SUBSTITUTE RESOLUTION NO. RS2003-1344

WHEREAS, BlueCross BlueShield of Tennessee (BC/BST) is a major provider of health care insurance in the State of Tennessee and Nashville and Davidson County in particular; and

WHEREAS, many employees and retirees of the Metropolitan Government, as well as citizens of Nashville in general, are members in BC/BST healthcare plans and plans administered by BC/BST; and

WHEREAS, Hospital Corporation of America, Inc. (HCA) and its subsidiaries own and operate numerous hospitals in Middle Tennessee and in the area of the Metropolitan Government which have provided healthcare to BC/BST plan members in the past; and

WHEREAS, BC/BST and HCA did not renew the contract between them which allowed many of the retirees, employees and citizens identified above to use HCA facilities as of December 31, 2002; and

WHEREAS, BC/BST has acknowledged the importance of maintaining the continuity and quality of healthcare for those affected by the dispute between HCA and BC/BST; and

WHEREAS, HCA has stated that it is deeply concerned about the impact and disruption the termination of BC/BST–HCA contract will have on patients, physicians, and employers; and

WHEREAS, HCA has agreed to participate in renewed negotiations in an effort to resolve the contractual dispute with BC/BST and has agreed to cooperate with the Metropolitan Government to ensure that the employees and retirees of the Metropolitan Government receive the highest quality of healthcare available; and

WHEREAS, the Metropolitan Council is concerned that the delivery of healthcare in Nashville and Davidson County is suffering as a result of the ongoing dispute between BC/BST and HCA.
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE METROPOLITAN GOVERNMENT OF NASHVILLE AND DAVIDSON COUNTY:

SECTION 1. That the Metropolitan County Council hereby goes on record as encouraging BC/BST and HCA to enter mediated negotiations with the goal of ending the contractual dispute between the parties, and further requests that the members of the bar and judiciary of Davidson County make themselves available to act as mediators if requested, and that HCA and BC/BST are requested to inform the Metropolitan County Council when they have re-entered negotiations.

SECTION 2. That the Employee Benefit Board report to the Metropolitan Council the number of employees and retirees which have been impacted by the termination of BC/BST’s relationship with HCA within 30 days of the effective date of this resolution and provide the Council with alternatives for re-opening enrollment for Metro employees and retirees.

SECTION 3. That the Metropolitan Clerk is directed to send a certified copy of this Resolution to the Chairman of the Employee Benefit Board, the Finance Director, the CEO of HCA, Mr. Jack O. Bovender, Jr. and the CEO-elect of BC/BST, Ms. Vicki Gregg.

SECTION 4. That this Resolution shall take effect from and after its adoption, the welfare of The Metropolitan Government of Nashville and Davidson County requiring it.

Sponsored by: David Briley