Title
Human Resources Department recommending the Board approve and authorize the Purchasing Agent to execute retroactive agreement 6274 with Self Insured Services Company (dba Benefit Coordinators Corporation) for a three (3) year term beginning January 1, 2021 through December 31, 2023 for third party administration services for the County's Health Benefits program.
FUNDING: Risk Management Internal Service Fund.
Body
DISCUSSION / BACKGROUND
On February 15, 2011, the Board of Supervisors entered into a Memorandum of Understanding (MOU) with CSAC-EIA (EIA) to join the CSAC-EIA Health program (EIA Health). The EIA is a Joint Powers Authority (JPA) comprised of California counties, cities, and public agencies organized to jointly develop and fund insurance and related programs with the most favorable terms and costs. The EIA Health MOU states billing and eligibility determinations will be done by a third-party administrator (TPA) selected by the EIA Health Committee; there are currently only three TPAs the County may select from to perform benefit administration services related to billing and eligibility under this MOU. In 2020, EIA changed its name to PRISM.
Since joining EIA Health, the County had previously used Employee Benefit Specialists, Inc. (EBS) as our TPA, and EBS’ online enrollment system called Workterra, under the master agreement between EIA (PRISM) and EBS. The Board had authorized Human Resources to pay EBS for TPA benefit administration services for our health plans and ancillary benefit programs (dental, vision, life insurance, long term disability, and employee assistance program) under the master agreement between EIA (PRISM) and EBS.
On July 21, 2020, the Board approved Legistar item 20-0949, allowing Human Resources to transition from EBS to Benefit Coordinators Corporation (BCC). This transition was effective January 1, 2021.
On August 25, 2020, the Board approved Legistar item 20-1072, approving third party administrator Benefit Coordinators Corporation’s three-year fee schedule.
Benefit Coordinators Corporation is requiring the County to contract directly with them for Administration services and HIPAA Business requirements. Human Resources is recommending the Board approve retroactive contract 6274 and delegate signature authority to the Purchasing Agent for execution of the contract.
ALTERNATIVES
The Board could choose not to approve the agreement, but this would negatively impact the ability of the Risk Management program to administer the County’s benefit program.
PRIOR BOARD ACTION
See above.
OTHER DEPARTMENT / AGENCY INVOLVEMENT
Human Resources Risk Management Department, CAO, Procurement and Contracts
CAO RECOMMENDATION / COMMENTS
Approve as recommended.
FINANCIAL IMPACT
The fee schedule was approved with Legistar item 20-1072, so there is no additional financial impact to the County as a result of approving the agreement.
CLERK OF THE BOARD FOLLOW UP ACTIONS
None.
STRATEGIC PLAN COMPONENT
Good Governance
CONTACT
Joseph Carreusco, Director of Human Resources