(a) Resolution. The resolution of the
governing board of a contracting agency electing to be subject to the Public
Employees' Medical and Hospital Care Act shall be filed with the Health
Benefits Division of the Public Employees' Retirement System. If such
resolution is filed with the Health Benefits Division on or before the tenth
day of any month, the contracting agency and its employees and annuitants will
become subject to the Act on the first day of the following month. The
effective date of participation where the resolution is received in the Health
Benefits Division after the tenth day of any month shall be at midnight of the
last day of the following month. The resolution shall designate an officer or
employee of the agency who shall be responsible for distribution, receipt and
forwarding to the Health Benefits Division enrollment forms for its employees
and annuitants, the filing of reports and the transmission of contributions.
A resolution filed with the Health Benefits Division may
be revoked by the filing of a resolution of the governing board in the Health
Benefits Division no less than ninety days prior to the effective date
specified in the resolution electing to be subject to the Public Employees'
Medical and Hospital Care Act.
(b) Reports. The agency shall file in the
Health Benefits Division on or before the tenth day of each month such reports
covering the employees and annuitants enrolled as of the first day of the month
as the Board may require, and the total contributions due for each. The report
shall be accompanied by payment of the total of such contributions for
employees and the employer contributions due for annuitants of the agency
enrolled under the program and the employer contribution for administrative
costs and the Public Employees' Contingency Reserve Fund.
(c) Enrollment. The contracting agency shall
make available to its employees and annuitants information concerning health
benefit plans and procedures for enrollment and the enrollment forms prescribed
by the Board. It shall cause all properly executed enrollment forms to be
transmitted promptly to the Health Benefits Division.
(d) Delinquency. The Executive Officer of the
Board, upon failure of a contracting agency to perform any act required by the
Meyers-Geddes State Employees' Medical and Hospital Care Act or these rules,
shall on behalf of the Board, make demand for performance of such act on the
agency pursuant to Section
22939 of the Meyers-Geddes State
Employees' Medical and Hospital Care Act. If such demand is not satisfied, the
Executive Officer shall refer the matter to the Board at its next meeting.
(1) The contributions required of a
contracting agency, along with contributions withheld from salaries of its
employees, shall be forwarded monthly, no later than the 10th day of the month
for which the contribution is due.
(2) Interest on late payments:
(A) If a public agency fails to pay
contributions due within the prescribed time, interest shall be charged upon
the amount due from the due date until received by the System in
Sacramento.
(B) The rate of
interest to be charged shall be equal to the short-term interest rate for the
coverage month due.
(3)
Cost assessment for late reporting:
(A) If a
public agency fails to file a remittance report as required by these
regulations within the time period set forth, an assessment to recover the cost
of follow-up and special accounting of $25.00 for each report shall be
made.
(B) If, in the opinion of the
Executive Officer, such assessment is insufficient to meet the added costs
because of special circumstances, he/she shall determine such costs and make an
appropriate supplemental assessment.
(4) Time extension:
(A) A reasonable extension of time for filing
remittance reports may be granted by the Executive Officer or designee whenever
good cause exists.
(e) Termination. A contracting agency may
terminate its participation under the Public Employees' Medical and Hospital
Care Act by filing with the Board a resolution passed by a majority vote of its
governing body. The resolution electing to terminate must be filed with the
Health Benefits Division of the Public Employees' Retirement System no later
than 60 days after the Board of Administration approves and announces the
health plan premium rates for the following year. The termination becomes
effective at the end of the current contract year. The election to terminate is
irrevocable after the filing of the resolution, and a resolution electing to be
subject to the Public Employees' Medical and Hospital Care Act may not be filed
thereafter within five years of the termination date.
Notes
Cal. Code Regs. Tit. 2, §
599.515
1.
Amendment of subsection (e) filed 8-5-76; effective thirtieth day thereafter
(Register 76, No. 32). For prior history, see Register 75, No 12.
2.
Amendment of subsections (a), (b) and (c) filed 6-27-80; designated effective
8-1-80 (Register 80, No. 26).
3. Amendment filed 6-9-86; effective
thirtieth day thereafter (Register 86, No. 24).
4. Amendment of
subsection (e) filed 4-3-2003 as an emergency; operative 4-3-2003 (Register
2003, No. 14). A Certificate of Compliance must be transmitted to OAL by
8-1-2003 or emergency language will be repealed by operation of law on the
following day.
5. Certificate of Compliance as to 4-3-2003 order
transmitted to OAL 7-9-2003 and filed 8-18-2003 (Register 2003, No.
34).
6. Amendment of subsection (e) filed 8-4-2004; operative
8-4-2004 pursuant to Government Code section
11343.4
(Register 2004, No. 32).
7. Change without regulatory effect
amending subsection (d) and NOTE filed 10-31-2006 pursuant to section
100, title 1, California Code of
Regulations (Register 2006, No. 44).
Note: Authority cited: Sections
20121,
22794,
22796,
22800,
22830,
22831 and
22846(a),
Government Code. Reference: Sections
22901 and
22922-
22939,
Government Code.
1. Amendment of
subsection (e) filed 8-5-76; effective thirtieth day thereafter (Register 76,
No. 32). For prior history, see Register 75, No 12.
2. Amendment of
subsections (a), (b) and (c) filed 6-27-80; designated effective 8-1-80
(Register 80, No. 26).
3. Amendment filed 6-9-86; effective
thirtieth day thereafter (Register 86, No. 24).
4. Amendment of
subsection (e) filed 4-3-2003 as an emergency; operative 4-3-2003 (Register
2003, No. 14). A Certificate of Compliance must be transmitted to OAL by
8-1-2003 or emergency language will be repealed by operation of law on the
following day.
5. Certificate of Compliance as to 4-3-2003 order
transmitted to OAL 7-9-2003 and filed 8-18-2003 (Register 2003, No.
34).
6. Amendment of subsection (e) filed 8-4-2004; operative
8-4-2004 pursuant to Government Code section
11343.4
(Register 2004, No. 32).
7. Change without regulatory effect
amending subsection (d) and Note filed 10-31-2006 pursuant to section 100,
title 1, California Code of Regulations (Register 2006, No.
44).