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Health Service Board approves 10‑county retiree assessment of $604.84 for 2017
Summary
Aon Hewitt presented the required 10‑county benchmark for retiree employee‑only contributions and the board approved a $604.84 10‑county assessment to apply for 2017 early retirees under existing MOUs.
An Aon Hewitt actuary presented the Health Service Board with the annual calculation required by charter that averages employee‑only contributions across the 10 most populous California counties. Anil Kocher of Aon Hewitt told the board the method produces a 10‑county assessment of $604.84 for the 2017 plan year and noted Santa Clara County was an outlier this cycle, which raised the average.
Kocher explained the methodology and data sources and emphasized the calculation applies under the charter to retiree cost support; active employees remain covered by negotiated memoranda of understanding (MOUs). During questions board members asked about year‑over‑year movement and the impact of changes in plan design in peer counties. A public speaker, Dennis Krueger, confirmed the number applies to retirees under the MOUs and not to active employees.
A motion to approve the 10‑county assessment for the 2017 plan year was made, seconded and approved by voice vote. No vote tally was recorded in the transcript.
