HomeMy WebLinkAboutResolutions - 2014.05.15 - 21334HUMAN RESOURCES COMMITT
HUMAN RESOURCES COMMITTEE:
Motion carried unanimously on a roll call vote.
MISCELLANEOUS RESOLUTION #14114 May 15, 2014
BY: HUMAN RESOURCES COMMITTEE - JOHN SCOTT, CHAIRPERSON
IN RE: HUMAN RESOURCES DEPARTMENT - RESOLUTION EXEMPTING OAKLAND COUNTY
GOVERNMENT FROM THE PROVISIONS OF PA 152 OF 2011 FOR CALENDAR YEAR 2015
To the Oakland County Board of Commissioners
Chairperson, Ladies and Gentlemen:
WHEREAS PA 152 of 2011, the "Publically Funded Health Insurance Contribution Act" was
enacted by the State of Michigan and given immediate effect on September 27, 2011; and
WHEREAS PA 152 sets forth various options that public employers may follow when providing
healthcare benefits to their eligible employees; and
WHEREAS acting pursuant to specific provisions of Act 152, Oakland County government
exercised its legal right to exempt itself from the Act for calendar year 2014; and
WHEREAS the exemption was adopted in order to avoid the expense of conducting delayed
open enrollment processes and to allow the County to continue making changes over time that yield
significant reductions in health care costs in a manner that is fair to both taxpayers and employees; and
WHEREAS the County Executive recommends that Oakland County again formally exercise its
legal right to exempt itself from the Act for calendar year 2015; and
WHEREAS Oakland County has a long history of proactive budget practices that have resulted in
budgets that are balanced and fiscally sound, as demonstrated by decades of actual performance and
our AAA Bond rating; and
WHEREAS the structure of Act 152 makes acceptance of the cap formula for self-insured plans
before the FY 2015 budget is adopted effectively impossible, for the reason that the State of Michigan
Treasurer is not required under the Act to adjust the maximum payment permitted under Section 3 of Act
152 for each coverage category for medical benefit plan coverage years until October 1 of each year; and
WHEREAS Act 152's October 1 date to adjust the maximum payment permitted is simply too late
under the budget process mandated by Section 8 of 1973 P.A. 139, MCL 45.558(1) (d), which requires
the County Executive to submit a proposed budget to the Board of Commissioners "...not less than 90
days prior to the next succeeding fiscal year", (i.e., by July 3, 2014), a date 90 days before the October 1
commencement of the next succeeding fiscal year; and
WHEREAS the County's self-funded medical costs for this year are below the State determined
Cap levels for 2014, thus meeting the spirit of the legislation; and
WHEREAS the County will look at its actual medical costs in 2015 to determine if a contribution
increase is needed for 2016 and recommend changes in employee contributions if needed at that time;
and
WHEREAS the County Executive Recommended Triennial Budget for Fiscal Years 2015 - 2017
is balanced, maintains responsible general fund equity balances, and funds employee medical benefit
plans within existing revenues.
NOW THEREFORE BE IT RESOLVED that pursuant to the authority granted a county under
Section 8 of Public Act 152 of 2011, the Oakland County Board of Commissioners hereby exempts
Oakland County from the requirements of PA 152 for calendar year 2015.
Chairperson, on behalf of the Human Resources Committee, I move the adoption of the foregoing
resolution.
1-4-11-EBY APPROVE THIS RESOLUTION
CHIEF DEPUTY COUNTY EXECUTIVE
ACTING PURSUANT TO MCL 45.55gA (7)
Resolution #14114 May 15, 2014
Moved by Crawford supported by McGillivray the resolutions (with fiscal notes attached) on the Consent
Agenda be adopted (with accompanying reports being accepted).
AYES: Dwyer, Gingell, Gosselin, Hatchett, Hoffman, Jackson, Long, Matis, McGillivray,
Middleton, Quarles, Runestad, Scott, Spisz, Taub, Weipert, Woodward, Bosnic, Crawford, (19)
NAYS: None. (0)
A sufficient majority having voted in favor, the resolutions (with fiscal notes attached) on the Consent
Agenda were adopted (with accompanying reports being accepted).
STATE OF MICHIGAN)
COUNTY OF OAKLAND)
I, Lisa Brown, Clerk of the County of Oakland, do hereby certify that the foregoing resolution is a true and
accurate copy of a resolution adopted by the Oakland County Board of Commissioners on May 15, 2014,
with the original record thereof now remaining in my office.
In Testimony Whereof, I have hereunto set my hand and affixed the seal of the County of Oakland at
Pontiac, Michigan this 15th day of May 2014.
Lisa Brown, Oakland County