City of Madison, Wisconsin | Legislative Information Center
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File #: 57562    Version: 1 Name: A RESOLUTION Authorizing a non-competitive service contract with Wisconsin Municipal Mutual Insurance Company (WMMIC) for third party administration of the City’s workers’ compensation claims.
Type: Resolution Status: Passed
File created: 9/23/2019 In control: Finance Department
On agenda: 10/15/2019 Final action: 10/15/2019
Enactment date: 10/19/2019 Enactment #: RES-19-00721
Title: A Resolution authorizing a non-competitive selection contract with Wisconsin Municipal Mutual Insurance Company (WMMIC) for third party administration of the City’s workers’ compensation claims.
Sponsors: Satya V. Rhodes-Conway
Attachments: 1. 2020-25 POS Contract.pdf, 2. City of Madison WC Contact 2020-2025 Final.pdf, 3. 2020-25 non-competitive form.pdf
Fiscal Note
The proposed authorizes a 5-year non-competitively bid contract with the Wisconsin Municipal Mutual Insurance Company to administer the City’s worker compensation fund. The annual cost of the contract is $165,000. Funds for this contract are included in the Mayor’s 2020 Executive Budget.
Title
A Resolution authorizing a non-competitive selection contract with Wisconsin Municipal Mutual Insurance Company (WMMIC) for third party administration of the City’s workers’ compensation claims.
Body
WHEREAS, the City transferred the third party administration of its worker's compensation claims to Wisconsin Municipal Mutual Insurance Company (WMMIC) in March, 2004, as a result of a competitive RFP; and

WHEREAS, the City and WMMIC have had a successful working relationship in the administration of the City’s worker's compensation claims; and

WHEREAS, the City and WMMIC have agreed upon the conditions and terms of payment to WMMIC for a five year agreement from January 1, 2020 through January 1, 2025; and

WHEREAS, the City is an equity owner of WMMIC; and

WHEREAS, after examining the costs and benefits of considering a switch in providers for this service through a new RFP and the exceptional service provided by WMMIC under the existing contract, the City finds it advantageous to continue with a new contract with WMMIC; and

WHEREAS, after checking with other WMMIC members not using not using WMMIC as their workers’ compensation TPA, we find that WMMIC’s renewal rates are more competitive than what others are paying; and

WHEREAS, continuing with WMMIC gives the City stability in costs and service, while any change in TPA may not provide such advantages, and would inherently involve significant direct and indirect transitional costs; and

WHEREAS, MGO 4.26 requires Common Council approval of service contracts of $50,000 or more if the contractor was not selected through a competitive selection process, and the reasons for selecting this contractor are set ...

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