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MR. FLYNN FELT THAT FOR THE MONEY THE COUNTY IS PAYING TO BLUE CROSS, THEY SHOULD HAVE BETTER COVERAGE. HE EXPLAINED THAT THE SURGICAL EXPENSE FOR BLUE CROSS IS BASED UPON A RATE SCHEDULE ESTABLISHED IN 1960; ALSO, THE COST OF BLOOD IS NOT COVERED BY BLUE CROSS BUT WOULD BE IF THE COUNTY FORMED A BLOOD BANK. HE REVIEWED THE OTHER ITEMS ON THE COMPARISON SHEET AND FELT THE COUNTY COULD SAVE $25,202.04 A YEAR BY USING COMPANY B. MR. D. CHALMERS OF THE WARREN ZEUCH AGENCY, REPRESENTING METROPOLITAN LIFE INSURANCE CO., COMMENTED THAT ANY COMPANY WOULD DRAFT A PLAN ACCORDING TO THE COUNTY'S SPECIFICATIONS. HE EXPLAINED HOW THE SCHOOL BOARD HAS AN INSURANCE PLAN WHERE THEIR SURPLUS IS PUT INTO AN INTEREST-BEARING ACCOUNT. ASSISTANT ADMINISTRATOR NELSON STATED THAT BLUE CROSS IS HOLDING OUR SURPLUS FUNDS IN CASE THE COUNTY HAS A BAD YEAR - IF WE CANCEL OUR POLICY WITH THEM, WE LOSE THE $45,000 THAT HAS BEEN ACCUMULATED, CHAIRMAN SIEBERT NOTED THAT THE COUNTY HAD HIRED A CONSULTANT TO STUDY THE INSURANCE AND HE ADVISED THAT YOU CANNOT BID INSURANCE. HE COMMENTED THAT THERE WERE CERTAIN RULES AND REGULATIONS IN BIDDING; ALSO CERTAIN CRITERIA FOR PROPOSALS. MR. FLYNN FELT THE COUNTY COULD BID ON A BASE INSURANCE POLICY AND THEN NEGOTIATE. HE ADDED THAT A REPRESENTATIVE FROM THE STATE INSURANCE COMMISSION CAN ASSIST THE COUNTY IN THIS MATTER. COMMISSIONER LYONS FELT THE COUNTY SHOULD SEE WHERE IT CAN GET MORE FOR ITS MONEY. DISCUSSION FOLLOWED ALONG THOSE LINES. ASSISTANT ADMINISTRATOR NELSON SUGGESTED THE COUNTY DEVELOP PROPOSALS, EVALUATE THEM, AND USE THE SERVICES OF THE STATE INSURANCE REPRESENTATIVE TO HELP GET IT INTO THE NEXT FISCAL YEAR. MR, FLYNN SUGGESTED HAVING THIS TAKE PLACE IN AUGUST, WHICH WILL GIVE THE COUNTY 30 DAYS TO MAKE THE TRANSITION. ON MOTION BY COMMISSIONER LYONS, SECONDED BY COMMISSIONER DEESON, THE BOARD UNANIMOUSLY AUTHORIZED THE ADMINISTRATION OFFICE 36 g MAR 51980 vZ-0844