Title
Human Resources Department, Risk Management Division, recommending the Board authorize the Chair to sign retroactive Agreement 091-S111 with PacifiCare of California in the amount of $2,350,811 for the term July 1, 2010 through June 30, 2011 to provide group health benefits for County employees who elect this plan.
Body
BUDGET SUMMARY: |
|
|
Total Estimated Cost |
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$2,350,811 |
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|
|
Funding |
|
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Budgeted |
$2,350,811 |
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New Funding |
$ |
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Savings |
$ |
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Other |
$ |
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Total Funding Available |
$2,350,811 |
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Change To Net County Cost |
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$ 0 |
Fiscal Impact/Change to Net County Cost: The overall 8.9% increase included in this contract was anticipated and the rate increase was included within the overall "blended" health benefit rates approved by the Board. PacifiCare premium payments made from the Risk Management Fund for current employees and retirees under this contract are estimated to total $2,350,811 by the end of the FY 10-11 and contract period. This amount reflects both the County and employee contributions toward health care.
Background:
Reason for Recommendation: This HMO provides a health care option for the County employees who live within PacifiCare's Service Area allowing access to care through the U.C. Davis, Sutter and Catholic Health Care West systems. Approximately 184 employees and their families are currently enrolled. The contract is retroactive to July 1, 2010, due to the fact that we did not receive it from the vendor until mid-June. This is usually the case with these agreements, as final negotiations often are not concluded until late Spring.
Action to be taken following Board approval: The Board Chair will sign the agreement and our business relationship with PacifiCare will continue for another 12 month period.
Contact: Donna Mullens x6060
Concurrences: County Counsel, Risk Management, Purchasing