Resolution 12-075 Approving the Employee Wellness Program and Enrollment with Virgin Health Miles Program

CITY OF HOMER
HOMER, ALASKA

City Manager

RESOLUTION 12-075

A RESOLUTION OF THE CITY COUNCIL OF HOMER, ALASKA, APPROVING THE CITY OF HOMER EMPLOYEE WELLNESS PROGRAM, AUTHORIZING ENROLLMENT WITH THE VIRGIN HEALTH MILES PROGRAM FACILITATED BY THE HORTON GROUP, AND AUTHORIZING THE CITY MANAGER TO EXECUTE THE APPROPRIATE DOCUMENTS.

WHEREAS, In 2011 an Employee Committee was established to provide feedback to City Council regarding the health care plan for the 2012 budget and the Committee reconvened in early spring to consider an employee wellness program; and

WHEREAS, Health care costs continue to be a budgetary concern; and

WHEREAS, Nationwide studies show that preventable conditions such as high blood pressure, sedentary lifestyle, stress, cancer, and obesity, make up the bulk of health care claims and according to the Centers for Disease Control, more than 75% of employers' health care costs and productivity losses are related to employee lifestyle choices; and

WHEREAS, The Wellness Council of America reports that healthy employees boost a company’s bottom line. They experience less sick time, take fewer disability days and suffer lesser risk of premature deaths; and

WHEREAS, Reports also show that for each dollar invested in wellness programs, up to $3 can be saved in health care costs; and

WHEREAS, The Employee Committee considered programs facilitated in house and by a third party. The Committee decided a third party program is preferred as it will require less city staff time to manage, and gives ownership of personal wellness to the employee; and

WHEREAS, Virgin Health Miles, facilitated by Horton Group, is a pedometer based program that can be tailored to fit the employees needs, the cost is assessed per participant enrolled, and will be available to employees and spouses who are enrolled in the City of Homer’s health care plan; and

WHEREAS, All City departments have at least one representative on the employee committee to provide information to the departments about the program, and while some employees are not interested, most departments have expressed interest in participating; and

WHEREAS, Participation in the wellness program is voluntary and offers each participant an opportunity to accomplish levels of achievement, earn monetary rewards, improve their health; and

WHEREAS, For further incentive, the Employee Committee established physical challenges and lifestyle challenges for each month, and a points schedule that encourages participants to take advantage of the ever important annual preventative check ups; and

WHEREAS, The expected result of the wellness program is fewer claims for preventable conditions which will save costs to the health care plan and result in savings to the City; and

WHEREAS, The City Manager has permission to budget for the Employee Wellness Program each year.

NOW, THEREFORE, BE IT RESOLVED that the City Council of Homer, Alaska, approves the City of Homer Employee Wellness Program, authorizes enrollment with the Virgin Health Miles program facilitated by the Horton Group, and authorizing the City Manager to execute the appropriate documents.

BE IT FURTHER RESOLVED that the City Manager is authorized to budget for the Employee Wellness Program on a recurring basis.

PASSED AND ADOPTED by the City Council of Homer, Alaska, this 27th day of August, 2012.

CITY OF HOMER

_____________________________
JAMES C. HORNADAY, MAYOR

ATTEST:

______________________________
JO JOHNSON, CMC, CITY CLERK

Fiscal Note: Account number to be assigned. Estimated cost $8,000 FY 2012 and $30,000 FY 2013