TITLE
HOLD a public hearing and consider an ordinance amending the FY 2017 Annual Budget and Plan of Municipal Services of the City of Killeen to create a special revenue fund for wellness.
SUMMARY
AGENDA ITEM
Budget Amendment to Establish a Special Revenue Fund for Wellness
ORIGINATING DEPARTMENT
Human Resources / Finance
BACKGROUND INFORMATION
Employee engagement with respect to wellness was incentivized for the first time in FY17. At a workshop on June 7, 2016, City Council was briefed on the employee participation and engagement surcharge. Employees were given two activities for which participation was required to avoid paying a non-engagement surcharge that accompanied their healthcare premium. Employees who chose not to participate are paying an engagement surcharge of $50 per month, a total of $600 annually.
DISCUSSION/CONCLUSION
Wellness programs will be designed to improve employee health and subsequently assist in reducing the cost of healthcare. Examples include membership in the city gym and smoke cessation programs. For FY18, the City is considering an additional wellness surcharge for tobacco use.
FISCAL IMPACT
Currently, 209 employees pay the non-participation wellness fee. It is estimated that approximately $100,000 in revenue will be deposited into the special revenue fund. Expenditures directly related to wellness will be $100,000.
Special Revenue Fund
Revenues:
|
Account Number |
Description |
Original Budget |
Budget Increase |
Amended Budget |
|
252-0000-363-9950 |
Misc. Receipts |
$0 |
$100,000 |
$100,000 |
|
Total |
|
$0 |
$100,000 |
$100,000 |
Expenditures:
|
Account Number |
Description |
Original |
Budget Increase |
Amended Budget |
|
252-2305-418-4105 |
Office Supplies |
$0 |
$ 5,000 |
$ 5,000 |
|
252-2305-418-4475 |
Dues & Memb |
$0 |
$ 65,000 |
$ 65,000 |
|
252-2305-418-4705 |
Medical/Couns |
$0 |
$ 30,000 |
$ 30,000 |
|
Total |
|
$0 |
$100,000 |
$100,000 |
General Fund
|
Account Number |
Description |
Original |
Budget Increase |
Amended Budget |
|
010-0000351-5000 |
Rec Ctr. Memb |
$0 |
$ 65,000 |
$ 65,000 |
|
Total |
|
$0 |
$ 65,000 |
$ 65,000 |
RECOMMENDATION
Staff recommends that the City Council approve the budget amendment establishing a special revenue fund for wellness.