Date: August 9, 2007

To: Gladys McKenzie, Business Agent; Joyce Carlson, Business Agent

From: Dann Chapman, Director of Benefits

Re: Frequent Fitness Incentive

The University will provide an incentive to eligible UPlan members, provided that such programs are available through UPlan participating health plans, to encourage regular activity at a fitness center. The incentive will be up to $20 per month toward the cost of membership dues. It currently will be delivered through fitness programs administered by Medica (Fit Choices) and HealthPartners (Frequent Fitness). The incentive will be in addition to any discount to which the member is otherwise entitled.

There are at least three significant areas of differences between the two frequent fitness programs including:

• Differences in the networks of fitness centers.
• A difference in the number of incentives that can be paid per fitness center membership.
• A difference in the number of visits per month required to qualify for an incentive.

The University is working with the health plans to determine where there is flexibility to resolve differences, where there is not, and whether changes should be made.

The University is working with Medica and HealthPartners to encourage the inclusion of University recreation centers in their programs, as well as other fitness centers that are located close to our coordinate campuses. We cannot, however, guarantee what centers will be included. As is the case with medical and dental plan provider networks, the health plans contract with the centers directly and control the network of facilities.

Current information can be found at: http://www.umn.edu/ohr/benefits/medical/fitnessrewards.html.