JLMBC Monthly Meeting March 14, 2017 Minutes Joint Labor/Management Benefits Committee *William Elarton-Selig, Chair, JLMBC ALTERNATES RESOURCES TO THE JLMBC MEMBERS *James Bradley,SEIU Local 99 *Galen Bullock, SEIU Local 721 *Velma J. Butler, President AFT College Staff Guild, Local 1521A *Otto W. K. Lee, LAHC/President, Administrative Representative *Mercy Yanez, Acting President, LACCD Administrators Association/Teamsters Local 911 *Ernesto Medrano, LA/OC Building & Construction Trades Council *Joanne Waddell, President, L.A. College Faculty Guild, Local 1521 *Mercedes Gaitan, AFT College Staff Guild, Local 1521A Dr. Armida Ornelas, L.A. College Faculty Guild, Local 1521 Laurence B. Frank, LATTC/President, Administrative Representative Celena Alcala, Teamsters Local 911 *David Serrano, Risk Manager, ESC *Nancy Carson, Retiree *Phyllis Eckler, Adjunct *Leon Marzillier, Retiree *Barbara Harmon, Retiree Amy Roberts, Adjunct *Katrelia Walker, ESC, HumanResources VISITORS/SUBSTITUTES Arthur J. Gallagher & Co.: Scott Morsch, Megan Leslie, Robert Bloomer, Kaiser: Sunny Smith *Indicates Present The Benefits Committee meeting convened at 9:14 a.m. Location: Educational Services Center 6 th Floor Conference Room, 770 Wilshire Boulevard, Los Angeles, CA 90017 The meeting was called to order by the Chair, Mr. Bill Elarton. A quorum was present. Approval of Agenda 3/14/2017 The agenda was passed as amended with unanimous approval. Approval of Minutes 1/10/2017 The minutes for the 1/10/2017 meeting were approved as amended by Velma. 1
Adjourn to Closed Session Convened to Regular JLMBC Meeting A. HRA/FSA Request for Proposal There is an action item for HRA/FSA RFP. During the closed session it was discussed to cancel the current HRA/FSA RFP and to authorize the staff to reissue a new HRA/FSA RFP. Velma inquired about the specific amount of time required that a RFP needs to be posted. David explained that for this specific RFP, there is no required. The RFP will be posted for 20 day to allow vendors to provide proposals. Bill motioned to approve the action item on the floor seconded by Galen. The motion was approved unanimously. Bill informed the members that there is a request to add an item to the agenda. The agenda item is to set up a conference call to prepare the JLMBC agenda. The JLMBC members would be invited to participate, discuss and prepare the agenda. Galen opposed to the conference call. The agenda will be emailed a week in advance with no resource documents, as agreed by the members. The agenda with resource documents will be emailed on Friday evening before the meeting. It was agreed that an agenda-prep conference call will be set up for the JLMBC members to join. Bill will provide the conference call number to the members who send him an email requesting that number. Discussion/Follow-Up Reports A. Wellness Committee Report Velma informed the members that the Wellness Sub-Committee had a wellattended meeting. Gallagher, Kaiser, Blue Cross, Anthem, and United Healthcare attended the meeting. Velma would like to develop a document to inform members about all the services available to them through the various health providers. Katrelia indicated that it was a Wellness Round Table meeting and that four out of five health care providers participated in the meeting. The focus of the meeting was Diabetes Prevention and Do you Know Your Numbers. The 2
health care providers have their own information documents regarding those topics, which it mentions that by eating health and exercising may assist members to stay healthy. That information will help members decide which programs to join. Katrelia provided an update on the various services that will be provided during the health workshops being held between March 2017 and April 2017. Velma discussed about the RFP for the fitness gym because they met with American Specialty Health. The $25 membership fee will give staff access to 8000 different gyms. She further explained that the district has no liability, no payroll deduction is required, staff will pay individually, and family members over 18 years may join as well by paying the membership fee. Velma requested that David Serrano add an RFP agenda item on the next JLMBC agenda. David agreed. Barbara enquired about health plans offering free gym memberships to retirees/senior Citizens in the future. Scott confirmed that health provides will not provide the free services in the near future. B. AB 528 Plan Continuation Rules Due to concerns about AB 528 Plan Continuation Rules, Scott informed the members that AB 528, that according to research done by Gallagher, there is no authoritative resource beyond the legislation itself. There is no regulatory guidance and no administrative rules, on how to implement AB 528. The basic information and references mentioned that AB 528 is for continuation at retirement. The general rule of AB 528 is that if a member has a health plan, but due to retirement loses coverage, AB 528 allows the retiree to continue with benefits coverage indefinitely, only if the member continues to pay the premiums. According to the research done, there is no administrative guidance to implement AB 528. It is up to the Districts to take the law and decide how to administer the plan. Based on AB 528 is established, there is no right or wrong way to implement the plan by the various districts. Scott confirmed that AB 528 plan is only for certificated employees. Scott indicated that the regulation is basically a minimum standard, and the current Master Benefits Agreement (MBA) is consistent with AB 528. David will send to the members via email, the document provided to staff who has questions or need information regarding AB 528. The document may also be found on the District s website. 3
C. AJG updates (Compliance & Benefits) American Health Care Act (AHCA) Scott provided a document entitled, House Republicans Release Bill to Repeal PPACA. The document provides information regarding the various provisions seeks to repeal, modify, or delay the ACA. According to Scott the ACA will not be repealed any time soon, both Congress and the Senate need to come into agreement in order for any action to really take place. Scott mentioned that Gallagher will provide similar updates regarding AHCA as they become available. He will provide an update at each JLMBC meeting. Nancy mentioned that the changes that may take place in the ACA does not affect the LACCD employees directly. Scott confirmed that the information provided is basically for informational purposes only. Status Updates A. RFP s This topic was covered earlier in the meeting Labor Caucus Updates Bill informed the members that the LACCD initial proposal was presented. The proposal should have been discussed during the Closed Session of the Board of Trustees meeting. B. Supplementary Retirement Program (SRP) Medical, Dental & Vision JLMBC members were provided with calendars and flyers for the April dates at all colleges for the SRP workshops. David recommended any faculty members having adjunct time before becoming a full time faculty, to contact the Health Benefits Unit in order to get support and confirmation about their retirement health benefits. Constituency Report(s): If Needed A. 529 Task Force No report. B. Opt-Out Follow-Up The survey was adjusted per the committee recommendation. All the e-mail addresses were provided, and it will go out in a week. 4
C. Wellness Follow-Up No Report D. Retiree No Report E. Communications Bill indicated that newsletter prep will be sent out to everyone. As it was previously decided more specific topics that apply directly to LACCD and its benefits will be on the front. Articles related to Adjunct Faculty to be placed in a more visible location of the newsletter. Newsletter will be ready a month before open enrollment. Katrelia Walker will be added as a member of the Communications Committee. Action Items A. HRA/FSA Request for Proposal B. JLMBC Agenda Setting Call Consultation These topics were already covered earlier in the meeting. Discussion/New A. Survey Results AFT Adjunct The summary of the Survey Results of adjunct faculty members will be sent to the members. It is connected with the Opt-Out as it has the similar types of questions that are regarding the data, plans, coverages the LACCD offers to them. He also provided members with some data about the coverage of the adjunct faculty members. B. Request for Information Cost increases in medical (i.e. copays, RX, etc.) Scott indicated that there is cost increase for CalPERS, various health plans as well as there is a percentage increase. The members need more clarification about the copays, RX and out of pocket costs that have changed over time. Velma requested to get the data from the previous prescription company so that the members are able to compare it with the data of the new prescription company in order to figure out why it costs them triple after getting the new one. 5
Scott explained that with the change of Pharmacy Benefit Manager there can be changes within the coverage depending if the drug is generic or name brand. For clarification purposes, CalPERS changed its Pharmacy Benefit Manager, it was not a decision of the LACCD. Public Comments None. Adjournment Motion made by Mercedes Gaitan, seconded by Jim Bradley. The meeting adjourned at 10: 50 a.m. 6