The city will forego the traditional method of simply bidding out proposals and go with a plan that incorporates the old way with a new way introduced tonight by City Manager Paul Sabiston of accepting proposals from firms or brokers based on their experience to provide full service without considering the actual quotes for individual coverage on the different lines of insurance.

Because the second proposal would all but lock out bids from local companies, council agreed to the third proposal of blending the old with a new way of seeking insurance coverage.

“There are really no bad choices as set forth above,” Sabiston noted in a memo to council at tonight’s work session. “The city has experienced dramatic savings by bidding the health insurance. The next step in the process of better managing the city’s total benefits package is allowing a full service firm to handle more of our benefits and determine if such a firm can create more dramatic savings.”

Under the third option, the one which mixes the methods, Sabiston said in the memo that method would allow the full service firms to submit proposals on their abilities to provide good service and provide the city with quotes for its primary healthcare coverage. “The firm with the best proposal for services and the best quote in hand for actual benefits coverage should be selected.

“Following that selection, the firm would then be allowed to handle and package together the remainder of the city’s health related insurance needs, including eye, dental, life and supplemental insurance coverage. Some of the large full service firms may not respond to a proposal of this nature unless it has the ability to represent the city in all areas.”