HomeMy WebLinkAbout02/16/1993, C-13 - PUBLIC EMPLOYEES RETIREMENT SYSTEM (PERS) HEALTH BENEFITS PROGRAM i����II�II�IIItlI�lllllll II r MEETING DATE:
CI or san lugs oBIspo 2/16/93
COUNCIL. AGENDA REP®RT ITEM NUMBE
FROM: Ann Slate, Personnel Director (�
SUBJECT: Public Employees Retirement System (PERS) Health
Benefits Program
CAO RECOMMENDATION:
Adopt a corrected Resolution electing to be subject to Public
Employees' Medical and Hospital Care Act and eligible for PERS
Health Benefit Plans and rescind any previous resolutions in-
conflict.
DISCUSSION:
On January 5, 1993, the City Council adopted Resolution 8104 (1993 Series)
allowing the City to offer the PERS Health Benefit Program to City employees. As
required by PERS, a certified copy of the resolution was forwarded to the PERS Health
Benefit Division. Upon their review, it was determined that Resolution 8104, which
City staff composed based upon a boilerplate provided by PERS, was inadequate.
A corrected resolution is now necessary that once adopted and certified will be
forwarded to PERS. Because this error was due to incorrect information provided to
City staff by PERS, PERS will allow the City to continue on schedule to convert to the
PERS Health Program effective March 1, 1993 and will waive the PERS requirement
of 30 days between receipt of the resolution and the effective date of benefits.
FISCAL IMPACT:
There is no fiscal impact associated with this corrective action other than the staff
time devoted to perfecting the resolution.
Attachment:
Resolution
RESOLUTION NO. (1993 SERIES)
RESOLUTION ELECTING TO BE SUBJECT TO
PUBLIC EMPLOYEES' MEDICAL AND HOSPITAL CARE ACT
FIXING THE EMPLOYER'S CONTRIBUTION FOR EMPLOYEES AND
THE EMPLOYER'S CONTRIBUTION FOR ANNUITANTS AT DIFFERENT AMOUNT
AND RESCINDING RESOLUTION NO. 8104 (1993 SERIES)
WHEREAS, Government Code Section 22850 provides the benefits of the
Public Employees' Medical and Hospital Care Act to employees of local agencies
contracting with the Public Employees' Retirement System on proper application by
a local agency; and
WHEREAS, Government Code Section 22857 provides that a contracting
agency may fix the amount of the employer's contribution for employees and the
employer's contribution for annuitants at different amounts provided that the monthly
contribution for annuitants shall be annually increased by an amount not less than five
percent of the monthly contribution for employees, until such time as the amounts are
equal; and
WHEREAS, The City of San Luis Obispo, hereinafter referred to as Public
Agency, is a local agency contracting with the Public Employees' Retirement System;
and
WHEREAS, The Public Agency desires to obtain for its employees and
annuitants the benefit of the Actand to accept the liabilities and obligations of an
employer under the Act and Regulations.
NOW, THEREFORE, BE IT RESOLVED, that: (a) the Public Agency elects, and
it does hereby elect, to be subject to the provisions of the Act; and be it further, (b)
the employer's contribution for each employee shall be the amount necessary to pay
��3��
Resolution No. (1993 Series) Page 2
the full cost of his/her enrollment, including the enrollment of his/her family members
in a health benefits plan up to a maximum of $16.00 per month;. and be it further, (c)
the employer's contribution for each annuitant shall be the amount necessary to pay
the cost of his/her enrollment, including the enrollment of his/her family members, in
a health benefits plan up to a maximum of $1 .00 per month; and be it further, (d) the
employer's contribution for each annuitant shall be increased annually by five percent
of the monthly contribution for employees, until such time as the contributions are
equal and that the contributions for employees and annuitants shall be in addition to
those amounts contributed by the Public Agency for administrative fees and to the
Contingency Reserve Fund; and be it further, (e) the City Council appoint and direct,
and does hereby appoint and direct, the City Administrative Officer to file with the
Board of Administration of the Public Employees' Retirement System a verified copy
of this Resolution, and to perform on behalf of said Public Agency all functions
required of it under the Act and Regulations of the Board of Administration; and be
it further resolved, (f) that coverage under the Act be effective on March 1, 1993.
Resolution No. 8104 is hereby rescinded.
On motion of Council Member , seconded by Council Member
and on the following roll call vote:
AYES:
NOES:
ABSENT:
the foregoing Resolution was passed and adopted this day of February, 1993.
C--13 3
Resolution No. (1993 Series) Page 3
Mayor Peg Pinard
ATTEST:
Diane Gladwell, City Clerk
APPROVED:
C ty Administrative Of cer
it Attn
6'�)
Finklce Director
Personnel Director