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Health Service Board negotiates rate changes, applies a one-time Blue Shield credit to stabilize premiums

Board of Supervisors, Budget and Finance Committee · February 1, 2012
AI-Generated Content: All content on this page was generated by AI to highlight key points from the meeting. For complete details and context, we recommend watching the full video. so we can fix them.

Summary

Health officials negotiated plan-year and benefit changes that cut projected increases for Kaiser and Blue Shield; a one-time $5.2 million Blue Shield credit stabilizes employee contributions for the shortened plan year, producing an overall 3.4% increase for the city—s six-month transition period.

The committee approved sending forward two Health Service System items that change the plan year and set contribution levels for a shortened plan year, after negotiations produced lower-than-projected premium increases.

Katherine Dodd of the Health Service System and the system—s actuary laid out the negotiation results. Proposition C allowed the system to move from a fiscal-year to a calendar-year plan. HSS and the actuary said that moving to a shortened plan year (July 1–Dec. 31, 2012) and negotiating benefit and…

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