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1 <br /> ORANGE COUNTY <br /> BOARD OF COMMISSIONERS <br /> ACTION AGENDA ITEM ABSTRACT <br /> Meeting Date: October 16, 2012 <br /> Action Agenda <br /> Item No. 5-i <br /> SUBJECT: Retiree Health Insurance Eligibility for County Commissioners <br /> DEPARTMENT: Human Resources PUBLIC HEARING: (Y/N) No <br /> ATTACHMENT(S): INFORMATION CONTACT: <br /> 1) NCGS § 153A-93 Retirement Nicole Clark, Human Resources <br /> Benefits Director, (919) 245-2552 <br /> 2) Board Policy Section IX, Board of John Roberts, County Attorney, (919) <br /> Commissioners' Compensation 245-2318 <br /> 3) Resolution Amending Board Policy <br /> Section IX <br /> PURPOSE: To consider a resolution which would make the Board of County Commissioners' <br /> eligibility for retiree health insurance benefits commensurate with the eligibility requirements <br /> for Orange County employees. <br /> BACKGROUND: NCGS § 153A-93 allows counties to provide health insurance for all or any <br /> class of former officers and employees of the county who have obtained at least ten years of <br /> service with the county prior to separation from the county. Attachment 1 is NCGS § 153A-93. <br /> On June 19, 2012, the Board of County Commissioners approved a revision to Article IV, § 28- <br /> 36 which requires employees hired on or after July 1, 2012 to complete 20 years of continuous <br /> service as a permanent employee to be eligible for retiree health insurance. <br /> At the October 2, 2012 regular meeting, the Board of County Commissioners voted to adopt <br /> retiree health insurance eligibility requirements commensurate with Orange County employees <br /> and asked that the Personnel Ordinance reflect such action. Board of County Commissioners <br /> in office prior to October 2, 2012 would be grandfathered under the applicable eligibility <br /> requirements. <br /> Retiree health insurance eligibility for the Board and other provisions historically have been <br /> documented in a Board Policy format. Effective July 1, 2003, Section IX of the Board Policy: <br /> Board of Commissioners' Compensation states if the County Commissioner has served two or <br /> more full terms in office (eight years or more), the County contribution is commensurate with <br /> an employee who retires from Orange County with at least ten years of service as a <br /> permanent employee. Attachment 2 is Section IX of the Board Policy reflecting those <br /> provisions. <br /> FINANCIAL IMPACT: The cost of the retiree health insurance would be the cost of the <br /> County contribution as outlined in Article IV § 28-36. <br /> RECOMMENDATION(S): The Manager recommends the Board approve the resolution <br /> (Attachment 3) reflecting the Board's decision to make Commissioner eligibility for retiree <br /> health insurance commensurate with the eligibility requirements for Orange County employees <br /> effective October 2, 2012. <br />