DATE: November 2, 2021
TO: Board of Supervisors
SUBMITTED BY: Hollis Magill, Director of Human Resources
SUBJECT: Increase to County Health Premium Contribution for Plan Year 2022 for Units 11 & 42, and County Health Premium Contribution for Plan Years 2022 and 2023 for Unrepresented, Management, Senior Management, and Department Head Classifications
RECOMMENDED ACTION(S):
TITLE
1. Approve the Addenda to the Memorandum of Understanding (MOU) regarding County Health Premium Contributions for Plan Year 2022, effective December 13, 2021, for Representation Unit 11, represented by the Fresno County Deputy Probation Officers Association, and Representation Unit 42, represented by the Association of County Engineers.
2. Approve increase to the County’s Health Premium Contributions for Plan Year 2022 for Unrepresented and Management (including Senior Management, Department Head and Elected Officials) classifications, effective December 13, 2021.
3. Approve increase to the County’s Health Premium Contributions for Plan Year 2023 for Unrepresented and Management (including Senior Management, Department Head and Elected Officials) classifications, effective December 12, 2022.
REPORT
There is a $19,417 increase in Net County Cost (NCC) associated with the recommended actions. Approval of the recommended actions will effectuate the tentatively agreed upon terms and conditions as delineated herein regarding addenda to the MOUs for Representation Units 11 and 42, effective December 13, 2021, and would serve to increase the County’s health premium contribution for the next two plan years. The total estimated cost for FY 2021-22 is approximately $73,772 including $19,417 in NCC. Impacted department appropriations will be monitored and adjustments will be brought to your Board if needed. The current Representation Unit 11 MOU is effective until February 20, 2022. The current Representation Unit 42 MOU is effective until November 13, 2022. This item is countywide.
ALTERNATIVE ACTION(S):
If your Board were not to approve the recommended actions, the County’s Health Premium Contribution for Representation Units 11 and 42 would remain unchanged, and the County’s Health Premium Contributions for Unrepresented and Management (including Senior Management, Department Head and Elected Officials) classifications would increase consistent with the Board’s previously approved increases from Board Agenda Item #34, brought on September 21, 2021.
FISCAL IMPACT:
There is an increase in NCC of $19,417 associated with the recommended actions. The total estimated cost of the recommended actions for FY 2021-22 is approximately $73,772; $19,417 in NCC. Impacted department appropriations will be monitored and adjustments will be brought to your Board if needed.
DISCUSSION:
Recommended Action No. 1: Your Board’s representatives have signed addenda with Representation Units 11 and 42 regarding the County’s Health Premium Contribution for Plan Year 2022.
As reflected on the addenda, the County’s Health Premium Contribution for Plan Year 2022 will increase per pay period as follows:
• Health Insurance: (up to indicates that the contribution will not exceed the cost of the employee’s health plan selection)
o Increase total county contribution for Employee Only up to $388 (up to $10 increase per pay period) effective December 13, 2021
o Increase total county contribution for Employee plus Spouse up to $498 (up to an additional $110 increase per pay period) effective December 13, 2021
o Increase total county contribution for Employee plus Child(ren) up to $498 (up to an additional $110 increase per pay period) effective December 13, 2021
o Increase total county contribution for Employee plus Family up to $593 (up to an additional $215 increase per pay period) effective December 13, 2021
Recommended Action No. 2: On September 21, 2021, your Board approved increases to the County’s health premium contributions for Unrepresented and Management (including Senior Management, Department Head and Elected Officials) classifications. The recommended action provides an additional increase the County’s health premium contribution towards County sponsored health plans for Plan Year 2022, including up to $10 for Employee Only participants, effective December 13, 2021, as follows:
Plan Section Total Contribution
Employee Only $368 $388
Employee plus Child(ren) $478 $498
Employee plus Spouse $478 $498
Employee plus Family $483 $593
Recommended Action No. 3: On September 21, 2021, your Board approved increases to the County’s health premium contributions for Unrepresented and Management (including Senior Management, Department Head and Elected Officials) classifications. The recommended action provides an additional increase the County’s health premium contribution towards County sponsored health plans for Plan Year 2023, including up to $10 for Employee Only participants, effective December 12, 2022, as follows:
Plan Section Total Contribution
Employee Only $388 $408
Employee plus Child(ren) $498 $518
Employee plus Spouse $498 $518
Employee plus Family $593 $703
Employees eligible to participate in the County’s Health Plan Benefit Program (Program) can choose to opt out of the Program during the next open enrollment period by providing written proof that they have medical coverage from another source.
REFERENCE MATERIAL:
BAI #34, September 21, 2021
BAI #42, February 25, 2020
BAI #37, November 19, 2019
ATTACHMENTS INCLUDED AND/OR ON FILE:
Addendum to the MOU for Representation Unit 11
Addendum to the MOU for Representation Unit 42
CAO ANALYST:
Yussel Zalapa