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Conclusion

Mayor Donchess, Administrative Services Director Kim Kleiner, and
Human Resources Director Larry Budreau urge the Board of Aldermen
to pass Ordinance 0-20-011.

Questions?

SPECIAL BOARD OF ALDERMEN

MARCH 31, 2020

7:00 p.m. City Hall Auditorium

PRESIDENT LORI WILSHIRE CALLS ASSEMBLY TO ORDER

PRAYER OFFERED BY CITY CLERK SUSAN LOVERING

PLEDGE TO THE FLAG LED BY ALDERWOMAN SHOSHANNA KELLY
ROLL CALL
DISCUSSION

O-20-0011
Endorser: Mayor Jim Donchess
Alderman-at-Large Michael B. O’Brien, Sr.
Alderman Patricia Klee
Alderwoman-at-Large Shoshanna Kelly

Alderman Richard A. Dowd
REVISIONS TO THE HEALTH PLAN SECTION OF THE UNAFFILIATED EMPLOYEES

PERSONNEL POLICIES

ADJOURNMENT

O-20-011

ORDINANCE

REVISIONS TO THE HEALTH PLAN SECTION OF THE UNAFFILIATED
EMPLOYEES PERSONNEL POLICIES

CITY OF NASHUA

in the Year Two Thousand and Twenty

The City of Nashua ordains that Part I “Administrative Legislation,” Chapter 50
“Personnel”, Article I “General Provisions”, Section 50-6 “Merit system for personnel
administration pursuant to Charter §86-a” of the Nashua Revised Ordinances, as amended, be
hereby further amended by deleting the struck-through language and adding the new underlined
language as follows:

“§ 50-6. Merit system for personnel administration pursuant to Charter §86-a,

A. The “City of Nashua Unaffiliated Employees Personnel Policies”, dated January,
2048 July 1, 2020, is hereby adopted. These personnel policies are the merit system
for personnel administration required by Charter §86-a.”

The proposed changes to the “City of Nashua Unaffiliated Employees Personnel Policies”
currently dated January 1, 2018, are as follows:

In Section II “Benefits”, Subsection C “Insurances”, Item 1 “Health Plan”, add the
following new underlined language:

“1. Health Plan

Health insurance is available to employees regularly scheduled to work twenty (20) or
more hours per week. Full-time employees (regularly scheduled to work forty (40) hours
per week) contribute twenty percent (20%) of the working premium for the Health
Maintenance Organization (HMO) and High Deductible Health Plan (HDHP) options,
and thirty percent (30%) of the premium for the Point of Service Plan (POS). The City
contributes on a prorated basis for employees scheduled to work less than forty (40)
hours per week. Prorating examples follow:

ORDINANCE O-20-011

+ 20 hours weekly = 20 (hours) / 40 (hours) = .5 x 80% = 40% City contribution and
60% employee contribution.

+ 30 hours weekly = 30 / 40 = .75 x 80% = 60% City contribution and 40% employee
contribution.

Effective July 1. 2020, the following changes will be made to the Health Maintenance
Organization (HMO) Plan:

* $20 co-pay increase to $25.

* $250 individual / $500 2-person or family inpatient / outpatient deductible increase to
$1,500 / $3,000.

* Pharmacy copays increase from $5/$15/$35 ($5/$30/$70 mail order) to $10/$30/$50
($20/$60/$100 mail order),

The deductibles in the High Deductible Health Plan with Health Savings Account (HDHP

w/ H.S.A.) are unchanged. Deductibles remain at $2,000 individual / $4,000 2-person or

family. The City’s contributions to Health Savings Accounts remain at $1,500 individual

/ $3,000 2-person or family.

Effective July 1, 2020, the City H.S.A. contribution will be distributed in 2 installments.
one on or about July 1 and one on or about October 1, provided however that if an
employee is required to pay more towards his / her deductible than the initial 50%
contribution, upon presentation of suitable documentation, the City will contribute the

remaining 50% before October 1.

Employees who join the HDHP w/ ELS.A. at any time other than July 1 will receive a
pro-rated City contribution of $125 monthly for a single plan and $250 monthly for 2-
person or family plan for each full month remaining in that fiscal year.

Coverage for new employees is available on the 1° of the next month following date of
hire if hired on or before the 15" of the month; and on the 1" of the month following a
full month of employment if hired after the 15"" of the month. Employees who do not
enroll on their initial eligibility date may subsequently only do so during the annual open
enrollment period or following a “qualifying event.”

These changes to the Unaffiliated Employees Personnel Policies shall take effect on July 1,
2020.

LEGISLATIVE YEAR 2020

ORDINANCE: 0-20-011

PURPOSE: Revisions to the Health Plan section of the Unaffiliated
Employees Personnel Policies

ENDORSER(): Mayor Jim Donchess

COMMITTEE

ASSIGNMENT:

FISCAL NOTE: This legislation changes the design of the HMO health plan for

unaffiliated employees and it is anticipated that these changes
will reduce the health care claims charged to the City. The
reduction in the amount of health care claims can’t be
determined at this time as the unaffiliated subscribers to the
City’s health care will be able to change their choice of plan
during open enrollment.

ANALYSIS

This legislation proposes additions to the Health Plan section of the existing “Unaffiliated
Employees Personnel Policies”, dated January 1, 2018, to take effect on July 1, 2020. The
proposal makes changes to elements of the current HMO plan, including increased co-pays,
inpatient/outpatient deductibles, and pharmacy co-pays. It incorporates the current amounts for
the deductibles and City’s contributions for the High Deductible Health Plan with Health
Savings Account. With respect to the City’s HSA contributions, it provides for proration and
splitting the City’s contributions into two installments.

The City’s open enrollment period for health insurance changes generally takes place mid-April
to mid-May.

Under NRO 50-3, the merit plan may be amended by ordinance. Prior to the introduction of
such amendments by the Mayor, division directors and department heads shall have the
opportunity to comment on the amendments. That process has taken place.

Approved as to form: Office of Corporation Counsel

By: op Yo the
Date: MQreAWD US O09-D

A regular meeting of the Board of Aldermen was held Tuesday, March 24, 2020, at 7:30 p.m. at City Hall in
the Auditorium, 3" floor.

President Lori Wilshire presided; City Clerk Susan Lovering recorded.

Prayer was offered by City Clerk Susan Lovering; Alderman Patricia Klee led in the Pledge to the Flag.
The roll call was taken with members of the Board of Aldermen present President Wilshire, Alderman
O’Brien, Alderwoman Lu, Alderman Patricia Klee; the following member via Webex: Alderwoman Kelly,
Alderman Laws, Alderman Tencza, Alderman Schmidt, Alderman Dowd, Alderman Lopez, Alderwoman
Harriott-Gathright, and Alderman Jette

Alderman Caron, Alderman Skip Cleaver and Alderman Clemons were recorded absent.

The roll call was taken with 12 members of the Board of Aldermen present.

Mayor James W. Donchess, Corporation Counsel Steven A. Bolton were also in attendance/or participated
via Webex or via conference call.

President Wilshire
Acknowledged that those present could hear everyone participating either by Webex or by conference call
and under the terms of the State law that allows them to do so and explained that those not physically

attending the meeting were due to the Covid-19 virus.

Alderwoman Kelly, Alderman Dowd, Alderman Lopez, Alderman Tencza, Alderman Jette, Alderman Laws,
Alderman Schmidt, and Alderman Gathright were not physically but attended via phone.

Alderwoman Kelly

There is no one in the room with me; | am quarantined and | can hear everybody.

Alderman Dowd

I’m here and | am by myself and | am practicing the good graces by staying independent of crowds.
Susan Lovering, City Clerk

| can hear you as well.

Alderman Lopez

I’m here, can you hear me?

Ms. Lovering

| can hear you, can you state why are not able to attend and who is with you if anyone, please?

Alderman Lopez

Yeah, no one is with me, | am here because of the physical distancing; | have a really high exposure rate
working with people.

Ms. Lovering

Thank you. Alderman Tencza,

Board of Aldermen 3-24-2020 Page 2
Alderman Tencza

Present. | am here; | am also taking the recommendations of public health officials not to expose myself or
my family to the potential sickness.

Alderman Jette

Here and | am alone, and | am following the advisory to stay at home.
Ms. Lovering

Thank you. Alderman Schmidt?

Alderman Schmidt

Hello yes | am here, | am alone and | am staying at home because | am in quarantine.
Ms. Lovering

Thank you. Alderman Laws?

Alderman Laws

| am here, | am alone and | am also just social distancing.

Ms. Lovering

Thank you.

Alderman Harriott-Gathright

| am in the room alone and | am also keeping a social distance, after all with my 12 beautiful grandchildren
| don’t want to pass anything on.

Alderman Wilshire

| am here.

Ms. Lovering

You have a quorum Madam President.
President Wilshire

| need to make an announcement; even though there is no one in the public here right now but due to the
COVID-19 it is our civic responsibility to maintain the health and well-being of all Nashua residents. We
are asking that if you’ve had cold symptoms, fever, cough, headache, or diarrhea within the last 72 hours
that you please leave the meeting. Maintain social distancing of six feet, we are asking all to sit in the
seats identified and not move the chairs or otherwise disrupt the social distancing. We ask everyone
please refrain from making hand contact and respect our not shaking of hands. In the event that you need
to cough or sneeze, please cover your cough and/or sneeze using tissue or by coughing or sneezing into
your sleeve. Please dispose of the tissue in the trash bin and please wash your hands afterwards. Thank
you for working together to break the chain of infection and prevent the spread of disease.

Mayor, do you wish to address the Board?

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Board of Aldermen 3-24-2020 Page 3
REMARKS BY THE MAYOR

Yes Madam President. First thank you for arranging this meeting so that many people could participate
remotely. This is consistent with what we are trying to do throughout the community. And | had a couple of
things that | wanted to address tonight. The first being the Coronavirus and the City response, our
community’s response to this pandemic. Of course our goal along with social distancing we are talking
about and all of the other steps we are taking is to limit or contain the spread of Coronavirus, protect as
many people in our community as we possibly can, keep people safe and disease free. So we have
instituted a number of measures. First of all, Madam President, right here the Board of Aldermen is having
a remote meeting so that people do not get exposed to others. But we also have taken the steps which we
discussed before of the City Hall that is closed to the public, is working remotely, most employees are
working remotely, except for essential employees who are coming and working on the job. Those, of
course, include Police Fire, First Responders, as well as our Street Department picking up the garbage and
the people plowing snow like this morning and people who work at the sewage treatment plant.

We have also taken other steps and we are working very closely now with a number of people in the City.
First of all with our hospitals; Southern New Hampshire Medical Center and St. Joe’s and the medical
people there and the National Guard which | will detail in a moment as well as, of course, our own
employees, our Public Health Director Bobbie Bagley and Emergency Management Director Justin Kates
and their respective staffs. We attended a meeting yesterday at Nashua High School South involving all of
these participants including the hospitals and doctors and medical people. The purpose there was 1) with
the State of New Hampshire, the Department of Health & Human Services to open up an alternative care
site at Nashua High School South where people could stay if the hospitals become overwhelmed. And that
will be a site and the second site will be Nashua High School North.

Now what the Medical Director of Southern laid out at the time, | think he’s just telling us what is within the
realm of possibility, maybe probability but probably just possibility, he pointed out that there is some
modeling down out of the University of Pennsylvania suggesting that Nashua could get, the Nashua Region
could get 2,500 cases of people who need to be hospitalized because of severe symptoms, mostly
pulmonary distress. These people would all be at risk because if breathing stops obviously, a person can’t
survive that. The two hospitals are gearing up as much as they possibly can and increasing their bed
counts. Once they do that, Southern will have about 200 beds and St. Joe’s about 175. So 375 people, it
would be possible to take care of 375 people in the two hospitals, assuming no one else is there for any
other serious and acute emergencies. Dr. Scherer the Medical Director pointed out that the hospitals could
never care for 2,500 people at the same time. Now this may sound extreme and maybe it is. But as we
have seen what is happening in Italy where the death count went up again today, Tuesday they are a little
ahead of us and in New York where the number of cases has been doubling every 3 days and is up to
25,000 and climbing rapidly. If we don’t take steps to contain the disease and it begins to spread freely,
the number or the impact on the community can be very, very dire. So we are trying to avoid that.

Hence the steps to work remotely from City Hall, closing City Hall and the like, the Governor has ordered
all restaurants and bars to be closed. That, of course, has worked a great hardship on a number of people
but we are trying to save people’s lives. Also our schools are closed and the School Department, Dr.
Mosley, is instating remote learning, which involves computer and also hand out of paper homework and
lesson plans and the like. Now here in New Hampshire right now, we have 101 cases, that’s as of
yesterday but the testing is behind; only one positive case so far in Nashua. There are seven in
Manchester. But the testing is behind because some of the people in Nashua, there’s a couple a family of
the person that has the virus, when the tests were taken on Thursday the results aren’t in yet. So the
testing is definitely behind. The 101 number comes from yesterday and we don’t know what the number is
today; | don’t think it has been announced today. A number of other people in Nashua have been tested
and we will have to see.

Again it is very important that we limit public gatherings according to the Government no more than 10; so
a step that after meeting with all of these medical people that | felt we needed to take was to suspend the
fixed route bus system because as we talk this through, the buses are a relatively small space where there

Board of Aldermen 3-24-2020 Page 4

can be a lot of people gathered together. If any one person on the bus happens to be infected, and we
know that people can be infected without having symptoms or mild symptoms, they could potentially infect
a lot of other people. There have been cases down in Connecticut where one person attends a gathering,
spreads it to others, it gets to others, so we suspended the fixed route bus system until the epidemic
passes a bit. We have though beefed up on the paratransit or call for ride system so that people who need
to get to an essential appointment which would include medical, pharmacy, going to the grocery can call
and get a ride and they would be charged. So expanding that number of people who are eligible for this
service; usually it is just ADA or disability qualified. It will be expanded to include the essential trips that |
mentioned and people would be charged normal price of $1.25 per trip. So we hope that will help with the
need for people who really have to get ... in order to limit the disease and limit the spread of the disease. It
just seemed like contained buses which carried a number of people could be a very likely place where the
virus could spread.

We have many people who are working very hard on this in addition to all of those that | mentioned, | mean
we definitely have heroes in Nashua and those include, of course, our medical workers who are going to
work every day and potentially get exposed to the virus and have to come home and wonder about how
their family would fare if they did get the virus. We have our First Responders, Police, Fire, we have
people working in the pharmacies, even the people who work in the grocery stores, because the
supermarkets we see many, many people, the essential service, of course, to keep the supermarkets open.

So those are some of the steps we are taking, Madam President. And we are praying that the steps |
described and the others that we may take in the future will help keep the number of infections in the City
of Nashua and this entire area to a manageable level. | would just urge everybody to take care of
themselves like we are here, please wash your hands, use hand sanitizer which | will do right now and
keep your distance; no hand shaking, try to work remotely, do anything you can to limit contact with a lot of
other people. So | think that concludes what | had intended to say about the City’s response to
Coronavirus. We owe thanks to a lot of people, we have volunteers, | didn’t mention this yet, but we have
many volunteers who are working hard to reach out to the students who don’t have enough to eat and who
are distributing hundreds of meals every day at various schools around the City. And in addition, some of
the fixed route buses will be used to go to three locations beyond where or away from any short trip to the
school and that is going to start | think sometime this week, so there will be three additional sites using the
fixed route buses to carry the food.

So again, thank you to everyone who is involved. It has been a huge community effort, everybody is
pitching in and it is just wonderful to see that happening.

Madam President, the other item that | wanted to address is one that | wouldn’t normally get into in great
detail but | know that the Board of Aldermen is not holding many Committee Meetings during this time and
therefore | at least wanted to outline the details of O-20-011. The reason | need to do this tonight is to give
those who are attending either in-person or remotely a sense of what it is that we are trying to accomplish
here. As you all know and we have discussed this many times, City Health Care costs have gone up
considerably, $3.3 million the current fiscal year and are projected to go up $3 million next year. This $6
million dollar increase is a major expense, a major increase in itself; it represents a 3% tax increase. The
causes are multiple, increased claims, increased prescription drug cost, a workforce that is aging and other
price increases. So | asked the Administrative Service Division and Financial Services to come up and
work with our consultants, Work Place Benefit Solutions to come up with what are called Plan Design
Changes to see if we could bring costs down or reduce the rate of increase.

So they have met and they have come up with recommendations that could save considerable money for
the City and for the Employees as well. The first group that we are proposing that we ask to meet these
plan design changes for are the unaffiliated or the so-called merit employees. These are a group of
employees that, we did pass merit legislation, in the last couple of years and they benefited significantly
from it. We met with them about the changes that | am going to prescribe back earlier in the month on
March 12" here in the Auditorium and it was attended by many people and there were very few comments
and it seemed that all questions were successfully answered.