ITEM:		CONSENT CALENDAR
2.	CONSIDER ADOPTION OF RESOLUTION NO. 2009-01 REGARDING DIRECTOR PARTICIPATION IN DISTRICT HEALTH INSURANCE PLANS
Meeting Date:			April 20, 2009	Budgeted:	N/A
From:			Darby W. Fuerst,	Program:	N/A
			General Manager	Line Item No.:
Prepared By:			Cynthia Schmidlin	Cost Estimate:	N/A
General Counsel Approval: Yes
Committee Recommendation: The Rules and Regulations Committee recommended unanimously that a Resolution be drafted and presented for approval by the Board.
CEQA Compliance: N/A

SUMMARY: Members of the District Board of Directors and their dependents are eligible for coverage under both of the District’s employee health insurance plans. However, no formal rules have ever been adopted by the District regarding such coverage. On January 14, 2009, the Administrative Committee reviewed a staff report describing the health plans available, premium costs, and conditions of participation. One plan offers voluntary participation for medical, dental, and vision coverage and allows reimbursement of premium costs to the District. The other has partially mandated coverage and does not allow reimbursements.

The Administrative Committee referred the issue to the Rules and Regulations Committee in order to develop a policy on this issue. On March 20, 2009, the Rules and Regulations Committee approved policy language governing Director participation. The language specified that participation should be in a voluntary plan providing medical, dental, and vision care coverage, with the condition that premium costs incurred by the District would be reimbursed by Directors. Committee members directed staff to develop a resolution incorporating this language for consideration by the Board.

RECOMMENDATION: Adopt the following resolution regarding Board Director Participation in District Health Insurance Plans. (Exhibit 2-A).

IMPACTS TO STAFF/RESOURCES: There is no real cost associated with adoption of this Resolution. All premium payments would be reimbursed by participating Directors. Only minimal staff time would be required to administer benefits for Directors opting to enroll.

BACKGROUND: Previous Boards of Directors have discussed the issue of Director health coverage. They came to the informal consensus that Directors could participate if premium expenses incurred by the District were reimbursed by each participating member. One former Director was covered for a number of years under this arrangement.

EXHIBITS

2-A Draft Resolution No. 2009-01

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