California Code of Regulations › Title 2 - Administration › Division 1 - Administrative Personnel › Chapter 2 - Board of Administration of Public Employees' Retirement System › Subchapter 3 - Public Employees' Medical and Hospital Care Act Regulations › Article 1 - Definitions, Coverage, Enrollment, Conversion, Minimum Standards, Alternative Benefit Plans, Contributions, Contingency Reserve Fund, Contracting Agency Participation and Medicare Part B › Section 599.515 - Contracting Agency Participation

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
(a) Resolution. The resolution of the
					 governing board of a contracting agency electing to be subject to the Public
					 Employees' Medical and Hospital Care Act shall be filed with the Health
					 Benefits Division of the Public Employees' Retirement System. If such
					 resolution is filed with the Health Benefits Division on or before the tenth
					 day of any month, the contracting agency and its employees and annuitants will
					 become subject to the Act on the first day of the following month. The
					 effective date of participation where the resolution is received in the Health
					 Benefits Division after the tenth day of any month shall be at midnight of the
					 last day of the following month. The resolution shall designate an officer or
					 employee of the agency who shall be responsible for distribution, receipt and
					 forwarding to the Health Benefits Division enrollment forms for its employees
					 and annuitants, the filing of reports and the transmission of contributions.
A resolution filed with the Health Benefits Division may
						be revoked by the filing of a resolution of the governing board in the Health
						Benefits Division no less than ninety days prior to the effective date
						specified in the resolution electing to be subject to the Public Employees'
						Medical and Hospital Care Act.
(b) Reports. The agency shall file in the
					 Health Benefits Division on or before the tenth day of each month such reports
					 covering the employees and annuitants enrolled as of the first day of the month
					 as the Board may require, and the total contributions due for each. The report
					 shall be accompanied by payment of the total of such contributions for
					 employees and the employer contributions due for annuitants of the agency
					 enrolled under the program and the employer contribution for administrative
					 costs and the Public Employees' Contingency Reserve Fund.
(c) Enrollment. The contracting agency shall
					 make available to its employees and annuitants information concerning health
					 benefit plans and procedures for enrollment and the enrollment forms prescribed
					 by the Board. It shall cause all properly executed enrollment forms to be
					 transmitted promptly to the Health Benefits Division.
(d) Delinquency. The Executive Officer of the
					 Board, upon failure of a contracting agency to perform any act required by the
					 Meyers-Geddes State Employees' Medical and Hospital Care Act or these rules,
					 shall on behalf of the Board, make demand for performance of such act on the
					 agency pursuant to Section
					 22939 of the Meyers-Geddes State
					 Employees' Medical and Hospital Care Act. If such demand is not satisfied, the
					 Executive Officer shall refer the matter to the Board at its next meeting.
(1) The contributions required of a
					 contracting agency, along with contributions withheld from salaries of its
					 employees, shall be forwarded monthly, no later than the 10th day of the month
					 for which the contribution is due.
(2) Interest on late payments:
(A) If a public agency fails to pay
					 contributions due within the prescribed time, interest shall be charged upon
					 the amount due from the due date until received by the System in
					 Sacramento.
(B) The rate of
					 interest to be charged shall be equal to the short-term interest rate for the
					 coverage month due.
(3)
					 Cost assessment for late reporting:
(A) If a
					 public agency fails to file a remittance report as required by these
					 regulations within the time period set forth, an assessment to recover the cost
					 of follow-up and special accounting of $25.00 for each report shall be
					 made.
(B) If, in the opinion of the
					 Executive Officer, such assessment is insufficient to meet the added costs
					 because of special circumstances, he/she shall determine such costs and make an
					 appropriate supplemental assessment.
(4) Time extension:
(A) A reasonable extension of time for filing
					 remittance reports may be granted by the Executive Officer or designee whenever
					 good cause exists.