HomeMy WebLinkAbout05.M- Public Employees' Medical and Hospital Care Act at an Equal Amount for Employees and Annuitants 5.M
RESOLUTION (ID # 4359) DOC ID: 4359 B
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CITY OF SAN BERNARDINO — REQUEST FOR COUNCIL ACTION
Agreement/Contract Amendment
From: Nita McKay M/CC Meeting Date: 03/21/2016
Prepared by: Veronica Martinez, (909)
384-5242
Dept: Finance Ward(s): N/A
Subject:
Resolution of the Mayor and Common Council of the City of San Bernardino, Acting as
the Successor Agency to the Redevelopment Agency of the City of San Bernardino,
Electing to be Subject to the Public Employees' Medical and Hospital Care Act at an
Equal Amount for Employees and Annuitants. (#4359)
Current Business Registration Certificate: Not Applicable
Financial Impact:
The monthly payment of$3,525 is included on the Successor Agency's Recognized
Obligation Payment Schedule (ROPS).
Motion: Adopt the Resolution.
Synopsis of Previous Council Action:
June 23, 2005 - Resolution 2005-23 was adopted.
Background:
On June 23, 2005, the Community Development Commission adopted Resolution 2005-
23 amending Section 6-A, Medical Insurance, of the Economic Development Agency's
Personnel Policies and Procedures to include a not-to-exceed Agency paid $350.00
monthly allowance to off-set a portion of the health insurance premium cost for retirees
continuing on the CaIPERs Health Insurance Plan.
Current Issue:
On March 21, 2016, the CaIPERs contract (Contract) of the former Economic
Development Agency (EDA) was merged into a contract with the Successor Agency to
the Redevelopment Agency of the City of San Bernardino (Successor Agency). It is
anticipated that the new contract will take effect on or about March 26, 2016. CaIPERs
notified staff that a new resolution must be adopted to continue the current health
coverage provided under the Public Employee's Medical and Hospital Care Act
(PEMHCA).
Under PEMHCA, employees and annuitants are provided access to group health
insurance. The CaIPERs Board of Administration administers the health benefits
program and determines the benefits design, including any co-pays and deductibles,
Updated: 3/17/2016 by Georgeann "Gigi" Hanna B I Packet Pg. 346
5.M
4359
providers, and premiums. By statute, public agencies in California are eligible to
contract with CaIPERs to participate in the PEMHCA program. Currently there are 12
eligible annuitants' who are covered under the CaIPERs health system. Annuitants are
provided a monthly health insurance premium that is the lower of either the monthly
CaIPERs health insurance premium or the sum of $350 per month. The minimum
monthly employer contribution is $125 per annuitant of which nine (9) are reimbursed
$225 for a total monthly employer contribution of $3,525 or $42,300 per year or ROPS
period.
12 Annuitants @ $125 $1,500
9 Annuitants @ $350 Agency allowance ($350 - $2,025
$125=$225)
Total Monthly Employer Contribution $3,525
As a result of the merger, annuitants currently covered under the former EDA contract
will no longer be covered under the CaIPERs (PEMHCA) health system effective May 1,
2016. In order to ensure that there is no lapse in coverage, the Successor Agency must
adopt a new resolution to continue to provide its annuitants CaIPERs health benefit
coverage. There will be no changes to the current health contract and annuitants will
receive the same benefits they are currently receiving under the former EDA contract.
Adoption of the attached Resolution will ensure that there is no lapse in coverage.
City Attorney Review:
Supporting Documents:
Reso - CalPers Medical and Hospital Care (DOC)
Reso - CDC2005-23 (PDF)
PERS - 1122763437 Health Resolution (DOCX)
Updated: 3/17/2016 by Georgeann "Gigi" Hanna B Packet Pg. 347
5.Ma
1 RESOLUTION NO.
2 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF
SAN BERNARDINO, ACTING AS THE SUCCESSOR AGENCY TO THE
3 REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, ELECTING TO
4 BE SUBJECT TO THE PUBLIC EMPLOYEES' MEDICAL AND HOSPITAL CARE ACT
AT AN EQUAL AMOUNT FOR EMPLOYEES AND ANNUITANTS.
5
WHEREAS, a contracting agency meeting the eligibility requirements set forth in
6
Government Code Section 22920, may obtain health benefit plan(s), as defined under Government
7 _
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Code Section 22777, by submitting a resolution to the Board of Administration of the California
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9 Public Employees' Retirement System (the "Board"), and upon approval of such resolution by the =
10 Board, become subject to the Public Employees' Medical and Hospital Care Act (the "Act"); and a
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WHEREAS, the Successor Agency to the Redevelopment Agency of the City of San M
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13 Bernardino (the "Successor Agency") is a contracting agency eligible to be subject to the Act under
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14 Government code Section 22920; and
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WHEREAS, Government Code Section 22892(a) provides that a contracting agency subject =
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to Act shall fix the amount of the employer contribution by resolution; and
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18 WHEREAS, Government Code Section 22892(b) provides that the employer contribution
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19 shall be an equal amount for both employees and annuitants, but may not be less than the amount v
20 prescribed by Section 22892(b) of the Act; and
21
22 WHEREAS, the Successor Agency desires to obtain for its employees and annuitants the
23 benefit of the Act and to accept the liabilities and obligations of an employer under the Act.
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1 Packet Pg.348 '
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1 NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COMMON
COUNCIL OF THE CITY OF SAN BERNARDINO, ACTING AS THE SUCCESSOR
2 AGENCY TO THE REDEVELOPMENT AGENCY OF THE CITY OF SAN
3 BERNARDINO,AS FOLLOWS:
Section 1. That the Successor Agency elects to be subject to the provisions of the Act.
4
Section 2. That the employer contribution for each employee or annuitant shall be the
5
amount necessary to pay the full cost of his/her enrollment, including the enrollment of family
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7 members, in a health benefits plan up to a maximum of the PEMHCA Minimum per month, plus
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g administrative fees and Contingency Reserve Fund assessments.
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Section 3. The Successor Agency has fully complied with any and all applicable
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provisions of Government Code Section 7507 in electing the benefits set forth above. v
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12 Section 4. That the participation of the employees and annuitants of the Successor M
13 Agency shall be subject to determination of its status as an "agency or instrumentality of the state or
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14 political subdivision of a State" that is eligible to participate in a governmental plan within the
15 meaning of Section 414(d) of the Internal Revenue Code, upon publication of final Regulations =
16 pursuant to such Section. If it is determined that the Successor Agency would not qualify as an
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agency or instrumentality of the state or political subdivision of a State under such final
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Regulations, Ca1PERS may be obligated, and reserves the right to terminate the health coverage of a
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20 all participants of the employer.
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21 Section 5. That the executive body appoint and direct, and it does hereby appoint and
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direct Georgeann "Gigi" Hanna, City Clerk, to file with the Board a verified copy of this resolution,
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and to perform on behalf of the Successor Agency all functions required of it under the Act.
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25 Section 6. That the coverage under the Act be effective on May 1, 2016.
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Section 7. This Resolution shall take effect upon its adoption and execution in the
27
28 manner as required by the City Charter.
2 Packet Pg. 349
5.M.a
1 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF
SAN BERNARDINO, ACTING AS THE SUCCESSOR AGENCY TO THE
2 REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, ELECTING TO
3 BE SUBJECT TO THE PUBLIC EMPLOYEES' MEDICAL AND HOSPITAL CARE ACT
AT AN EQUAL AMOUNT FOR EMPLOYEES AND ANNUITANTS.
4
5
I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Successor
6
Agency to the Redevelopment Agency of the City of San Bernardino, at a meeting thereof, held
7 =
on the day of March, 2016, by the following vote, to wit: m
8
9 Council Members Ayes Nays Abstain Absent =
10 MARQUEZ a
11 BARRIOS v
VALDIVIA
12
SHORETT
13 ca
NICKEL v
14
RICHARD �-
15 =
MULVIHILL
16 a
2
17 �a
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18 Georgeann Hanna, City Clerk
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19 The foregoing Resolution is hereby approved this day of March, 2016. a.
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20
to
21
22 R. Carey Davis, Chairman
Successor Agency to the Redevelopment Agency
23 of the City of San Bernardino
24
Approved as to Form:
25 Gary D. Saenz, City Attorney
26
27 By:
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3 Packet Pg. 350
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1 RESOLUTION NO. CDC/2005-23
2 RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF
THE CITY OF SAN BERNARDINO, CALIFORNIA, APPROVING
3 AMENDMENTS TO EXHIBITS "A", "B-1", "B-2", "B-3", "C-52" THROUGH "C-
4 5411, AND "C-55" THROUGH "C-56", AND SECTION 6-A; AND DELETION OF
EXHIBITS "C-35" THROUGH "C-37", "C-57" THROUGH "C-59", "C-64"
5 THROUGH "C-66", AND "C-67" THROUGH "C-69" OF THE PERSONNEL
POLICIES AND PROCEDURES FOR ALL EMPLOYEES OF THE CITY OF SAN
6 BERNARDINO ECONOMIC DEVELOPMENT AGENCY.
7 WHEREAS, on September 21, 1998, the Community Development Commission
8 4-
("Commission") adopted Resolution No. 5557 approving revised Economic Development
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Agency of the City of San Bernardino Personnel Policies and Procedures for all employees
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11 of the City of San Bernardino Economic Development Agency ("Agency") including
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12 Exhibits"A", GB" and LGC"; and a
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13 WHEREAS, on October 5, 1998, October 18, 1999, September 18, 2000, August
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14 20, 2001, December 16, 2002, and February 22, 2005, the Commission approved N
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15 amendments to the Agency's Personnel Policies and Procedures; and N
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WHEREAS, the Commission now deems it desirable to amend Exhibits LLA", GGB-
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117, 44B-25), GLB-3715 "C-52" through LGC-54", LLC-55" through GGC-56", and Section 6-A; and
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19 delete Exhibits C-35 through "C-37", C-57 through "C-59", C-64 through "C-66",
20 and LLC-67" through GGC-69", to the Agency's Personnel Policies and Procedures. r
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21 NOW, THEREFORE, BE IT RESOLVED BY THE COMMUNITY DEVELOPMENT
22 COMMISSION OF THE CITY OF SAN BERNARDINO, AS FOLLOWS:
23 SECTION 1. The Commission hereby approves and adopts Exhibits "A" (list of
24
staff positions), "B-l" LL(salary chart July 1, 2005), B-2„ GL(salary chart July 1, 2006), B-3„
25
(salary chart July 1, 2007), GGC-52” through GGC-54” (job description Administrative Clerk
26
27 III), and LLC-55" through LLC-56" (job description Operations Specialist II), as amended, to
28 said Agency Personnel Policies and Procedures.
Packet Pg. 351'
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I SECTION 2. The Commission hereby amends Section 6-A, Medical Insurance, of
2 said Personnel Policies and Procedures to now read as follows:
3' "Medical Insurance: The Agency shall provide a group health insurance program
4 for regular full-time employees and annuitants (retirees). Any Agency contribution
for regular full-time employees shall be in accordance with Section 6-A, "Cap on
5 Agency Contributions Toward Medical, Dental, Vision and Supplemental Life
Insurance".
6
7 The Agency shall pay a portion of the monthly medical insurance premium for
annuitants at the minimum monthly rate as allowed for, and required by, PERS
g rules and regulations, and/or other applicable rules and regulations when the r
annuitant continues coverage under the PERS Health Insurance Plan at the time of =
9 retirement. The Agency shall pay a portion of the monthly medical insurance m
10 premium for eligible annuitants at a rate higher than the minimum allowed for, and
required by, PERS rules and regulations, if the eligible annuitant elects to continue
11 coverage under the PERS Medical Insurance Plan at the time of retirement and co
meets the following criteria. To be eligible for increased Agency paid monthly W
12 medical insurance premiums the regular full-time Agency employee must retire
from the Agency with a minimum of ten (10) years of service for Management and
13 Confidential employees, and have attained the age of fifty-five (55) at the time of
14 retirement, or a minimum of fifteen (15) years of service for Mid-Management and
® General employees, and have attained the age of fifty-five (55) at the time of N
15 retirement. The Agency's contribution towards the eligible annuitants' monthly c
health insurance premium shall be the lower of either the monthly PERS health N
16 insurance premium or the sum of$350 per month. When the annuitant becomes o
eligible for Medicare the Agency's contribution shall be the lower of either the U
17 monthly PERS Medicare supplemental insurance premium or $350 per month. The y
18 increased Agency paid health insurance premium shall cease upon the death of the
annuitant, or when the annuitant is no longer covered by the PERS Health
19 Insurance Plan. The Agency will remain bound by PERS rules and regulations
regarding any surviving spouse continuing in the PERS Health Insurance Plan."
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SECTION 3. The Commission hereby deletes Exhibits "C-35" through "C-37" Q
21
22 Oob description Graphic and Design Coordinator), "C-57" through "C-59" (job description
23 Real Estate Services Manager), "C-64" through "C-66" (Fiscal / Administrative Clerk
24 III), and "C-67" through "C-69" (job description Administrative Clerk II), of said
25 personnel Policies and Procedures.
26 SECTION 4. This Resolution shall take effect upon the date of its adoption.
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Packet Pg. 352
3
I ; RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF
THE CITY OF SAN BERNARDINO, CALIFORNIA, APPROVING
2 AMENDMENTS TO EXHIBITS "A", "B-1", "B-2", "B-3", "C-52" THROUGH "C-
3 54", AND "C-55" THROUGH "C-56", AND SECTION 6-A; AND DELETION OF
EXHIBITS "C-35" THROUGH "C-37", "C-57" THROUGH "C-59", "C-64"
4 THROUGH "C-669', AND "C-67" THROUGH "C-69" OF THE PERSONNEL
POLICIES AND PROCEDURES FOR ALL EMPLOYEES OF THE CITY OF SAN
5 BERNARDINO ECONOMIC DEVELOPMENT AGENCY.
6 I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Community
7 joint adjourned
Development Commission of the City of San Bernardino at a regular meeting
8
thereof, held on the 23rd day of June , 2005 by the following vote, to wit:
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Commission Members Aves Nays Abstain Absent
10
11 ESTRADA x co
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12 LONGVILLE X a
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13 MCGIWS x L;
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14 DERRY x N
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15 KELLEY CD
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JOHNSON x
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18 MCCAMMACK
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20 Secretary w
21 The foregoing Resolution is hereby approved this gay of June , 2005.
22
23 Jud' h Valles, Chairperson
24 Cit of San Bernardino Community
De elopment Commission
E 25
26 Approved as to form and legal content:
27
By: --16
28 Agency 4unsel
Packet Pg. 353
RESOLUTION NO. Number
ELECTING TO BE SUBJECT TO THE PUBLIC EMPLOYEES' MEDICAL AND HOSPITAL CARE ACT
AT AN EQUAL AMOUNT FOR EMPLOYEES AND ANNUITANTS
WHEREAS, (1) A contracting agency meeting the eligibility requirements set forth in Government Code
Section 22920, may obtain health benefit plan(s), as defined under Government Code
Section 22777, by submitting a resolution to the Board of Administration of the
California Public Employees' Retirement System (the "Board"),and upon approval of
such resolution by the Board, become subject to the Public Employees' Medical and
Hospital Care Act(the "Act"); and
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WHEREAS, (2) Successor Agency to the Redevelopment Agency of the City of San Bernardino is a
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contracting agency eligible to be subject to the Act under Government Code Section m
22920; and
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WHEREAS, (3) Government Code Section 22892(a) provides that a contracting agency subject to Act =
shall fix the amount of the employer contribution by resolution; and w
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WHEREAS, (4) Government Code Section 22892(b) provides that the employer contribution shall be an �j
equal amount for both employees and annuitants, but may not be less than the amount a;
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prescribed by Section 22892(b) of the Act; and
WHEREAS, (5) Successor Agency to the Redevelopment Agency of the City of San Bernardino desires to 0
obtain for its employees and annuitants the benefit of the Act and to accept the
liabilities and obligations of an employer under the Act; now,therefore, be it
RESOLVED, (a) Successor Agency to the Redevelopment Agency of the City of San Bernardino elects to
be subject to the provisions of the Act; and be it further
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RESOLVED, (b) That the employer contribution for each employee or annuitant shall be the amount
necessary to pay the full cost of his/her enrollment, including the enrollment of family
members, in a health benefits plan up to a maximum of the PEMHCA Minimum per N
month, plus administrative fees and Contingency Reserve Fund assessments; and be it
further
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RESOLVED, (c) Successor Agency to the Redevelopment Agency of the City of San Bernardino has fully d
complied with any and all applicable provisions of Government Code Section 7507 in
electing the benefits set forth above; and be it further
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RESOLVED, (d) That the participation of the employees and annuitants of Q
Successor Agency to the Redevelopment Agency of the City of San Bernardino shall be
subject to determination of its status as an "agency or instrumentality of the state or
political subdivision of a State"that is eligible to participate in a governmental plan
within the meaning of Section 414(d) of the Internal Revenue Code, upon publication of
final Regulations pursuant to such Section. If it is determined that Successor Agency to
the Redevelopment Agency of the City of San Bernardino would not qualify as an agency
or instrumentality of the state or political subdivision of a State under such final
NEW-ALL,EQUAL, 1 FIXED(REV.5/2015)
Packet Pg. 354
5.M.c
Regulations, CalPERS may be obligated, and reserves the right to terminate the health
coverage of all participants of the employer.
RESOLVED, (e) That the executive body appoint and direct, and it does hereby appoint and direct,
Georgeann "Gigi" Hanna, City Clerk to file with the Board a verified copy of this
resolution, and to perform on behalf of Successor Agency to the Redevelopment Agency
of the City of San Bernardino all functions required of it under the Act; and be it further
RESOLVED, (f) That coverage under the Act be effective on May 1, 2016.
Adopted at a regular meeting of the Mayor and Common Council of the City of San r
Bernardino acting as the Successor Agency of the City of San Bernardino at San
Bernardino, CA,this 7th day of March, 2016. m
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Signed: _
R. Carey Davis, Mayor W
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Attest:
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Gary Saenz, City Attorney or Georgeann "Gigi" Hanna, City Clerk
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NEW-ALL, EQUAL, 1 FIXED(REV.5/2015)
`Packet Pg. 355
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INSTRUCTIONS
This resolution form is the approved form designated by the California Public Employees' Retirement System
(CaIPERS). It should be used by a contracting agency for the purpose of electing to be subject to Public
Employees' Medical and Hospital Care Act (PEMHCA) and to fix the monthly employer health contribution for
employees and annuitants in accordance with Government Code Section 22892.
If the resolution is filed on or before the tenth day of any month,it will be effective on the first of the
following month (date stamped as received by CaIPERS; See address below).
WHEREAS, (2) should be completed with full name of the contracting agency.
WHEREAS, (5) should be completed with full name of the contracting agency.
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RESOLVED, (a) should be completed with full name of the contracting agency. m
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RESOLVED, (b) should be completed to specify the amount of the employer contribution toward the =
cost of enrollment for active employees and annuitants. The amount specified must be
an amount equal to or greater than that prescribed by Section 22892(b). W
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Commencing January 1, 2009,the employer contribution shall be adjusted annually by
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the Board to reflect any change in the medical component of the Consumer Price Index, M
and shall be rounded to the nearest dollar.
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RESOLVED, (c) should be completed with full name of the contracting agency. 3
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RESOLVED, (d) should be completed with full name of the contracting agency.
RESOLVED, (e) requests the position title of the individual who handles the PEMHCA resolution for the
contracting agency. _
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RESOLVED, (e) should be completed with full name of the contracting agency.
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RESOLVED, (f) should be completed with the date the coverage is to become effective.
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Because resolutions serve as a legally binding document,we require the original resolution,certified copy w
with original signatures, or a copy of the resolution with the agency's raised seal. °-
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For resolution processing, deliver to the following: E
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Overnight Mail Service Regular Mail Q
California Public Employees' Retirement System California Public Employees' Retirement System
Health Contracts Unit, EAMD Health Contracts Unit, EAMD
400 Q Street PO BOX 942714
Sacramento, CA 95811 Sacramento, CA 94229-2714
The certification shown following the resolution is to be completed by those individuals authorized to sign for
the contracting agency in legal actions and is to include the name of the executive body; i.e. Board of Directors,
Board of Trustees, etc., the location and the date of signing.
NEW-ALL, EQUAL, 1 FIXED(REV.5/2015)
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