CCASA / CCSD HEALTH INSURANCE PLAN

As reported in previous Unifiers, CCASA has spent a significant amount of time in negotiations with the various providers for the CCASA health insurance and benefits program. The current medical plan with Sierra began in January 1999 and at that time resulted in a significant decrease in out of pocket costs over the previous State of Nevada plan. Since the plan’s inception in 1999, no additional out of pocket costs have been passed on to any active administrator. Premium increases have been covered by negotiated money, CCASA Welfare Trust subsidies, and a one-time allocation of state health insurance money.

During this past month, CCASA finalized negotiations with each of the health care providers and secured District agreement on a new two year contract with Sierra Health. Even though renewal rates for the medical benefits have increased significantly due to increased hospital costs, medical malpractice insurance, member utilization, and escalating pharmacy costs, CCASA negotiated with the various providers to get the best possible plan at the lowest possible cost. CCASA’s goal has been, and will continue to be, to fully cover the cost of insurance for the employee.

CCASA is pleased to report that sufficient money has been negotiated to ensure that the increased cost of insurance for the employee only is covered. Additionally, CCASA, in conjunction with the District, secured a state health insurance grant which will provide the funds necessary to cover the current insurance subsidy and the additional out of pocket expenses for employee / dependent coverage through June 2003. As a result, the employee only will not have experienced any out of pocket expense, and the employee with dependents will not have experienced any increase in the out of pocket costs since the rates were first established in January, 1999.

After several months of negotiations, Health Plan of Nevada (HPN) will renew the CCASA / CCSD Health Insurance plan at a rate increase of +25.5% with some modification to the copayments. These changes are guaranteed for twenty-four (24) months and will become effective January 1, 2003. There will be no additional increase or additional plan design changes in the second year of the two year contract.

While the basic design of the CCASA / CCSD plan does not change, there are some increases in copayments which plan participants have been paying. Most copayment increases, although not all, affect only the HMO benefit.

Delta Dental rates will increase by 15% and there will be no changes to the dental benefits. Delta Dental has been unwilling to provide a price guarantee beyond 2003. VSP rates will increase by 6.1% and the rates are guaranteed through December 2005. There will be no changes to the vision benefits.

The following two tables reflect the premiums, CCSD contributions, CCASA subsidies, and deductions (out of pocket costs) for District administrators on the CCASA / CCSD Health Insurance Plan. These premiums reflect the rate increase for Delta Dental, VSP, and Health Plan of Nevada.

CCASA ACTIVE PREMIUMS / DEDUCTIONS
JANUARY 1, 2003

CCASA ACTIVE PREMIUMS / DEDUCTIONS
JULY 1, 2003

CONTRIBUTION RATES

CCSD Contribution for CCASA - $430.17
CCSD Contribution for CEA - $362.24
CCSD Contribution for ESEA - $259.09
CCSD Contribution for POA - $336.86

It is possible that as a result of contract negotiations which begin in February 2003, that additional health insurance money may be secured which may reduce the out of pocket insurance costs that administrators with dependents will see on July 1, 2003. However, there is no guarantee that additional funds will be available. Administrators must be aware that they will be responsible for the additional out of pocket expenses for dependent coverage effective July 1, 2003.
The following table reflects the premiums for the CCASA retirees on the CCASA / CCSD Health Insurance Plan.

CCASA RETIREE PREMIUMS
JANUARY 1, 2003

The premiums for the CCASA actives and CCASA retirees on the CCASA Medicare Eligible Plan will be increased also. The increases attributed to the dental and vision plans for CCASA / CCSD Health Insurance Plans will be included in the new premiums for the Medicare Eligible Plan. There may be an increase in the medical rate (HPN) but it will not be as large as the increase experienced by the CCASA actives and retirees participating in the CCASA / CCSD Health Insurance Plan. Additional information will be provided as it is received.

HEALTH INSURANCE OPEN ENROLLMENT

Once each year, during the months of October and November, CCASA, the District, VSP, Delta Dental and Health Plan of Nevada provide an open enrollment period. This is the time for you to review your benefit election to ensure that it meets the needs of you and your family. During the open enrollment period, you will have the opportunity to make the following changes to your benefit election:

• You can add eligible dependents.
• You can drop covered dependents.
• You can join the CCASA / CCSD Health Insurance Plan if you are currently an active administrative employee and receiving your health insurance from CCEA or ESEA.

The changes will be effective on January 1, 2003. The Benefits Office at 799-5418 will assist you with these changes.
A series of health insurance information meetings has been established to provide administrators an opportunity to discuss the changes in the plan design and rates for the CCASA / CCSD Health Insurance Plan. Meetings are scheduled as follows:CCASA /

CCSD HEALTH INSURANCE PLAN
2002 OPEN ENROLLMENT MEETINGS

SEPTEMBER REPRESENTATIVE COUNCIL MEETING

On September 12, 2002, the CCASA Representative Council held its regular monthly meeting. The major items discussed during the meeting included the following:

1. The revenue, expenditures, and balances within the CCASA Association and Trust Fund Accounts;

2. President Mark Coleman reported that all committee assignments have been completed and will be reported to the membership in the September Unifier. Sue Dallenbach was appointed to replace Pam Hawkins on the Representative Council. Pam recently retired.

3. Old Business:

A. Negotiations – A status report was provided. One additional session will be scheduled to finalize negotiations. The teacher arbitration decision will result in additional health insurance money becoming available to administrators;

B. Officers and Directors Liability Insurance – A new policy has been purchased. The annual premium has increased to $9500. Deductibles are significantly higher than the previous policy;

C. Garcia / Orci / Rulffes / Rice / CCASA Meetings – Agenda items from the various meetings were reviewed;

D. Lawsuit – A status report of the lawsuit filed against CCASA by a former administrator and CCASA member was provided;

E. CCASA / CCSD Health Insurance Plan – An overview of the plan design changes and the cost increases were provided;

F. Employee Management Relations Board Hearing – The EMRB has scheduled a pre-hearing telephone conference for September 23, 2002. On October 21, 2002, the EMRB will hear arguments regarding a complaint filed against the District by CCASA on October 17, 2001; and

G. Interest Based Negotiations – The Federal Mediation and Conciliation Service will conduct training regarding Interest Based Negotiations. Negotiation teams for CCASA, CEA and the District will participate. Training for the CCASA team is scheduled for October 21, 22 and 23.

4. New Business:

A. CCASA Office Personnel – Stephen recommended that at the present time it is not necessary to hire a full time Deputy Executive Director. Allin is currently working approximately 20 hours per week. Allin’s hours are flexible and are scheduled to meet the needs of the Association;

B. Association Account Audit – A meeting will be held with David Harcourt, Mark Coleman, Kathy Kulas, and Stephen Augspurger to review the status of the CCASA financial accounts;

C. Trust Fund Actuarial Review – The Representative Council requires that a trust fund actuarial review be completed every two years. Since the last review was completed in November 2000, information is currently being compiled to complete the required actuarial review;

D. Administrators’ Advisory Council Meeting – Agenda items were developed for the October 29, 2002, Administrators’ Advisory Council meeting; and

E. Legislative Activities – Frank Brusa will again serve as the CCASA / NASA lobbyist in Carson City during the forthcoming legislative session. CCASA will continue to work closely with NASA and the Washoe County Administrators Association before, during and after the session.

5. Committee Reports:

A. CCAESP – Del Bean, President of the Clark County Association of Elementary School Principals, outlined items discussed with Dr. Orci and Dr. Rulffes. An important priority for CCAESP continues to be securing additional elementary assistant principals and to make the allocation of elementary assistant principals formula driven.

B. Reclassification – David Harcourt provided an update on the progress of the Reclassification Committee. Additional committee meetings have been scheduled for September 30, 2002, and October 1, 2002. The CCASA Executive Board approved the spending of $22,550 for Ewing and Associates to complete their work associated with the reclassification study.

6. Executive Director’s Report – Stephen provided a review of the accountant’s report, the membership report, and the various CCASA activities and the types of assistance provided to CCASA members.

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MEMBERSHIP
CCSD ADMINISTRATORS 946
CCASA MEMBERS 924
CCASA AFFILIATES (RETIREES) 156