HomeMy WebLinkAboutMINUTES - 06251991 - 1.95 TO: . BOARD OF SUPERVISORS Contra
FROM: Phil Batchelor, County Administrator Costa
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June 24, 1991i"� Count
DATE:
LEGISLATION: ADOPT A POSITION IN OPPOSITION TO A GROSS
SUBJECT: PREMIUMS TAX ON NON-PROFIT HEALTH CARE SERVICE PLANS
SPECIFIC REQUEST(S)OR RECOMMENDATION(S)&BACKGROUND AND JUSTIFICATION
RECORDATION•
Adopt a position in OPPOSITION to any legislation which would
impose a gross premiums tax on non-profit health care service
plans since doing so would effectively require the health plan to
pass such a tax on to the employers and employees who finance
those health plans and authorize the Chairman to send a letter to
the members of this County' s legislative delegation sharing with
them the Board' s position.
BACKGROUND:
Our Risk Management Office has been advised by Kaiser Foundation
Health Plan, Inc. that one mechanism being discussed in
Sacramento as a way to balance the State's Budget is to impose a
2% gross premiums tax on all non-profit health care service
plans, such as Kaiser and Blue Cross. Of course, since such plan
are non-profit, they have little alternative but to pass this
additional cost along to their subscribers and the subscribers'
employers.
Such a gross premiums tax would cost Contra Costa County as an
employer, and its employees, aundreds of thousands of dollars a
year. While we are . vitallyl concerned with the State Budget
deficit and the efforts to close the gap between revenues and
expenditures, this does not appear to be a legitimate way in
which to balance the State Budget.
CONTINUED ON ATTACHMEN;C YES SIGNATURE: ,Ie `//�
5Xa,(_94,
RECOMMENDATION OF COUNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE
APPROVE OTHER
SIGNATURE S:
ACTION OF BOARD ON June 2 , APPROVED AS RECOMMENDED -4 OTHER
VOTE OF SUPERVISORS
-� I HEREBY CERTIFY THAT THIS IS A TRUE
X UNANIMOUS(ABSENT AND CORRECT COPY OF AN ACTION TAKEN
AYES: NOES: AND ENTERED ON THE MINUTES OF THE BOARD
ABSENT: ABSTAIN: OF SUPERVISORS ON THE DATE SHOWN.
County Administrator
CC:
Risk Manager ATTESTED
Director of Personnel
PHIL IOTCHELOR,CLERK OF THE BOARD OF
County Counsel SUPERVISORSAA,N�D COUNTY ADMINISTRATOR
Auditor-Controller
Les Spahnn (�
M382 (10/88) SRJ. Jackson, Barish & Assoc. BY DEPUTY