DEPARTMENT: Human Resources
DEPARTMENT HEAD: Joe Angelo
COUNCIL DISTRICTS IMPACTED: City-Wide
SUBJECT:
American Beverage Foundation for a Healthy America Challenge
SUMMARY:
This Ordinance allocates the grant proceeds from the 2013 Wellness Challenge between the cities of San Antonio and Chicago. The Challenge took place from January 1, 2013, through December 31, 2013 producing record results for City staff participation. There were 4,418 members of the Civilian medical plan who participated in the 2013 Wellness Challenge, representing a 57% participation rate for biometric screenings. This is a significant increase compared to past biometric screening participation levels. Further, this additional biometric data will enable more employees to proactively manage their overall health through an active wellness program. With the sponsorship of the American Beverage Foundation for a Healthy America, the City of San Antonio will use the $2,000,000.00 grant funding to assist in enhancing the City's Wellness Programs for employees. The City of San Antonio will accept a $1,500,000.00 grant for representing second place in the Wellness Challenge. The $1.5 million grant is in addition to the $500,000.00 each City received up-front as a part of the challenge.
BACKGROUND INFORMATION:
As most cities are experiencing an increase in healthcare costs and increases in chronic diseases, many have implemented wellness programs to aid in managing their costs and improving the overall health of their employees. The City of San Antonio is taking steps to manage medical claims costs by implementing wellness programs. However, with constraints on budgets, developing innovative programs can be both challenging and costly. Per the contract with American Beverage Foundation for a Healthy America, the grant funds will be used for wellness projects, which are designed to encourage a healthier City of San Antonio workforce and manage healthcare costs. Wellness efforts will focus on encouraging employees to maintain a healthy weight. Obesity, along with the associated co-morbidities of high blood pressure, diabetes, and back pain, are leading causes of increasing medical claims costs.
Proceeds from the Challenge will be used to assist in funding the City's Wellness Program including the potential for a City Wellness/Fitness facility. Additionally, these funds will assist in funding various employee wellness challenges, 2013 Chicago Wellness Challenge Employee Incentives, and Weight Loss Challenge Programs.
ISSUE:
Authorization of use of these funds will allow the City to offer additional Wellness programs to City employees in order to reduce future Health Plan costs associated with diseases.
ALTERNATIVES:
To seek out other similar grant-funded wellness opportunities to help fund the City's Wellness Program.
FISCAL IMPACT:
This ordinance appropriates the grant proceeds of $2,000,000.00 from the American Beverage Foundation for a Healthy America to fund the City's Wellness Program. The funding will pay for various employee wellness efforts through the City's Wellness Program. Per the contract terms, a proposed Wellness Program budget must be submitted to the American Beverage Foundation for a Healthy America. However, the proposed budget can be amended as the City continues to develop its comprehensive wellness strategy. Once funds from the grant proceeds are exhausted, the programs will be evaluated and continuation of funding will be recommended with the annual budget process.
RECOMMENDATION:
Staff recommends approval of this Ordinance.