To: Board of Supervisors
From: Executive Office
Meeting Date: August 16, 2016
|
Department Contact: |
Alan D. Flora |
Phone: |
463-4441 |
|
Department Contact: |
Sarah Dukett |
Phone: |
463-4441 |
|
Item Type: Consent Agenda |
|
Time Allocated for Item: N/A |
Agenda Title:
title
Ratification of Letter of Opposition for Assembly Bill 1853 (Cooper) - County Employees Retirement
End
Recommended Action/Motion:
recommendation
Ratify letter of opposition for Assembly Bill 1853 (Cooper) - County Employees Retirement.
End
Previous Board/Board Committee Actions:
No previous action.
Summary of Request:
AB 1853 would allow any retirement system under the County Employees Retirement Law of 1937 (CERL) to elect to be an independent district without any county input on the logistical or cost aspects of the separation. Currently, retirement systems operating under CERL have the ability to modify their operating structure by pursuing legislation to establish the different option. This bill creates an option for retirement systems to make such a choice without input from any other stakeholders.
CSAC, along with the Rural County Representatives of California and the Urban Counties of California, opposes this bill. This bill would limit the public view and discussion of a major structural change, and would require no notice or recognition of the change by the Board of Supervisors. It would likely result in increased administrative costs, and creates potentially problematic interactions with health care benefits.
Specifically, AB 1853 contains language that would allow retirement system employees that had been employees of the county to continue participating in county health plans, even after the retirement system becomes independent of the county. Many health plans either do not offer or must approve coverage for those who are not actual employees of the contracting entity.
The Executive Office is requesting the Board of Supervisors approve a letter of opposition for AB 1853. The letter is consistent with the local control and regulatory mandates and reform principles of the 2016 Legislative Platform. The bill will be voted on by the State Senate in August.
Alternative Action/Motion:
Take no action.
Supplemental Information Available Online at: N/A
Fiscal Impact:
|
Source of Funding: N/A |
Budgeted in Current F/Y: N/A |
|
|
Current F/Y Cost: N/A |
Annual Recurring Cost: N/A |
|
|
|
|
|
|
Supervisorial District: All |
Vote Requirement: Majority |
|
Agreement/Resolution/Ordinance Approved by County Counsel: N/A
|
CEO Liaison: Alan D. Flora, Assistant CEO |
|
|
|
CEO Review: Yes |
|
|
Comments: