November 18, 2017 at 5:31 a.m.

Portland to save on insurance

Plan cost for 2018 reduced by more than half a million through switching providers
Portland to save on insurance
Portland to save on insurance

By RAY COONEY
President, editor and publisher

Portland will save more than half a million dollars on health insurance in 2018 by switching providers.

Portland Board of Works on Friday approved a two-year insurance contract with Unified Group Services of Anderson at a cost of $968,392.95.

The board also voted to have additional environmental testing done at the former book bindery site and OK’d the purchase of a new pump to help a lift station that has been struggling to keep up with water flow during rainy days.

Portland Mayor Randy Geesaman, who is also a member of the board of works, said during Friday afternoon’s meeting that he and clerk-treasurer Lori Ferguson shopped around in an effort to save money on health insurance costs. They received quotes from four companies for coverage similar to what the city currently offers, with Unified Group Services coming in lowest. (The next lowest bid quote was $1.01 million from Star Insurance Agency of Fort Wayne. A.I.M. Medical Trust of Indianapolis submitted a quote of $957,486.24, but could not match the coverage levels of the other companies.)

Ferguson said the new contract, with the cost guaranteed for two years and then guaranteed not to increase more than 5 percent in the third year, will save the city about $531,000 compared to its current contract with BeniComp Insurance Agency, Fort Wayne. The city will also be eligible for quarterly rebates.

Bill Gibson and Geesaman, who said the Unified Group Services plan offered the best coverage in addition to having the lowest cost, approved the new insurance contract, with Jerry Leonhard absent.

Also approved Friday was Phase II environmental testing at a cost of $14,742 through SES Environmental, Fort Wayne, for the former book bindery property on Wayne Street. The testing was recommended by the company, which recently completed initial testing.

“To be safe and to be sure that there’s nothing else of concern there, they highly recommend some additional testing and borings,” said Geesaman.

He added after the meeting that initial testing showed one area of concern on the west side of the property. SES recommended the additional testing in order to ensure that the site is clear and there will be no problems moving forward.

The city spent nearly $70,000 to remove debris from the site in 2013. The property is earmarked for Portland, but the city has held off on taken official control of the deed from James Brewster until it passes environmental inspections.

Geesaman said Friday that he feels the city dollars used for clean-up and testing have been well spent.

“We’re just trying to be proactive,” said Geesaman. “If we can get all our money back, fine, but the EPA and Indiana Brownfields, they want these sites cleaned up. And nothing is going to happen unless we take the initiative.”

On the recommendation of wastewater plant superintendent Bob Brelsford, the board also approved the purchase of a larger pump for a lift station on Floral Avenue at a cost of $8,015.

Brelsford told the board that the pumps, which can handle 100 gallons per minute, have been having trouble keeping up during rainy days. The new pump will increase the capacity to 300 gallons per minute.

It is expected to take about six weeks for the pump to be delivered, and Brelsford said he expects to have it installed by the end of January.

In other business, the board:

•Approved a service agreement at a cost of $324.61 per year with All Circuit Electric for the city’s backup generator. Also approved was the purchase of a $992.29 cold weather kit, on the contingency that such a kit was not part of the original contract.

•Approved a lease agreement with Diana Michaels for her home just west of Portland Municipal Airport. The city purchased the home from Michaels as part of plans to extend the runway at the airport and will now lease it back to her at a rate of $600 per month plus utilities until her new house is completed this spring.

•Awarded a contract for petroleum and gasoline to Village Pantry. The city will pay the current cost of products, less 5 cents per gallon.
PORTLAND WEATHER

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