HomeMy WebLinkAboutMINUTES - 04141992 - 2.2 To . BOARD OF SUPERVISORS
FROM: Phil Batchelor, County Adminstrator Contra
Costa
.DATE: April 14, 1992 co �'
SUBJECT: Proposed lst Choice Health Plan Trust vim" „r
SPECIFIC REQUEST(S) OR RECOMMENDATION(S) & BACKGROUND AMID JUSTIFICATION
RECOMMENDATION:
Accept report on status of proposed lst Choice Health Plan Joint Labor
Management Trust.
BACKGROUND:
For more than a year, a joint labor management committee has met to oversee
the operation and administration of the lst Choice Health Plan. Employees
and retirees have been represented by eight ( 8) employees from labor
organizations and one ( 1) retiree. The County has been represented by four
( 4) management employees. Since inception of this Committee, some of the
significant accomplishments resulting from the Committee' s recommendations
include:
o Selection of the. Segal Company as plan consultant.
o Resolution of claim disputes.
o Determination of renewal rate charges.
o Selection of United Administrative Services as new claims
administrator.
o Selection of the Saltzman and Johnson law firm as trust attorney.
In addition, the Committee has prepared an agreement which creates a Trust
to control and manage the lst .Choice Health Plan. The County and the
Health Care Coalition are in agreement on all terms of the trust agreement.,
except for the number of trustees who would. serve on the Joint Board of
Trustees.
The labor organizations and retirees through the Health Care Coalition
propose that all eleven labor organizations be allowed a seat on the Trust,
plus one seat for a representative of. the retirees, for a total of 12
trustee seats for employee representatives. The Health Care Coalition
wants each labor organization to have the opportunity to represent its
members by having a seat on the Trust. The County would have an equal
number of employer trustee . seats. The total number of trustee seats per
labor' s proposal on the Joint Board of Trustees would be 24.
CONTINUED ON ATTACHMENT: X YES SIGNATURE:(4 - W�
I
RECOMMENDATION OF COUNTY ADMINISTRATOR RECOMM DA ION OF% BOA D OMMITTEE
APPROVE OTHER
SIGNATURE(S):
ACTION OF BOARD ON APPROVED AS REC'71.MMENDED x OTHER
The Board heard comments from Jim Hicks, Local 2700; Carl Doolitte, 14 Dan. Ridge Place,
Pittsburg; and Jacque' Salvador,. Local 1, urging that each labor organization have a seat on
the trust. Board members discussed the mattr with the County Administrator and the Risk
Manager. The Board ACCEPTED the above Status Report and REQUESTED that the matter be brought
back to the Board for further discussion on April 28, 1992.
VOTE OF SUPERVISORS
1 HEREBY CERTIFY THAT THIS IS A TRUE
UNANIMOUS (ABSENT Z 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.
lst Choice Trust Committee �,eAa ATTESTED
County Administrator — ------
Benefits
PHIL BATCH OR, CLERK OF THE BOARD OF
Risk Management SUPERVISORS AND COUNTY ADMINISTRATOR
County Counsel
M382/7-83 BY ,DEPUTY
-
i
The County proposes that labor and management each have 6 trustee seats for
a total of 12 seats on the joint board of trustees. Reasons for 6
positions for each side are to have a manageable group size, conduct trust
meetings more efficiently, control charges to the 1st Choice Health Plan
for costs incurred in trustee training, and reduce costs to the County for
trustees' time off from work to conduct Trust business.
The Martin Segal Company, consultant to the Plan, surveyed 42 of its
private sector Taft-Hartley labor management trust clients and found the
following number of trustees on various trust funds:
No. of Trustees: 3/3 4/4 5/5 6/6 7/7 8/8 9/9 10/10 16/16
No. of Clients: 14 11 10 2 1 1 1 1 1
The trustees on the joint board will be composed of an even number of
positions, half of which will be employee organization trustees and half of
which will be employer trustees. The Trust will have bloc voting. Total
authorized votes of the employee organization trustees will. be cast as a
single vote, as will the total authorized votes of the employer trustees.
R' "'