Title
Human Resources Department recommending 1.7 percent overall increase to rates for the County's Health Benefit Program.
RECOMMENDED ACTION: Approve.
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BUDGET SUMMARY: |
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Total Estimated Cost |
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Funding |
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Budgeted |
$ |
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New Funding |
$ |
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Savings |
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Other |
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Total Funding Available |
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Change To Net County Cost |
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$ |
Fiscal Impact/Change in Net County Cost: The action of approving the rates has no fiscal impact. Upon Board approval, these rates will be used to develop the FY 07/08 budget for the health benefits program, which is estimated to cost $22 million. These amounts are funded through health premium payments from department budgets as well as employee, retiree, affiliated employer, and cobra participating members.
Background: Annually, Human Resources staff work with Aon, the County's health benefit consultants, to analyze the health benefits program and determine what amounts will be needed to appropriately fund the County health benefits program.
Reason for Recommendation: Aon is recommending a 1.7% overall rate increase for the El Dorado County health benefits program. The Health Plan Advisory Committee reviewed these rates and approved a motion to support the AON recommendation.
Human Resources communicated the proposed premium rates to all employee associations and requested that concerns and comments be communicated to us by April 10th. All affected groups have either not replied or have positive comments recommending the implementation.
Action to be taken following Board approval: Following Board approval, staff will: communicate rates and contributions required for FY 07/08 to employees, retirees, cobra participants, and outside agencies along with open enrollment communications and return with vendor renewal contracts.
Contact: Sherril Jodar x5597
Concurrences: NA