1. Benefits Office March 2007 Benefit Re-enrollment Project October 2006 - February 2007

2. Benefits Office March 2007 Benefits Office Mission Statement To support the strategic mission of the Peralta Community College District by To support the strategic mission of the Peralta Community College District by exercising fiduciary responsibility exercising fiduciary responsibility efficiently maintenance and administer programs for employees retirees and dependents efficiently maintenance and administer programs for employees retirees and dependents maintaining compliance with prevailing benefits regulations maintaining compliance with prevailing benefits regulations

3. Benefits Office March 2007 What we are our outreach efforts? Health & Wellness Week Health & Wellness Week March 26 – 29 March 26 – 29 Campus Visits Campus Visits Wellness talks Wellness talks Promotion of other fringe benefits Promotion of other fringe benefits Theme park discounts, Costco memberships, fitness memberships Theme park discounts, Costco memberships, fitness memberships More to come More to come

4. Benefits Office March 2007 More Highlights Customer Service Satisfaction Survey Customer Service Satisfaction Survey Cash-in-lieu of benefits implementation Cash-in-lieu of benefits implementation Website development Website development Professional Development Day participation Professional Development Day participation Consolidated 5 forms into 1 Universal Enrollment Form Consolidated 5 forms into 1 Universal Enrollment Form Pending improvement of paycheck as a tool communicate total compensation Pending improvement of paycheck as a tool communicate total compensation Add Employer PERS/STRS retirement contribution Add Employer PERS/STRS retirement contribution Describe employer contributions Describe employer contributions ex: Kaiser + 1 dep; not just Kaiser ex: Kaiser + 1 dep; not just Kaiser

5. Benefits Office March 2007 Issue 1. Ensure accurate 1. Ensure accurate population 2. Manage revenue offsets 3. Work with vendors to timely process billing. 4. Support healthy lifestyles-regular wellness events Action 1. Mandatory re- enrollment 2. Apply for subsidies & manage our offsetting revenues Medicare D Medco Cobra Stop loss Surviving spouse insurance payments 3. Increase electronic exchange of information 4. Offer and promote wellness events Health care costs are expected to rise 15% - Our 2006-7 budget for benefits: $14,000,000 How do we mitigate escalating costs?

6. Benefits Office March 2007 Ensure accurate population Mandatory Re-enrollment Project overview Ensure accurate population Mandatory Re-enrollment Project overview Objectives Objectives Review of Census Data Review of Census Data Outcomes from Re-enrollment Outcomes from Re-enrollment

7. Benefits Office March 2007 Re-enrollment Objectives Re-enrollment Objectives Cost control effort-assigned by the Finance Committee of the Trustee Board to the Benefits Office Cost control effort-assigned by the Finance Committee of the Trustee Board to the Benefits Office Compounded by the need to integrate new technology with vendor records Compounded by the need to integrate new technology with vendor records Identify ineligible employees & dependents Identify ineligible employees & dependents Identify workflow processes Identify workflow processes identify areas where we can improve the documentation of our business practices identify areas where we can improve the documentation of our business practices

8. Benefits Office March 2007 Make it Happen! How do you eat an elephant? How do you eat an elephant?

9. Benefits Office March 2007 Approach Forms went out 1584 Forms went out 1584 Forms returned 1505 Forms returned 1505 95% return rate 95% return rate We were prepared to rightfully de-enroll the non- respondents and offer them COBRA. We were prepared to rightfully de-enroll the non- respondents and offer them COBRA. Under COBRA, former insureds are entitled to retain coverage at their cost. Under COBRA, former insureds are entitled to retain coverage at their cost. The Benefits Office widely communicated that fact throughout the planning stages during the Benefits Fringe Committee Meetings The Benefits Office widely communicated that fact throughout the planning stages during the Benefits Fringe Committee Meetings Wide communication Wide communication Campus visits Campus visits Certified mail Certified mail Cooperation of unions Cooperation of unions Peralta Retirees Organization Peralta Retirees Organization Use of telephone technology Use of telephone technology

10. Benefits Office March 2007 As a result of this effort, PCCD will save $916,120.16 over the next year! How did we do it?

11. Benefits Office March 2007 Census changes

12. Benefits Office March 2007 Next Steps & Recommendations With our PCCD staffing ratio of 1:3000, we are encouraging the use of vendors and broker services to support on-going customer service efforts. With our PCCD staffing ratio of 1:3000, we are encouraging the use of vendors and broker services to support on-going customer service efforts. Consider dependent re-enrollment verification Consider dependent re-enrollment verification marriage certificates marriage certificates domestic partner verifications or domestic partner verifications or tax forms tax forms Board Policy (3.86) states that If the District suffers any loss because of a false statement contained in any benefit enrollment/change form or failure to notify the District of the termination or change of any dependent status, PCCD may bring civil action to recover their losses including reasonable attorney fees. This language will be incorporated into upcoming form revisions. Board Policy (3.86) states that If the District suffers any loss because of a false statement contained in any benefit enrollment/change form or failure to notify the District of the termination or change of any dependent status, PCCD may bring civil action to recover their losses including reasonable attorney fees. This language will be incorporated into upcoming form revisions. Consider full execution of PPS for benefits administration (future board action) Consider full execution of PPS for benefits administration (future board action) Project Cost $64,000 Project Cost $64,000 Implementation January 2008 Implementation January 2008 Broker recommends more training of our managers – communicate to them our compliance requirements and need of timely processing of personnel actions Broker recommends more training of our managers – communicate to them our compliance requirements and need of timely processing of personnel actions