EMPLOYEE HEALTH BENEFITS EQUALIZATION

Presentation to the Administrative Committee February 12, 2013

Presentation Overview
Recap of Past Presentations Today’s Presentation
Three Coverage Options Cost Associated with Options Plan Design Legal Considerations Committee Action

2

Recap of Past Presentations
 Texas Governmental Entities and Transit Properties That Offer Domestic Partner Benefits  Texas Public Policy and Law  DART’s Medical Plan  Procedure Utilized By Other Governmental Entities to Offer Domestic Partner Benefits  Costs  Plan Summaries  DART – A Potential Plan Design  Legal Considerations
3

Three Coverage Options and the Cost Associated With Each Option

4

Three Coverage Options
Costs per Additional Dependent
Adult Dependants Child Dependants

Same Sex Domestic Partners and their Children

Same and Opposite Sex Domestic Partners and their Children

Same and Opposite Sex Domestic Partners , their Children Plus One Relative

$5,620 $2,340

$5,620 $2,340

$5,620 $2,340

Estimated Additional Dependents Low
Adult Dependants Child Dependants

High Low 12.1 11.4 5.8 5.4 17.9 16.8

High

Low

High 235.1 130.2 365.3

1.0 0.5 1.5

138.1 50.2 65.6 31.3 203.7 81.5

Total

5

Estimated Annual Cost
Three Coverage Options
Same Sex Domestic Partners and Their Children Same Sex and Opposite Sex Domestic Partners and Their Children Same Sex and Opposite Sex Domestic Partners and Their Children PLUS
Any Employee may cover up to one relative in addition to a spouse, domestic partner, and/or dependent children. Said relative would be limited to those defined in the bereavement leave benefit policy in the HEM and AEM

Estimated Annual Cost Per Option – Combined EPO and Consumer Choice Plan Participants

Low $6,742

High

Low

High

Low

High $1,625,697

$81,558 $76,860

$929,758 $355,236

6

Estimated Annual Cost –
Consumer Choice Plan Only
Three Coverage Options
Same Sex Domestic Partners and Their Children Same Sex and Opposite Sex Domestic Partners and Their Children Same Sex and Opposite Sex Domestic Partners and Their Children PLUS
Any Employee may cover up to one relative in addition to a spouse, domestic partner, and/or dependent children. Said relative would be limited to those defined in the bereavement leave benefit policy in the HEM and AEM

Estimated Annual Cost - Consumer Choice Plan Only

Low $5,329

High $64,460

Low $60,748

High

Low

High $1,283,330
7

$734,849 $280,140

Plan Design – Domestic Partnership Defined
An individual who lives in the same household and shares the common resources of life in a close, personal, intimate relationship with a DART employee; if under Texas law, the individual would not be prevented from marrying the employee because of age, consanguinity, or prior undissolved marriage to another. A domestic partner may be of the same or opposite gender as the employee.

8

Plan Design – Who is Eligible
All regular full time employees are eligible for benefits after meeting the required waiting period. An employee’s spouse, common law spouse, domestic partner, natural child, foster child, stepchild, domestic partner’s child, legally adopted child or child under the employee’s legal guardianship or custodianship (e.g. grandchild). * Under option three one other relative would be eligible.
9

Plan Design – Proof Required
• In addition to a Domestic Partnership Affidavit, at least two of the following should be required to prove the existence of a Domestic Partnership:
– Joint Deed or Mortgage Agreement or Joint Lease Agreement – Title or Loan documents demonstrating common ownership of Motor Vehicle(s) – Joint Bank or Credit Account(s) – Primary Life Insurance Beneficiary – Assignment of Health Care and/or Property Power of Attorney

10

Plan Design – Proof Required
Continued

Child Dependent - birth certificate, adoption records, court ordered guardianship or conservatorship or medical support order. Adult Dependent – includes parents, grandparents, brothers, sisters, in-laws, aunts, uncles or other relative or permanent member of the employees household provided that there is a Court ordered guardianship or an ongoing total disability for a child over the age of 26. *Adult dependents would qualify for benefits only if option three is selected.
11

Key Points to be Included in Domestic Partnership Affidavit
• Domestic Partnership relationship must have been in existence a minimum of one year • Domestic Partners must have maintained common residence for a minimum of one year • Domestic Partners are both at least age 18 • Domestic Partnership is the sole relationship of the two domestic partners • Neither domestic partner is currently married or legally separated • Domestic Partners are not blood relatives • Would not be prevented from marrying if opposite sexes • Domestic Partner shares common resources in a close, personal, intimate relationship with employee • Financially and personally interdependent with employee • Must provide that they are not married • Must agree to penalty of discharge if the statements within the affidavit are untrue 12

Proposed Options
• Permit Medical Coverage For:
– Same Sex Domestic Partners and Their Children – Same Sex and Opposite Sex Domestic Partners and their children – Same Sex and Opposite Sex Domestic Partners and their children plus one adult as defined by bereavement benefit policy and whether there is a guardianship or total disability of an adult child

13

QUESTIONS
14

Sign up to vote on this title
UsefulNot useful