer.
Lead Program claim presentation process. Prior to submission of a Paid Claim to Company for
payment, Company will review the claim to ensure that it is accurate and appropriate for
submission. Company may work with the GHP and its third-party administrator to ensure that
each claim is appropriate for submission.
Ensure proper distribution of reimbursement under the Program. Only after Company receives a
payment from the Insurer, will Company remit payment to the appropriate beneficiary (typically
Group or Group’s stop-loss carrier). Company will not be responsible for any distributions or
reimbursements unless the same are received from the Insurer. Company makes no
representation as to the financial viability or security of Insurer.
9
EXHIBIT B
Specified Specialty Pharmaceutical Benefit Disbursement Terms
Capitalized terms used herein shall have the same meaning as contained in the Agreement or, if
not defined therein, as defined in this Exhibit B.
AGREEMENT EFFECTIVE DATE :
_______________________, 2024
GROUP HEALTH PLAN NAME AND ADDRESS:
_____________________________________
_____________________________________
_____________________________________
AGREEMENT TERM AND CONDITIONS:
The term will begin on ______________________, 2024 and run through the policy period of the
Covered Plan. The Program will utilize a first dollar risk structure and allow for a run-out period
equal to the length of the policy period for the Covered Plan.
CLAIM BASIS:
Eligible “Covered Expenses” are the amounts that are paid by Group pursuant to the terms and
conditions of the SPD solely for the cost of prescribed Covered Pharmaceuticals that are eligible
for payment under this Agreement, provided all of the following additional terms, conditions, and
requirements are met:
a. Each of the time period-based requirements for the applicable Covered Pharmaceutical as
identified in the Benefit Period Table has been met (e.g., Covered Diagnosis Period,
Treatment Period, Claims Period, and if applicable, Run-In Period);
b. The Covered Pharmaceutical has been:
1. prescribed by a licensed physician to a Participant and dispensed from a pharmacy
and health care provider, both approved by GHP and in accordance with the SPD, in
full compliance with all Food & Drug Administration (“FDA”) guidance,
requirements, and conditions for approval and use thereof for the Covered Disease;
and
2. initially administered during the applicable Covered Pharmaceutical’s Treatment
Period (as specified on the Benefit Period Table) to a Participant who was diagnosed
with a Covered Disease within the applicable Covered Pharmaceutical’s Covered
Diagnosis Period (as specified on the Benefit Period Table) with the intent to treat the
Covered Disease;
c. The Covered Expenses are the responsibility of GHP under the terms of its SPD with
respect to Participants;
10
d. The Covered Expenses have been approved and Paid by GHP under the terms of its SPD
within the Benefit Period (as specified on the Benefit Period Table) and are valid for the
Covered Pharmaceuticals administered during the applicable Covered Pharmaceutical’s
Treatment Period (as specified on the Benefit Period Table);
e. The Covered Plan is in full force and effect for the Participant during the applicable
Benefit Period, has approved the amount of the Covered Expenses for coverage under the
Covered Plan, and has funded in full the balance of any Covered Expenses paid by the
GHP;
f. The Claim was submitted to Company and approved within the Claims Period (as
specified on the Benefit Period Table); and
g. All of the other terms, conditions, requirements, provisions, and definitions contained
herein and in the Agreement have been satisfied.
ADDITIONAL DEFINED TERMS:
“Benefit Period” shall mean, for each applicable Covered Pharmaceutical, the time span
comprising the earliest beginning date of the time-based components set forth in the Benefit
Period Table (i.e., the Agreement Period or, if applicable, the Run-In Period) until the end of
the Claims Period for that Covered Pharmaceutical, as specified on the Benefit Period Table.
“Benefit Period Table” shall mean the table provided in this Exhibit B, which specifies the
applicable Benefit Periods and corresponding requirements contained within each time period
for a specific Covered Pharmaceutical in order for the Group to be eligible to seek payment
under this Agreement for Paid Claims related thereto.
“Covered Plan(s)” shall mean commercial employer stop loss policies that include coverage
for the Covered Pharmaceuticals (and are produced by Stealth Partner Group, LLC). All other
population types are excluded unless specifically listed above.
“Covered Diseases” and their corresponding “Covered Pharmaceuticals” are as set forth below:
Covered Disease Covered Limits of Liability Per Covered
Pharmaceutical Person Per Covered Pharmaceutical
Per Applicable Benefit Period
Spinal Muscular Atrophy Zolgensma $2,322,044.00
(SMA) – Types I and II
Spinraza
Leber Congenital Amaurosis Luxturna $913,750
(LCA)
Transfusion Dependent Beta Zynteglo $2,800,000
Thalassemia
Casgevy
Cerebral Skysona $3,000,000
Adrenoleukodystrohpy
(CALD)
Hemophilia A Roctavian $2,900,000
Hemophilia B Hemgenix $3,500,000
Beqvez
Duchenne Muscular Elevidys $3,200,000
Dystrophy (DMD)
11
Covered Disease Covered Limits of Liability Per Covered
Pharmaceutical Person Per Covered Pharmaceutical
Per Applicable Benefit Period
Sickle Cell Disease Casgevy $2,200,000
Lyfgenia $3,100,000
Metachromatic Lenmeldy $4,250,000
Leukodystrphy (MLD)
Multiple Myeloma Abecma $498,408
Carvykti $522,055
Congenital Athymia Rethymic $2,729,500
12
Benefit Period Table
Covered Run-In Period Covered Diagnosis Period Treatment Period Claims Period
Pharmaceutical
Luxturna
Zynteglo
Skysona
Elevidys
Lenmeldy
Participant must be diagnosed with a Covered
Not Applicable
Disease during the Agreement Period.
Rethymic
Covered Pharmaceutical must be
Claims for Covered
initially administered to Participant
Abecma
Pharmaceuticals
between the first day of the
must be filed,
Carvykti
Agreement Period and 12 months
approved, and paid
immediately following the lastday of
by the Named
Casgevy
the Agreement Period.
Insured and the
Covered Stop Loss
Lyfgenia
Plan within 24
• Participant must be diagnosed with a Covered
months
Hemgenix
Disease during the Agreement Period; or
immediately
• Participant with an existing diagnosis must join
following the last
Roctavian
Not Applicable the Covered Stop Loss Plan during the Agreement
day of the
Period and must not have been a Participant at
Agreement Period
any time during the 12 months preceding the
and are valid for
Beqvez
inception of the Agreement Period.
Covered
Pharmaceuticals
Participant must be born within: Covered Pharmaceutical must be
administered during
• the Agreement Period; or Participant must be diagnosed with a Covered initially administered to Participant
the Treatment
• 90 days immediately preceding the Disease between the first day of the Agreement between the first day of the
Period.
Zolgensma
first day of the Agreement Period Period and 12 months immediately following the Agreement Period and 12 months
or the enrollment start date of last day of the Agreement Period. immediately following the last day of
Participant into the Named the Agreement Period.
Insured’s self-funded health care
Covered Pharmaceutical must be
benefits plan within the Agreement
Participant must be diagnosed with a Covered initially administered to Participant
Period (the “Run-In Period”),
Disease between the first day of the Agreement between the first day of the
provided in both cases the
Spinraza
Period and 24 months immediately following the Agreement Period and 24 months
Participant did not receive a
last day of the Agreement Period. immediately following the last day of
diagnosis for the Covered Disease
the Agreement Period.
during such 90-day period.
EXCLUSIONS:
1. Any liability or obligation for a Covered Disease that was diagnosed (and/or for a Covered
Pharmaceutical that was prescribed) prior to the Agreement Period (except that, with respect
to any coverage under this Policy for Roctavian, Hemgenix, or Beqvez as Covered
Pharmaceuticals, this exclusion shall not apply to a Participant with an existing diagnosis who
joins the Covered Plan during the Agreement Period provided that they have not been a
Participant at any time during the 12 months preceding the inception of the Agreement Period).
2. Solely with respect to Covered Pharmaceuticals Zolgensma and Spinraza, Covered Expenses
for a Participant born prior to the Agreement Period (or, if applicable, prior to the Run-In
Period).
3. Solely with respect to Covered Pharmaceuticals Luxturna, Zynteglo, Skysona, Elevidys,
Lenmeldy, Casgevy, Lyfgenia, Abecma, Carvykti, and Rethymic, Covered Expenses for a
Participant diagnosed with a Covered Disease prior to the Agreement Period.
4. Solely with respect to Covered Pharmaceutical Roctavian, Hemgenix, and Beqvez, Covered
Expenses for a Participant who joins the Covered Plan during the Agreement Period but who
was a Participant under the Group’s prior health plan (whether self-funded or insured) within
the last twelve (12) month period preceding the inception date of the Agreement Period.
5. Expenses for Covered Pharmaceuticals that are administered “off-label” or (or otherwise
outside of the guidance, requirements, and conditions for approval and use thereof for the
Covered Disease by the FDA ). Approved indications are defined as the following and
additional exclusions may apply:
a. Zolgensma - FDA U.S. Food and Administration Vaccines, Bloods and Biologics.
Zolgensma Prescribing Information. Version: October 2023
https://www.fda.gov/media/126109/download?attachment (Accessed July 2024).
b. Luxturna - FDA U.S. Food and Drug Administration Vaccines, Bloods and
Biologics. Luxturna Prescribing Information. Version: May 2022
https://www.fda.gov/media/109906/download?attachment (Accessed July 2024).
c. Spinraza - FDA US Food and Drug Administration. Drugs@FDA FDA-Approved
Drugs. Spinraza Prescribing Information. Version: June 2020
https://www.accessdata.fda.gov/drugsatfda docs/label/2020/209531s010lbl.pdf
(Accessed July 2024).
d. Zynteglo - FDA U.S. Food and Administration Vaccines, Bloods and Biologics.
ZYNTEGLO Prescribing Information. Version: August 2022
https://www.fda.gov/media/160991/download (Accessed July 2024).
e. Skysona - FDA U.S. Food and Administration Vaccines, Bloods and Biologics.
SKYSONA Prescribing Information. Version: September 2022
https://www.fda.gov/media/161640/download (Accessed July 2024).
f. Elevidys - FDA U.S. Food and Administration Vaccines, Bloods and Biologics.
ELEVIDYS Prescribing Information. Version: June 2024
https://www.fda.gov/media/169679/download?attachment (Accessed July 2024).
14
g. Roctavian - FDA U.S. Food and Administration Vaccines, Bloods and Biologics.
Roctavian Prescribing Information. Version: June 2023
https://www.fda.gov/media/169937/download?attachment (Accessed July 2024).
h. Hemgenix - FDA U.S. Food and Administration Vaccines, Bloods and Biologics.
HEMGENIX Prescribing Information. Version: November 2022
https://www.fda.gov/media/163467/download?attachment (Accessed July 2024).
i. Beqvez - FDA U.S. Food and Administration Vaccines, Bloods and Biologics.
BEQVEZ Prescribing Information. Version: April 2024
https://www.fda.gov/media/178140/download?attachment (Accessed July 2024).
j. Casgevy - FDA U.S. Food and Administration Vaccines, Bloods and Biologics.
CASGEVY Prescribing Information. Version: December 2023 Package Insert -
https://www.fda.gov/media/174615/download?attachment (Accessed July 2024).
k. Casgevy - FDA U.S. Food and Administration Vaccines, Bloods and Biologics.
CASGEVY Prescribing Information. Version: January 2024 Package Insert -
https://www.fda.gov/media/175481/download?attachment (fda.gov) (Accessed
July 2024).
l. Lyfgenia - FDA U.S. Food and Administration Vaccines, Bloods and Biologics.
LYFGENIA Prescribing Information. Version: December 2023
https://www.fda.gov/media/174610/download?attachment (Accessed July 2024).
m. Lenmeldy - FDA U.S. Food and Administration Vaccines, Bloods and Biologics.
LENMELDY Prescribing Information. Version: March 2024
https://www.fda.gov/media/177109/download?attachment (Accessed July 2024).
n. Abecma - FDA U.S. Food and Administration Vaccines, Bloods and Biologics.
ABECMA Prescribing Information. Version: April 2024
https://www.fda.gov/media/147055/download?attachment (Accessed July 2024).
o. Carvykti - FDA U.S. Food and Administration Vaccines, Bloods and Biologics.
CARVYKTI Prescribing Information. Version: April 2024
https://www.fda.gov/media/156560/download?attachment (Accessed July 2024).
p. Rethymic - FDA U.S. Food and Administration Vaccines, Bloods and Biologics.
RETHYMIC Prescribing Information. Version: October 2021
https://www.fda.gov/media/152912/download?attachment (Accessed July 2024).
6. Expenses for Spinraza® initially approved by the Group’s self- funded health care benefits plan
in accordance with the SPD for a Participant who is over two (2) years of age at the time of
such initial approval.
7. Expenses for Covered Pharmaceuticals incurred (i) while the Covered Plan is not in full force
and effect for the Participant, or (ii) for an individual not covered under the Covered Plan..
8. Deductibles, co-payment amounts, or any other expenses which are not payable under the terms
of the Covered Plan (or expenses which are payable by the Covered Plan, or to the Covered
Plan, from any other source).
15
9. 14. Any financial obligations or expenses resulting from any extra or non-contractual claims
or damages (or any legal fees, costs, and expenses associated with the defense thereof), or any
statutory, regulatory, administrative, or court-ordered fines, penalties, or damages of any kind.
10. Legal expenses of any kind or description, including legal expenses related to or incurred for
the confinement of a Participant or any compulsory process to adopt, abstain from, or cease to
continue a particular mode of treatment, care, or therapy.
11. Expenses arising out of, caused by, contributed to or in consequence of war, declared or
undeclared, or any act or hazard of such war.
12. Claim payments not administered or paid according to the SPD and Covered Plan, or for which
there is no documented proof of loss, unless the payment was authorized in writing by the
Company.
13. Covered Expenses that are not approved and/or funded by the Covered Plan.
14. Unless approved by Insurer, business derived from any pool, association, including joint UW
associations, syndicate, exchange, plan, or other facility directly as a member, subscriber, or
participant, or indirectly by way of insurance or assessments, unless otherwise indicated in the
Covered Plan section above.
15. Solely with respect to Covered Plans providing benefits pursuant to Medicaid, amounts
otherwise included in the definition of Covered Expenses by virtue of the inclusion of the “Run-
In Period” to the definition of the Agreement Period, Covered Diagnosis Period, Benefit Period,
Claims Period, Participant, and/or Treatment Period.
16. Business derived from any pool, association, including joint UW associations, syndicate,
exchange, plan, or other facility directly as a member, subscriber, or participant, or indirectly
by way of insurance or assessments.
17. Assumed Insurance
18. Excess Policy Limits
19. Ex-Gratia Payments
20. Covered Expenses incurred after a the Group’s Covered Plan terminates due to non-payment
of premium unless the Insurer authorizes reinstatement of the policy in writing.
21. Covered Expenses that constitute reimbursable benefits under a separate stop loss or excess
loss policy between the Insurer and Covered Plan.
Specified Specialty Pharmaceutical Performance Guarantee
1.
In consideration of the benefits and obligations of the respective Parties under this
Agreement, Company guarantees that Group’s funding of its Specified Pharmaceutical
Benefit Plan as described herein shall not require additional funding from what is
specified in Section 3 of the Agreement to which this Exhibit B is also attached.
16
2.This Performance Guarantee is subject to cancellation or revision prior to the acceptance of
the guarantee pursuant to Section 7 below.
3.Company will collect such appropriate fees and costs as outlined in this Agreement and will
distribute such disbursements and applicable reimbursements as necessary for the
administration of the Program. Company will distribute any applicable disbursements and
reimbursements only after it receives such disbursements and reimbursements from the
Insurer as they are defined in the Agreement and will not be liable or responsible to any party
for such disbursements and reimbursements unless they are actually received.
4.After diligent and complete review, all the information provided and/or to be provided as
requested in this Performance Guarantee to evaluate the risk is true and complete; that any
agreement issued is in reliance upon the truth of such statements, declarations, and
representations; and that such statements, declarations, and representations will form a part of
the Agreement.
5.Group will cooperate in any requests for information including, but not limited to, the
validation of any claim or request for disbursement. Any inaccuracy known by Group or
Group’s broker at the time of providing such information or failure to disclose any such
known information, including all claims or potential claims, paid or pending, can change the
terms, conditions, or premiums, or can void applicability.
6.Nothing herein, express or implied, is intended to confer to any person, other than the parties
hereto, any right or remedy of any nature whatsoever; and nothing will create, or be deemed
to create, any rights, obligations, or legal relationship between the parties.
7.The receipt of the first month’s funding and deposit of any check drawn in connection with
this Performance Guarantee shall constitute an acceptance of liability.
Upon receipt and acceptance of the following items, the guarantee will be effective for all
Participants not explicitly excluded by the Exclusion criteria herein:
1.First month’s funding, and
2.Fully executed copy of this Performance Guarantee
All Participants enrolled in the Covered Plan and meeting the eligibility definitions are covered.
The guarantee provided herein is based upon information provided by Group or Group’s broker.
Upon signing this Performance Guarantee, the guarantee is effective as of the beginning of the
Agreement Term. In the event of any differences in terms between the Performance Guarantee and
the Agreement, the Agreement language will supersede this Performance Guarantee. This
Performance Guarantee will become part of the Agreement when issued.
By signing below, Group’s representative agrees to the terms as stated herein and warrants they are
duly authorized to execute this acceptance on behalf of Group:
Stealth Partner Group, LLC:
Signature:
17
SjwbEvnfoz-Qsftjefou-HspvqCfofgjutEjwjtjpo
Name and Title:
Date:
Group:
Signature:
Name and Title:
Date:
18
Agenda Action Form
Paducah City Commission
Meeting Date: October 22, 2024
Short Title: Authorize the Application and Acceptance of a Kentucky League of Cities Liability Grant in the
Amount of $3,000. --S. Wilcox
Category: Municipal Order
Staff Work By: Braden Throgmorton, Stefanie
Wilcox, Hope Reasons
Presentation By: Stefanie Wilcox
Background Information: KLC Insurance Services makes funds available to liability members for various
expenses that improve safety and reduce liability. Members with liability premiums before taxes of $35,000
and above are eligible for up to a $3,000 reimbursement grant. The grant requires a 50/50 match. As this is a
reimbursement grant, Human Resources will be submitting completed sidewalk repairs and improvements for
reimbursement. By replacing and repairing existing sidewalks we are creating a safer environment for
pedestrians who utilize our sidewalks for recreation or commuting.
Does this Agenda Action Item align with a Commission Priority? No
If yes, please list the Commission Priority: Commission Priorities List
Communications Plan:
Account Name:
Funds Available:
Account Number: 23002217 542270
Staff Recommendation: Authorize the application and acceptance of the KLC Liability Grant and for the
Mayor to sign all documents related to same.
Attachments:
1. MO - app & award - klc safety grant sidewalks 2024
MUNICIPAL ORDER NO. _______
A MUNICIPAL ORDER AUTHORIZING THE MAYOR TO EXECUTE AN APPLICATION
FOR AN FY2024 KENTUCKY LEAGUE OF CITIES SAFETY GRANT IN THE AMOUNT
OF $3,000 FOR PARTIAL REIMBURSEMENT OF SIDEWALK REPAIRS AND
IMPROVEMENTS AND ACCEPTING ANY GRANT FUNDS AWARDED BY KLC, AND
AUTHORIZING THE MAYOR TO EXECUTE ALL DOCUMENTS RELATED TO SAME
BE IT ORDERED BY THE CITY OF PADUCAH, KENTUCKY:
SECTION 1. The Mayor is hereby authorized to execute an application to obtain
an FY2024Matching Insurance Services Safety Grant in the amount of $3,000 from the
Kentucky League of Citiesfor partial reimbursement of sidewalk repairs and improvements,
which will create a safer environment for pedestrians who utilize City sidewalks for recreation
and commuting.
SECTION 2. That the City of Paducah hereby authorizes the acceptance of any
and all grant funds awarded by the Kentucky League of Cities Insurance Services Safety Grant
and authorizes the Mayor to execute the Grant Agreement and all related documents.
SECTION 3. The 50/50 matching requirement will be paid from Account
Number 2300 2217 542270.
SECTION 4. This order will be in full force and effect from and after the date of
its adoption.
______________________________
George Bray, Mayor
ATTEST:
________________________________
Claudia S. Meeks, Assistant City Clerk
Adopted by the Board of Commissioners, October 22, 2024
Recorded by Claudia S. Meeks, Assistant City Clerk, October 22, 2024
\\mo\\grants\\app & award - klc safety grant sidewalks 2024
Agenda Action Form
Paducah City Commission
Meeting Date: October 22, 2024
Short Title: Adopt a new Interlocal Agreement for the Paducah/McCracken County Geographic Information
System.”. E. Stuber
Category: Ordinance
Staff Work By: Eric Stuber,
Dallas McKinney
Presentation By: Michelle
Smolen
Background Information: On March 9, 1999, City of Paducah, McCracken County, Paducah Water Works,
and Paducah Power executed an agreement to establish the McCracken County and Paducah Geographic
Information System Consortium (“Original Agreement”). Since the execution of the Original Agreement, JSA
and Paducah-McCracken 911 Service (hereinafter “911”) joined through separate addendums which were
incorporated into the Original Agreement.
The McCracken County PVA (PVA) was approached to determine whether they would be interested in joining
the consortium because they maintain records, specifically the parcel characteristics and owner information,
that all consortium members would benefit from. In addition, the PVA pays $50,000 per year to fly aerial
imagery every 2 years and provides that aerial imagery to consortium members at no cost and has done so for
the last 4 years.
The PVA stated that their barrier to joining the consortium is the initial funding requirement of $120,000.
However, the GIS Steering committee discussed and determined that the aerial imagery that they have provided
to the consortium members to date has far exceeded $120,000 and that we would recommend allowing the PVA
to join for in-kind services.
Because PVA wishes to join as a Participating Agency with in-kind services rather than a one-time initial
payment, a new Agreement allowing such is necessary. This Agreement largely incorporates the terms of the
Original Agreement and its various addendums, as well as new and additional terms agreed upon by the
Participating Agencies.
The other material change to the interlocal agreement is the removal of 2 at-large members from the GIS
Steering Committee; one appointed by the City of Paducah and one appointed by the McCrackenc County
Fiscal Court.
Historically, the City and County are unable to find citizens willing to serve on the steering committee because
the committee is largely an internal operational committee that at-large members find no benefit from and
therefore do not attend meetings. This can cause issues with the committee's ability to have a quorum in order
to conduct business.
Does this Agenda Action Item align with a Commission Priority? No
If yes, please list the Commission Priority: Commission Priorities List
Communications Plan:
Account Name:
Funds Available:
Account Number:
Staff Recommendation: Authorize the Mayor to sign an interlocal agreement to establish
Paducah/McCracken County Geographic Information System.
Attachments:
1. ORD - ILA - GIS
2. 9.19 AGREEMENT TO ESTABLISH PADUCAH MCCRACKEN COUNTY GIS 2024 (002)
ORDINANCE NO.2024-10-____
AN ORDINANCE OF THE CITY OF PADUCAH, KENTUCKY,
APPROVING AND AUTHORIZING THE EXECUTION OF AN
INTERLOCAL COOPERATIVE AGREEMENT WITH McCRACKEN
COUNTY FISCAL COURT, PADUCAH WATER WORKS, PADUCAH
POWER SYSTEMS, PADUCAH McCRACKEN COUNTY JOINT
SEWER AGENCY, AND McCRACKEN COUNTY PROPERTY
VALUATION ADMINISTRATOR FOR THE PROVISION AND
MAINTENANCE OF THE GEOGRAPHIC INFORMATION SYSTEM
FOR THE MAPPING OF McCRACKEN COUNTY
WHEREA S, McCracken County, City of Paducah, Paducah Water, Paducah Power and
Paducah-McCracken County Joint Sewer Agency have previously entered into an interlocal
agreement forming a MAP~GIS Consortium whereby the members coordinate their efforts in the
development and maintenance of a Geographic Information System (GIS) for the mapping of
McCracken County, Kentucky; and
WHEREAS, GIS is recognized as a tool for accomplishing resource efficiency and
collaborative data development in McCracken County and serves a valid public purpose; and
WHEREAS, GIS has become an integral part of the operations of its members; and
WHEREAS, the members desire to add McCracken County Property Valuation
Administrator as a member to this Agreement in exchange for the provision of in-kind services;
and
WHEREAS, PVA wishes to join as a Participating Agency with in-kind services as
consideration therefor.
NOW THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE
CITY OF PADUCAH, KENTUCKY, AS FOLLOWS:
Section 1. The City of Paducah, Kentucky, hereby approves the Interlocal Cooperative
Agreement between the City of Paducah, McCracken County Fiscal Court, Paducah Water,
Paducah Power, Paducah McCracken County Joint Sewer Agency and McCracken County
Property Valuation Administrator, a copy of which is attached hereto. It is hereby found and
determined that the Interlocal Cooperative Agreement furthers the public purposes of the City
and it is in the best interest of the citizens, residents and inhabitants of the City that the City enter
into the Interlocal Cooperative Agreement for the purposes therein specified and the execution
and delivery of the Interlocal Cooperative Agreement is hereby authorized and approved. The
Mayor is hereby authorized to execute the Interlocal Cooperative Agreement, together with such
other agreements, instruments or certifications which may be necessary to accomplish the
transaction contemplated by the Interlocal Cooperative Agreement with such changes in the
Interlocal Cooperative Agreement not inconsistent with this Ordinance and not substantially
adverse to the City as may be approved by the official executing the same on behalf of the City.
The approval of such changes by said official, and that such are not substantially adverse to the
City, shall be conclusively evidenced by the execution of such Interlocal Cooperative Agreement
by such official.
Section 2. Severability. If any section, paragraph or provision of this Ordinance shall be
held to be invalid or unenforceable for any reason, the invalidity or unenforceability of such
section, paragraph or provision shall not affect any of the remaining provisions of this
Ordinance.
Section 3. Compliance With Open Meetings Laws. TheCity Commission hereby finds
and determines that all formal actions relative to the adoption of this Ordinance were taken in an
open meeting of this City Commission, and that all deliberations of this City Commission and of
its committees, if any, which resulted in formal action, were in meetings open to the public, in
full compliance with applicable legal requirements.
Section 4. Conflicts. All ordinances, resolutions, orders or parts thereof in conflict with
the provisions of this Ordinance are, to the extent of such conflict, hereby repealed and the
provisions of this Ordinance shall prevail and be given effect.
Section5. Effective Date. This Ordinance shall be read on two separate days and will
become effective upon summary publication pursuant to KRS Chapter 424.
_________________________________________
GEORGE BRAY, MAYOR
ATTEST:
_______________________________
Claudia S. Meeks, Assistant City Clerk
Introduced by the Board of Commissioners, October 8, 2024
Adopted by the Board of Commissioners, _____________________, 2024
Recorded by Claudia S. Meeks, Assistant City Clerk, ________________, 2024
Published by The Paducah Sun, __________________, 2024
Agenda Action Form
Paducah City Commission
Meeting Date: October 22, 2024
Short Title: Amending Chapter 78 Personnel Ordinance - S. WILCOX
Category: Ordinance
Staff Work By: Stefanie Wilcox
Presentation By: Stefanie Wilcox
Background Information: Chapter 78 Personnel - Summary of Changes
Sec. 78-31 Holidays.
Removing section (b) – Holidays are no longer handled this way. (Adjusting remaining subsections letters.)
Changes to Section (d) – Holiday pay for Part-time / Seasonal / Temporary employees
This section used to be specific to 911 employees only and is now for all non-FT employees and how
holidays are paid should they be required to work on them.
Sec. 78-32 Vacation leave.
Subsection (c) – Most of this section has been removed and refers back to the collective bargaining agreement
(CBA) for the twenty-four (24) hour shift employees in how vacation accruals will be handled.
The same goes for subsection (f)
Removing Section (j) – 911 employees follow vacation leave as listed for full-time employees.
Sec. 78-33. Sick leave.
Section (a) – Listing that sick may be different according to CBA, and adding language for fire shift employees.
Section (c) – Notification should follow HR-21 Sick Leave policy.
Section (g) – Remove due to CBA covering Sick Time for Fire employees.
Sec. 78-38. Annual military leave.
Defines the total amount of time for Fire employees annually based on shift work.
Sec. 78-40. Group life medical insurance.
Updates (a) to list that any different amounts would be define in CBA’s for those employees. Police, Fire, and
AFSCME get different amounts.
Sec. 78-61. Deferred compensation plan.
Section (a) Updating the language to include all Deferred Comp plans the City allows employees to participate
in.
Sec. 78-66. Specialty pay.
Section (a) – Language added to allow Departments to define Specialty Pay for positions they represent.
Does this Agenda Action Item align with a Commission Priority? No
If yes, please list the Commission Priority: Commission Priorities List
Communications Plan:
Account Name:
Funds Available:
Account Number:
Staff Recommendation: Approve recommended text changes to Chapter 78 Personnel Ordinance.
Attachments:
1. ORD - Amending Chapter 78 - Personnel
2. Chapter 78 Personnel Summary of Changes for Meeting v2
ORDINANCE NO. 2024-__________________________
AN ORDINANCE AMENDING CHAPTER 78 PERSONNEL, ARTICLE II BENEFITS
AND LEAVES AND ARTICLE III COMPENSATION OF THE CODE OF
ORDINANCES OF THE CITY OF PADUCAH
WHEREAS, Chapter 78, Articles II and III of the Paducah Code of Ordinances as it
currently reads is inconsistent with some of the City of Paducah’s current practices relating to
benefits, leaves, and compensation;
WHEREAS, the Board of Commissioners deems it necessary and in the best interest of
the City to amend various provisions of Chapter 78, Articles II and III to ensure the language is
in compliance with the City’s current practices;
NOW THEREFORE, BE IT ORDAINED BY THE CITY OF PADUCAH,
KENTUCKY:
SECTION 1.That the City of Paducah, Kentucky hereby amends Chapter 78 Personnel,
Article II of the Paducah Code of Ordinances by amending the following sections:
Sec. 78-31. Holidays.
–
(a)The following days during each calendar year are hereby designated as holidays on which
all City employees will be granted a holiday:
(1)New Year's Eve Day;
(2)New Year's Day (January 1);
(3)Martin Luther King, Jr. Day;
(4)Memorial Day;
(5)Juneteenth National Independence Day;
(6)Independence Day (July 4);
(7)Labor Day;
(8)Thanksgiving Day;
(9)The day immediately following Thanksgiving Day;
(10)Christmas Eve (December 24);
(11)Christmas Day (December 25);
(12)One personal day;
and other holidays as may from time to time be designated by motion of the Board of
Commissioners. If any of the days mentioned herein as holidays fall on a Saturday or Sunday, in
such event, such holiday shall be recognized on a day, Monday through Friday, as determined by
the City Commission.
(b)As soon as possible after any holiday, the Police and Fire Department personnel shall be
granted a leave of one (1) day to be selected by the respective head of the Police
Department and Fire Department.
(c) (b)All other employees will be paid for recognized holidays not worked in an amount
equivalent to eight (8) times the employee's regular hourly rate or the equivalent of one (1) day's
pay. Such other employees who are required to work on a recognized holiday shall be further
compensated at one and one-half (1 ½) times their straight time hourly rate. Members of the
Police Department will receive double compensatory time for actual holidays worked.
(d)Members of the Fire Department working as a member of a platoon performing duty in
shifts of twenty-four (24) hours on duty and forty-eight (48) hours off duty shall be given holiday
time as may be scheduled with the Chief of the Fire Department with a credit of two (2) holidays
per twenty-four (24) hour shift, and they shall be compensated for such holiday at their average
earnings including regular and overtime pay for a fifty-six (56) hour work week.
(c) (e)Holiday pay for Part-time / Seasonal / Temporary employees of 911 Emergency
Communication Service.
(1)For the purpose of this subsection, a qualifying quarter of service shall be a quarter in
which a part-time / seasonal / temporary employee of the City Emergency Communication
Service will be paid at their overtime rate of one and one half their regular hourly rate for time
that they work on a Holiday defined in Section (a) for a minimum average of thirty (30) hours of
work per week.
(2)All full-time employees of the 911 Emergency Communication Service shall be entitled
to holiday pay in accordance with this section.
(3)After completion of one (1) year of service with the Emergency Communication Service,
part0time employees shall be granted holiday benefits and pay in accordance with this section for
each qualifying quarter of service. For determining an employee’s eligibility for holiday benefits
and pay, reference shall be made to the quarter preceding the holiday in question. If the
employee did not complete a qualifying quarter of service during the preceding quarter, the
employee shall not be eligible for holiday benefits and pay for which the employee would
otherwise be entitled.
(4)Notwithstanding the foregoing provisions of this subsection, no part-time employee of
the Emergency Communication Service shall be entitled to accrue holiday benefits until such
employee has completed one (1) year of service.
Sec. 78-32. Vacation leave.
(a)Generally.
(1)Except for uniformed members of the Police and Fire Departments, all employees shall
receive vacation time as follows: During the first nine (9) years of employment,
vacation time shall accrue per pay period for a total of one hundred twenty (120) hours
per year.
At the beginning of the tenth year, vacation time shall accrue per pay period for a total
of one hundred sixty (160) hours per year.
At the beginning of the fifteenth year, vacation time shall accrue per pay period for a
total of two hundred (200) hours per year.
At the beginning of the twentieth year, vacation time shall accrue per pay period for a
total of two hundred forty (240) hours per year.
Each member may accrue up to a maximum of four hundred (400) hours of vacation at
any one time. Absence for a fraction or part of a day that is chargeable to vacation in
accordance with the provisions of this article shall be charged proportionately in an
amount not smaller than one (1) hour increments.
(2)An employee may accumulate up to a maximum of four hundred (400) hours of
vacation at any one (1) time. Upon termination of employment, all employees shall be
paid for any unused vacation leave not to exceed four hundred (400) working hours.
No vacation leave shall be credited to any employee until such time as the employee
has worked for the City for six (6) consecutive months, after which the vacation leave
shall be credited from the date of employment.
(3)After obtaining vacation eligibility, an employee may take vacation as may be
reasonably scheduled with the employee's department director as hereinafter set forth
in subsection (h) of this section, or, in the case of a department director, as may be
scheduled with the City Manager.
(4)A month in which an employee is paid for twelve (12) days or more shall be
considered as a month of service.
(b)Police Department. All present sworn and nonsworn employees of the Police Department
shall receive vacation at the rate set forth above. All members of the collective bargaining
unit shall receive the rates set forth in the current agreement.
(1)Each member may accrue up to a maximum of fifty (50) days of vacation at any one
(1) time.
(c)Members of Fire Department working twenty-four (24) hour shifts. All members of the Fire
Department working shifts of twenty-four (24) hours on duty and forty-eight (48) hours off
duty accrue Vacation as outlined in the Collective Bargaining Agreement. Members of the
Fire Department working shifts of twenty-four (24) hours on duty and forty-eight (48) hours
off duty who have less than fifteen (15) years of continuous service with the Department,
and were with the Department prior to July 1, 1980, shall accrue vacation at the annual rate
of seven (7) work days.
(1)All other members of the Fire Department working shifts of twenty-four (24) hours on
duty and forty-eight (48) hours off duty shall accrue vacation as follows: Members
who have less than three (3) years' service with the Department, at the annual rate of
five (5) work days; members who have successfully completed more than three (3)
years' but less than ten (10) years' service with the Department, at the annual rate of six
(6) working days; members who have successfully completed more than ten (10) years'
but less than sixteen (16) years' service with the Department, at the annual rate of
seven (7) working days; members who have successfully completed more than sixteen
(16) years' but less than twenty (20) years' service with the Department, at the annual
rate of eight (8) working days; members who have successfully completed more than
twenty (20) years' but less than twenty-five (25) years' service with the Department, at
the annual rate of nine (9) working days; and members who have successfully
completed more than twenty-five (25) years' of service with the Department, at the
annual rate of ten (10) working days.
(2)A work day as used in this section shall mean a twenty-four (24) hour period. Such
vacation shall be taken with the approval and consent of the Fire Chief. Vacation pay
shall be computed at the average pay the employee would receive for the period of
time covered by the vacation based on an average work week of fifty-six (56) hours.
Members with less than ten (10) complete years of service shall not be allowed to
accumulate vacation time. Vacation time must be taken as scheduled each year. Each
member who has completed ten (10) years of service may accumulate up to a
maximum of twenty-five (25) days of vacation at any one (1) time.
(d)Other members of Fire Department. Uniformed members of the Fire Department not
included in subsection (c) of this section shall receive the same vacation accrual as the
employees of the City who are not uniformed members of the Police and Fire Departments.
No member of the Fire Department shall receive an accrual rate for vacation than that
member had on June 30, 1980, as a result of the change in vacation accrual effective July 1,
1980.
(e)Employees paid on hourly basis. Regular full-time employees paid on an hourly wage basis
shall receive vacation pay at their regular hourly rates, for the number of hours in their
regular daily shifts for each working day while on vacation leave.
(f)Payment for unused leave. Upon termination of employment, all members of the Fire
Department working shifts of twenty-four (24) hours on duty and forty-eight (48) hours off
duty shall be paid for any unused accrued vacation as outlined in Article 11 of the
Collective Bargaining Agreement. All other all employees except those governed by the
collective bargaining agreement between the City and Firefighters’ Local 168 shall be paid
for any unused accrued vacation leave not to exceed fifty (50) working days.
(g)Accrual during leave of absence. An employee granted a leave of absence with pay for any
purpose shall continue to accrue vacation leave at the rate prescribed in this section during
such absence. An employee granted a leave of absence without pay for any purpose shall
not continue to accrue vacation leave while out.
(h)Vacation schedule. Each department director is responsible for the shall prepare a
scheduleing of vacations for the entire year indicating how many employees in their
department. Directors determine how many employees may be gone from work within the
department at any one (1) time, and requests for vacation shall be applied for on a basis of
seniority. Accrued time not originally applied for may be taken with the approval of the
department director at any time. All members of the Fire Department working shifts of
twenty-four (24) hours on duty and forty-eight (48) hours off duty shall schedule vacation
as outlined in the Collective Bargaining Agreement.
(i)Advancement of leave days. An employee may be advanced the number of days of vacation
leave that would be earned during the remainder of the current calendar year, but, if an
employee is separated from employment before such advance leave is accrued under this
section, the employee shall reimburse the City for the amount of unaccrued leave that was
taken, and for this purpose a deduction shall be made from the employee's final payroll
check.
(j)Employees of 911 Emergency Communication Service.
(1)For the purpose of this subsection, a qualifying quarter of service shall be a quarter in
which a part-time employee of the Emergency Communication Service is paid for a
minimum average of thirty (30) hours of work per week.
(2)All full-time employees of the 911 Emergency Communication Service shall be
entitled to vacation pay in accordance with this section.
(3)After completion of one (1) year of service with the Emergency Communication
Service, part-time employees shall accrue vacation at the rates set forth in this section
for each qualifying quarter of service. The vacation will accrue at the end of each
quarter, with each qualifying quarter constituting three (3) months of service. All other
provisions of this section shall apply to part-time employees of the Emergency
Communication Service, except as set forth herein.
(4)Notwithstanding the foregoing provisions of this section, no part-time employee of the
Emergency Communication Service shall be entitled to accrue vacation benefits until
the employee has completed one (1) year of service.
Sec. 78-33. Sick leave.
(a)Generally.
(1)Entitlement. Each employee of the City regularly employed on a full-time basis, except
for those covered under a collective bargaining agreement, shall be entitled to sick
leave with pay. The accrual of sick leave shall be at the rate of one and one-half (1 ½)
working days for each month of service for all employees except those employees who
may have a different benefit applicable to their position set forth in a Collective
Bargaining Agreement. Police Sergeants, Investigators and Officers and Fire Captains,
Lieutenants, and Firefighters who shall accrue such leave at the rate of one and one-
third (1 days per month. A month in which an employee is paid for twelve (12) days
or more, or a member of a platoon in the Fire Department is paid for five (5) twenty-
four (24) hour periods or more, shall be considered a month of service. A day for
which an employee receives workmen's compensation benefits from the City insurance
carrier shall be considered a day for which the employee is paid under this section.
Any employee granted a leave of absence for any other purpose shall not continue to
accrue sick leave at the rate prescribed in this section during the absence.
(2)Retirement time purchase. When an employee retires the City will purchase one (1)
day of retirement credit for each sick day accumulated up to a maximum of one (1)
year's retirement credit (two hundred forty-two (242) days). An employee must have a
minimum of fifty (50) days accrued sick time at the time of retirement to receive this
benefit.
(3)Payment alternative. Employees may elect the following benefit in lieu of the
retirement time purchase described in subsection (a)(2) of this section:
a.Upon retirement, employees electing the payment alternative who have over fifty (50)
days of sick leave accumulated shall be paid an amount equivalent to one (1) day's
regular pay for all sick days accumulated over fifty (50) days up to a maximum of
seventy (70) days' pay.
b.Current employees who desire to select this payment alternative in lieu of the
retirement time purchase benefit in subsection (a)(2) must state their desire in writing
to the City Personnel Director before 4:30 p.m. June 30, 2000. Employees hired after
the effective date of the ordinance from which this article is derived who desire to
select this payment alternative in lieu of the retirement time purchase benefit in
subsection (a)(2) of this section must state their desire in writing to the City Personnel
Director within ninety (90) days of their date of employment.
c.Employees who select this payment alternative may accrue a maximum of one
hundred fifty (150) days of sick leave. All other employees may accrue a maximum
of two hundred forty-two (242) days of sick leave.
d.Police Sergeants, Investigators and Officers and Fire Captains, Lieutenants, and
Firefighters who elect this payment alternative in lieu of the retirement time purchase
described in subsection (a)(2) of this section and who have one hundred fifty (150)
days of sick leave accumulated shall be paid an amount equivalent to one (1) day's
regular pay for one-third of all sick days accumulated over one hundred fifty
(150) days. Payment for these sick days shall be no later than the last day of January
of the following year.
(4)Death benefit. If an employee dies, the surviving spouse or designated beneficiary shall
be entitled to the same unused sick leave benefits option as elected by the employee,
either the retirement time purchase benefit described in subsection (a)(2) of this section
or the payment alternative described in subsection (a)(3) of this section.
(b)Use. An employee eligible for sick leave with pay shall be granted leave for the following
reasons only:
(1)Personal illness or physical incapacity resulting from causes beyond the employee's
control.
(2)The illness of a member of the employee's household, the employee's parents, or
children, whether or not said parents or children are a member of the employee's
household, that requires the employee's personal care and attendance.
(3)Enforced quarantine of the employee in accordance with community health
regulations.
(c)Notification of department head. An employee needing to use sick leave shall follow HR-21
Sick Leave Policy for notification on sick leave shall inform the employee’s department
head of the fact and the reason therefor as soon as possible, and Ffailure to follow policy do
so within the first (1st) day of absence may, at the discretion of the City Manager, be cause
for denial of sick leave with pay for the period of absence.
(d)Physician's statement for leave in excess of three (3) consecutive days. Sick leave with pay
in excess of three (3) consecutive working days for any reason shall be granted only after
presentation of a written statement by a licensed physician certifying that the employee was
unable to perform the duties of the employee's position. Such statements shall accompany
payrolls submitted to the City Treasurer.
(e)Physician's statement in special cases. In special cases, with individual employees, where
the department head feels it is necessary to avoid abuse of the sick leave provisions, the
department head may, with the approval of the City Manager, require that employee to
submit a written statement by a licensed physician for any absence. The employee will be
notified in advance that the employee will be required to submit such a statement when the
employee is absent on sick leave.
(f)Advancement of leave. In unusual circumstances, and with the approval of the department
head and the City Manager, sick leave may be taken in advance of accrual up to a maximum
of thirty (30) working days (fifteen (15) twenty-four (24)-hour shifts for Fire Department
platoon members), provided that any employee separated from city employment who has
been granted sick leave that is unaccrued at the time of such separation shall reimburse the
City for all salary paid in connection with such unaccrued leave and, if possible, for this
purpose a deduction shall be made from the employee's final payroll check.
(g)Special provisions for Fire Department. Members of a platoon in the Paducah Fire
Department working shifts of twenty-four (24) hours on duty and forty-eight (48) hours off-
duty shall be charged with two (2) days' sick leave for each twenty-four (24) hour shift. One
(1) day of sick leave will be charged for any excused period of illness up to twelve (12)
hours. Compensation for sick leave shall be computed at the member's rate of pay times the
hours absent during the pay period, and full credit shall be given for regular and overtime
pay as if the member had actually worked the member's scheduled shift of twenty-four (24)
hours on duty and forty-eight (48) hours off duty as required by KRS 95.500.
\[. . . .\]
Sec. 78-38. Annual military leave.
All officers and employees of the City regularly employed on a full-time basis who are
members of the National Guard or of any reserve component of the armed forces of the United
States, or of the reserve corps of the United States Public Health Service, shall be entitled to a
leave of absence from their respective duties, without loss of time, pay, regular leave,
impairment of efficiency rating, or of any other rights or benefits to which they are entitled,
while in the performance of duty or training in the service of this State or of the United States
under competent orders, for a period in any Federal fiscal year not to exceed that specified in this
section. Such officers or employees while on such leave shall be paid their salaries or
compensations for a period or periods not exceeding twenty-one (21) working days. Fire
Department employees working shifts of twenty-four (24) hours on duty and forty-eight (48)
hours off duty shall have seven (7) – twenty-four (24) hour shifts.
\[. . . .\]
Sec. 78-40. Group life and medical insurance.
(a)The City shall provide group life and medical insurance for all full-time permanent
employees of the City in accordance with applicable insurance contract specifications and
as set forth and established by the City from time to time. Any benefits that differ from
what the City offers non-union permanent full-time employees will be defined in the
Collective Bargaining Agreements.
(b)Upon retirement of an employee participating in the group life insurance plan, the employee
may continue coverage in the amount of $4,000.00, for which the retiree shall pay fifty (50)
percent of the total monthly premium. In no event shall the City pay more than fifty (50)
percent of any such premium.
(c)Any retiree of the Police and Firemen's Fund who elects to remain a member of the City's
group health insurance shall pay the premiums attributable to that retiree, monthly, in
advance. Eligibility for retirees is pursuant to the City of Paducah Medical, Prescription
Drug, Vision and Dental Master Plan Document as accepted and effective July 1, 1999, and
as may be amended from time to time.
(d)Pursuant to an agreement between the City and the Fraternal Order of Police bargaining
unit, the City's group life insurance policy shall contain a rider providing for double
indemnity for a police officer killed in the line of duty and additional benefits for loss of
limb or sight. These additional benefits shall become effective May 1, 1996.
\[. . . .\]
SECTION 2.That the City of Paducah, Kentucky hereby amends Chapter 78 Personnel,
Article III of the Paducah Code of Ordinances by amending the following sections:
Sec. 78-61. Deferred compensation plan.
(a)The City may hereby adopts the U.S. Conference of Mayors Deferred Compensation
Programs and its their attendant investment options and hereby establishes the City of
Paducah Deferred Compensation Restated Plan for the voluntary participation of all eligible
city employees and elected officials.
(b)The Human Resources Finance Director shall act as the administrator of the plan
representing the City.
(c)The Mayor is hereby authorized to execute all agreements and contracts necessary to
implement the restated program. It is understood that, other than incidental expenses of
collecting and disbursing the employee's deferrals and other minor administrative matters,
there is to be no cost or contribution by the City.
\[. . . .\]
Sec. 78-66. Specialty pay.
(a)City employees who achieve certification, additional certification or credentials that will
expand their performance in their job and have a specific value to the City may be eligible
to receive specialty pay upon recommendation by the Department Director and Personnel
Director and approval by the City Manager. If the City Manager determines that the City
needs these skills and that funds are available then a specialty pay category may be
established.
(b)The amount of the specialty pay will be recommended by the Department Director and
Personnel Director and requires approval by the City Manager.
(c)To qualify for specialty pay the employee's certifications or credentials must be from a
recognized professional organization or institution and must require a significant amount of
study and expertise to achieve.
(d)Other specialty pay for any other City employees will be defined in HR policies by
department, according to each applicable position. Collective bargaining agreements will
define specialty pay for any applicable positions.
SECTION 3.This Ordinance shall be read on two separate days and become effective
upon summary publication pursuant to KRS Chapter 424.
George Bray, Mayor
ATTEST:
Lindsay Parish, City Clerk
Introduced by the Board of Commissioners, , 2024
Adopted by the Board of Commissioners, , 2024
Recorded by the City Clerk, , 2024
Published by The Paducah Sun, , 2024
_____________________, 2024
I move that the Board of Commissioners of the City of Paducah introduce an ordinance
entitled “AN ORDINANCE AMENDING CHAPTER 78, PERSONNEL ARTICLES II,
BENEFITS AND LEAVE, AND ARTILE III, COMPENSATION OF THE CODE OF
ORDINANCES OF THE CITY OF PADUCAH, KENTUCKY
This ordinance is summarized as follows:
Removing any language in either Article that conflicts with and/or is addressed by collective
bargaining agreements in which the rights and/or benefits may be different than those offered to
non-union employees; removing any language specific to 911 employees as such language was
only applicable when 911 was a stand-alone agency; adding language that allows part-time
employees who work on designated Holidays to be paid at time and one half their hourly rate;
including language that requires employees to follow HR-21 Sick Leave policy when requesting
sick leave; defining the total amount of time Fire Department employees working 24 hour shifts
may be paid while on military leave; updating the section relating to deferred compensation
plans to include all deferred plans to which the City allows its employees to participate; and
adding language to allow each Department to define specialty pay.
Agenda Action Form
Paducah City Commission
Meeting Date: October 22, 2024
Short Title: Amend Interlocal Agreement for Provisions of Emergency 911 Services with McCracken
County. D JORDAN
Category: Ordinance
Staff Work
By: Daron
Jordan
Presentation
By: Daron
Jordan
Background Information: The ordinance amends the original interlocal agreement with McCracken County
for the provision of 911 services to establish a Paducah-McCracken Joint 911 Parcel Fee Appeals Board which
shall determine all appeals filed by property owners concerning the classification of their property. The Board
shall consist of five (5) citizen members who shall not be elected officials nor employees of the City or County.
The Mayor of the City of Paducah shall appoint two (2) members, the Judge Executive of McCracken County
shall appoint two (2) members, and the Mayor and Judge-Executive shall jointly appoint one (1) member. All
appointees shall serve a two (2) year term of office. Each member of the Appeals Board shall receive
compensation in the amount of $200 per meeting attended for service on the Appeals Board. The members will
the members elect a Chairperson and Vice-Chairperson every two years.
Does this Agenda Action Item align with a Commission Priority? No
If yes, please list the Commission Priority: Commission Priorities List
Communications Plan:
Account Name:
Funds Available:
Account Number:
Staff Recommendation:
Attachments:
1. Ord - INTERLOCAL AGREEMENT WITH COUNTY 911
2. PADUCAH-MCCRACKEN 911 SERVICE AGREEMENT
ORDINANCE NO. 2024 -_____-_________________
AN ORDINANCE OF THE CITY OF PADUCAH, KENTUCKY,
APPROVING AND AUTHORIZING THE EXECUTION OF AN
INTERLOCAL COOPERATION AGREEMENT BETWEEN THE CITY
OF PADUCAH, KENTUCKY ND THE COUNTY OF MCCRACKEN,
KENTUCKY FOR THE PROVISION OF 911 SERVICES
WHEREAS, the City of Paducah, Kentucky and McCracken County, Kentucky
previously determined it was in the best interest of all citizens of Paducah and McCracken
County for the provision of 911 services to be served jointly by both public agencies; and
WHEREAS, it was determined that City and County have a compelling public interest in
providing joint services for the benefit of all citizens and visitors of the City of Paducah and the
County of McCracken, Kentucky; and
WHEREAS, City and County determined that in order to accomplish the public purposes
of City and County, it is desirable and necessary for City and County to enter into an Interlocal
Cooperation Agreement for the provision of 911 services which sets forth their joint mission,
management plan, powers, duties and responsibilities of the joint board, funding, and
administration; and
WHEREAS, pursuant toKRS 65.210 to 65.300 (the "Interlocal Cooperation Act"), the
City and the County may join together to accomplish what each may accomplish individually
and previously did so on _____________, 2024; and
WHEREAS, subsequent thereto City and County both enacted a Parcel Fee Ordinance in
which the Parties agreed to establish a Joint Appeals Board by including establishing language in
the 911 Interlocal Cooperative Agreement; and
WHEREAS, as a result, the Parties have drafted a superseding Interlocal Cooperative
Agreement which sets forth the establishment of a Joint Appeals Board.
1
N OW THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE
CITY OF PADUCAH, KENTUCKY, AS FOLLOWS:
SECTION 1. The City of Paducah, Kentucky, hereby approves the Interlocal
Cooperative Agreement between the City of Paducah, Kentucky and the County of McCracken,
Kentucky in the form attached hereto as Exhibit A and made part hereof. It is hereby found and
determined that the Interlocal Cooperative Agreement furthers the public purposes of the City
and it is in the best interest of the citizens, residents, inhabitants, and visitors of the City that the
City enter into the Interlocal Cooperative Agreement for the purposes therein specified and the
execution and delivery of the Interlocal Cooperative Agreement is hereby authorized and
approved. It is hereby further found that the provision establishing the Joint Appeals Board set
forth in this subsequent Interlocal Cooperative Agreement complies with the Parcel Fee
Ordinance provision which requires the Parties to include the establishment of the Joint Appeals
Board in the Interlocal Cooperative Agreement. Consequently, the Mayor is hereby authorized
to execute the Interlocal Cooperative Agreement, together with such other agreements,
instruments or certifications which maybe necessary to accomplish the transaction contemplated
by the Interlocal Cooperative Agreement.
SECTION 2. If any section, paragraph or provision of this Ordinance shall be held to be
invalid or unenforceable for any reason, the invalidity or unenforceability of such section,
paragraph or provision shall not affect any of the remaining provisions of this Ordinance.
SECTION 3. All ordinances, resolutions, orders or parts thereof in conflict with the
provisions of this Ordinance are, to the extent of such conflict, hereby repealed and the
provisions of this Ordinance shall prevail and be given effect.
2
SECTION 4. This Ordinance shall be read on two separate days and will become
effective upon summary publication pursuant to KRS Chapter 424.
_________________________________________
GEORGE BRAY, MAYOR
ATTEST:
_________________________________
Claudia S. Meeks, Assistant City Clerk
Introduced by the Board of Commissioners, October 8, 2024
Adopted by the Board of Commissioners, _____________________, 2024
Recorded by Claudia S. Meeks, Assistant City Clerk, ________________, 2024
Published by The Paducah Sun, __________________, 2024
4875-6695-2327
3
AGREEMENT FOR PROVISION OF EMERGENCY 911 SERVICES
The City of Paducah, Kentucky, hereinafter referred to as “City”, and McCracken
County, Kentucky, hereinafter referred to as “County”, independently referred to as “Party”,
collectively referred to as “Parties”, agree as follows:
WHEREAS, the City and County have expressed their desire and intent to collaborate in
the provision and delivery of public safety and emergency dispatching services within Paducah
and McCracken County;
WHEREAS, the City completed an evaluation of dispatching services provided within
Paducah and McCracken County, including an independent analysis of potential benefits
available through a collaborative approach to service delivery, performed by a professional
consultant specializing in public safety communication systems, namely Federal Engineering,
Inc. of Fairfax, Virginia, and the County has reviewed and approved of and agreed with such
evaluation;
WHEREAS, the Parties’ respective legislative bodies have expressed intent to adopt a
resolution or ordinance authorizing and directing the respective administrations to proceed with
the implementation of a consolidated system of emergency services dispatching;
WHEREAS, the Parties acknowledge their intent and desire to form an Agreement
pursuant to the provisions of KRS 65.250, et seq.
NOW THEREFORE, THE PARTIES HEREBY AGREE AS FOLLOWS:
I. REQUIREMENTS FOR INTERLOCAL AGREEMENT
This is an Interlocal Cooperative Agreement by and between the City of Paducah and
McCracken County entered into under the authority of the Interlocal Cooperation Act, KRS
65.210 et seq. Pursuant to KRS § 65.250, the purpose of this Agreement is set forth in Section
II, Mission Statement. Its duration is set forth in Section IX, Duration. Its method of
Termination is set forth in Section IX(C), Withdrawal/Termination. Its manner of administration
is set forth in Section V, Administration. Disposition of property acquired is set forth in Section
VIII, Property. Manner of financing is set forth in Section IV, Funding.
II. MISSION STATEMENT
The City and County hereby state their collective intent to collaborate in the provision of
public safety communication services to all police and fire agencies and emergency management
departments within Paducah and McCracken County including, but not limited to, 911
emergency dispatching, radio communications, access to criminal history/warrants information
and related records management, and similar informationand services generally associated with
public safety/emergency communications systems.
Through this Joint Venture, the City and County shall provide efficient, reliable and
quality public safetycommunication services to the public safety agencies and citizens of
1
Paducah and McCracken County. The Parties to this Agreement further acknowledge a belief
that the provision of these services, via a model of integrated service delivery, will result in the
most efficient and effective utilization of resources to accomplish this purpose.
This Joint Venture shall operate under the name of Paducah-McCracken 911 Service
(hereinafter “911”).
III. ORGANIZATION
A. Board. There shall be created the Paducah-McCracken 911 Board (hereinafter “Board”).
B. Composition of Board. The Board shall consist of five (5) citizen members who shall
not be elected officials nor employees of the City or County. The Mayor of the City of
Paducah shall appoint two (2) members, the Judge Executive of McCracken County shall
appoint two (2) members, and the Mayor and Judge-Executive shall jointly appoint one
(1) member.
C. Appointment of Board Members. All appointees shall serve a two (2) year term of
office or until the member is replaced, at the pleasure of the appointing authority, being
subject to removal with cause, as described herein.
D. Removal of Board Members. Each appointed Board member shall be removable for
“cause” due to inefficiency, neglect of duty, malfeasance or conflict of interest. Any
member of the Board may be removed by their appointing authority, for cause, after a
hearing by the appointing authority, and after at least ten (10) days’ notice in writing has
been given to the member, specifying the charges against the member. The finding of the
appointing authority shall be final. A member subjected to removal proceedings may be
represented by counsel.
E. Board Compensation. Each member of the Board shall receive compensation in the
amount of $200 per meeting attended for service on the Board and shall be reimbursed
for all reasonable mileage and out-of-pocket expenses for Board business conducted
outside of McCracken County. All such payments shall be charged to the 911 operating
budget.
F. Ethics. All members shall be bound by ethics policies enacted by the Parties in the
performance of their duties as Board members.
G. Board Officers. At the first meeting, the members shall elect a Chairperson and Vice-
Chairperson by a majority vote, who shall serve during the first two (2) years. Subsequent
appointments of Chairperson and Vice-Chairperson shall be made by a majority vote of
the Board every two (2) years.
H. Management Control of 911. The Paducah Police Department (hereinafter “PPD”) shall
serve as the “Management Control” of 911. In doing so, PPD shall be responsible for the
management of 911, excepting those responsibilities specifically assigned herein to the
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Board and the City’s Finance Department. Responsibilities of PPD shall include, but not
be limited to, the management of the National Crime Information Center (“LINK/NCIC”)
Database, the adoption of 911 policies and procedures relating to employment/personnel,
implementing policies adopted by the Board that are in compliance with the Criminal
Justice Information Services (“CJIS”) Security Policies and/or Agreement, and the
management of 911 employees, including but not limited to, hiring, firing, and discipline.
The Chief of the Paducah Police Department or his/her designee shall serve as the
“Criminal Justice Agency Director” (“CJA Director”) of 911.
I. Paducah-McCracken 911 Service User Committee. A 911 Service User Committee
(hereinafter “User Committee”) shall be created which consists of Paducah’s Chief of
Police or his/her designee, Paducah Fire Chief or his/her designee, McCracken County
Sheriff or his/her designee, the Paducah-McCracken Office of Emergency Management
Director or his/her designee, one member from each of the five County Fire Protection
Districts, and one member from any other customer that shall hereinafter be served by 911.
The User Committee shall meet quarterly or more often, as necessary. The User
Committee members shall meet to discuss strategic issues and matters of mutual interest
and concern and shall report to the CJA Director, as defined herein, those recommendations
which the User Committee deems of significant import. The CJA Director shall consider
the recommendations but is not required to implement said recommendations. However, if
the CJA Director declines to implement said recommendations, the matter shall be referred
to the Board for decision consistent with the provisions of IV(B)(vii).
J. Paducah-McCracken Joint 911 Parcel Fee Appeals Board. There shall be created the
Paducah-McCracken Joint 911 Parcel Fee Appeals Board (hereinafter “Appeals Board”),
which shall determine all appeals filed by property owners concerning the classification of
their property. The process for appealing shall be set forth in the Parcel Fee Ordinances
adopted by City and County. The Board shall consist of five (5) citizen members who shall
not be elected officials nor employees of the City or County. The Mayor of the City of
Paducah shall appoint two (2) members, the Judge Executive of McCracken County shall
appoint two (2) members, and the Mayor and Judge-Executive shall jointly appoint one (1)
member. All appointees shall serve a two (2) year term of office or until the member is
replaced, at the pleasure of the appointing authority, being subject to removal with cause,
as described herein. Each appointed Appeals Board member shall be removable for “cause”
due to inefficiency, neglect of duty, malfeasance or conflict of interest. Any member of
the Appeals Board may be removed by their appointing authority, for cause, after a hearing
by the appointing authority, and after at least ten (10) days’ notice in writing has been given
to the member, specifying the charges against the member. The finding of the appointing
authority shall be final. A member subjected to removal proceedings may be represented
by counsel. Each member of the Appeals Board shall receive compensation in the amount
of $200 per meeting attended for service on the Appeals Board and shall be reimbursed for
all reasonable mileage and out-of-pocket expenses for Appeals Board business conducted
outside of McCracken County. All such payments shall be charged to the 911 operating
budget.All members shall be bound by ethics policies enacted by the Parties in the
performance of their duties as Appeals Board members. At the first meeting, the members
shall elect a Chairperson and Vice-Chairperson by a majority vote, who shall serve during
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the first two (2) years. Subsequent appointments of Chairperson and Vice-Chairperson
shall be made by a majority vote of the Appeals Board every two (2) years.
IV. BOARD POWERS, DUTIES, AND RESPONSIBILITIES
A. Authority of Board. The Board shall be responsible for adopting a recommended
annual operating Budget for 911, which shall be presented to the City and County by the
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Board Chairman no later than April1of each year.
B.Discharge of Duties. The Board shall discharge all duties and responsibilities conferred
upon it by this Agreement in a manner serving the interests of the political entities, public
safety agencies and the general public. The Board shall possess the authority, in fulfilling
its duties and obligations as stated herein, to perform the following functions:
i. Meet no less than on a quarterly basis, at dates and times that is within the
discretion of the Board; the Board shall have authority to call Special-Called
Meetings as necessary; a quorum shall be three (3) or more members;
ii. Provide financial oversight, including adoption of an annual operating budget to
meet the continuing expenditures of the organization;
iii. Retain the services of consultants and other experts for purposes of upgrading
equipment to operate a fully-integrated 911 dispatching facility, to the extent
permitted by the operating Budget;
iv. Ensure a User’s Committee, as more accurately described herein, is in place and
that its recommendations and/or concerns are considered by the CJA Director, as
described in Paragraph III(I) herein;
v. Ensure that the revenues and expenditures of 911, administered by the City’s
Finance Department, are audited on an annual basis by a qualified Certified
Public Accountant with the Report being presented to each Party to this
Agreement within ten (10) days of receipt by the Board.
vi. Enter into User Agreements and set rates related thereto.
vii. Make any necessary changes to 911 Policies and Procedures, with guidance from
the CJA Director, that do not violate LINK and/or CJIS policies, agreements, or
laws. However, the Board shall not have authority to make any changes to 911
Policies and Procedures related to issues concerning employment and/or
personnel but shall have the authority to make recommendations to the Paducah
Board of Commissioners with respect thereto.
C. Bi-Annual Report. The Board shall require the Board Chairman to report on a bi-annual
basis to the respective Parties to this Agreement regarding matters relating to the
provision of service, future plans, and general Board operations.
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V. FUNDING
A. Funding. This Joint Venture shall be funded utilizing the following sources of revenue:
(1) fees on wireless services, to the extent allowed by ordinances and Kentucky law; (2)
parcel fees imposed by McCracken County and City of Paducah ordinances on real
property located in McCracken County, with the Parties’ fees to be the same, and with
revenues to be shared equally; (3) any grants received by 911, PPD, and/or the Parties for
provision of 911 Services; (4) user fees imposed on agencies (other than the Parties)
utilizing the services of 911; and/or (5) any other lawful source of revenue. All 911
expenses, obligations, capital costs, and liabilities shall be shared equally by the Parties.
The Parties agree that any 911 expenses, obligations, capital costs, and liabilities not paid
due to a shortfall of revenue sources shall be shared equally between the Parties. Any
revenues, including interest, in excess of expenses shall be retained by the City’s Finance
Department to be applied to 911’s next Fiscal Year expenses.
B. Collection/Remittance/Financial Administration. Collection of parcel fees shall be the
responsibility of the County for all parcels located outside the City’s jurisdiction and the
responsibility of the City for all parcels located within the City’s jurisdiction. Collection
of user fees and CMRS/wireless service fees shall be the responsibility of the City. All
fees, grants, and other sources of revenue collected by either Party or any third party for
the provision of 911 services shall be remitted to the City Finance Department, which
shall serve as the Financial Administrator for 911 and shall be responsible for ensuring
911 expenses, liabilities, and other obligations are paid. All funds collected for the
operation of 911 shall be deposited in a separate account earmarked solely for expenses,
obligations, capital costs, and liabilities related to 911. The Parties agree that all revenues
received and/or collected for the provision of 911 services, as described herein, shall be
used solely for expenses related to the provision of 911 services.
C. Landline Fees. The assessment of telephone landline fees shall cease. The City and
County shall abolish all landline fees after parcel fees have been assessed and sufficient
revenue has been collected.
D. Budget. The Board shall prepare and adopt an annual operating budget for each fiscal
year, appropriating anticipated revenue adequate to fund projected expenditures,
consistent with the mission of the Board to be submitted to the McCracken County Fiscal
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Court and the Paducah City Commission by no later than April 1 of each year for
approval by each respective legislative body. If the City and County are unable to reach
agreement as to the operating budget prior to the applicable fiscal year, the operating
Budget shall remain as last approved by the Parties until such time the Parties can reach
an agreement or until the Parties terminate this Agreement pursuant to the
termination/withdrawal provisions set forth herein.
E. Board Financial Duties. The Board shall perform, or cause to be performed, all financial
activitiesand transactions consistent with generally accepted accounting principlesand
state law, including but not limited to, budgeting, procurement, fund accounting, and
auditing services.
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F. Rates and Fees. The Board shall, on no less than a yearly basis, analyze all projected
revenues and expenses and make recommendations to the City of Paducah and
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McCracken County by no later than March 1 of each year, any proposed amendments to
existing Legislative Enactments relating to Funding of 911.
VI. ADMINISTRATION
A. Employees. All current City 911employees shall remain employed by the City of
Paducah at their current rate of pay and shall retain their current benefits. This Agreement
does not affect the terms and conditions of their employment, nor should it be construed
as a waiver of their at-will employment status. In no event shall this Agreement be
interpreted or construed to create an employer-employee relationship between the County
and personnel providing 911 Service.
B. CERS Obligation. The City, as employer of 911 employees, acknowledges and accepts
responsibility for the participation of any such eligible employees in the Hazardous Duty
Retirement Program.
C. Payroll and Accounting. Payroll, employee benefits, and all attendant accounting
employee functions for 911 shall be performed by the City of Paducah. Any and all costs
associated with payroll, accounting, and human resources concerning 911 shall be
charged to the costs of operating 911 and included in the Budget.
VII. EXPENDITURES
A. Expenditures.In addition to all ordinary expenses necessary for the operation of 911,
theBoard and the Parties shall be responsible for ensuringthe following are funded:
i. CAD, Telephony, and Recorder upgrades; and
ii. Upgrades to the 911 system, including, but not limited to, radios, paging systems,
and new technology.
B. Party Expenditures. Each party shall be individually responsible for upgrades to their
handheld and vehicle radios which are necessary to comply with the upgraded 911
system.
C. Debt. The City and County shall be equally responsible for all debt incurred by either
Party for the operation of 911. The Budget proposed by the Board and adopted by the
Parties shall contemplate the repayment of debt. No Party shall incur debt for the
operation of 911 without the other Party’s written approval.
VIII.LOCATION OF DISPATCHING FACILITY
The Paducah-McCracken 911 Service Dispatching Facility is currently located at the
Emergency Communications Building at 510 Clark Street, Paducah, Kentucky, 42003. Any
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decision to relocate the911 Service Dispatching Facility to a location other than 510 Clark Street
shall be made jointly by both Parties.
IX. PROPERTY
A. Party Assets. As of the date of execution of this Agreement, all assets relating to 911
owned by the Parties to this Agreement are listed, incorporated, and attached hereto as
Exhibit A. The Parties shall retain ownership of all such assets during the pendency of
this Agreement.
B. Additional Assets. Each Party may acquire and otherwise own personal property and
equipment necessary to provide the services as enumerated herein.
C. Joint Assets. The Parties intend to acquire joint assets with joint funds during the
pendency of this Agreement. A list of those anticipated joint assets is attached hereto as
Exhibit B. The Parties agree to update Exhibit B during the pendency of this Agreement
as additional joint assets are acquired. In the event of termination of this Agreement,
each Party shall have the right to acquire one or more assets from the other Party. In
doing so, the Parties agree to negotiate in good faith as to the current fair market value
of said asset(s), taking into consideration the purchase price of the asset(s) and/or fair
market value at the time of acquisition and the depreciation of said asset(s). The
purchasing Party shall only be required to pay a percentage equivalent to the selling
Party’s pro rata contribution toward the purchase price and/or cost of the asset. For
instance, if the selling Party contributed 40% of the funds used to purchase the joint
asset, the purchasing Party is only required to pay the selling Party 40% of the current
fair market value of the joint asset. In addition, anyselling Party shall have the authority
to lease any joint asset from the purchasing Party if it so chooses. The Parties agree to
negotiate in good faith as to a reasonable rental payment and, in doing so, agree to set
the rental payment so that such valueis reasonably related to the cost of operation. In the
event the Parties cannot agree to a purchase price and/or lease payment price of any joint
asset at the time of termination, either Party shall have the right and/or authority to file a
declaratory judgment action in McCracken Circuit Court.
D. Assets upon Termination. Upon termination of this Agreement, each Party shall retain
ownership in the assets listed on Exhibit A and any additional assets acquired by that
Party during the pendency of this Agreement.
X. INSURANCE
The City and County shall each maintain insurance against legal liability for 911 services,
naming each other as additional insureds with limits of liability no less than three million dollars
($3,000,000) per person and three million dollars ($3,000,000) per incident. All insurance costs
shall be charged to the cost of operating 911 and included in the Budget thereof.
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XI. SHARED LIABILITY
It is the intent of the Parties to share equally in the liabilities associated with the operation
of 911. In the event either the City or County or the officers, agents, employees and/or volunteers
of the City or County are held liable for acts or omissions relating to the provision of 911
services and such liability is not paid in whole or part by insurance, the Parties agree to share
equally in those uncovered losses, expenses, costs, attorney’s fees, and other damages of every
kind and nature for all claims, demands, and causes of action, both in law and equity, including,
without limitation, third party actions and actions for contribution and/or indemnification.
XII. DURATION OF AGREEMENT
A. Duration / Term.This Agreement shall become effective on the date the Agreement is
fully executed. The Initial Term shall be for a period of five (5) years. Such term shall
automatically renew at the end of the Initial Term and any subsequent terms thereafter
for an additional five (5) years unless one party withdraws from and/or terminates the
Agreement, as set forth herein.
B. Amendment. This Agreement may be amended by mutual consent of the Parties, in
accordance with statutory provisions.
C. Withdrawal/Termination. Any Party may withdrawfrom and/or terminate this
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Agreement on June 30 of each year by providing no less than three (3) years advanced
written notice to the other Party and to the Board of its intent. Notices shall be delivered
to the Mayor of the City, the Judge/Executive of the County, and the Chairman of the
Board.
XIII.SEVERABILITY AND SURVIVAL
Any provision of this Agreement later held to be unenforceable for any reason shall be
deemed void and all remaining provisions shall continue in full force and effect. All obligations
arising prior to the termination of this Agreementand all provisions of this Agreement allocating
responsibility or liability between the Parties shall survive the completion of the services
hereunder and the termination of this Agreement.
XIV. WAIVER
The failure at any time to enforce any provision of this Agreement or failure to exercise
any right herein granted shall not constitute a waiver of such provision or such right thereafter to
enforce any or all of the provisions of this Agreement.
XV. ENTIRE AGREEMENT
This Agreement constitutes the entire agreement and understanding between the City and
County in regard to the subject matter thereof; it supersedes all prior negotiations,
representations, understandings, and agreements between them, written or oral, all of which are
no longer effective.
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In witness whereof, each party hereto has set its hand, through its duly authorized
agent pursuant to affirmative action from each respective legislative body:
AUTHORIZED REPRESENTATIVE OF THE CITY OF PADUCAH, KENTUCKY:
BY:_____________________________________ TITLE: _____________________
PRINTED NAME:______________________________ DATE:
AUTHORIZED REPRESENTATIVE OF McCRACKEN COUNTY, KENTUCKY:
BY:_____________________________________ TITLE:
PRINTED NAME:_______________________________DATE:
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Agenda Action Form
Paducah City Commission
Meeting Date: October 22, 2024
Short Title: Amend Ordinance Creating a Real Estate Parcel Fee for the Funding of 911 services,
Maintenance and Equipment. D JORDAN
Category: Ordinance
Staff Work
By: Daron
Jordan
Presentation
By: Daron
Jordan
Background Information: The ordinance amends the real estate parcel fee ordinance creating the funding of
911 services, equipment and maintenance to update the appeals process and make minor changes to the
occupied residential unit rebate form. The ordinance establishes an administrative process which authorizes
City & County staff to approve an appeal on the parcel classification if sufficient evidence is provided. If no
classification is deemed warranted, the appeal shall be forward to the Paducah-McCracken Joint 911 Parcel Fee
Appeals Board.
Does this Agenda Action Item align with a Commission Priority? No
If yes, please list the Commission Priority: Commission Priorities List
Communications Plan:
Account Name:
Funds Available:
Account Number:
Staff Recommendation:
Attachments:
1. ORD PARCEL FEE ORDINANCE WITH TRACKED CHANGES
2. Parcel Fee Rebate Form
ORDINANCE NO. 2024-10-__________2024-
AN ORDINANCE REPEALING ORDINANCE NO. 2024-______ AND ADOPTING A NEW
ORDINANCE ESTABLISHING AND IMPOSING A FEE ON ALL OCCUPIED REAL ESTATE
PARCELS LOCATED WITHIN THE TERRITORIAL LIMITS OF THE CITY OF PADUCAH
TO FACILITATE FUNDING FOR THE PROVISION OF JOINT 911 SERVICES AS MORE
FULLY SET FORTH IN THE INTERLOCAL COOPERATION AGREEMENT BETWEEN
THE CITY OF PADUCAH AND MCCRACKEN COUNTY
WHEREAS, the City of Paducah previously enacted a Parcel Fee Ordinance to facilitate
the funding for the provision of 911 services; and
WHEREAS, the Oordinance setsts forth an appeals process for citizens to request
reconsideration of classification of property, which are to be heard by a Joint Appeals Board; and
WHEREAS, the City and County subsequently determined that ancided to add an
additional step should be added to the appeals process whereby City and/or County staff,
whichever is applicable, shall consider all appeals before sending them to the Joint Appeals Board;
and
WHEREAS, this Ordinance adds this additional step and repeals the previously-adopted
Ordinance; and
WHEREAS, the City of Paducah and McCracken County are responsible for promoting
public safety and the general welfare of the citizens of Paducah, McCracken County, Kentucky;
and
WHEREAS, the operation of an emergency 911 communications system is one of the most
critical of all public services, indispensable and necessary for the safety of the citizens of Paducah,
McCracken County to ensure prompt response to emergencies; and
WHEREAS, the City of Paducah and McCracken County have entered into an Interlocal
Cooperation Agreement for the provision of joint 911 services; and
WHEREAS, there is currently a fee-based system for financial support based upon a per-
month charge on “land-line” phones in Paducah, McCracken County, Kentucky, and
WHEREAS, the ever-increasing use and reliance on mobile phones and the concomitant
decreasing existence of land-line phones has resulted in a significant decrease in revenues to
support the operations of emergency 911 communication services in Paducah, McCracken County,
Kentucky; and
WHEREAS, the reduction in revenues has resulted in a lack of adequate funding to
continue to operate emergency 911 communication services in Paducah, McCracken County,
Kentucky; and
WHEREAS, KRS 65.760 (3) expressly permits local governments to fund emergency 911
communication services by the imposition of fees not in conflict with the Constitution and statutes
of this state; and
WHEREAS, the distribution of funding for emergency 911 communication services among
the citizens of Paducah, Kentucky through a fee on parcels located in the City of Paducah is more
equitable; bears a reasonable relationship to the benefit received; and requires more citizens to
support the system than the existing “land-line” phone fee; and
WHEREAS, the Kentucky Supreme Court has expressly permitted fees on real estate
parcels as an appropriate mechanism for funding emergency 911 communication services; and
WHEREAS, a real estate parcel fee would assist in the funding of emergency 911
communication services and also ensure the distribution of funding to a broader range of citizens
rather than just those who have land-line phones; and
WHEREAS, the Commission will repeal the land-line phone fee once sufficient funding
for 911 has been collected via parcel fees.
NOW THEREFORE, BE IT HEREBY ORDAINED BY THE BOARD OF
COMMISSIONERS OF THE CITY OF PADUCAH AS FOLLOWS:
SECTION 1. That there is hereby established, imposed, and implemented an annual
parcel fee on all occupied individual residential units and all occupied individual commercial,
religious, charitable, educational, and public use units located within the territorial limits of
the City of Paducah, as determined from the records of the McCracken County Property
Valuation Administrator's office. The fee shall be used for the delivery of Enhanced 911
emergency telephone service as provided for by KRS 65.760 and the associated maintenance
of systems and devices, including but not limited to, operating costs of the Paducah-
McCracken County 911 Services Center and purchase and maintenance of E911 equipment.
SECTION 2. The Board of Commissioners hereby imposes the following annual
parcel fees on all parcels of occupied real property, as more accurately defined in Sections 3
through 5 of this Ordinance, which are located within the jurisdictional limits of the City of
Paducah:
A.Super Commercial Unit (contains structure in excess of
25,000 sq. ft.)$1,550
B.Large Commercial Unit (contains structure between 7,500
and 25,000 sq. ft.)860
C.Medium Commercial Unit (contains structure between 2,500 and
7,500 sq. ft.)325
D.Small Commercial Unit (structure between 1 and 2,500 sq. ft.)210
E.Parking Lots (which shall include, but not be limited to, parking lots,
garages, or other areas designed for the parking of
motor vehicles as defined by KRS 186.010(4) whereby the owner,
occupant, lessee, or possessor of any portion of the parcel leases, rents,
licenses, bails, or otherwise allows the parking or storage of motor
vehicles in exchange for consideration)150
F.Public Use Units (emergency service, governmental, religious,
charitable, and educational)35
G.Residential Units45
In the event a parcel is mixed use, the parcel shall be assessed at the highest applicable
assessment rate.
SECTION 3. An occupied residential unit shall be defined as each residential space
designed and/or utilized for occupancy for residential purposes and includes each apartment
and/or duplex unit, house, and mobile home as a separate residential unit.
SECTION 4. An occupied commercial unit shall be defined as a non-residential
building space of any size designed and/or utilized for occupancy by an individual non-
residential business or private enterprise which involves the manufacture, sale, lease, or rental
of goods, or services to the public.
SECTION 5. An occupied public use unit shall be defined as any parcel owned or
leased by:
A.Any City, County, State, or Federal Government in which the parcel is used for the
purposes of conducting the regular business of its government, its police department,
or its fire department.
B.A Fire District so long as the parcel is used by the District to deliver fire protection
services pursuant to KRS Ch. 75.
C.A non-residential building space of any size designed and/or utilized for occupancy
for religious activities and/or worship.
D.A non-residential building space of any size designed and/or utilized for occupancy
for the carrying out of a charitable purpose as determined by Section 501 of the
Internal Revenue Code.
E.A non-residential building space of any size designed and/or utilized for occupancy
for the purpose of education, the administration thereof or extracurricular activities.
SECTION 6. The 911 parcel fee shall be placed upon the City of Paducah’s property tax
bills prepared by the City’s Finance Department beginning with the 2024 tax bill and continuing
every year thereafter. The due dates shall be the same as the property tax due dates set by the
Board of Commissioners.
SECTION 7. For the first year only, owners of all occupied residential rental units shall
be eligible to claim a rebate of $22.50 per unit against the annual fee due. This rebate which is
the equivalent of a 6-months share of the fee, is granted to allow owners of rental property
additional time to recover some or all of the amount of the fee from tenants. In subsequent years,
the full amount of the annual 911 parcel fee shall be paid for all occupied residential rental units.
In order to be eligible for this rebate, the property owner of the occupied rental unit(s) shall
complete and submit the form, attached hereto, to the City of Paducah Finance Department,
which shall be received by the Finance Department on or before March 1, 2025.
SECTION 8. The Board of Commissioners, in conjunction with McCracken County,
Kentucky, shall amend the Interlocal Agreement for Provision of Emergency 911 Services to create
a “Joint 911 Parcel Fee Appeals Board” to address all appeals of parcel fee assessments.
SECTION 9. Any property owner may appeal the classification of their property under
the terms of this Ordinance. However, an appeal shall not affect the date the parcel fee is due. A
property owner wishing to appeal a classification shall file an appeal by delivering a notice of
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appeal to the Paducah City Clerk by no later than December1 of the year for which the fee is
due. The appeal shall be forwarded to the City Finance Department or the McCracken County
Finance Department, whichever is applicable. The relevant staff shall consider the information
provided in the appeal and make a determination as to whether the property should be
reclassified without requiring the property owner to present further evidence. If it is determined
that the property should be reclassified, the property owner shall be notified of the
reclassification and be provided appropriate relief, including, but not limited to, a refund of all
or a portion of the parcel fee paid during the applicable tax year. If no change in classification is
deemed warranted, the appeal shall be forwarded to the Chairman of the Joint Appeals Board
who shall set a date for a meeting at which time the property owner can present evidence and
otherwise be heard on the issue of classification. The property owner shall bear the burden of
proof that the property has been incorrectly classified by clear and convincing evidence. The
applicable Finance Department shall also have the right to present evidence of proof that the
classification is appropriate. If the property owner presents sufficient proof of lack of occupancy
and/or any other evidence to indicate that the parcel was inappropriately classified, the Joint
Appeals Board shall provide relief to the party by a majority vote, including, but not limited to, a
refund of all or a portion of the parcel fee paid during the applicable tax year.
SECTION 10. All real estate parcel fees shall be collected by the City of Paducah’s
Finance Department.
SECTION 11. The real estate parcel fees collected shall be accounted for and kept
separate and apart from other accounts and may only be used for the funding of emergency 911
services as permitted by state law and as more fully set forth in the Interlocal Cooperation
Agreement between the City of Paducah and McCracken County.
SECTION 12. The failure of any owner of real property to pay the fee as set forth in this
Ordinance shall be punishable as a Class A Misdemeanor and/or by civil collection process.
SECTION 13. As more fully set forth in the Interlocal Agreement for the Provision of
Emergency 911 Services entered into by the City of Paducah and McCracken County, the 911
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Board shall review the fee imposed by this Ordinance and by no later than April 1of each year
make a recommendation to the City of Paducah as to any adjustments to the then-effective parcel
fee to ensure adequate funding of the Joint 911 services.
SECTION 14. Unless otherwise determined by the Paducah Board of Commissioners,
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commencing April 1, 2025, and on April 1of each successive year thereafter, all parcel fees set
forth in this Article shall be automatically adjusted based on the Urban Consumer Price Index for
the South Region as published by the U.S. Department of Labor, Bureau of Labor Statistics, for
the prior January.
SECTION 15. The provisions of this Ordinance are declared to be severable. If any
section, phrase or provision shall for any reason be declared invalid, such declaration shall not
affect the validity of the remainder of this Ordinance.
SECTION 16. This Ordinance shall be read on two separate days and become effective
upon summary publication pursuant to KRS Chapter 424.
_______________________________________
GEORGE BRAY, MAYOR
MAYOR
ATTEST:
Claudia S. Meeks, Assistant City Clerk
Introduced by the Board of Commissioners, October 8, 2024
, 2024
Adopted by the Board of Commissioners, , 2024
Recorded by Claudia S. Meeks, Assistant City Clerk, ___________________, , , 2024
Published by The Paducah Sun, , 2024
4859-4231-7447
APPLICATION FOR OCCUPIED RESIDENTIAL RENTAL UNIT REBATE
(Submit one form for each parcel containing one or multiple units) Name of Property
Owner:
Address of Property Owner:
Telephone Number of Property Owner:
Name of Occupied Rental Property (if applicable):
Address of Occupied Rental Property:
Number of rental units located on this parcel:
I hereby certify that the information contained herein is true:
Signature of Property Owner
Date
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THIS FORM MUST BE RECEIVED BY THE CITY’S FINANCE DEPARTMENT ON
OR BEFORE MARCH 1, 2025 BY PERSONAL DELIVERY OR MAIL TO:
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Paducah City Hall Finance Department 300 South 5Street
Paducah, Kentucky 42001
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