To:                   Principal Officers – Executive Board Members - Membership

From:              Louis P. DeMici, President

Re:                  Prescription Drugs

On Thursday, January 12, 2006 the Union and it’s Insurance Consultant meet with Representatives of the City and their Insurance Consultant to discuss the number of concerns raised by the membership regarding Prescription Drugs since the City switched from Anthem Blue Cross/Blue Shield to Medco, approximately eight (8) concerns were brought to the attention of the Union by the membership.

It was discovered that of the eight (8) items brought to the Union’s attention, a number of those concerns were being administrated improperly by Anthem, in accordance with the Insurance Grid of the Collective Bargaining, this was confirmed by the Union’s Insurance Consultant, and that Medco was administrating the prescription program in accordance with the Contractual Insurance Grid.

However, there were three (3) items in question, which appear to be in question as to the way Medco is interpreting the insurance grid, the Union’s and City’s Insurance Consultant are investigating those items and we are awaiting a reply.

A more detailed explanation will be offered at the next Union Meeting.

In the meantime, the Union encourages to bring to the Union’s attention any concerns regarding prescription drugs, in order for the Union to investigate those concerns.

Thank you.