REPORT/RECOMMENDATION TO THE BOARD OF SUPERVISORS
OF SAN BERNARDINO COUNTY
AND RECORD OF ACTION
REPORT/RECOMMENDATION TO THE BOARD OF DIRECTORS
OF THE SAN BERNARDINO COUNTY FIRE PROTECTION DISTRICT
AND RECORD OF ACTION
June 11, 2024
FROM
DIANE RUNDLES, Assistant Executive Officer, County Administrative Office
DAN MUNSEY, Fire Chief/Fire Warden, San Bernardino County Fire Protection District
SUBJECT
Title
Side Letter Agreements with the Sheriff’s Employees’ Benefit Association
End
RECOMMENDATION(S)
Recommendation
1. Acting as the governing body of San Bernardino County:
a. Approve a Side Letter Agreement, effective June 15, 2024, between San Bernardino County and the Sheriff’s Employees’ Benefit Association representing employees in the Safety Unit, amending the Medical Trust article of the current Memorandum of Understanding, for the implementation of a Healthcare Trust.
b. Approve a Side Letter Agreement, effective June 15, 2024, between San Bernardino County and the Sheriff’s Employees’ Benefit Association representing employees in the Safety Management and Supervisory Unit, amending the Medical Trust article of the current Memorandum of Understanding, for the implementation of a Healthcare Trust.
c. Approve a Side Letter Agreement, effective June 15, 2024, between San Bernardino County and the Sheriff’s Employees’ Benefit Association representing employees in the Specialized Peace Officer Unit and the Specialized Peace Officer Supervisory Unit, amending the Medical Trust article of the current Memorandum of Understanding, for the implementation of a Healthcare Trust.
d. Approve appropriation, contingency, and reserve adjustments, and authorize the Auditor-Controller/Treasurer/Tax Collector to post necessary budget adjustments, as detailed in the Financial Impact section (Four votes required).
2. Acting as the governing body of the San Bernardino County Fire Protection District, approve a Side Letter Agreement between San Bernardino County Fire Protection District and the Sheriff’s Employees’ Benefit Association representing employees in the Specialized Fire Services Unit, amending the Medical Trust article of the current Memorandum of Understanding, for the implementation of a Healthcare Trust.
(Presenter: Leonardo Gonzalez, County Labor Relations Officer, 387-5565)
Body
COUNTY AND CHIEF EXECUTIVE OFFICER GOALS & OBJECTIVES
Create, Maintain and Grow Jobs and Economic Value in the County.
Operate in a Fiscally-Responsible and Business-Like Manner.
Pursue County Goals and Objectives by Working with Other Agencies and Stakeholders.
FINANCIAL IMPACT
Approval of this item will not result in the use of additional Discretionary General Funding (Net County Cost). On July 12, 2022 (Item No. 15), the Board of Supervisors (Board) approved a one-time $10,000,000 contribution to a medical trust or similar benefits program for the Sheriff’s Employee’s Benefit Association (SEBA) employees, contingent upon agreement on parameters by SEBA and San Bernardino County (County), funded from the County’s Labor Reserve. There are no anticipated additional costs associated with the proposed Side Letter Agreements (Agreements), which are effective the pay period following Board approval. Approving the budget adjustments in the table below will allow the use of previously allocated funds in the Labor Reserve to be transferred to SEBA.
|
Cost Center |
Commitment Item |
Description |
Action |
Amount |
|
1000 |
37008500 |
Fund Balance-Committed - Labor |
Decrease |
$10,000,000 |
|
7200001000 |
51001305 |
Other Fringes |
Increase |
$10,000,000 |
BACKGROUND INFORMATION
On July 12, 2022 (Item No. 15), the Board approved a successor Memorandum of Understanding (MOU) between the County and the SEBA for employees in the Safety Unit and Safety Management and Supervisory Unit. On March 14, 2023 (Item No. 19), the Board approved a successor MOU between the County and SEBA for employees in the Specialized Peace Officer Unit and Specialized Peace Officer Supervisory Unit. On August 8, 2023 (Item No. 59), the San Bernardino County Fire Protection District Board of Directors approved a successor MOU between the San Bernardino County Fire Protection District and SEBA for employees in the Specialized Fire Services Unit.
The parties agreed that upon the establishment of agreed-upon terms, SEBA members in the Safety Unit, Safety Management and Supervisory Unit, Specialized Peace Officer Unit, Specialized Peace Officer Supervisory Unit, and Specialized Fire Services Unit (Units) will have the option to select the County-sponsored health plans or the SEBA-sponsored health plans offered through a SEBA Healthcare Trust.
The parties continued to meet and confer resulting in the proposed Agreements establishing the terms and conditions of the SEBA Healthcare Trust. The proposed Agreements establish the following:
• Eligibility requirements for employees to participate in the Healthcare Trust.
• Transfer of the previously agreed upon one-time County contribution amount to the Healthcare Trust.
• A composite rate for the Medical Premium Subsidy contribution from the County.
• Administrative fees that SEBA shall pay to the County for certain trust-related start-up costs and ongoing administration.
• Joint periodic reviews of the trust administration.
• The ability of the County to perform audits of the Healthcare Trust as necessary.
If approved, SEBA will begin the development and implementation process of its Healthcare Trust program.
PROCUREMENT
Not applicable.
REVIEW BY OTHERS
This item has been reviewed by Auditor-Controller/Treasurer/Tax Collector (Vanessa Doyle, Chief Deputy Controller, 382-3195) on May 13, 2024; County Counsel (Cynthia O’Neill, Chief Assistant County Counsel, 387-5455) on April 9, 2024; County Administrative Office (Diane Rundles, Assistant Executive Officer, 387-5570) on April 8, 2024; Finance (Abigail Grant, 387-4603, and Ivan Ramirez, 387-4020, Administrative Analysts) on April 22, 2024; and County Finance and Administration (Matthew Erickson, County Chief Financial Officer, 387-5423) on April 25, 2024.