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To: BOARD OF SUPERVISORS Contra
h
FROM: Leslie T. Knight, Director of Human Resources Costa
County
DATE: May 7. 1996
SUBJECT: Unemployment Insurance Contract - Third Party Administrator Change
SPECIFIC REQUEST($)OR RECOMMENDATION(S)6 BACKGROUND AND JUSTIFICATION
Recommendation:
Authorize the Human Resources Director to execute a contract on behalf of
Contra Costa County, the California County Personnel Administrator Association (CPAAC),
a California nonprofit corporation and Gibbens Company for the period May 1, 1996
through April 30, 1999. The contract is to provide services pertaining to investigation,
administration and representation of unemployment insurance claims filed against the County.
s
Background:
Since July 1, 1984 the County Personnel Administrator's Association of
California (CPAAC) and its member counties have participated in a consortium to purchase
unemployment administrative services from R.E. Harrington. In the fall of 1995, CPAAC
issued an RFP to obtain bids with the possibility of changing administrators.
On February 28th, CPAAC members voted to enter into a contract with the
Gibbens Company to provide unemployment administrative services. The current contract
with R.E. Harrington will be cancelled April 30, 1996 and the new contract with Gibbens
will commence May 1, 1996.
A CPAAC subcommittee reviewed written proposals, interviewed four vendors
and checked references before recommending the Gibbens Company. The Gibbens Company
was selected on the basis of their fee, service orientation and commitment, willingness to
provide a hearing representation process and extremely satisfactory references from
companies working with the Gibbens for 10 years or more.
CONTINUED ON ATTACHMENT: YES SIGNATURE:
RECOMMENDATION OF COUNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE
APPROVE OTHER
SIGNATURE(S):
ACTION OF BOARD ON Mw 7 T 4qA APPROVED AS RECOMMENDED OTHER
VOTE OF SUPERVISORS
1 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.
cc: O.rginating Department : Human Resources ATTESTED May 7, 1996
County COun8e1 PHIL BATCHELOR,CLERK OF THE BOARD OF
County Administrator SUPERVISORS AND COUNTY ADMINISTRATOR
Auditor•-Controller
-Benefits Service Unit , Human Resources
13Y ,DEPUTY
M382 (10/88)
-71
Fiscal. Impact:
The selection of the Gibbens Company will result in a reduced administrative
fee (from $1.00 to $ .70. per FTE annually) resulting in a $1216 annual savings.
As in the past, CPAAC may charge an annual fee, not to exceed $.06 per FTE
annually for coordinating and monitoring the program for the group. However, CPAAC
voted not to impose the fee this year.
Program costs are paid from the Unemployment Insurance Trust Fund. The
Unemployment Insurance Trust Fund receives revenue from monthly premiums charged to
County Departments. Each year premium charges are reviewed by the County
Administrator's staff and the Human Resources Department to establish premiums needed
to cover costs of the program.
JFS:ki
96:UNEMPLOY