HomeMy WebLinkAbout11.g. Authorize membership in California State Association of Counties (CSAC) Excess Insurance Authority Central Contra Costa Sanitary District '
r ` BOARD OF DIRECTORS
POSITION PAPER
Board Meeting Date: May 5 2016
Subject. CONSIDER ADOPTING RESOLUTION AUTHORIZING THE DISTRICT
TO BECOME A MEMBER OF THE CALIFORNIA STATE ASSOCIATION
OF COUNTIES EXCESS INSURANCE AUTHORITY
Submitted By. Initiating Dept./Div.:
Teji O'Malley Operations/Human Resources
Human Resources Manager
r
REVIEWED AND RECOMMENDED FOR BOARD ACTION:
i
A. Sasaki, Deputy General Manager 1
Kent Alm Roger S.Bailey
Counsel for the District General Manager
ISSUE: Board adoption of a resolution is required in order for the District to join the
California State Association of Counties (CSAC) Excess Insurance Authority (Authority).
BACKGROUND: The CSAC Authority, which is a Joint Powers Authority (JPA), is a
member-directed insurance risk sharing pool of counties and other public entities. The
sole purpose of the CSAC Authority is finding cost-effective insurance solutions and risk
management services for members. The Authority Health Program uses the concept of
pooling in order to create economic value and long-term stability for members by
securing the lowest fixed costs possible from its premier carrier partners. It offers
members the flexibility to match current plan design and product offerings at lower rates
for both active and retired employees.
Currently, the District's Delta Dental Plan and the Managed Health Network Employee
Assistance Program (MHN EAP) can be accessed through the CSAC Authority at a
lower cost than offered directly to the District by the carriers. If the District were to join
the CSAC Authority, it would realize an 8.2% decrease in cost of premiums for Delta
Dental and a 2.0% decrease in cost of premiums for MHN EAP. This would result in an
approximate decrease of$81,000 annually. Additionally, membership in the Authority
would give the District access to other cost-effective health and benefit plans for
consideration in the future.
ALTERNATIVES/CONSIDERATIONS: The Board may choose not to join the CSAC
Authority. However, this is not recommended as the District would not be able to secure
access to the lower-cost dental and EAP plans.
FINANCIAL IMPACTS: While there is no cost associated with this action, joining the
CSAC Authority would enable the District to decrease its premiums for Delta Dental and
MHN EAP by approximately $81,000 per year.
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POSITION PAPER
Board Meeting Date: May 5, 2016
subject. CONSIDER ADOPTING RESOLUTION AUTHORIZING THE DISTRICT TO
BECOME A MEMBER OF THE CALIFORNIA STATE ASSOCIATION OF
COUNTIES EXCESS INSURANCE AUTHORITY
COMMITTEE RECOMMENDATION: This matter was reviewed by the Administration
Committee on April 20, 2016. The Committee recommended Board approval.
RECOMMENDED BOARD ACTION: Adopt a resolution:
1. Authorizing the District to become a member of the CSAC Authority effective
July 1, 2016;
2. Authorizing execution of the CSAC Authority Joint Powers Agreement; and
3. Except as to actions that require Board approval, appointing the General
Manager and Deputy General Manager to act in all matters relating to the
District's membership in the CSAC Authority.
Attached Supporting Document:
1. Proposed Resolution
Page 2 of 2
ATTACHMENT 1
RESOLUTION NO. 2016-015
RESOLUTION OF THE CENTRAL CONTRA COSTA SANITARY DISTRICT
TO JOIN THE CALIFORNIA STATE ASSOCIATION OF COUNTIES EXCESS
INSURANCE AUTHORITY
WHEREAS, Article 1, Chapter 5, Division 7, Title 1 of the California Government Code
(Section 6500 et seq.) permits two or more public agencies by agreement to exercise
jointly powers common to the contracting parties; and
WHEREAS, the Central Contra Costa Sanitary District desires to join together with the
members of the California State Association of Counties (CSAC) Excess Insurance
Authority (EIA) (Authority) for the purpose of jointly funding and/or establishing excess
and other insurance programs as determined; and
WHEREAS, the Authority has determined that it is necessary for each member of the
Authority to delegate to a person[s] or position[s] authority to act on the member's
behalf in matters relating to the member and the Authority.
NOW, THEREFORE, BE IT RESOLVED by the Board of Directors of the Central Contra
Costa Sanitary District that said Board of Directors does hereby:
1. Authorize the District to become a member of the CSAC Authority effective
July 1, 2016;
2. Authorize execution of the CSAC Authority Joint Powers Agreement; and
3. Except as to actions that must be approved by the Board of Directors, appoints
the General Manager and Deputy General Manager to act in all matters relating
to the District's membership in the CSAC Authority.
PASSED AND ADOPTED by the Board of Directors this 5th day of May, 2016 by the
following vote:
AYES: Members:
NOES: Members:
ABSENT: Members:
Tad J. Pilecki
President of the Board of Directors
Central Contra Costa Sanitary District
County of Contra Costa, State of California
COUNTERSIGNED:
Elaine R. Boehme, CMC
Secretary of the District
Central Contra Costa Sanitary District
County of Contra Costa, State of California
Central Contra Costa Sanitary District
Resolution No. 2016-01.3
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Approved as to form:
Kenton L. Alm, Esq.
Counsel for the District