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HomeMy WebLinkAboutCouncil Agenda StatementCITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE: September 17, 2013 AGENDA ITEM NO. ITEM TITLE: Resolution of the City Council of the City of National City adopting a Safe Harbors under the Patient Protection and Affordable Care Act PREPARED BY: Stacey Stevenson DEPARTMENT: ,�-�; sou ces PHONE: 336-4308 APPROVED EXPLANATION: On March 23, 2010, the federal government enacted comprehensive health care reform: The Patient Protection and Affordable Care Act. The intent of the Act is to make preventative health care more accessible and affordable for many Americans. The numerous provisions of the Act are phased in over several years. At this time, it is anticipated that Title 26 of the United States Code Section 4980H Shared Responsibility for Employers Regarding Health Care Coverage will become effective for the 2014 benefits plan year. Title 26, known as the "Play or Pay" provision requires large employers, such as the City of National City (employing on average at least 50 full-time employees), to offer full-time employees the opportunity to enroll in minimum essential coverage under an eligible employer -sponsored health care plan. The purpose of this action is to establish a look -back safe harbor measurement period for purposes of determining employee eligibility for those employees not anticipated to be work on a full-time basis as defined by the Act. As drafted, for employees hired as less than full-time (working an average of 30 hours per week over a twelve month measurement period), the City will annually look back to verify the part-time status. If any employees arc found to have met the definition of full-time, said employees will be offered health care benefits for a period of time equal to the measurement period, following a 60 day administrative period. The recommended measurement period is December 2 through December 1 of each year, beginning December 2, 2013. FINANCIAL STATEMENT: APPROVED: ACCOUNT NO. APPROVED: There is no financial impact associated with this item. ENVIRONMENTAL REVIEW: This is not a project and, therefore, is not subject to environmental review. ORDINANCE: INTRODUCTION: FINAL ADOPTION: Finance MIS STAFF RECOMMENDATION: Adopt the resolution enacting Safe Harbors under the Patient Protection and Affordable Care Act BOARD ! COMMISSION RECOMMENDATION: N/A ATTACHMENTS: Resolution