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HomeMy WebLinkAbout2012-444 HR - OPC Mental Health MOA for provision of health insurance benefits for qualified retirees03- ~~ - y z, ~~ MEMORANDUM OF AGREEMENT PROVISION OF HEALTH INSURANCE BENEFITS for QUALIFIED RETIREES OF ORANGE PERSON CHATHAM MENTAL HEALTH, DEVELOPMENTAL DISABILITIES AND SUBSTANCE ABUSE AUTHORITY WHEREAS, effective July 1, 2012 Orange, Person and Chatham Counties will merge with the counties comprising PBH; and WHEREAS, prior to the merger, Orange, Person and Chatham Counties were the three counties that comprised Orange Person Chatham Mental Health, Developmental Disabilities and Substance Abuse Authority d/b/a OPC Area Program ("OPC"). WHEREAS, certain qualified employees had retired from OPC and therefore were receiving post retirement health insurance benefits as set forth in policies approved by the OPC Board; and WHEREAS, after the merger, OPC will be dissolved and will not be an ongoing entity; and WHEREAS, funds will be provided by OPC prior to the merger for the purpose of funding the post retirement health insurance benefits for qualified OPC retirees as shown on Exhibit A hereto; and WHEREAS, Orange County has agreed to handle the administration of providing the retiree health insurance and therefore Orange County will take possession of the funds available for same and Orange County is willing to do so for no compensation but also has no individual liability to provide these benefits in the event the funds set aside for this purpose are exhausted; and wHEREAS, Orange County will provide a financial report to each of the county managers of Orange, Person and Chatham Counties no later than July 315t each year which will include at a minimum the beginning balance of the fund, charges to the fund and the ending balance of the fund; and WHEREAS, in the event funds remain at the end of the obligations set forth on Exhibit A, the excess funds shall remain with Orange County for its use and purposes but in the event the funds are exhausted prior to the time retirees would no longer have been eligible for coverage had OPC remained an ongoing entity, the three counties to this Agreeme~t will make up the shortfall, one-third each. This shortfall sum will be paid to Orange County within thirty days of determination of a shortfall; and WHEREAS, the county managers of each county are collectively given the authority to make any necessary administrative decisions regarding these funds with the exception of decisions regarding funds being exhausted. NOW, THEREFORE BE IT RESOLVED that each of the counties named below evidenced by the signature of the Chairman of the Board of Commissioners hereby agrees to the recitals above regarding the provision of post retirement health insurance benefits to those eligible former employees of OPC. BE IT FURTHER RESOLVED, that no individual liability shall accrue to Orange County based on its acts or any failure to act in the performance of its responsibilities pursuant to this Memorandum of Agreement and that in the event any group, individual, entity, or qualified OPC employee brings any suit, complaint, claim, or legal action regarding Orange County's acts or failures to act in the performance of its responsibilities, such suit, complaint, claim or legal action shall be defended jointly by each party to this Memorandum of Agreement. ORANGE COUNTY G~"~~~in-~~~~C.~ ~ ~ ~ CHAIR DATE ~ Z ~ ~( Z i ~ CLERK TO TH BOARD This instrument has been pre-audited in the manner required by the local government Budget and Fiscal Control Act. PERSON COUNTY c ~ A R ~~'K...t..~ ~~ ,/1i^r~ ( S EAL ) Finance Officer for Orange County DATE Z S CLERK TO THE BOARD This instrument has been pre-audited in the manner required by the local government Budget and Fiscal Control Act. ~-l:n...~`L-, ( SEAL ) Financ Officer fo Person County CHATHAM COUNTY T AIR DATE O ~'' ~ " ~I_O~ ~ ,~ '~~CLERK TO THE BOARD This instrument has been pre-audited in the manner required by the local government Budget and Fiscal Control Act. ~~ (SEAL) Finance Officer for Chatham County