MEETING DATE: 9/13/2016
DEPARTMENT: HUMAN RESOURCES
DEPT HEAD/DIRECTOR: B. Thompson
AGENDA ITEM PREPARER: G. Cochran
SBC DEPT FILE NUMBER: 630
SUBJECT:
HUMAN RESOURCE - G. COCHRAN
Receive an update regarding implementation of the new health care plans for January 1, 2017.
SBC FILE NUMBER: 630
AGENDA SECTION:
CONSENT AGENDA
BACKGROUND/SUMMARY:
BACKGROUND/SUMMARY:
On August 9, 2016, the Board moved to exit CalPERS health plans and move forward with plans provided through California State Association of Counties-Excess Insurance Authority (CSAC-EIA) effective January 1, 2017.
Since that date, County staff met with representatives from Alliant (broker for CSAC-EIA) staff to receive information from Alliant staff regarding the analysis of how the implementation/change will work. One item of discussion involved eliminating the look-alike ‘Select Plan’ as it offers no additional benefit from the look alike Choice Plan and costs the same. A new high deductible health plan will be offered for 2017 which meets the mandates of the Affordable Health Care Act and will provide employees additional health care choices at a lower cost. It is important to note that the overwhelming majority of County employees and retirees will see a cost savings in this move to a new health care provider.
Staff has been continuously working with Alliant staff to discuss and work through the implementation of health care plans for 2017. Communications have been distributed to all County employees and retirees notifying them of this change and informing them that additional information regarding the upcoming open enrollment and details of the health care plans and other pertinent information will be provided in the very near future in preparation for Open Enrollment. The attached information was transmitted to all employees and retirees and this same information is posted on the County’s website. The Frequently Asked Questions will evolve as more information rolls out.
Open enrollment is scheduled for October 3, 2016 through October 21, 2016 and will include numerous meetings for employees to learn of the details of the change and ask questions regarding how the change affects them. Those dates, times, and locations will be communicated to employees and retirees as well as being published on the County's website.
The County moved to reduce County contributions for Medicare age retirees several years ago to 70% of the County’s contribution. Staff has been working to implement this change for 2017. As stated previously, this change reduced the County’s OPEB costs significantly and will have little to no effect on County retirees in this group.
Other Agency Involvement:
County bargaining groups including SEIU, MEG, Institutions Association, DSA, and LEM, Auditor-Controller, County Counsel and County Administrator.
BUDGETED: