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TO: Mayor John Laesch
FROM: Michele Clark, Chief Human Resource Officer
DATE: October 21, 2026
SUBJECT:
A Resolution Amending Resolution R26-232 (Legistar file 26-0532) and Further Establishing Group Health and Dental Insurance Monthly Rates of Contributions for Pre-Medicare Retirees for the Period of January 1, 2027, through December 31, 2027
PURPOSE:
To establish the 2027 insurance premium rates for the City’s PPO, HMO, and Value HSA (HDHP) medical, dental and vision plans.)
BACKGROUND:
The City of Aurora provides self-funded group health and dental plans for active employees, which are administered through Blue Cross Blue Shield of Illinois (BCBSIL). Eligible Pre-Medicare Retirees may enroll in the PPO, HMO, or HDHP medical plans. Additionally, the City offers vision coverage through an existing multi-year contract with EyeMed and its affiliate.
DISCUSSION:
The proposed 2027 health insurance renewal includes a 15% premium increase for the PPO plan, a 20% premium increase for the Value HSA (HDHP) plan, and a 25% increase to the HMO base funding rate.
The City recommends approving the proposed updated 2027 rates for the PPO, HMO, and HDHP medical and vision plans. The proposed updated 2027 rates are included in the attached exhibits.
IMPACT STATEMENT:
NA.
RECOMMENDATIONS:
Proposed resolution be adopted.
CITY OF AURORA, ILLINOIS
RESOLUTION NO. _________
DATE OF PASSAGE ________________
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A Resolution Amending Resolution R26-232 and Further Establishing Group Health and Dental Insurance Monthly Rates of Contributions for Pre-Medicare Retirees for the Period of January 1, 2027, through December 31, 2027.
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WHEREAS, the City of Aurora has a population of more than 25,000 persons and is, therefore, a home rule unit under subsection (a) of Section 6 of Article VII of the Illinois Constitution of 1970; and
WHEREAS, subject to said Section, a home rule unit may exercise any power and perform any function pertaining to its government and affairs for the protection of the public health, safety, morals, and welfare; and
WHEREAS, the City of Aurora provides self-funded group health, vision and dental insurance plans for eligible pre-Medicare retirees and their eligible dependents; and
WHEREAS, it has been determined that the updated Pre-Medicare retiree rates for health, vision and dental insurance premiums, set forth in Exhibits A-D attached hereto and made a part hereof, represent equitable and reasonable amounts for eligible retirees and their dependent participants in the City health plans.)
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Aurora, Illinois, as follows: Section 1: Resolution R26-232 is hereby amended, and the 2027 City of Aurora medical, vision and dental rates for eligible pre-Medicare retirees and their eligible dependents, set forth in the Exhibits A-D attached hereto and made a part hereof, are hereby adopted; said Exhibits A-D shall replace Exhibits A-E that were attached to Resolution R26-232 (Legistar file 26-0532) and made a part thereof.
Section 2: If any section, paragraph, clause or provision of this Resolution is held invalid, the invalidity of such section, paragraph, clause or provision shall not affect any of the other provisions of this Resolution.
Section 3: Any policy or resolution of the City that conflicts with the provisions of this resolution shall be and is hereby repealed to the extent of such conflict.
Section 4: This Resolution shall be in full force and effect from and after its passage and approval in the manner provided by law.