In 1991, Tulsa faced a budget crunch that caused the city to re-evalua
te its health care benefits program. The city's Employee Benefits Comm
ittee investigated the advantages of managed health care under one pro
vider, and ultimately recommended a program from Prudential, beginning
in the 1991/92 fiscal year. As a result, in the first year under the
program the city realized savings of almost $3 million; the rate of an
nual premium increases dropped from as much as 29% to not exceeding 10
% over the next two years; and a recent survey shows high satisfaction
rating among employees. The city of Tulsa has reached the conclusion
that managed care represents the future of health care in this country
.