Title
Consider approval of renewing with United Medical Resources (UMR)/OptumRx, for third party administrative services to administer the City’s medical and prescription drug plans, in the amount of $284,818, as budgeted in the Self-funded Health Fund; and authorizing the City Manager to sign.
Summary
With coordination from the City’s benefits consultant, HUB International, Inc (HUB), w Request for Proposals was released for the medical TPA and a pharmacy benefit manager with eleven responses which were narrowed to four finalists. From those finalists, HUB recommended, and the City selected to renew with UMR and selected OptumRx as the next pharmacy benefit manager as a carve into UMR. UMR has provided TPA services for the City of Coppell for the past nineteen years, and the City has enjoyed strong service, pricing, and high-quality care. UMR administrative services include medical, claims administration, utilization review, ID card generation, internet-based web portal for employees. OptumRx through UMR will manage the prescription drug benefit, pricing, and administer claims.
Fiscal Impact:
The City’s benefits consultant, HUB International, Inc. (HUB) negotiated a strong renewal with UMR and the new pharmacy benefit manager, OptumRx. The annualized fixed cost total is $284,818, which is an 8.7% increase over fiscal year 2026 and is budgeted in the Self-funded Health Fund.
Staff Recommendation:
Staff recommends accepting the renewal with United Medical Resources (UMR)/OptumRx, for third party administrative services to administer the City’s medical plan and prescription drug plans, in the amount of $284,818, as budgeted in the Self-funded Health Fund; and authorizing the City Manager to sign.
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