HomeMy WebLinkAbout07-15-15 City Administration Committee Meetng AgendaCA Meeting
City Administration Committee
DATE: July 15, 2015
TIME: 6:00 pm
LOCATION: 3rd Floor,
City Hall, Council Chambers
AGENDA ITEMS
Item Voting
Item?
Presenter(s) Time
Allotted
Chair, Deb Mohlenhoff
1.Call To Order *Note: We will review the number of15 Min*
1.1 Agenda Review No cards received at the beginning of each
1.2 Review and Approval of Minutes Yes meeting and adjust time if needed.
Approval of June 2015 Minutes
1.3 Statements from the Public No
1.4 Statements from Employees No
1.5 Council Response No
2.City Administration, Human Resources, and Policy
2.1 Presentation on Ithacash No 15 Min
2.2 YB – Request to Amend 2015 Roster Yes 10 Min
2.3 PD – Lateral Transfers Yes 15 Min
2.4 DPW – Request to Amend 2015 Roster Yes 10 Min
2.5 Health Care Coverage for Officer Augustine Yes
Scott Morris
Liz Vance, Director
Ari Lavine, City Attorney
Erik Whitney Svante
Myrick, Mayor 20 Min
2.6 Local Law – 2015 Sidewalk Improvement
District Amendment Yes Ari Lavine, City Attorney 15 Min
2.7 2015 Amendments to Municipal Cooperation
Agreement for Health Insurance Consortium Yes Steve Thayer, City Controller 10 Min
3.Finance, Budget, and Appropriations
3.1 Request to Approve Funding Match for
2015 CFA Application Yes Jennifer Tavares, Chamber of Commerce 20 Min
3.2 Access Oversight Committee – Adoption of
the 2016 PEG Access Studio Capital Budget Yes JR Clairborne 10 Min
3.3 Controller – Approval of 2013 Single Audit Yes Steve Thayer, City Controller 10 Min
4.Performance Measures No Kevin Sutherland, Chief of Staff
Nothing Submitted
5.Common Council
5.1 Support for NYS Single-Payer Health Care Yes JR Clairborne 10 Min
6.Budget Update
If you have a disability that will require special arrangements to be made in order for you to fully participate in the meeting,
please contact the City Controller’s Office at 607-274-6576 at least 48 hours before the meeting.
CA Agenda
July 15, 2015
Continued
7. Meeting Wrap-up All 5 Min
7.1 Announcements No
7.2 Next Meeting Date: August 19th
7.3 Review Agenda Items for Next Meeting No
7.4 Adjourn Yes
(8:45 p.m.)
Committee Charge: The CA committee will:
Review financial and administrative issues pertaining to the City, along with items relating to the City of Ithaca workforce
environment, intergovernmental relations and human resources.
If you have a disability that will require special arrangements to be made in order for you to fully participate in the meeting,
please contact the City Controller’s Office at 607-274-6576 at least 48 hours before the meeting.
2. City Administration, Human Resources, and Policy
2.2 Youth Bureau – Request to Amend 2015 Roster
WHEREAS, the Ithaca Youth Bureau has proposed to increase the hours of one Recreation
Program Assistant from 20 hours per week to 30 hours per week and one Recreation Specialist
from 20 hours per week to 35 hours per week, and
WHEREAS, no additional funds are being requested and these changes will be completed within
the approved 2015 budget, and
WHEREAS, the Youth Bureau has worked with the Human Resources Department to develop
the staffing transition plan now; therefore, be it
RESOLVED, That the Personnel Roster of the Youth Bureau shall be amended as follows:
Add: One (1) Recreation Program Assistant 20 hours to 30 hours and,
One (1) Recreation Specialist 20 hours to 35 hours
and be it further
RESOLVED, That said roster amendment will be made within existing funds of the 2015
authorized Youth Bureau budget.
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Ithaca Youth Bureau
1 James L. Gibbs Drive
Ithaca, New York 14850
Phone: (607) 273-8364
Fax: (607) 273-2817
“Building a foundation for a lifetime.”
To: City Administration Committee
From: Liz Vance, Director
Re: 2015 Roster amendment
Date:7/3/15
As part of our staffing transition the Youth Bureau is requesting permission to amend
the 2015 roster by increasing hours for one Recreation Program Assistant and one
Recreation Specialist as follows:
Recreation Program Assistant: 20 hours to 30 hours
Recreation Specialist: 20 hours to 35 hours
The proposed amendment will be made within existing funds of the approved 2015
Youth Bureau budget.
2. City Administration, Human Resources, and Policy
2.3 IPD – Lateral Transfers
WHEREAS, the City of Ithaca and the Ithaca Police Benevolent Association, Inc. (“PBA”), are
parties to a collective bargaining agreement (“CBA”) for the period January 1, 2008 through
December 31, 2011, the terms and conditions of which remain in effect by operation of state law;
and
WHEREAS, the Ithaca Police Department currently has six funded but vacant police officer
positions; and
WHEREAS, under the CBA a lateral transfer hired from another police department or sheriff’s
office receives the same starting pay as an officer who has not previously worked as a police
officer, even though IPD must pay for officers who lack prior experience to attend police
academy; and
WHEREAS, the parties desire to improve IPD’s ability to hire lateral transfer officers to fill the
vacant officer positions by increasing the starting salary for such officers; and
WHEREAS, the increased salary is offset by a reduction in academy and other training costs that
IPD is not required to spend when hiring a lateral transfer; now therefore be it
RESOLVED, That the Mayor is authorized to sign a Memorandum of Agreement with the PBA
substantially similar to that included herewith, increasing the starting salaries for officers who
have completed at least one year of full-time employment as a sworn officer for a municipal
police department or sheriff’s office in New York State prior to being hired by the City.
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MEMORANDUM OF AGREEMENT
WHEREAS, the City of Ithaca (“City”) and the Ithaca Police Benevolent Association,
Inc. (“PBA”), are parties to a collective bargaining agreement (“Agreement”) for the period
January 1, 2008 through December 31, 2011, the terms and conditions of which remain in effect
by operation of state law; and
WHEREAS, the parties desire to improve the Ithaca Police Department’s ability to hire
lateral transfer officers by increasing the starting salary for such officers; and
WHEREAS, the increased salary is offset by a reduction in academy and other training
costs that the Department is not required to spend when hiring a lateral transfer; and
WHEREAS, the parties wish to amend certain provisions of the Agreement;
NOW, THEREFORE, it is hereby agreed by and between the PBA and the City as
follows:
1. Article III, Compensation, Section A (entitled Salary) of the Agreement is
amended to read as follows:
All sworn officers shall receive the salary benefits set forth in Appendix A of this
Agreement; provided, however, that all officers who transfer pursuant to Section
70 of the New York State Civil Service Law on or after June 29, 2015 who were
employed as sworn officers within the six months prior to their appointment and
who have completed a minimum of one year of full-time service as a sworn
officer in a Municipal or County police department or sheriff’s office in New
York State shall be hired: (i) at the Step 2 rate of pay if the officer has completed
at least one year of such service; or (ii) at the Step 3 rate of pay if the officer has
completed at least five years of such service.
2. The sole purpose of this amendment is to provide such officers with a higher
salary upon their initial appointment with the Ithaca Police Department to reflect their past
experience as a police officer. For all other purposes, including but not limited to selection of
vacation, overtime distribution, and longevity payments, in accordance with Article XII, Section
B a lateral transfer’s seniority date shall be his or her date of hire as a member of the Ithaca
Police Department, except where otherwise required by law.
3. This Memorandum of Agreement shall expire on the effective date of any
successor collective bargaining agreement entered into by the parties or an interest arbitration
award. Any lateral transfers hired after such expiration shall be hired at the Step 1 salary unless
the successor agreement, arbitration award, or other agreement by the parties incorporates the
substance of this Memorandum of Agreement.
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4. This Memorandum of Agreement shall be effective retroactive to June 29, 2015.
CITY OF ITHACA
______________________________
Svante L. Myrick, Mayor
______________________________
Dated
ITHACA POLICE BENEVOLENT
ASSOCIATION, INC.
______________________________
John Joly, President
______________________________
Dated
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2. City Administration, Human Resources, and Policy
2.4 Amendment to Personnel Roster - DPW / Water Treatment Plant
WHEREAS, The City of Ithaca Water Treatment Plant (WTP) has need of Administrative Office
support. Currently all general office and financial office functions at the WTP are performed by
the Chief Operator, Lab Director, Senior Operator, and Operators, and
WHEREAS, The City of Ithaca DPW Water & Sewer Division Assistant Superintendent and
WTP Chief Operator proposes the hiring a half time Financial Management Assistant to meet
this need and relieve our Operational and Technical Staff from general office and financial
clerical work so they can be more economically, fully, and appropriately utilized in WTP
Operations and Maintenance, and
WHEREAS, the City of Ithaca Department of Public Works Water and Sewer Division currently
has the half time funded Title of Water/Wastewater Treatment Plant Operator on the WTP roster,
and
WHEREAS, the half time Water/Wastewater Treatment Plant Operator position has now been
vacant for more than year, and
WHEREAS, the City of Ithaca Department of Public Works Water and Sewer Division has
determined that we no longer have need of the half time Water/Wastewater Treatment Plant
Operator position at the WTP, and
WHEREAS, the Civil Service Commission approved the New Position Duties Statement for the
WTP Financial Management Assistant for City of Ithaca DPW Water & Sewer Division on June
3, 2015; now, therefore, be it
RESOLVED, That the Personnel Roster of the DPW Water & Sewer Division be amended as
follows:
Delete: One (1) Water/Wastewater Treatment Plant Operator,
salary grade 10, CSEA Administrative Unit
Add: One (1) Financial Management Assistant, 20 hours/week,
salary grade 6, CSEA Administrative Unit
and be it further
RESOLVED, That funds needed for said roster amendment shall be derived from existing 2015
budget authorizations in the DPW Water and Sewer Division.
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CITY OF ITHACA
WATER TREATMENT PLANT
202 Water St.
Ithaca, NY 14850
Ph: 607-273-4680
Fax: 607-216-0460
M E M O
TO: City Administration Committee
FROM: Charles Baker, Chief Operator
RE: Financial Mgmt Asst & Water/Wastewater Operator
DATE: May 19, 2015
Justification for new position: for adding the title “Financial Management Assistant” & for deleting the
title of Water/Wastewater Operator.”
The original position, Water/Wastewater Operator, was a wastewater facility slot that was modified to
give assistance to the water plant when we had staffing issues during the Monday – Friday dayshift slot.
We had trouble keeping and utilizing a float shift person. Currently we will have two floaters.
I am requesting to add to our roster the title of Financial Management Assistant and delete the
Water/Wastewater Operator title/position, yet retain the allotted funding in each budget (WTP &
IAWWTF). This was discussed with Dan Ramer (Chief Operator at the IAWWTF) and he agrees to delete
this title. This funding will be needed on the water plant side to fund the new position of Financial
Management Assistant. This will be a zero increase to our overall budgeted staff costs. The IAWWTF
staff will need to determine what they will do with their portion of the funding for the position.
2. City Administration, Human Resources, and Policy
2.5 Health Care Coverage for Officer Augustine
WHEREAS, Officer Anthony Augustine has been employed as a police officer by the City of
Ithaca since January 31, 2007, and
WHEREAS, during that time Officer Augustine has served commendably and bravely, to the
benefit of the residents of the City and his fellow police officers, and the Mayor of Ithaca
expresses his deep thanks on behalf of the City and its residents to Officer Augustine for his
years of service, and
WHEREAS, on October 11, 2012, in the performance of his duties Officer Augustine was shot
while pursuing a suspect on foot, and
WHEREAS, Officer Augustine has received wages and benefits pursuant to General Municipal
Law § 207-c from the City since the date of the shooting, and
WHEREAS, Officer Augustine underwent multiple operations, medical treatments, and physical
therapy sessions in his attempts to return to work, and
WHEREAS, despite Officer Augustine’s extensive and good faith efforts to rehabilitate the
injuries suffered by him in the performance of his duties, he is incapable of carrying out the
duties of a police officer, and
WHEREAS, in May 2013 the City submitted both accidental and performance of duty disability
retirement applications on Officer Augustine’s behalf pursuant to the New York State Retirement
and Social Security Law (“Disability Retirement Application”) and is awaiting a decision on
those applications, and
WHEREAS, the City and PBA are parties to an expired Collective Bargaining Agreement, dated
January 1, 2008 through December 31, 2011 (“CBA”), the terms and conditions of which
continue to govern Officer Augustine’s employment, and
WHEREAS, Officer Augustine has requested that certain health care coverage not provided for
in the CBA be extended to him upon the approval of one of the Disability Retirement
Applications in light of his service and sacrifice and
WHEREAS, the City, Officer Augustine, and the PBA have negotiated a Memorandum of
Agreement establishing the terms and conditions under which such health insurance would be
extended, and Officer Augustine desires to enter into and support the Memorandum of
Agreement as drafted; now therefore be it
RESOLVED, That the Common Council acknowledges and commends Officer Augustine’s
service to the City and his sacrifice in the line of duty; and be it further
RESOLVED, That the Mayor is authorized to sign the Memorandum of Agreement in a form
substantially similar to the agreement reviewed by Common Council, and such other documents
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as may be required to give effect to the Memorandum of Agreement upon the advice of the City
Attorney.
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M E M O R A N D U M
To: Common Council
From: Mayor Svante Myrick
Date: July 8, 2015
Subject: Officer Augustine Health Insurance Retirement Accommodation
As we are all aware, IPD Officer Augustine was shot in the line of duty on October 11,
2012, having served our City commendably and bravely since 2007. Since that time, Officer
Augustine has valiantly and extensively worked to recover from his injuries, but those injuries
continue to render him unable fully to carry out the duties of a police officer.
The City has therefore sought to arrange for Officer Augustine a disability retirement with
the State retirement system. The City has, of course, continued to fully pay Officer Augustine’s
salary and provide ongoing benefits to date—under what might be called a form of short-term
disability insurance for police officers, as reflected in New York General Municipal Law § 207-c
(“§ 207-c Coverage”).
§ 207-c Coverage includes lifetime health care coverage that the City will provide for the
injuries that Officer Augustine sustained in the line of duty. The question now before you is
whether, during the course of Officer Augustine’s disability retirement, the City should also
provide Officer Augustine with health care coverage unrelated to his service injuries. I believe
that we should.
I am therefore providing you with a resolution seeking Council’s approval for an
agreement that I have offered to Officer Augustine, and that Officer Augustine has agreed to
accept—all subject to the required Council approval. This agreement—which only takes effect
upon the State’s anticipated grant of the pending disability retirement application—provides
Officer Augustine with health care coverage unrelated to his service injuries through September
17, 2035.
There is no price that we can put on the sacrifice that Officer Augustine has made for this
City, nor can we ever make it up to him, but this makes me only more certain that we should
provide him with comprehensive and long term health care in thanks for his service.
I look forward to discussing with you.
CITY OF ITHACA
108 East Green Street Ithaca, New York 14850-5690
MAYOR’S OFFICE
SVANTE L. MYRICK, MAYOR
Telephone: 607-274-6501
Email: mayor@cityofithaca.org
Fax: 607-274-6526
"An Equal Opportunity Employer with a commitment to workforce diversification."
MEMORANDUM OF AGREEMENT
Anthony Augustine (“Augustine”), the Ithaca Police Benevolent Association, Inc.
(“PBA”), and the City of Ithaca (“City”) enter into the following Memorandum of Agreement
(“Agreement”) to fully settle any and all outstanding issues related to Augustine’s employment
and retirement, such Agreement for good and sufficient consideration as set forth more fully
below and incorporating the terms of the attached General Release & Waiver:
WHEREAS, Augustine has been employed as a police officer by the City of Ithaca since
January 31, 2007;
WHEREAS, during that time Augustine has served commendably and bravely, to the
benefit of the residents of the City and his fellow police officers, and the Mayor of Ithaca
expresses his deep thanks on behalf of the City and its residents to Augustine for his years of
service;
WHEREAS, on October 11, 2012, in the performance of his duties Augustine was shot
while pursuing a suspect on foot;
WHEREAS, Augustine has received wages and benefits pursuant to General Municipal
Law Section 207-c from the City since the date of the shooting;
WHEREAS, Augustine underwent multiple operations, medical treatments, and physical
therapy sessions in his attempts to return to work;
WHEREAS, despite Augustine’s extensive and good faith efforts to rehabilitate the
injuries suffered by him in the performance of his duties, he is incapable of carrying out the
duties of a police officer;
WHEREAS, in May 2013 the City submitted both accidental and performance of duty
disability retirement applications on Augustine’s behalf pursuant to the New York State
Retirement and Social Security Law (“Disability Retirement Application”);
WHEREAS the City and PBA are parties to an expired Collective Bargaining
Agreement, dated January 1, 2008 through December 31, 2011 (“CBA”), the terms and
conditions of which continue to govern Augustine’s employment;
WHEREAS Augustine has requested that certain health care coverage not provided for in
the CBA be extended to him in light of his service and sacrifice; and,
WHEREAS, the parties have engaged in good faith negotiations concerning Augustine’s
application for a disability retirement and the termination of his employment with the City;
NOW THEREFORE, it is hereby stipulated and agreed that:
1. This Agreement shall bind the parties only in the event that one of the disability
retirement applications filed by the City on Augustine’s behalf pursuant to the New York State
Retirement and Social Security Law (collectively, “Disability Retirement Applications”) is
granted. If both Disability Retirement Applications are denied in one or more determinations
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having final effect, no party to this Agreement shall bear any responsibilities or liabilities
whatsoever as a function of this Agreement.
2. The City shall provide Officer Augustine with family health care coverage
without any payment of out-of-pocket premium contributions by Augustine, beginning on the
day after Augustine’s employment ends due to the approval of one of the Disability Retirement
Applications (“Retirement Date”) and Augustine’s subsequent removal from payroll, and
continuing through September 17, 2035 (“Extended Health Insurance Coverage”). In return,
Augustine and the PBA agree to the following:
a. Augustine waives his right under Articles IV(C) and V(E) of the CBA to
take a cash settlement for any paid leave time upon retirement. On the
Retirement Date, Augustine shall automatically, irrevocably, and without
need for further authorization relinquish to the City all hours of paid leave
time that have accrued to Augustine. Augustine shall not use any paid
leave time prior to the Retirement Date unless mutually agreed.
b. Within twenty-one days following the Retirement Date, Augustine shall
sign a general release and waiver, attached as Exhibit A (“Release”),
which will be incorporated into this Agreement.
c. Augustine agrees to comply with all requests from the City related to the
Disability Retirement Applications within fourteen calendar days of the
mailing of same, including but not limited to signing authorizations for the
release of medical records.
3. If Augustine fails to sign the Release pursuant to paragraph 2(b) or comply with a
request made pursuant to paragraph 2(c), and does not cure the failure within fourteen calendar
days following the mailing of a notice from the City, or revokes his execution of the Release,
Augustine shall not be entitled to the Extended Health Insurance Coverage. Paragraph 2(a) shall
be null and void, Augustine shall be entitled to use his paid leave time to purchase retirement
health insurance in accordance with the Collective Bargaining Agreement, and the City shall
have no obligation to extend health insurance coverage to Augustine or his dependents except as
otherwise provided by the Collective Bargaining Agreement.
4. The City shall not divulge the contents of Augustine’s official personnel file to
prospective employers unless Augustine provides the City with a signed release to do so. The
City’s Human Resources Department shall handle all such requests and will release only his
dates of employment and salary.
5. Augustine and the PBA agree that this Agreement shall not set a precedent for the
treatment of other employees nor shall it be construed in future matters as a past practice.
6. Augustine acknowledges that he has been fully and fairly represented by his
attorney in connection with the instant matter, and that he has reviewed and fully understands
this document, and that he signs it freely and voluntarily. This settlement has been made in
accordance with the collective bargaining agreement applicable to Augustine’s employment by
the City and no threats of reprisal or promises of special consideration were made by the City or
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PBA representatives as an inducement to execute this settlement, the full terms of which are
included herein.
7. The PBA covenants and agrees that this Agreement resolves and settles all claims
it has concerning Augustine’s employment, and waives its right to pursue any further claims or
actions against the City in any administrative forum or court related to Augustine’s employment.
8. Notices under this Agreement shall be given by first class mail to the addresses
listed below. Augustine agrees to notify the City of any address changes, and agrees that a failure
to provide such notice shall not render any notices mailed to his last known address ineffective.
Director of Human Resources
City of Ithaca
108 E. Green St
Ithaca, NY 14850
Anthony Augustine
340 E. Miller Road
Ithaca, NY 14850
9. This Agreement is binding upon and shall inure to the benefit of the parties hereto
and to each other and their heirs, executors, administrators, trustees, representatives, successors,
or assigns.
10. Each party represents and acknowledges that they have had such time as is
deemed necessary to review, consider and deliberate as to the terms of this Agreement and to
consult with their respective counsel regarding the claims addressed by, and consequences of
signing, this Agreement.
11. For the purposes of construction, each party agrees to be treated as a drafter of
this Agreement, and represents that it has had an equal opportunity to contribute to the language
of this Agreement.
12. Should one or more of the provisions of this Agreement be found to be invalid,
illegal, or unenforceable for any reason, the validity, legality, and enforceability of the remaining
provisions contained herein shall not be impaired or affected in any way.
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13. The terms of this Agreement constitute the complete understanding between the
City, PBA, and Augustine regarding the matters set forth therein, and may only be modified by a
subsequent written agreement signed by the City, PBA, and Augustine. Augustine acknowledges
that no representative of the City or PBA made any promise or presentation regarding these
matters that is not explicitly set forth in this Agreement.
__________________________________ Dated: ________________________
Anthony Augustine
Ithaca Police Benevolent Association
By: _______________________________ Dated: ________________________
John Joly, President
City of Ithaca
By: _______________________________ Dated: ________________________
Svante L. Myrick, Mayor
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EXHIBIT A
GENERAL RELEASE & WAIVER
(including any potential claims arising under the Age Discrimination in Employment Act (ADEA) or the Older Workers’ Benefit Protection Act (OWBPA))
Anthony Augustine (“Augustine”), in exchange for the good and valuable consideration
set forth in the Memorandum of Agreement between Augustine, the Ithaca Police Benevolent
Association, Inc., and the City of Ithaca (“City”), dated , 2015, agrees as
follows:
Augustine hereby forever releases and discharges the City and any and all of the City’s
departments, divisions, affiliated entities, successors, and assigns, and any and all of its and/or
their past and/or present common council members, directors, officers, employees, attorneys and
agents (collectively, the “Releasees”), from any and all claims, demands causes of action, fees
and liabilities of any kind whatsoever, whether known or unknown, which he ever had, now has
or may have against the Releasees by reason of any actual or alleged act, omission, transaction,
practice, conduct, occurrence, or other matter occurring up to and including the date of this
Effective Date of this General Release & Waiver (“Release”), except that Augustine specifically
does not waive or release his right to future medical treatment of his October 11, 2012 injuries
pursuant to General Municipal Law Section 207-c.
Without limiting the generality of the foregoing, this Agreement and Release is intended
to and shall release the Releasees from any and all claims, whether known or unknown, which
Augustine ever had, now has, or may have against the Releasees, with respect to his employment
by the City, the terms and conditions of such employment, and/or the resignation or termination
of or retirement from his employment, including but not limited to any and all claims: (i) of age
discrimination under the Age Discrimination in Employment Act (ADEA) and the Older
Workers’ Benefit Protection Act; (ii) under Title VII of the Civil Rights Act of 1964; (iii) under
the Americans with Disabilities Act and/or the Rehabilitation Act of 1973; (iv) under the Family
and Medical Leave Act; (v) under the Equal Pay Act; (vi) under the New York Human Rights
Law; (vii) under the United States Constitution and/or the New York Constitution; (viii) under
the New York Civil Service Law or General Municipal Law (except as reserved above); (ix)
relating to any contract for past employment, any failure to offer employment, any
representations or commitments made by the City regarding future employment, and the
conclusion of his employment with the City and benefits payable by the City; (x) under
municipal, state and federal contract or tort law, including but not limited to claims for wrongful
discharge, constructive discharge, breach of the implied covenant of good faith and fair dealing,
fraud, intentional interference with contract, intentional interference with prospective economic
relations, negligent or intentional infliction of emotional distress, defamation, and failure of due
process; (xi) based on any federal, state, or local law, ordinance, or regulation (whether statutory
or decisional); and (xii) for attorneys’ fees, costs, or disbursement. Excluded from this release
are any claims that may arise after the Effective Date of this Release.
Augustine expressly agrees and understands that this release applies to all unknown,
unsuspected and unanticipated claims, liabilities and causes of action which he may have against
the City or any of the other Releasees.
Augustine acknowledges that he has been given a period of twenty-one (21) days to
review and consider this Release before signing it. Augustine further understands he may use as
much of this twenty-one (21) day period as he wishes prior to signing and returning the signed
Release to the City. Augustine understands that should he elect to sign this Release, he has a
period of seven (7) days following his signing of the Release during which he may revoke his
execution thereof, and he further understands that the Release will not become effective or
enforceable until the day after the seven (7) day revocation period has expired (“Effective
Date”). Such a revocation, to be effective, must be in writing and received by the City’s Human
Resources Department, 108 E. Green St, 2nd Floor, Ithaca, N.Y. 14850, no later than 11:59 p.m.
the day prior to the Effective Date. Should Augustine revoke his execution of this Release, this
Release will be rendered null and void.
Augustine understands that the claims that he is giving up and releasing do not include
his vested rights, if any, under any qualified retirement plan in which he participates, COBRA,
unemployment compensation, and workers’ compensation rights, if any.
Augustine acknowledges and affirms that: (i) the City advises that he consult with an
attorney of his choice before signing this Agreement and Release; (ii) the consideration provided
by the Agreement and Release exceeds any benefit or other thing of value to which he is
otherwise entitled under any policy, plan, or procedure of the City or pursuant to any agreement
or contract with the City; and (iii) he has read this Agreement and Release in its entirety, he
understands that it contains a full and final release of all claims that he has or may have against
the City up to the Effective Date, and he knowingly and voluntarily agrees to all the terms and
conditions contained herein.
_______________________________ Dated: _____________________
Anthony Augustine
STATE OF NEW YORK )
)ss.:
COUNTY OF TOMPKINS )
On this ___day of , 20___, before me, the undersigned, a Notary
Public in and for said State, personally appeared Anthony Augustine, personally known to me or
proved to me on the basis of satisfactory evidence to be the individual whose name is subscribed
to the within instrument and acknowledged to me that he or she executed the same in his or her
capacity, and that by his or her signature on the instrument, the individual, or the person on behalf
of which the individual acted, executed the instrument.
____________________________________
2. City Administration, Human Resources, and Policy
2.6 Local Law – 2015 Sidewalk Improvement District Amendments
Local Law No. ____-2015
A local law entitled “2015 Sidewalk Improvement District Amendments Concerning Lots with
Two Single-Family Homes”
WHEREAS the City has five Sidewalk Improvement Districts (each a “SID”) for the
construction and repair of sidewalk, and assesses each property located in each SID pursuant to a
formula for the benefits received by the property from said local improvements, and
WHEREAS the formula in part uses Property Classification Codes administered by the
Tompkins County Department of Assessment to classify lots containing a single one- or two-
family home as Low Foot Traffic Lots, and
WHEREAS a small number of lots that contain two separate one-family homes are currently
assessed as Non-Low Foot Traffic Lots, and
WHEREAS Common Council concludes that assessing these properties a fee equal to the total
fee assessed to two lots each containing a one-family home more accurately reflects the
benefits from the sidewalk construction and repair received by these properties, and
WHEREAS pursuant to Municipal Home Rule Law Section 10(1)(ii)(c)(3) the City of Ithaca is
authorized to adopt a local law relating to the authorization, making, confirmation, and
correction of benefit assessments for local improvements,
BE IT ENACTED by the Common Council of the City of Ithaca as follows:
Section 1. Legislative Findings, Intent, and Purpose.
Pursuant to Municipal Home Rule Law Section 10(1)(ii)(c)(3) the City of Ithaca is authorized to
adopt a local law relating to the authorization, making, confirmation, and correction of benefit
assessments for local improvements. The Common Council concludes that certain adjustments to
the SID assessment formula are appropriate.
The Common Council makes the following findings of fact:
A. A lot with two separate one-family homes is currently defined under the SID
assessment formula as a Non-Low Foot Traffic Lot, even though the benefit it
receives from the SID system is roughly equivalent to the benefit received by two
lots that each contain a one-family home.
B. To better reflect the benefit received from the SID system by these lots, it is
equitable to assess these lots the total amount that would be assessed if each one-
family home were on its own lot.
J:\DRedsicker\AGENDAS\City Admin Comm\2015\7-15 - Agenda.docx 7/15/15
Section 2. Charter Amendments.
Section C-73(C)(1) of the Ithaca City Charter is hereby amended as follows:
LOW-FOOT-TRAFFIC LOTS
Those lots, qualifying neither as sliver lots nor as nondevelopable lots, with a
Property Class Code of 210, 215, 220, 240, 250, 270, 311, or 312, or substantially
identical successor designations.
SITE CLASS CODE
The property type classification code, as defined by the New York State
Office of Real Property Services in the Assessors’ Manual, or such other
substantially similar documentation later produced by that office, assigned to
each residence on a Lot with more than one residence by the Tompkins
County Department of Assessment, as may be updated by that Department
from time to time.
DOUBLE-LOW-FOOT-TRAFFIC LOTS
Those lots with a Property Class Code of 280 or 281, or substantially
identical successor designations, and with two residences that each have a
Site Class Code of 210, 215, 240, 250, or 270.
Section C-73(C)(2)(a) is hereby amended as follows:
Square Footage Fee. The Square Footage Fee for all Low-Foot-Traffic Lots and Double-
Low-Foot-Traffic Lots shall be $0.00. For all other Lots, the Lot’s Square Footage Fee
shall be equal to the Lot’s Building Square Footage times $0.015.
Section C-73(C)(2)(b) is hereby amended as follows:
Frontage Fee. The Frontage Fee for all Low-Foot-Traffic Lots and Double-Low-Foot-
Traffic Lots shall be $0.00. For all other Lots, the Frontage Fee shall be $30.00 for each
fifty-five (55) feet of Front Feet or portion thereof.
Section 3. Severability Clause.
Severability is intended throughout and within the provisions of this Local Law. If any section,
subsection, sentence, clause, phrase, or portion of this Local Law is held to be invalid or
unconstitutional by a court of competent jurisdiction, then that decision shall not affect the
validity of the remaining portions of this Local Law or of those portions of Section C-73 not
amended by this Local Law.
Section 4. Effective and Operative Date.
This Local Law shall take effect January 1, 2016, provided it is first filed in the office of the
Secretary of State, or upon filing in the office of the Secretary of State thereafter. This Local
Law is subject to referendum on petition pursuant to Municipal Home Rule Law Section 24.
J:\DRedsicker\AGENDAS\City Admin Comm\2015\7-15 - Agenda.docx 7/15/15
M E M O R A N D U M
To: Common Council
From: Ari Lavine, City Attorney
Date: July 3, 2015
Subject: Amendments to the Sidewalk Improvement District Assessment
Formula for Certain Lots Containing Two Single-Family Homes
_________________________________________________________________
As you know, the Sidewalk Improvement District system contains a formula by which each
property in a SID is assessed for the benefit received by that property from sidewalk construction
and repair occurring in the district. The program has been a success thus far; this year alone,
nearly two miles of sidewalk will be built, funded in an equitable manner. As with any new
program, minor tweaks have been required. The SID system was originally enacted in 2013 with
a formula that primarily distinguished between Low Foot Traffic Lots (i.e., lots with a one- or
two-family home) and non-Low Foot Traffic Lots. In 2014, amendments were made to the
assessment formula to more accurately assess vacant, sliver, and non-developable lots for the
benefits those lots receive from a high-quality sidewalk network.
This year, property owners of certain lots containing two single-family homes have requested a
modification in the formula. These properties often have a single-family home and a carriage
house with an apartment. The Department of Assessment classifies these properties as ones with
more than one residential building, and then assigns each residence on the property with its own
property classification code. Under the current formula, these properties are assessed as Non-
Low Foot Traffic Lots, even though the benefit received by the properties is arguably closer to
that received by two lots, each with a single-family home.
The proposed amendment would classify these lots as Double-Low-Foot-Traffic Lots, provide
for an Annual Maintenance Fee of $140 (double the fee for a Low Foot Traffic Lot), and set the
Frontage and Square Footage Fees at $0 (as is the case for Low Foot Traffic Lots). Under this
amendment, we estimate 13 or 14 lots to be reclassified, with a reduction in overall sidewalk
benefit assessments of approximately $1,200 per year.
This amendment also makes a technical correction to Section C-73, including lots with a property
classification code of 270.
CITY OF ITHACA
108 East Green Street Ithaca, New York 14850-6590
OFFICE OF THE CITY ATTORNEY
Aaron O. Lavine, City Attorney Telephone: 607/274-6504
Robert A. Sarachan, Assistant City Attorney Fax: 607/274-6507
Krin Flaherty, Assistant City Attorney
Jared Pittman, Assistant City Attorney
Jody Andrew, Executive Assistant
2. City Administration, Human Resources, and Policy
2.7 Approval of the 2015 Amendment to the Municipal Cooperative Agreement for the
Greater Tompkins County Municipal Health Insurance Consortium
WHEREAS, the City of Ithaca is a Participant in the Greater Tompkins County Municipal
Health Insurance Consortium (the "Consortium"), a municipal cooperative organized under
Article 47 of the New York Insurance Law, and
WHEREAS, the municipal participants in the Consortium, including this body, have approved
and executed a certain Municipal Cooperation Agreement (the "Agreement"; effective date of
October 1, 2010) and Amendment (2014) that provides for the operation and governance of the
Consortium, and
WHEREAS, Article 47 of the New York Insurance Law (the "Insurance Law") and the rules and
regulations of the New York State Department of Financial Services set forth certain
requirements for governance of municipal cooperatives that offer self-insured municipal
cooperative health insurance plans, and
WHEREAS, the Agreement sets forth in Section Q2 that continuation of the Consortium under
the terms and conditions of the Agreement, or any amendments or restatements thereto, shall be
subject to Board review on the fifth (5th) anniversary of the Effective Date and on each fifth (5th)
anniversary date thereafter (each a “Review Date”), and
WHEREAS, by motion 005-2015, adopted on May 28, 2015, the Consortium's Board of
Directors recommends approval of the 2015 amended agreement based on review of the
document by the Municipal Cooperative Agreement Review Committee, the New York State
Department of Financial Services, and the Consortium’s legal counsel, and
WHEREAS, the Municipal Cooperative Agreement requires that amendments to the agreement
be presented to each participant for review and adopted by its municipal board,
WHEREAS, the City of Ithaca is in receipt of the proposed amended Agreement and has
determined that it is in the best interest of its constituents who are served by the Consortium to
amend the Agreement as set forth in the attached 2015 Amended Municipal Cooperative
Agreement, now therefore be it
RESOLVED, That the City of Ithaca approves and authorizes the (Mayor or Supervisor) to sign
the 2015 Amendment to the Municipal Cooperative Agreement of the Greater Tompkins County
Municipal Health Insurance Consortium, and
RESOLVED, Further, that the Clerk of the City of Ithaca is hereby authorized to execute this
Resolution to indicate its approval, transmit a copy thereof to the Board of Directors of the
Greater Tompkins County Municipal Health Insurance Consortium, and take any other such
actions as may be required by law.
J:\DRedsicker\AGENDAS\City Admin Comm\2015\7-15 - Agenda.docx 7/15/15
June 30, 2015
Dear Mayor or Supervisor,
As participants in the Greater Tompkins Municipal Health Insurance Consortium (Consortium),
we are bound by the Municipal Cooperative Agreement (MCA) which was accepted and signed
by your municipality. Section Q.2. of the MCA requires the Consortium participants to review
and amended the MCA as necessary before the anniversary of the fifth year, which is on or about
October 1, 2015.
Pursuant to the MCA, the Consortium asked each participant to review the existing MCA and
send comments. The Consortium also received comments from the NYS Department of
Financial Services. A special committee of the Consortium Board of Directors incorporated
these suggestions as well as reviewed the MCA from an operations perspective and developed
the attached MCA (both clean copy and changes noted documents).
The Consortium Board of Directors has approved the amended MCA and is recommending that
each participant adopt resolutions authorizing their Supervisor or Mayor to sign the amended
MCA. Upon receipt of all of the municipal authorization resolutions, a signature page will be
made available for signatures.
Please perform the due diligence your municipality requires. Report any issues that prevent your
municipality from signing as soon as possible. Please consider setting a goal of approval during
your August 2015 meetings.
Sincerely,
Don Barber, Executive Director
Greater Tompkins County Municipal Health Insurance Consortium
Att.: Proposed 2015 Amended Municipal Cooperative Agreement
Sample Resolution
{H2552555.1}
2015 AMENDMENT TO THE
MUNICIPAL COOPERATION AGREEMENT
THIS AGREEMENT (the "Agreement") made effective as of the 1st day of October 2010
(the "Effective Date"), and as amended herein, by and among each of the signatory municipal
corporations hereto (collectively, the "Participants").
W H E R E A S:
1. Article 5-G of the New York General Municipal Law (the "General Municipal
Law") authorizes municipal corporations to enter into cooperative agreements for the performance
of those functions or activities in which they could engage individually;
2. Sections 92-a and 119-o of the General Municipal Law authorize municipalities to
purchase a single health insurance policy, enter into group health plans, and establish a joint body
to administer a health plan;
3. Article 47 of the New York Insurance Law (the "Insurance Law" or “N.Y. Ins.
Law”), and the rules and regulations of the New York State Superint endent of Financial Services
Insurance (the "Superintendent") set forth certain requirements for governing self-insured
municipal cooperative health insurance plans;
4. Section 4702(f) of the Insurance Law defines the term "municipal corporation" to
include a county, city, town, village, school district, board of cooperative educational services,
public library (as defined in Section 253 of the New York State Education Law) and district (as
defined in Section 119-n of the General Municipal Law); and
5. The Participants have determined to their individual satisfaction that furnishing the
health benefits (including, but not limited to, medical, surgical, hospital, prescription drug, dental,
and/or vision) for their eligible officers, eligible employees (as defined by the Internal Revenue
Code of 1986, as amended, and the Internal Revenue Service rules and regulations), eligible
retirees, and the eligible dependents of eligible officers, employees and retirees (collectivel y, the
"Enrollees") (such definition does not include independent contractors and/or consultants) through
a municipal cooperative is in their best interests as it is more cost- effective and efficient.
Eligibility requirements shall be determined by each Participant's collective bargaining agreements
and/or their personnel policies and procedures.
NOW, THEREFORE, the parties agree as follows:
A. PARTICIPANTS.
1. The Participants hereby designate themselves under this Agreement as the Greater
Tompkins County Municipal Health Insurance Consortium (the "Consortium") for the purpose of
providing health benefits (medical, surgical, hospital, prescription drug, dental, and/or vision) to
those Enrollees that each Participant individually elects to include in the Greater Tompkins County
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Municipal Health Insurance Consortium Medical Plan(s) (the "Plan(s)").
2. The following Participants shall comprise the initial current membership of the
Consortium (a) County of Tompkins; (b) City of Ithaca; (c) Town of Enfield; (d) Town of
Caroline; (e) Town of Ithaca; (f) Town of Danby; (g) Town of Dryden; (h) Town of Ulysses; (i)
Village of Cayuga Heights; (j) Village of Groton; (k) Village of Dryden; (l) Village of
Trumansburg; (m) Town of Groton; (n) Town of Lansing: (o) City of Cortland; (p) Village of
Homer; (q) Town of Willet. The following Participants shall comprise the current membership of
the Consortium (a) County of Tompkins; (b) City of Ithaca; (c) Town of Enfield; (d) Town of
Caroline; (e) Town of Ithaca; (f) Town of Danby; (g) Town of Dryden; (h) Town of Ulysses; (i)
Village of Cayuga Heights; (j) Village of Groton; (k) Village of Dryden; (l) Village of
Trumansburg; (m) Town of Groton. Membership in the Consortium may be offered to any
municipal corporation within the geographical boundaries of County of Tompkins the Counties of
Tompkins, Cayuga, Chemung, Cortland, Tioga, Schuyler, and Seneca, provided however that, in
the sole discretion of the Board (as defined below), the applicant provides satisfactory proof of its
financial responsibility and is of the same type of municipal corporation as the initial Participants.
Notwithstanding anything to contrary set forth in this Agreement, admission of new Participants
shall not require amendment of this Section A(2). Membership shall be subject to the terms and
conditions set forth in this Agreement, any amendments hereto and applicable law.
3. Participation in the Plan(s) by some, but not all, collective bargaining units or
employee groups of a Participant is not encouraged and shall not be permitted absent prior Board
approval. Further, after obtaining approval, any Participant which negotiates an alternative health
insurance plan offering other than the plan offerings of the Consortium with a collective bargaining
unit or employee group may be subject to a risk charge as determined by the Board.
4. Initial membership of additional participants shall become effective as soon as
practical but preferably on the first day of the Plan Year following the adoption by the Board of the
resolution to accept a municipal corporation as a Participant. Such municipal corporation must
agree to continue as a Participant for a minimum of three (3) years upon entry.
5. The Board, by a two-thirds (2/3) vote of the entire Board, may elect to permit
additional municipal corporations not located within the geographical or political boundaries of the
County of Tompkins set forth in Paragraph A(2) to become Participants subject to satisfactory
proof, as determined by the Board, of such municipal corporation’s financial responsibility. Such
municipal corporations must agree to continue as a Participant for a minimum of three (3) years
upon entry.
6. A municipal corporation that was previously a Participant, but is no longer a
Participant, and which is otherwise eligible for membership in the Consortium, may apply for re-
entry after a minimum of three (3) years has passed since it was last a Participant. Such re-entry
shall be subject to the approval of two-thirds (2/3) of the entire Board. This re-entry waiting period
may be waived by the approval of two-thirds (2/3) of the entire Board. In order to re-enter the
Consortium, a municipal corporation employer must have satisfied in full all of its outstanding
financial obligations to the Consortium. A municipal corporation must agree to continue as a
Participant for a minimum of three (3) years upon re-entry.
B. PARTICIPANT LIABILITY.
1. The Participants shall share in the costs of, and assume the liabilities for benefits
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Municipal Cooperative Agreement - 2015 Amendment
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(including medical, surgical, and hospital) provided under the Plan(s) to covered officers,
employees, retirees, and their dependents. Each Participant shall pay on demand such Participant's
share of any assessment or additional contribution ordered by the governing Board of the municipal
cooperative health benefit plan, as set forth in Section L(4) of this Agreement or as ordered by the
Superintendent or under Article 74 (seventy-four) of the New York State Insurance Law. The pro
rata share shall be based on the Participant's relative "premium" contribution to the Plan(s) as a
percentage of the aggregate "premium" contribution to the Plan(s), as is appropriate based on the
nature of the assessment or contribution.
2. New Participants (each a "New Participant") who enter the Consortium may, at the
discretion of the Board of Directors, be assessed a fee for additional financial costs above and
beyond the premium contributions to the Plan(s). Any such additional financial obligations and
any related terms and conditions associated with membership in the Consortium shall be
determined by the Board, and shall be disclosed to the New Participant prior to its admission.
3. Each Participant shall be liable, on a pro rata basis, for any additional assessment
required in the event the Consortium funding falls below those levels required by the Insurance law
as follows:
a. In the event the Consortium does not have admitted assets (as defined in
Insurance Law § 107) at least equal to the aggregate of its liabilities, reserves and
minimum surplus required by the Insurance Law, the Board shall, within thirty (30) days,
order an assessment (an "Assessment Order") for the amount that will provide sufficient
funds to remove such impairment and collect from each Participant a pro-rata share of
such assessed amount.
b. Each Participant that participated in the Consortium at any time during the
two (2) year period prior to the issuing of an Assessment Order by the Board shall, if
notified of such Assessment Order, pay its pro rata share of such assessment within ninety
(90) days after the issuance of such Assessment Order. This provision shall survive
termination of the Agreement of withdrawal of a Participant.
c. For purposes of this Section B(3), a Participant's pro-rata share of any
assessment shall be determined by applying the ratio of the total assessment to the total
contributions or premium equivalents earned during the period covered by the assessment
on all Participants subject to the assessment to the contribution or premium equivalent
earned during such period attributable to such Participant.
C. BOARD OF DIRECTORS.
1. The governing board of the Consortium, responsible for management, control and
administration of the Consortium and the Plan(s), shall be referred to as the "Board of Directors"
(the "Board"). The voting members of the Board shall be composed of one representative of each
Participant and representatives of the Joint Committee on Plan Structure and Design (as set forth in
Section C(11)), who shall have the authority to vote on any official action taken by the Board (each
a "Director"). Each Director, except the representatives of the Joint Committee on Plan Structure
and Design, shall be designated in writing by the governing body of the Participant.
2. If a Director designated by a Participant cannot fulfill his/her obligations, for any
reason, as set forth herein, and the Participant desires to designate a new Director, it must notify the
Consortium's Chairperson in writing of its selection of a new designee to represent the Participant
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Municipal Cooperative Agreement - 2015 Amendment
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as a Director.
3. Directors shall receive no remuneration from the Consortium for their service and
shall serve a term from January 1 through December 31 (the "Plan Year").
4. No Director may represent more than one Participant.
5. No Director, or any member of a Director's immediate family shall be an owner,
officer, director, partner, or employee of any contractor or agency retained by the Consortium,
including any third party contract administrator.
6. Except as otherwise provided in Section D of the Agreement, each Director shall be
entitled to one vote. A majority of the entire Board, not simply those present, is required for the
Board to take any official action, unless otherwise specified in this Agreement. The “entire
Board”, as used herein and elsewhere in this Agreement, shall mean the total number of Directors
when there are no vacancies.
While physical presence is strongly encouraged, Directors who cannot be physically present at any
meeting may attend remotely utilizing appropriate technology that allows for real time audio and
visual participation and voting in the meeting upon confirmation that communication is with all
participants as it progresses.
7. Each Participant may designate in writing an alternate Director to attend the Board's
meeting when its Director cannot attend. The alternate Director may participate in the discussions
at the Board meeting and will, if so designated in writing by the Participant, be authorized to
exercise the Participant’s voting authority. Only alternate Directors with voting authority shall be
counted toward a quorum. The Joint Committee on Plan Structure and Design may designate
alternate Directors as set forth in Section C(11).
8. A majority of the Directors of the Board shall constitute a quorum. A quorum is a
simple majority (more than half) of the entire Board. A quorum is required for the Board to
conduct any business. This quorum requirement is independent of the voting requirements set forth
in Section C(6). The Board shall meet on a regular basis, but not less than on a quarterly basis at a
time and place within the State of New York determined by a vote of the Board. The Board shall
hold an annual meeting (the “Annual Meeting”) between October 3rd and October 15th of each Plan
Year.
9. Special meetings of the Board may be called at any time by the Chairperson or by
any two (2) Directors. Whenever practicable, the person or persons calling such special meeting
shall give at least three (3) days notice to all of the other Directors. Such notice shall set forth the
time and place of the special meeting as well as a detailed agenda of the matters proposed to be
acted upon. In the event three (3) days notice cannot be given, each Director shall be given such
notice as is practicable under the circumstances.
10. In the event that a special meeting is impractical due to the nature and/or urgency of
any action which, in the opinion of the Chairperson, is necessary or advisable to be taken on behalf
of the Consortium, the Chairperson may send proposals regarding said actions via electronic
communication facsimile to each and all of the Directors. The Directors may then electronically
communicate fax their approval or disapproval of said resolution via signed document to the
Chairperson. Upon receipt by the Chairperson of the requisite number of written approvals, the
Chairperson may act on behalf of the Board in reliance upon such approvals. Any actions taken by
the Chairperson pursuant to this paragraph shall be ratified at the next scheduled meeting of the
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Board.
11. The Chair of the Joint Committee on Plan Structure and Design and any At-Large
Labor Representatives (as defined in Section K) (collectively the “Labor Representatives”) shall
serve as Directors and shall have the same rights and obligations as all other Directors. The Joint
Committee on Plan Structure and Design may designate in writing alternate Directors to attend the
Board’s meetings when the Labor Representatives cannot attend. The alternate Director may, if
designated in writing, be authorized to exercise the Labor Representatives’ voting authority.
D. WEIGHTED VOTING.
1. Except as otherwise provided in this Agreement, any two or more Directors, acting
jointly, may require a weighted vote on any matter that may come before the Board. In such event,
the voting procedure set forth in this Section D shall apply in lieu of any other voting procedures
set forth in this Agreement. Such weighted voting procedures shall apply solely with respect to the
matter then before the Board.
2. For purposes of this Section D, each Director shall receive votes as follows:
a. each Director representing a Participant with five hundred (500) or fewer
Enrollees shall be entitled to one (1) vote.
b. each Director representing a Participant with more than five hundred
(500) Enrollees shall be entitled to a number of votes equaling the total number of votes
assigned under subsection 2(a) above minus the number of Labor Representative votes,
divided evenly by the number of Participants eligible under this subsection 2(b) and
rounded down to the nearest whole number.
c. the Labor Representatives shall be entitled to one (1) vote each.
3. Attached as Addendum “A” to this Agreement is an example of the application of
the voting formula contained in subparagraph “2” of this Section.
4. Notwithstanding anything to the contrary contained in this Agreement, any action
taken pursuant to this Section D shall require the approval of two-thirds (2/3) of the total number of
votes, if all votes had been cast.
E. ACTIONS BY THE BOARD. (THIS SECTION BROKEN INTO TWO PARTS)
1. Subject to the voting and quorum requirements set forth in this Agreement, the
Board is authorized and/or required in accordance with N.Y. Ins. Law § 4705 to take action on the
following matters:
a. In accordance with N.Y. Ins. Law § 4705(d)(5), to approve an annual budget
for the Consortium, which shall be prepared and approved prior to October 15th of each
year, and determine the annual premium equivalent rates to be paid by each Participant for
each Enrollee classification in the Plan on the basis of a community rating methodology in
accordance with N.Y. Ins. Law § 4705(d)(5)(B) and filed with and approved by the
Superintendent.
b. To audit receipts and disbursements of the Consortium and provide for
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Municipal Cooperative Agreement - 2015 Amendment
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independent audits, and periodic financial and operational reports to Participants in
accordance with N.Y. Ins. Law § 4705(e)(1).
c. To establish a joint fund or funds to finance all Consortium expenditures,
including claims, reserves, surplus, administration, stop-loss insurance and other expenses
in accordance with N.Y. Ins. Law § 4705(d)(4).
d. To select and approve the benefits provided by the Plan(s) including the plan
document(s), insurance certificate(s), and/or summary plan description(s) in accordance
with N.Y. Ins. Law § 4709, a copy of the Plan(s) effective on the date of this Agreement is
incorporated by reference into this Agreement.
e. In accordance with N.Y. Ins. Law § 4705(d)(2), may to contract with third
parties, if appropriate, which may include one or more Participants, for the furnishing of all
goods and services reasonably needed in the efficient operation and administration of the
Consortium, including, without limitation, accounting services, legal counsel, contract
administration services, consulting services, purchase of insurances and actuarial services.
Provided, however (a) the charges, fees and other compensation for any contracted services
shall be clearly stated in written administrative services contracts, as required in Section
92-a(6) of the General Municipal Law; (b) payment for contracted services shall be made
only after such services are rendered; (c) no Director or any member of such Director's
immediate family shall be an owner, officer, director, partner or employee of any contract
administrator retained by the Consortium; and (d) all such agreements shall otherwise
comply with the requirements of Section 92-a(6) of the General Municipal Law.
f. To purchase stop-loss insurance on behalf of the Consortium and determine
each year the insurance carrier or carriers who are to provide the stop-loss insurance
coverage during the next Plan Year, as required by N.Y. Ins. Law §§ 4707 and 4705(d)(3).
g. To designate one governing Board member an Officer or Director to retain
custody of all reports, statements, and other documents of the Consortium, in accordance
with N.Y. Ins. Law § 4705(c)(2), and who shall also take minutes of each Board meeting
which, if appropriate, shall be acted upon by the Board in a subsequent meeting.
h. In accordance with N.Y. Ins. Law § 4705(e)(1), to choose the certified public
accountant and the actuary to provide the reports required by this Agreement and any
applicable law.
i. To designate an attorney-in-fact to receive summons or other legal process in
any action, suit or proceeding arising out of any contract, agreement or transaction
involving the Consortium. The Board designates John G. Powers, Esq. as the Consortium's
initial attorney-in-fact.
2. Subject to the voting and quorum requirements set forth in this Agreement, the
Board is authorized to take action on the following matters:
a. To fill any vacancy in any of the officers of the Consortium.
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b. To fix the frequency, time and place of regular Board meetings.
c. To annually selecthave a plan consultant (the “Plan Consultant”) contract in
place for the upcoming Plan Year, prior to October 1st of each year.
d. To review, consider and act on any recommendations made by the Plan
Consultant.
e. To establish administrative guidelines for the efficient operation of the Plan.
f. To establish financial regulations for the entry of new Participants into the
Consortium consistent with all applicable legal requirements and this Agreement.
g. To determine and notify each Participant prior to October 15th of each Plan
Year of the monthly premium equivalent for each enrollee classification during the next
Plan Year commencing the following January 1st.
h. To designate the banks or trust companies in which joint funds, including
reserve funds, are to be deposited and which shall be located in this state, duly chartered
under federal law or the laws of this state and insured by the Federal Deposit Insurance
Corporation, or any successor thereto.
i. To designate annually a treasurer (the "Treasurer") who may or may not be
a Director and who shall be the treasurer, or equivalent financial officer, for one of the
Participants. The Treasurer's duties shall be determined by the Chief Fiscal Officer to
whom he/she will report.
j. To take all necessary action to ensure that the Consortium obtains and
maintains a Certificate of Authority in accordance with the Insurance Law.
k. To take all necessary action to ensure the Consortium is operated and
administered in accordance with the laws of the State of New York.
l. To take any other action authorized by law and deemed necessary to
accomplish the purposes of this Agreement.
F. EXECUTIVE COMMITTEE.
1. The Executive Committee of the Consortium shall consist of the Chairperson, the
Vice-Chairperson, the Secretary, and the Chief Fiscal Officer of the Consortium. The Secretary
shall be the governing board member who holds all records in accordance with Article E, Section
i(g).
2. The Executive Committee may meet at any time between meetings of the Board, at
the discretion of the Chairperson. The Executive Committee shall make recommendations to the
Board.
3. The Executive Committee shall manage the Consortium between meetings of the
Board, subject to such approval by the Board as may be required by this Agreement.
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G. OFFICERS.
1. At the Annual Meeting, the Board shall elect from its Directors a Chairperson, Vice
Chairperson, Chief Fiscal Officer, and Secretary, who shall serve for a term of one (1) year or until
their successors are elected and qualified. Any vacancy in an officer's position shall be filled at the
next meeting of the Board.
2. Officers of the Consortium and employees of any third party vendor, including
without limitation the officers and employees of any Participant, who assist or participate in the
operation of the Consortium, shall not be deemed employees of the Consortium. Each third party
vendor shall provide for all necessary services and materials pursuant to annual contracts with the
Consortium. The officers of the Consortium shall serve without compensation from the
Consortium, but may be reimbursed for reasonable out-of-pocket expenses incurred in connection
with the performance of such officers’ duties.
3. Officers shall serve at the pleasure of the Board and may be removed or replaced
upon a two-thirds (2/3) vote of the entire Board. This provision shall not be subject to the
weighted voting alternative set forth in Section D.
H. CHAIRPERSON; VICE CHAIRPERSON; SECRETARY.
1. The Chairperson shall be the chief executive officer of the Consortium.
2. The Chairperson, or in the absence of the Chairperson, the Vice Chairperson, shall
preside at all meetings of the Board.
3. In the absence of the Chairperson, the Vice Chairperson shall perform all duties
related to that office.
4. The Secretary shall retain custody of all reports, statements, and other documents of
the Consortium and ensure that minutes of each Board meeting are taken and transcribed which
shall be acted on by the Board at a subsequent meeting, as appropriate.
I. PLAN ADMINISTRATOR.
The Board, by a two-thirds (2/3) vote of the entire Board, may annually designate an administrator
and/or insurance company of the Plan (the "Plan Administrator") and the other provider(s) who are
deemed by the Board to be qualified to receive, investigate, and recommend or make payment of
claims, provided that the charges, fees and other compensation for any contracted services shall be
clearly stated in written administrative services and/or insurance contracts and payment for such
contracted services shall be made only after such services are rendered or are reasonably expected
to be rendered. All such contracts shall conform to the requirements of Section 92-a(6) of the
General Municipal Law.
J. CHIEF FISCAL OFFICER.
1. The Chief Fiscal Officer shall act as the chief financial administrator of the
Consortium and disbursing agent for all payments made by the Consortium, and shall have custody
of all monies either received or expended by the Consortium. The Chief Fiscal Officer shall be a
fiscal officer of a Participant. The Chief Fiscal Officer shall receive no remuneration from the
Consortium. The Plan shall reimburse the Participant that employs the Chief Fiscal Officer for
reasonable and necessary out-of-pocket expenses incurred by the Chief Fiscal Officer in connection
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with the performance of his or her duties that relate to the Consortium.
2. All monies collected by the Chief Fiscal Officer relating to the Consortium, shall be
maintained and administered as a common fund. The Chief Fiscal Officer shall, notwithstanding
the provisions of the General Municipal Law, make payment in accordance with procedures
developed by the Board and as deemed acceptable to the Superintendent.
3. The Chief Fiscal Officer shall be bonded for all monies received from the
Participants. The amount of such bond shall be established annually by the Consortium in such
monies and principal amount as may be required by the Superintendent.
4. All monies collected from the Participants by the Chief Fiscal Officer in connection
with the Consortium shall be deposited in accordance with the policies of the Participant which
regularly employs the Chief Fiscal Officer and shall be subject to the provisions of law governing
the deposit of municipal funds.
5. The Chief Fiscal Officer may invest moneys not required for immediate expenditure
in the types of investments specified in the General Municipal Law for temporary investments or as
otherwise expressly permitted by the Superintendent.
6. The Chief Fiscal Officer shall account for the Consortium's reserve funds separate
and apart from all other funds of the Consortium, and such accounting shall show:
a. the purpose, source, date and amount of each sum paid into the fund;
b. the interest earned by such funds;
c. capital gains or losses resulting from the sale of investments of the Plan's
reserve funds;
d. the order, purpose, date and amount of each payment from the reserve
fund; and
e. the assets of the fund, indicating cash balance and schedule of
investments.
7. The Chief Fiscal Officer shall cause to be prepared and shall furnish to the Board, to
participating municipal corporations, to unions which are the exclusive bargaining representatives
of Enrollees, the Board’s consultants, and to the Superintendent:
a. an annual audit, and opinions thereon, by an independent certified public
accountant, of the financial condition, accounting procedures and internal control
systems of the municipal cooperative health benefit plan;
b. an annual report and quarterly reports describing the Consortium’s
current financial status; and
c. an annual independent actuarial opinion on the financial soundness of the
Consortium, including the actuarial soundness of contribution or premium equivalent
rates and reserves, both as paid in the current Plan Year and projected for the next Plan
Year.
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8. Within ninety (90) days after the end of each Plan Year, the Chief Fiscal Officer
shall furnish to the Board a detailed report of the operations and condition of the Consortium's
reserve funds.
K. JOINT COMMITTEE ON PLAN STRUCTURE AND DESIGN.
1. There shall be a Joint Committee on Plan Structure and Design (the "Joint
Committee"), which shall consist of (a) a representative of each collective bargaining unit that is
the exclusive collective bargaining representative of any Enrollee or group of Enrollees covered by
the Plan(s) (the "Union Members"); and (b) a representative of each Participant (the "Management
Members"). Management Members may, but are not required to be, Directors.
2. The Joint Committee shall review all prospective Board actions in connection with
the benefit structure and design of the Plan(s), and shall develop findings and recommendations
with respect to such matters. The Chair of the Joint Committee shall report such findings and
recommendations to the Board at any regular or special meeting of the Board.
3. The Joint Committee shall select (a) from among the Union Members, an individual
who shall serve as Chair of the Joint Committee; and (b) from among the Management Members,
an individual who shall serve as Vice Chair of the Joint Committee. The Joint Committee shall
establish its own parliamentary rules and procedures.
4. Each eligible union shall establish such procedures by which its representative to the
Joint Committee is chosen and such representative shall be designated in writing to the Chairperson
of the Board and the Chair of the Joint Committee.
5. The Union Members on the Joint Committee on Plan Structure and Design shall
select from among the Union Members an individual to serve as an additional at-large voting
Labor Member on the Board of Directors of the Consortium. If the number of municipal members
on the Consortium rises to seventeen (17), the union members of the Joint Committee on Plan
Structure and Design shall select from among the Union Members an additional at-large voting
Labor Member on the Board of Directors of the Consortium. The at-large voting Labor Member(s)
along with the Joint Committee Chair shall collectively be the “Labor Representatives” as defined
in Section C(11) of this Agreement. If the number of municipal members on the Consortium rises
to twenty-three (23), the Union Members may select from among their members a third At-Large
Labor Representative to serve as a Director. Thereafter, for every increase of five (5) additional
municipal members added to the Consortium Union Members may select from among their
members one (1) At-large Labor Representative to serve as Director. Attached hereto as
Addendum “B” is a table illustrating the addition of At-Large Labor Representatives as set forth in
this Section. Any At-Large Labor Representative designated according to this section shall have
the same rights and obligations as all other Directors.
L. PREMIUM CALCULATIONS/PAYMENT.
1. The annual premium equivalent rates shall be established and approved by a
majority of the entire Board. The method used for the development of the premium equivalent
rates may be changed from time to time by the approval of two-thirds (2/3) of the entire Board,
subject to review and approval by the Superintendent. The premium equivalent rates shall consist
of such rates and categories of benefits as is set forth in the Plan[s] that is determined and
approved by the Board consistent with New York law.
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2. In accordance with N.Y. Ins. Law § 4706, the Consortium shall maintain reserves
and stop-loss insurance to the level and extent required by the Insurance Law and as directed by
the Superintendent.
3. Each Participant's monthly premium equivalent, by enrollee classification, shall be
paid by the first day of each calendar month during the Plan Year. A late payment charge of one
percent (1%) of the monthly installment then due will be charged by the Board for any payment
not received by the first of each month, or the next business day when the first falls on a Saturday,
Sunday, legal holiday or day observed as a legal holiday by the Participants.
The Consortium may waive the first penalty once per Plan Year for each Participant, but
will strictly enforce the penalty thereafter. A repeated failure to make timely payments, including
any applicable penalties, may be used by the Board as an adequate justification for the expulsion
of the Participant from the Consortium.
4. The Board shall assess Participants for additional contributions, if actual and
anticipated losses due to benefits paid out, administrative expenses, and reserve and surplus
requirements exceed the amount in the joint funds, as set forth in Section B(3) above.
5. The Board, in its sole discretion, may refund amounts in excess of reserves and
surplus, or retain such excess amounts and apply these amounts as an offset to amounts projected
to be paid under the next Plan Year’s budget.
M. EMPLOYEE CONTRIBUTIONS.
If any Participant requires an Enrollee's contribution for benefits provided by the Consortium, the
Participant shall collect such contributions at such time and in such amounts as it requires.
However, the failure of a Participant to receive the Enrollee contribution on time shall not diminish
or delay the payment of the Participant's monthly premium equivalent to the Consortium, as set
forth in this Agreement.
N. ADDITIONAL BENEFITS.
Any Participant choosing to provide more benefits, coverages, or enrollment eligibility other than
that provided under the Plan(s), will do so at its sole expense. This Agreement shall not be deemed
to diminish such Participant's benefits, coverages or enrollment eligibility, the additional benefits
and the payment for such additional benefits, shall not be part of the Plan(s) and shall be
administered solely by and at the expense of the Participant.
O. REPORTING.
The Board, through its officers, agents, or delegatees, shall ensure that the following reports are
prepared and submitted:
1. Annually after the close of the Plan Year, not later than one-hundred twenty (120)
days after the close of the Plan Year, the Board shall file a report with the Superintendent showing
the financial condition and affairs of the Consortium, including an annual independent financial
audit statement and independent actuarial opinion, as of the end of the preceding plan year.
2. Annually after the close of the Plan Year, the Board shall have prepared a statement
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and independent actuarial opinion on the financial soundness of the Plan, including the
contribution or premium equivalent rates and reserves, both as paid in the current Plan Year and
projected for the next Plan Year.
3. The Board shall file reports with the Superintendent describing the Consortium’s
then current financial status within forty-five (45) days of the end of each quarter during the Plan
year.
4. The Board shall provide the annual report to all Participants and all unions, which
are the exclusive collective bargaining representatives of Enrollees, which shall be made available
for review to all Enrollees.
5. The Board shall submit to the Superintendent a report describing any material
changes in any information originally provided in the Certificate of Authority. Such reports, in
addition to the reports described above, shall be in such form, and containing such additional
content, as may be required by the Superintendent.
P. WITHDRAWAL OF PARTICIPANT.
1. Withdrawal of a Participant from the Consortium shall be effective only once
annually on the last day of the Plan Year.
2. Notice of intention of a Participant to withdraw must be given in writing to the
Chairperson prior to October 3rd of each Plan Year. Failure to give such notice shall automatically
extend the Participant's membership and obligations under the Agreement for another Plan Year,
unless the Board shall consent to an earlier withdrawal by a two-thirds (2/3) vote.
3. Any withdrawing Participant shall be responsible for its pro rata share of any Plan
deficit that exists on the date of the withdrawal, subject to the provisions of subsection “4” of this
Section. The withdrawing Participant shall be entitled to any pro rata share of surplus that exists on
the date of the withdrawal, subject to the provisions of subsection “4” of this Section. The
Consortium surplus or deficit shall be based on the sum of actual expenses and the estimated
liability of the Consortium as determined by the Board. These expenses and liabilities will be
determined one (1) year after the end of the Plan Year in which the Participant last participated.
4. The surplus or deficit shall include recognition and offset of any claims, expenses,
assets and/or penalties incurred at the time of withdrawal, but not yet paid. Such pro rata share
shall be based on the Participant's relative premium contribution to the Consortium as a percentage
of the aggregate premium contributions to the Consortium during the period of participation. This
percentage amount may then be applied to the surplus or deficit which existed on the date of the
Participant's withdrawal from the Consortium. Any pro rata surplus amount due the Participant
shall be paid to the Participant one year after the effective date of the withdrawal. Any pro rata
deficit amount shall be billed to the Participant by the Consortium one year after the effective date
of the withdrawal and shall be due and payable within thirty (30) days after the date of such bill.
Q. DISSOLUTION; RENEWAL; EXPULSION.
1. The Board at any time, by a two-thirds (2/3) vote of the entire Board, may
determine that the Consortium shall be dissolved and terminated. If such determination is made,
the Consortium shall be dissolved ninety (90) days after written notice to the Participants.
a. Upon determination to dissolve the Consortium, the Board shall provide
notice of its determination to the Superintendent. The Board shall develop and submit to
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the Superintendent for approval a plan for winding-up the Consortium’s affairs in an
orderly manner designed to result in timely payment of all benefits.
b. Upon termination of this Agreement, or the Consortium, each Participant
shall be responsible for its pro rata share of any deficit or shall be entitled to any pro rata
share of surplus that exists, after the affairs of the Consortium are closed. No part of any
funds of the Consortium shall be subject to the claims of general creditors of any
Participant until all Consortium benefits and other Consortium obligations have been
satisfied. The Consortium’s surplus or deficit shall be based on actual expenses. These
expenses will be determined one year after the end of the Plan Year in which this
Agreement or the Consortium terminates.
c. Any surplus or deficit shall include recognition of any claims/expenses
incurred at the time of termination, but not yet paid. Such pro rata share shall be based on
each Participant's relative premium contribution to the Plan as a percentage of the
aggregate premium contributions to the Plan during the period of participation. This
percentage amount would then be applied to the surplus or deficit which exists at the
time of termination.
2. The continuation of the Consortium under the terms and conditions of the
Agreement, or any amendments or restatements thereto, shall be subject to Board review on the
fifth (5th) anniversary of the Effective Date and on each fifth (5th) anniversary date thereafter (each
a "Review Date").
a. At the annual meeting a year prior to the Review Date, the Board shall
include as an agenda item a reminder of the Participants’ coming obligation to review
the terms and conditions of the Agreement.
b. During the calendar year preceding the Review Date, each Participant
shall be responsible for independently conducting a review of the terms and conditions
of the Agreement and submitting to the Board of Directors a written resolution
containing any objection to the existing terms and conditions or any proposed
modification or amendment to the existing Agreement, such written resolution shall be
submitted to the Board on or before March 1st preceding the Review Date. Failure to
submit any such resolution shall be deemed as each Participant’s agreement and
authorization to the continuation of the Consortium until the next Review Date under the
existing terms and conditions of the Agreement.
c. As soon as practicable after March 1st, the Board shall circulate to all
Participants copies of all resolutions submitted by the Participants. Subject to Section S
hereof, any resolutions relating to the modification, amendment, or objection to the
Agreement submitted prior to each Review Date shall be considered and voted on by the
Participants at a special meeting called for such purpose. Such special meeting shall be
held on or before July 1st preceding the Review Date.
d. Notwithstanding the foregoing or Section T hereof, if at the Annual
Meeting following any scheduled Review Date the Board votes on and approves the
budget and annual assessment for the next year, the Participants shall be deemed to have
approved the continuation of the Consortium under the existing Agreement until the
next Review Date.
3. The Participants acknowledge that it may be necessary in certain extraordinary
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circumstances to expel a Participant from the Consortium. In the event the Board determines that:
a. a Participant has acted inconsistently with the provisions of the
Agreement in a way that threatens the financial well-being or legal validity of the
Consortium; or
b. a Participant has acted fraudulently or has otherwise acted in bad faith
with regards to the Consortium, or toward any individual Participant concerning matters
relating to the Consortium, the Board may vote to conditionally terminate said
Participant's membership in the Consortium. Upon such a finding by the affirmative vote
of seventy-five percent (75%) of the Participants, the offending Participant shall be
given sixty (60) days to correct or cure the alleged wrongdoing to the satisfaction of the
Board. Upon the expiration of said sixty (60) day period, and an absent satisfactory cure,
to the Board may expel the Participant by an affirmative vote of seventy-five percent
(75%) of the Participants (exclusive of the Participant under consideration). This section
shall not be subject to the weighted voting provision provided in Section D. Any
liabilities associated with the Participant's departure from the Consortium under this
provision shall be determined by the procedures set forth in Section P of this
Agreement.
R. REPRESENTATIONS AND WARRANTIES OF PARTICIPANTS.
Each Participant by its approval of the terms and conditions of this Agreement hereby represents
and warrants to each of the other Participants as follows:
1. The Participant understands and acknowledges that its participation in the
Consortium under the terms and conditions of this Agreement is strictly voluntary and may be
terminated as set forth herein, at the discretion of the Participant.
2. The Participant understands and acknowledges that the duly authorized decisions of
the Board constitute the collective will of each of the Participants as to those matters within the
scope of the Agreement.
3. The Participant understands and acknowledges that the decisions of the Board made
in the best interests of the Consortium may on occasion temporarily disadvantage one or more of
the individual Participants.
4. The Participant represents and warrants that its designated Director or authorized
representative understands the terms and conditions of this Agreement and is suitably experienced
to understand the principles upon which this Consortium operates.
5. The Participant understands and acknowledges that all Directors, or their authorized
representatives, are responsible for attending all scheduled meetings. Provided that the quorum
rules are satisfied, non-attendance at any scheduled meeting is deemed acquiescence by the absent
Participant to any duly authorized Board-approved action at the meeting. However, a Participant
that was absent from a meeting will not be presumed to have acquiesced in a particular action
taken at the meeting if, within fifteen (15) calendar days after learning of such action, the
Participant delivers written notice to the Chairperson that it dissents from such action. The
Participant shall also notify the other members of the Board of such dissent. The Chairperson shall
direct the Secretary to file the notice with the minutes of the Board.
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6. The Participant understands and acknowledges that, absent bad faith or fraud, any
Participant's vote approving any Board action renders that Board action immune from later
challenge by that Participant.
S. RECORDS.
The Board shall have the custody of all records and documents, including financial records,
associated with the operation of the Consortium. Each Participant may request records and
documents relative to their participation in the Consortium by providing a written request to the
Chairperson and Chief Fiscal Officer. The Consortium shall respond to each request no later than
thirty (30) days after its receipt thereof, and shall include all information which can be provided
under applicable law.
T. CHANGES TO AGREEMENT.
Any change or amendment to this Agreement shall require the unanimous approval of the
Participants, as authorized by their respective legislative bodies.
U. CONFIDENTIALITY.
Nothing contained in this Agreement shall be construed to waive any right that a covered person
possesses under the Plan with respect to the confidentiality of medical records and that such rights
will only be waived upon the written consent of such covered person.
V. ALTERNATIVE DISPUTE RESOLUTION ("ADR").
1. General. The Participants acknowledge and agree that given their budgeting and
fiscal constraints, it is imperative that any disputes arising out of the operation of the Consortium
be limited and that any disputes which may arise be addressed as quickly as possible. Accordingly,
the Participants agree that the procedures set forth in this Section V are intended to be the
exclusive means through which disputes shall be resolved. The Participants also acknowledge and
agree that by executing this Agreement each Participant is limiting its right to seek redress for
certain types of disputes as hereinafter provided.
2. Disputes subject to ADR. Any dispute by any Participant, Board Member, or
Committee Person arising out of or relating to a contention that:
a. the Board, the Board's designated agents, a Committee person, or any
Participant has failed to adhere to the terms and conditions of this Agreement or any
duly-passed resolution of the Board;
b. the Board, the Board's designated agents, a Committee person, or any
Participant has acted in bad faith or fraudulently in undertaking any duty or action under
the Agreement; or
c. any other dispute otherwise arising out of or relating to: (i) the terms or
conditions of this Agreement; (ii) any duly-passed decision, resolution, or policy by the
Board of Directors; or (iii) otherwise requiring the interpretation of this Agreement shall
be resolved exclusively through the ADR procedure set forth in paragraph (3) below.
3. ADR Procedure. Any dispute subject to ADR, as described in subparagraph (2),
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shall be resolved exclusively by the following procedure:
a. Board Consideration: Within ninety (90) days of the occurrence of any
dispute, the objecting party (the "Claimant") shall submit a written notice of the dispute
to the Chairperson specifying in detail the nature of the dispute, the parties claimed to
have been involved, the specific conduct claimed, the basis under the Agreement for the
Participant's objection, the specific injury or damages claimed to have been caused by
the objectionable conduct to the extent then ascertainable, and the requested action or
resolution of the dispute. A dispute shall be deemed to have occurred on the date the
objecting party knew or reasonably should have known of the basis for the dispute.
(i) Within sixty (60) days of the submission of the written notice,
the Executive Committee shall, as necessary, request further information from
the Claimant, collect such other information from any other interested party
or source, form a recommendation as to whether the Claimant has a valid
objection or claim, and if so, recommend a fair resolution of said claim.
During such period, each party shall provide the other with any reasonably
requested information within such party's control. The Executive Committee
shall present its recommendation to the Board in writing, including any
underlying facts, conclusions or support upon which it is based, within such
sixty (60) day period.
(ii) Within sixty (60) days of the submission of the Executive
Committee's recommended resolution of the dispute, the Board shall convene
in a special meeting to consider the dispute and the recommended resolution.
The Claimant and the Executive Committee shall each be entitled to present
any argument or material it deems pertinent to the matter before the Board.
The Board shall hold discussion and/or debate as appropriate on the dispute
and may question the Claimant and/or the Executive Committee on their
respective submissions. Pursuant to its regular procedures, the Board shall
vote on whether the Claimant has a valid claim, and if so, what the fair
resolution should be. The weighted voting procedure set forth in Section D
shall not apply to this provision. The Board's determination shall be deemed
final subject to the Claimant's right to arbitrate as set forth below.
b. Arbitration. The Claimant may challenge any Board decision under
subparagraph (V)(3)(a)(ii) by filing a demand for arbitration with the American
Arbitration Association within thirty (30) days of the Board's vote (a "Demand"). In the
event a Claimant shall fail to file a Demand within thirty (30) days, the Board's decision
shall automatically be deemed final and conclusive. In the event the Participant files a
timely Demand, the arbitrator or arbitration panel may consider the claim:
provided however;
(i) in no event may the arbitrator review any action taken by the
Board that occurred three (3) or more years prior to when the Chairperson
received notice of the claim; and
(ii) in no event may the arbitrator award damages for any period
that precedes the date the Chairperson received notice of the claim by more
than twenty-four (24) months.
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c. The Participants agree that the procedure set forth in this Section V shall
constitute their exclusive remedy for disputes within the scope of this Section.
W. MISCELLANEOUS PROVISIONS.
1. This instrument constitutes the entire Agreement of the Participants with respect to
the subject matter hereof, and contains the sole statement of the operating rules of the Consortium.
This instrument supersedes any previous Agreement, whether oral or written.
2. Each Participant will perform all other acts and execute and deliver all other
documents as may be necessary or appropriate to carry out the intended purposes of this
Agreement.
3. If any article, section, subdivision, paragraph, sentence, clause, phrase, provision or
portion of this Agreement shall for any reason be held or adjudged to be invalid or illegal or
unenforceable by any court of competent jurisdiction, such article, section, subdivision, paragraph,
sentence, clause, phrase, provision or portion so adjudged invalid, illegal or unenforceable shall be
deemed separate, distinct and independent and the remainder of this Agreement shall be and remain
in full force and effect and shall not be invalidated or rendered illegal or unenforceable or
otherwise affected by such holding or adjudication.
4. This Agreement shall be governed by and construed in accordance with the laws of
the State of New York. Any claims made under Section V(3)(b) except to the extent otherwise
limited therein, shall be governed by New York substantive law.
5. All notices to any party hereunder shall be in writing, signed by the party giving it,
shall be sufficiently given or served if sent by registered or certified mail, return receipt requested,
hand delivery, or overnight courier service addressed to the parties at the address designated by
each party in writing. Notice shall be deemed given when transmitted.
6. This Agreement may be executed in two or more counterparts each of which shall
be deemed to be an original but all of which shall constitute the same Agreement and shall become
binding upon the undersigned upon delivery to the Chairperson of an executed copy of this
Agreement together with a certified copy of the resolution of the legislative body approving this
Agreement and authorizing its execution.
7. The provisions of Section V shall survive termination of this Agreement, withdrawal
or expulsion of a Participant, and/or dissolution of the Consortium.
8. Article and section headings in this Agreement are included for reference only and
shall not constitute part of this Agreement.
9. No findings or recommendations made by the Joint Committee on Plan Structure
and Design or by the Chair of the Joint Committee shall be considered a waiver of any bargaining
rights under any contract, law, rule, statute, or regulation.
X. APPROVAL, RATIFICATION, AND EXECUTION.
1. As a condition precedent to execution of this Municipal Cooperative Agreement
and membership in the Consortium, each eligible municipal corporation desiring to be a Participant
shall obtain legislative approval of the terms and conditions of this Agreement by the
municipality’s governing body.
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2. Prior to execution of this Agreement by a Participant, the Participant shall provide the
Chairperson with the resolution approving the municipality’s participation in this Consortium and
expressly approving the terms and conditions of this Municipal Cooperative Agreement. Each
presented resolution shall be attached to and considered a part of this Agreement. Each presented
resolution shall be maintained on file with the Consortium.
3. By executing this Agreement, each signatory warrants that he/she has complied with the
approval and ratification requirements herein and is otherwise properly authorized to bind the
participating municipal corporation to the terms and conditions of this Agreement.
[Signature Pages Follow]
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IN WITNESS WHEREOF, the undersigned has caused this Amended Agreement to be executed
as of the date adopted by the Board of Directors of the Greater Tompkins County Municipal Health
Insurance Consortium and subsequently adopted by all participating municipalities.
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Addendum “A”
Example of Weighted Voting Formula under Section D(2)
If 11 Participants have 500 or fewer enrollees each and 2 Participants have more than 500
enrollees each, under subparagraph “a” the 11 each get 1 vote. Under subparagraph “b” the 2
large Participants get 4 votes each, which is calculated by taking the total number of votes under
subparagraph “a” [11] subtracting the number of Labor Representative votes [2], dividing by the
number of eligible Participants under subsection “b” [2], and rounding the result [4.5] down to
the nearest whole number [4]. The Labor Representative shall have 1 vote, irrespective of the
votes available to the Participants.
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Addendum "B"
Illustration of At-Large Labor Representative Calculation
Total Number of
Total Number of Participants At-Large Labor Representatives
< 17 1
17-22 2
23-27 3
28-32 4
33-37 5
38-42 6
3. Finance, Budget, and Appropriations
3.1 Request to Approve Funding Match for 2015 CFA Application – Wayfinding and
Interpretive Signage Project
WHEREAS, in 2013, the Tompkins County Chamber of Commerce received a $50,000 grant
from the Tompkins County Tourism Program to develop a plan to create a more comprehensive
and coherent signage system through the Tompkins County, and
WHEREAS, an advisory committee with representation from the City of Ithaca and the
Downtown Ithaca Alliance worked to develop what is known as the 2014 Wayfinding and
Interpretive Signage Plan, and
WHEREAS, the program includes “districts” designated to help visitors, parents, and our
transient residential population navigate through Ithaca. The proposed plan includes significant
signage to city related assets or districts, including the city itself, a waterfront district, a
downtown district, Collegetown, all city parking garages, Ithaca Falls, and Stewart Park, and
WHEREAS, the State of New York has announced the availability of funds through the
2015 State of New York Consolidated Funding Application (CFA), and
WHEREAS, the Tompkins County Chamber of Commerce has working with numerous
stakeholders, including the County, Cornell University, Ithaca College, and other municipalities
to pull together a local funding contribution match the state CFA application.
WHEREAS, Common Council is interested in supporting this grant so as to enhance navigation
and wayfinding in the City of Ithaca; now, therefore, for it be
RESOLVED, That Common Council hereby confirms its intention to commit funds in an
amount not to exceed $150,000 and to consider providing in-kind signage installation support
within the City of Ithaca, contingent upon an award of funds from the 2015 CFA, completion of
environmental review, with the final funding formula to be determined based on stakeholder
participation and total project costs.
J:\DRedsicker\AGENDAS\City Admin Comm\2015\7-15 - Agenda.docx 7/15/15
Memo
To: City of Ithaca Administration Committee
From: Jennifer Tavares, President & CEO
cc: Tom Knipe, County Tourism Coordinator
Date: July 8, 2015
Re: Wayfinding & Interpretive Signage Project
Dear Administration Committee:
Thank you for offering us time on your Agenda to discuss the Wayfinding & Interpretive
Signage Project again at your July 15, 2015 meeting. Attached you will find the presentation
shared in June (with some minor modifications), and below you will find some additional
explanations regarding the project and the reason we believe the City to be a key stakeholder
in this project.
The project was initially funded with over $60,000 of Tompkins County Tourism Program
funding. The advisory committee included representation from the City of Ithaca (JoAnn
Cornish) and the Downtown Ithaca Alliance (Gary Ferguson). The resulting plan is a
comprehensive Wayfinding program, which includes County gateway signage, community
gateway signage, vehicular directional signage, standard DOT signage, and kiosks for
pedestrian and bicycle traffic.
Specifically, the program includes “districts” designated to help navigate through Ithaca. The
proposed plan includes significant signage to city related assets or districts, including the city
itself, a waterfront district, a downtown district, Collegetown, all city parking garages, Ithaca
Falls, and Stewart Park. The vast majority of this project will reside in, and “point to”, the City of
Ithaca and its assets.
The plan includes signage to the following signs pertinent to the City:
9 community gateway signs (proposing to split with the Town of Ithaca)
6 “district info” signs to orient driver
7 “Ithaca” signs
3 interpretive kiosks for pedestrians
6 dedicated parking signs, plus 17 directional signs to four parking garages
39 waterfront related signs
26 downtown/Commons related signs
12 Ithaca Falls signs
9 Stewart Park Signs
5 Wildflower Preserve signs
5 Collegetown signs
6 Cayuga Waterfront Trail signs
2 signs each for Newman Golf Course and Cass Park
Additional tourism properties and Ithaca based community assets are included in the program,
but many have been placed in the “County” funding category, because they are tourism
program funded properties. These include the State Theater, the Sciencenter, the Hangar
Theater, the Ithaca Children’s Garden, the Farmer’s Market, and many others. And, though
some locations included in the project may not be located specifically within the “City”, they are
a large part of the reason people come to Ithaca and choose to patronize downtown Ithaca
restaurants and businesses while they’re here. By working together on a project which also
helps visitors locate destinations like Taughannock Falls, the Finger Lakes Trail, Buttermilk
Falls, and numerous other state parks, forests, and camping destinations, Ithaca and
Tompkins County will be creating a welcoming and unified community for visitors to our area.
We have been working with key stakeholders initially, including the County, Cornell University,
Ithaca College, and the Town of Ithaca, to pull together a local funding match that will render
this Consolidated Funding Application feasible. Our work to continue engaging other
organizations and municipalities will continue after the application is submitted. We anticipate
submitting a Consolidated Funding Application at the end of July in an effort to attain significant
support from New York State to make this program a reality. But, without adequate local
leverage and key stakeholder support for the project, we are unlikely to be successful.
2
Our conversations with the County are ongoing regarding sign installation, but at this time, we
have reason to believe the project budget can be significantly reduced if the County or City can
commit to providing in-kind installation support. This support would be offered over one or two
years, and it would be accomplished during slow times or times when the impact to other more
pressing projects would be minimal.
As discussed in our Powerpoint presentation, we have run many scenarios on project funding
models in an attempt to truly and logically reflect the interests of the key stakeholders (and
smaller stakeholders) in this project. In order to submit an application to New York State which
is fundable, we must meet minimum cash match thresholds, and demonstrate significant local
support and investment in this project. Those commitments can and should be contingent
upon adequate local participation, a NYS funding award, and final project feasibility.
As you consider this project, it is important to appreciate that “visitors” and “tourists” includes
students, parents, alumni, tourists, and our own friends and family from afar. The term is often
used generally to define a very broad group of people who happen upon Ithaca and Tompkins
County in different ways, for different reasons. They have a lot of power to impact our
community, economically speaking, and the impression they have of our community will
impact whether they return and continue to invest in our businesses and cultural assets.
Creating traveler experiences that are friendly, easy to navigate, and worth having again is the
ultimate goal of this project.
Thank you once again for your time and consideration of this transformative community
project.
Respectfully,
Jennifer Tavares
President & CEO
3
Wayfinding Steering Committee
Laurene Gilbert, Wayfinding Project Manager
Doug Swarts, Service Development Manager, TCAT
Jean McPheeters, President, Tompkins County Chamber of Commerce
Jodi LaPierre, Visitor Services Manager, Ithaca Tompkins County Convention and Visitors Bureau
Tom Knipe, Sr. Planner/Tourism Coordinator Tompkins County
JoAnn Cornish, City of Ithaca, Director of Planning & Economic Development
Don Schlather, Town of Ulysses Planning Board
Dwight Mengel, Chief Transportation Planner, Tompkins Co. Dept. of Social Services
Fernando de Aragon, Executive Director, Ithaca Tompkins County Transportation Council (MPO)
Steve Wright, Tompkins County Highway Division
Gary Ferguson, Executive Director, Downtown Ithaca Alliance
Don Ellis, Director of Technical Planning, Gorges, Inc.
Tanya Husick, Transportation Planner, Capital Projects & Planning, Cornell University
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
Entering Ithaca
from the
northwest:
district info,
cultural assets,
Treman Marina,
ICG, CWT, &
Black Diamond
Trail
Entering
Ithaca
from the
northeast:
district info,
Stewart Park,
CWT,
Ithaca Falls,
Golf Course,
Farmer's Market
Sciencenter
Entering Ithaca
from the
northeast, east,
and southeast:
district info,
Cornell,
Wildflower
Preserve,
Collegetown,
Garage
•
–
–
–
–
•
•
•
•
•
•
•
•
•
Project Vision -Chamber leads with County support
Funding Model -Proposed formula for success
•Engage local stakeholders
•Seek local funding commitments
•Close “gap” as best we can
•Seek grants/government support
Community Engagement-April-June stakeholder meetings,
research & presentations; July follow ups & commitments
Feasibility Analysis –Local support projections feed into
July 2015 CFA application. Build in 2016-2017
•http://www.tompkinschamber.org/whats-new/wayfinding/
3. Finance, Budget, and Appropriations
3.2 Access Oversight Committee – Adoption of the 2016 PEG Access Studio Capital
Budget
WHEREAS, the Franchise Agreement between Time Warner Entertainment and the City of
Ithaca signed in 2003 authorizes Time Warner Entertainment-Advance/Newhouse Partnership
to collect $.15 per subscriber per month to be used for the purchase of equipment for the
public, educational, and governmental (PEG) Access Studio, and
WHEREAS, the total capital budget for the life of the 10-year agreement was estimated to
be $200,000, and
WHEREAS, the Franchise Agreement outlines the creation of an Access Oversight
Committee that shall be responsible for approving the timing, use, and amount of PEG
access equipment acquired each year over the term of the agreement, and
WHEREAS, the Access Oversight Committee has approved a 2016 capital budget in the
amount of $12,500, and
WHEREAS, the Franchise Agreement states that participating municipalities, including the
City of Ithaca, must adopt the annual PEG Access Studio Budget by June 30 of the
preceding year; now, therefore be it
RESOLVED, That Common Council adopts the 2014 PEG Access Studio Budget as
approved by the Access Oversight Committee at its regular meeting on May 4, 2015.
J:\DRedsicker\AGENDAS\City Admin Comm\2015\7-15 - Agenda.docx 7/15/15
Resolution
Access Oversight Committee
Monday, May 4, 2015
AOC Recommendations for FY 2016 Budget
WHEREAS, Section 15.12 of the Franchise Agreement between the City of Ithaca
and Time Warner Entertainment-Advance/Newhouse Partnership (TWC) of January
2003 requires the participating municipalities (City of Ithaca, Town of Ithaca, Village
of Cayuga Heights) to provide TWC with an annual budget for public, educational
and governmental access operations by June 30 of each calendar year, and
WHEREAS, the City of Ithaca's Ordinance #2003-17, Par 18-4-G, requires the
Access Oversight Committee (AOC) to provide the participating municipalities with a
recommended annual budget by May 31 of each calendar year; now therefore be it
RESOLVED, that the AOC accepted the attached budget for Fiscal Year 2016 in
the amount of $12,500.00 at their regular meeting of May 4, 2015, and
BE IT FURTHER RESOLVED, that the AOC forwards its recommendations for
approval by the Common Council of the City of Ithaca, the Town of Ithaca Board
and the Village of Cayuga Heights Board of Trustees, so that they may meet their
obligation to provide TWC with an annual budget for public, educational and
governmental access operations, which budget is due June 30 of each calendar
year.
Approved unanimously
Budget for Fiscal Year 2016
Budget $12,500.00
Description: The PEGASYS studio has a great deal of equipment that is 11–18
years old, and will need replacement as it fails. This might include studio
cameras [$10,000 each], camera cabling [$2,000 each], the studio special effects
generator/video switcher [$30,000), the studio audio system ($5,000), and any
other equipment and associated items that the Access Oversight Committee
deems necessary for the proper functioning of the PEGASYS Studio.
TOTAL $12,500.00
A B C D E F G
last update 5/8/15
Collection Expenditures per BALANCE
PEG fees *TWC's Final Report
Year
2004 $22,768.04 $19,372.15 $3,395.89
2005 $20,144.93 $14,814.73 $5,330.20
2006 $19,616.00 $0.00 $19,616.00
2007 $18,807.00 $19,338.81 ($531.81)
2008 $18,347.25 $11,749.14 $6,598.11
2009 $17,509.95 $21,102.13 ($3,592.18)
2010 $16,593.60 $17,433.96 ($840.36)
2011 $15,088.35 $9,589.92 $5,498.43
2012 $14,032.50 $4,254.78 $9,777.72
2013 $13,977.69 $22,956.23 ($8,978.54)
2014 $13,097.76 $30,000.00 ($16,902.24)
2015 $12,000.00 $30,000.00 ($18,000.00)
2016 $11,500.00 $12,500.00 ($1,000.00)
Total $213,483.07 $213,111.85 $371.22
* PEG Fees = $.15/customer/month; 2004-current, per TWC reports, to be used for PEG equipment/facilities
italics = estimate
Column B Lines 31 and 33 = estimated revenues
Column C Lines 29, 31 and 33 = AOC recommended but unexpended budgets
3. Finance, Budget, and Appropriations
3.2 Finance - Approval of 2013 City Single Audit
RESOLVED, That the Independent Auditor’s Report for the period January 1, 2013, through
December 31, 2013, prepared by the accounting firm of Ciaschi, Dietershagen, Little, Mickelson
& Company, LLP, be accepted to comply with all the City’s applicable Governmental
Accounting Standards Board (GASB) Statement 34 and other related audit and single-audit
requirements.
J:\DRedsicker\AGENDAS\City Admin Comm\2015\7-15 - Agenda.docx 7/15/15
5. Common Council
.1 Reaffirming Support for a Single-Payer Approach to Controlling Health-Care Costs
and Ensuring Everyone is Covered and Urging the New York State Assembly and Senate
to Enact the New York Health Act A.5062 (Gottfried)/S.3525 (Perkins)
WHEREAS, the City of Ithaca Common Council supports a single-payer approach to health-care
coverage for New York State, and
WHEREAS, a single-payer approach, as the name implies, only federalizes how healthcare
providers are paid, leaving the choice of doctors and hospitals completely up to each individual
and the choice of treatment up to each patient and his/her doctor, and
WHEREAS, access to health care continues to be a major concern for all Americans and New
York State residents (with over one million currently uninsured and a growing number
underinsured), and
WHEREAS, healthcare costs continue to rise at rates above inflation and, under current
conditions, the share of state income spent on health care and the administration of the health
care system will rise to 18 percent by 2024, much faster than incomes are rising, and
WHEREAS, the Common Council continues to believe that controlling health-care costs and
ensuring health care for all residents are both of paramount importance, and
WHEREAS, the simplest approach is to move directly from the current multiple-payer approach,
with its high costs of administration, marketing, and profits for shareholders of the many
insurance companies, to a single-payer system, where the government is the insurer of all, a
system used in other industrialized democracies, and
WHEREAS, New York Health would generate savings by replacing the complicated, costly, and
often chaotic claims procedure currently employed by thousands of public and private insurance
providers, with a simple, one-stop single-payer system for all claims, and
WHEREAS, Senator Perkins and Assemblyman Gottfried have introduced the New York Health
Act, A.5062 (Gottfried)/S.3525 (Perkins), which would establish a comprehensive universal
health insurance program for all New Yorkers, with access to medical services and providers of
their choice, without regard to age, income, health, or employment status, and would impact both
individual- and public-health outcomes, and
WHEREAS, New York Health will replace the current multi-payer system of employer-based
insurance, individually-acquired insurance, and federally sponsored programs (e.g. Medicare and
Medicaid) with a single-billing system funded by progressively-graduated assessments collected
by the State and based on ability to pay, and
WHEREAS, New York Health will be publicly financed by two assessments based on ability to
pay (a progressively graduated state payroll tax similar to the Medicare tax on payroll and self-
employment income, and a surcharge on non-employment income (e.g. interest, dividends,
capital gains), and
J:\DRedsicker\AGENDAS\City Admin Comm\2015\7-15 - Agenda.docx 7/15/15
WHEREAS, New York Health will pool all health revenue sources (e.g. assessments, federally-
matched public health programs, American Care Act subsidies, and other revenue sources) into a
dedicated New York Health Trust Fund and pay Providers directly, and
WHEREAS, New York Health will reduce billing expenses, administrative waste, monopolistic
pricing of drugs and medical devices, and fraud, overall health care spending would be reduced
by 15 percent or $45 billion per year by 2019, and
WHEREAS, New York Health will reduce healthcare costs for government, public schools
districts, businesses, and individuals in New York State, eliminate the “local share” funding of
Medicaid that has been such a financial burden for County property taxpayers, and eliminate out-
of-pocket expenses, insurance premiums, insurance co-pays, and deductibles (98 percent of New
Yorkers will pay less for their health care than they do today; and businesses, especially small
businesses, will benefit from reduced costs), and
WHEREAS, the April 2015 Economic Analysis of New York Health, by Gerald Friedman,
Professor and Chair of the Economics Department, University of Massachusetts at Amherst,
reports savings from reduced health spending in the amount of $71 billion (most savings are
from eliminating private health insurance overhead and profits, reducing doctor and hospital
billing and insurance-related expenses, eliminating uncompensated care from health providers,
public hospitals and health centers, and decreasing drug and medical device costs with enhanced
negotiating power), and
WHEREAS, the April 2015 Economic Analysis of New York Health reports a net savings of
$44.7 billion, after projected program improvements and expansion of $25 billion for increased
utilization due to universal coverage, expanded and more comprehensive health benefits,
Medicaid and Medicare rate equity (increased provider reimbursement), unemployment
insurance and job transition and retraining for lost insurance billing and claims jobs, and
WHEREAS, New York Health would expand the network of providers to ensure continuity of
care, and include a more comprehensive healthcare-benefits package that includes preventive
care, primary care, specialist, hospital care, rehabilitation care, occupational therapy, physical
therapy, mental health care, dental care, vision and hearing care, reproductive health care,
prescription drugs, and medical supplies/devices (a requirement for the development of a long-
term care financing and benefits plan is included in the proposed legislation), and
WHEREAS, New York Health would save enough in unnecessary costs to pay for the costs of
universal health care coverage for all, extending coverage to all the uninsured and underinsured
for basic necessary medical care, and would provide a more comprehensive benefits package at
significantly less cost than the one offered through recent federal legislation; now therefore be it
RESOLVED, That the City of Ithaca Common Council strongly supports adoption of the New
York Health Act, A.5062 (Gottfried)/S.3525 (Perkins), and be it further
RESOLVED, That the Common Council urges the New York State Legislature and the
Governor to waste no more time tinkering with the present profit-based insurance system, escape
the mindset that major reform is “politically infeasible,” and instead recognize the widespread
J:\DRedsicker\AGENDAS\City Admin Comm\2015\7-15 - Agenda.docx 7/15/15
support for a new public approach, understand there is no stronger measure New York could take
to cut our property taxes than to pass this bill into law, and take the opportunity to accomplish
this major and long-needed reform, and be it further
RESOLVED, That the City Clerk send copies to Governor Andrew Cuomo, Senators John
Flanagan, Jeffrey Klein, Kemp Hannon, Andrea Stewart-Cousins, James Seward, Michael
Nozzolio, and Tom O’Mara, and Assemblyman Carl Heastie and Richard Gottfried, and
Assemblywoman Barbara Lifton, and be it further
RESOLVED, That the City of Ithaca Common Council lends its voice to other municipalities
within Tompkins County who have adopted similar resolutioned and forwarded those to the
Governor and appropriate State representatives.
J:\DRedsicker\AGENDAS\City Admin Comm\2015\7-15 - Agenda.docx 7/15/15
THE “NEW YORK HEALTH ACT” - A.5062 (Gottfried)/S.3525 (Perkins): A Brief Overview
The New York Health Act would amend:
NYS Public Health Law: new Article 51, Sect. 5100-5110 (universal coverage; expanded benefits);
Article 49, Add Title III- collective bargaining by providers with New York Health
Finance Law: new Section 89i (payment, financing; establish the New York Health Trust)
Purpose: This bill would create a universal single payer health plan – New York Health – to provide
comprehensive health coverage for all New Yorkers. [private delivery; public non-profit financing]
• Eligibility: all NYS residents; Provisions for: resident working out of state; out-of-state working in NYS
• Benefits: More comprehensive benefits package for all; expanded network; private delivery care;
Includes: preventive care, primary care (doctor, specialists); hospital care, rehabilitation care,
OT/PT; mental health, dental care, vision/hearing, reproductive health care, prescription drugs,
medical supply/devices; Long-term care (legislation requires a proposal for coverage and
funding to be developed within 2 years of the legislation being enacted.
• Choice: Doctors and patients make health care decisions; expanded network of providers
• Care Coordination/Decision: primary care provider (doctor/patient decide); no gatekeeper for referrals
WHY “NEW YORK HEALTH”? Justification for State Health Care Reform (ACA; NYS Constitution; WHO)
1- Equity: reduce barriers (e.g. financial, employment, network) for uninsured/underinsured by providing:
* Universal coverage for all NYS residents (provisions for workers live in/work out of state);
* Guaranteed comprehensive quality health care for all residents of the state (expanded benefits;
* Choice (e.g. expanded provider network to provide continuity of care; full spectrum of care regardless
of changes in life situation (e.g. illness, changes in employment)
* Impacts Public Health Outcomes and Individual Health Outcomes
2- Financing with progressive tax assessments: public, non-profit; funded by broad based progressive
taxes based on ability to pay (eliminates insurance premiums and out-of-pocket expenses); financed with two
assessments:
- payroll tax (similar to medicare tax on payroll & self-employed income)
- non-payroll taxable income surcharge (e.g. interest, dividends, capital gains)
NY Trust Fund – dedicated fund for health care payment to providers; all health revenue sources pooled;
(revenue from: Medicare, assessments, federally-matched public health programs, ACA subsidies; other
revenue sources); NY Trust Fund pay Providers claims directly;
3- Control Health Care Costs:
• Simplified Payment System replaces current multi-payer system with a single-payer system like
Medicare;
• Enhanced Negotiating Power
(Source: Economic Analysis of New York Health – by Professor Gerald Friedman; April 2015)
Savings from Reduced Health Spending (24.7%; $71 billion): most savings are from:
• Eliminating private health insurance overhead and profits (lobby, ads/marketing, shareholders)
• Reducing doctor and hospital billing and insurance-related expenses
• Eliminating uncompensated care (e.g. health providers; public hospitals, health centers)
• Decreasing drug and medical device costs with enhanced negotiating power
Portion of Savings Returned to Health Care (~9.2%; $25 billion) - for expansion/improvement:
• Universal coverage; increased utilization;
• Expanded and more comprehensive health benefits;
• Medicaid and Medicare rate equity (increased provider reimbursement);
• Unemployment insurance and job transition and retraining for lost ins. billing/claims jobs
Net Savings: $44.7 billion, after Program Improvements & Expansion, with 98% of New Yorkers
paying less for their health care than they do today.
Information: www.nyhcampaign.org (text of 2015 Friedman’s Economic Analysis; link to bill; endorsers)
www.nysenate.gov (518-455-2800; Legislative Info: 518-455-3216; Bill Status: 518-455-7545/800-342-9860)
www.assembly.state.ny.us (518.455.4100; Public Info: 518.455.4218; Bill Status 518.455.7545/800.342.9860)
Tompkins County Council of Governments Meeting: 05/28/15 03:00 PM
Governor Daniel D. Tompkins Building Department: Legislature Office
Ithaca, NY 14850 Category: Legislation or Funding - State and Federal
Functional Category: Health Related
ADOPTED
DOC ID: 5648
RESOLUTION NO. 004-2015
Page 1
Reaffirming Support for a Single-Payer Approach to Controlling
Health-Care Costs and Ensuring Everyone is Covered and Urging the
New York State Assembly and Senate to Enact the New York Health Act
A.5062 (Gottfried)/S.3525 (Perkins)
MOVED by Mr. Hartill, seconded by Ms. Weiser, and unanimously adopted by voice vote by members present.
WHEREAS, the Tompkins County Council of Governments supports and a single-payer approach to health-care
coverage for New York State, and
WHEREAS, a single-payer approach, as the name implies, only federalizes how health-care providers are paid,
leaving the choice of doctors and hospitals completely up to each individual and the choice of treatment up to each patient
and his/her doctor, and
WHEREAS, access to health care continues to be a major concern for all Americans and New York State
residents [with over one million currently uninsured and a growing number underinsured], and
WHEREAS, health-care costs continue to rise at rates above inflation and, under current conditions, the share of
state income spent on health care and the administration of the health care system will r ise to 18 percent by 2024, much
faster than incomes are rising, and
WHEREAS, the Tompkins County Council of Governments continues to believe that controlling health-care costs
and ensuring health care for all residents are both of paramount importance, and
WHEREAS, the simplest approach is to move directly from the current multiple-payer approach, with its high
costs of administration, marketing, and profits for shareholders of the many insurance companies, to a single-payer
system, where the government is the insurer of all, a system used in other industrialized democracies, and
WHEREAS, New York Health would generate savings by replacing the complicated, costly, and often chaotic
claims procedure currently employed by thousands of public and private in surance providers, with a simple, one-stop
single-payer system for all claims, and
WHEREAS, Senator Perkins and Assemblyman Gottfried have introduced the New York Health Act, A.5062
(Gottfried)/S.3525 (Perkins), which would establish a comprehensive universal health insurance program for all New
Yorkers, with access to medical services and providers of their choice, without regard to age, income, health, or
employment status and would impact both individual health outcomes and public health outcomes, and
WHEREAS, New York Health will replace the current multi-payer system of employer-based insurance,
individually-acquired insurance, and federally sponsored programs (e.g. Medicare and Medicaid) with a single-billing
system funded by progressively-graduated assessments collected by the State and based on ability to pay, and
WHEREAS, New York Health will be publically financed by two assessments based on ability to pay (a
progressively graduated state payroll tax similar to the Medicare tax on payroll and self-employment income, and a
surcharge on non-employment income (e.g. interest, dividends, capital gains), and
Resolution (ID # 5648) Meeting of May 28, 2015
Page 2
WHEREAS, New York Health will pool all health revenue sources (e.g. assessments, federally-matched public
health programs, ACA subsidies, and other revenue sources) into a dedicated New York Health Trust Fund and pay
Providers directly, and
WHEREAS, New York Health will reduce billing expenses, administrative waste, monopolistic pricing of drugs
and medical devices, and fraud, overall health care spending would be reduced by 15 percent or $45 billion per year by
2019, and
WHEREAS, New York Health will reduce healthcare costs for government, public schools districts, businesses,
and individuals in New York State, eliminate the “local share” funding of Medicaid that has been such a financial burden
for County property taxpayers, and eliminate out-of-pocket expenses, insurance premiums, insurance co-pays, and
deductibles [98% of New Yorkers will pay less for their health care than they do today; and b usinesses, especially small
businesses, will benefit from reduced costs], and
WHEREAS, the April 2015 Economic Analysis of New York Health, by Gerald Friedman, Professor and Chair of
the Economics Department, University of Massachusetts at Amherst, reports savings from reduced health spending in the
amount of $71 billion [most savings are from eliminating private health insurance overhead and profits, reducing doctor
and hospital billing and insurance-related expenses, eliminating uncompensated care from health providers, public
hospitals and health centers, and decreasing drug and medical device costs with enhanced negotiating power], and
WHEREAS, the April 2015 Economic Analysis of New York Health reports a net savings of $44.7 billion, after
projected program improvements and expansion of $25 billion for increased utilization due to universal coverage,
expanded and more comprehensive health benefits, Medicaid and Medicare rate equity (increased provider
reimbursement), unemployment insurance and job transition and retraining for lost insurance billing and claims jobs, and
WHEREAS, New York Health would expand the network of providers to ensure continuity of care, and include a
more comprehensive health care benefits package that includes preventive care, primary care, specialist, hospital care,
rehabilitation care, occupational therapy, physical therapy, mental health care, dental care, vision and hearing care,
reproductive health care, prescription drugs, and medical supplies/devices [a requirement for t he development of a long-
term care financing and benefits plan is included in the proposed legislation], and
WHEREAS, New York Health would save enough in unnecessary costs to pay for the costs of universal health
care coverage for all, extending coverage to all the uninsured and underinsured for basic necessary medical care, and
would provide a more comprehensive benefits package at significantly less cost than the one offered through recent
federal legislation, now therefore be it
RESOLVED, That the Tompkins County Council of Governments strongly supports adoption of the New York
Health Act, A.5062 (Gottfried)/S.3525 (Perkins),
RESOLVED, further, That the Tompkins County Council of Governments urges the New York State Legislature
and the Governor to waste no more time tinkering with the present profit-based insurance system, escape the mindset that
major reform is “politically infeasible” (a self-fulfilling prophecy!), and instead recognize the widespread support for a
new public approach, understand there is no stronger measure New York could take to cut our property taxes than to pass
this bill into law, and take the opportunity to accomplish this major and long-needed reform,
RESOLVED, further, That the TCCOG send copies to Governor Andrew Cuomo, Se nators John Flanagan,
Jeffrey Klein, Kemp Hannon, Andrea Stewart-Cousins, James Seward, Michael Nozzolio, and Tom O’Mara, and
Assemblyman Carl Heastie and Richard Gottfried, and Assemblywoman Barbara Lifton.
RESOLVED, furrther, That the Tompkins County Council of Governments urges municipalities within Tompkins
County to adopt a similar resolution and forward to the Governor and appropriate State representatives,
SEQR ACTION: TYPE II-20
Resolution (ID # 5648) Meeting of May 28, 2015
Page 3
STATE OF NEW YORK )
) ss:
COUNTY OF TOMPKINS)
I hereby certify that the foregoing is a true and correct transcript of a resolution adopted by the Tompkins County
Council of Governments on May 28, 2015.
Michelle Pottorff, Staff
Tompkins County Council of Governments
Single payer plan can aid tax cut
By Darius Shahinfar, Commentary
Updated 7:26 am, Wednesday, January 28, 2015
As city treasurer in Albany, I am constantly reminded by our taxpayers that our property taxes
need to be cut.
Mayor Kathy Sheehan is doing her part by budgeting responsibly, improving operations and
actually cutting taxes.
But taxpayers need a lot more help. Legislative hearings have been held across the state
regarding the New York Health Care Act, a variation of the federal "Medicare for All" bill (HR
676), which would bring Medicarestyle, singlepayer health care funding to the state. There is
no stronger measure New York could take to cut our property taxes than to pass this bill into law.
Hidden health care costs are present in every product, good or service in our economy. For
example, health care adds an estimated $2,000 to $4,000 to the price of every car built in the
United States.
For taxpayers, we have an enormous hidden health care "tax" in our property taxes. And the truth
is this hidden tax is bleeding property taxpayers dry. In Albany, 96 percent of our tax bills are
composed of three, separate bills from the city, the county and the school district. Astonishingly,
health care costs are nearly half of our city tax bill, a quarter of our school district's tax bill and
more than the entire amount in a county tax bill.
This means that Albany homeowners are paying 38 percent of our combined property tax bills on
health care costs. For the owner of a $150,000 home, this is a hidden health care tax of $2,100
within the property tax bills.
Using the models of the pending state and federal legislation, and accounting for local variables,
it is my estimate that city taxpayers would conservatively save 28 percent of their entire tax bills
in property taxes with a singlepayer system. That same homeowner of a $150,000 home would
save about $1,600 per year.
And, just to be clear, every taxpayer in every municipality in New York would see similar,
massive savings. In fact, our wealthier suburbs would receive the greatest savings, because the
more valuable the taxpayer's property, the more his or her taxes are cut. Additionally, businesses
that provide health care would also see dramatic cost savings, leading to opportunities for lower
prices and greater profits.
Furthermore, savings for Albany city taxpayers would be two to three times larger if the state
repaired revenue deficits caused by: The outdated AIM formula that provides onehalf to one
sixth the per capita aid to Albany that it provides to Buffalo, Rochester, Syracuse, Yonkers and
Utica; the outdated School Aid formulas; and the 60 percent of our entire property value that is
taxexempt, 33 percent of which is owned by the state.
No matter where you live in New York, if you want to see dramatically lower property taxes, tell
our state and federal representatives to pass singlepayer health care into law. Now.
The author is Albany city treasurer. He recently testified at state hearings in support of the New
York Health Care Act.
See this OpEd on the Times Union webpage @ http://www.timesunion.com/tuplus
opinion/article/Singlepayerplancanaidtaxcut6043890.php
We can do better:
“New York Health Act” Can Bring
Us All Better Health Care, Better
Coverage, at Lower Cost
The Affordable Care Act made important repairs
to our broken health care system. But the sign-up
process is complicated. Many health plans have
narrow restricted provider networks and high
deductibles and co-payments that shift a large part
of the cost of care to the individual. Employers are
continuing to drop employee coverage or shift
more cost to them.
The problem is that the ACA leaves insurance
companies in charge – with high premiums, high
deductibles, and co-pays; too much control over
which doctors or hospitals we can go to and what
care they can provide; and high administrative
costs. Even for New Yorkers with insurance, cost
remains a significant barrier to care. One in three
families with private health insurance had
someone put off care in 2014 due to cost, often for
serious medical conditions.
We can do better. Instead of patchwork
repairs, we can cover everyone, provide better
coverage without financial barriers to health care,
and save over $45 billion annually. No deductibles
or co-pays, and no restricted provider networks
and out-of-network charges. How? Through
universal comprehensive health coverage, like an
improved version of Medicare for everyone.
Like many other key services, health care should
be a basic right, not a privilege or a commodity.
Washington might not be ready to act, but
individual states have long been the “laboratories
of democracy.” In New York, Assembly Health
Committee chair Richard N. Gottfried and State
Senator Bill Perkins have introduced a single-payer
bill called the “New York Health Act.”
A comprehensive study of the New York
Health Act done by Prof. Gerald Friedman, chair of
the Economics Department at the University of
Massachusetts at Amherst, shows that New York
Health would save $71 billion a year: $26.5 billion
by eliminating private health insurance
administration and profit; $20.7 billion by
reducing health care provider administration of
health insurance claims; $2 billion by eliminating
employer administration of health benefits; $5.4
billion by reducing fraudulent billing; and $16.3
billion by capturing savings from overpriced drugs
and medical devices.
New York Health would use $26 billion of
the savings to pay for increase coverage and
increased utilization, pay health care providers
fairly and retrain displaced workers.
That would leave net savings of $45 billion --
$2,200 per New Yorker.
Here’s how it would work.
It would provide comprehensive, universal
health coverage for every New Yorker and would
replace private insurance company coverage. You
and your health care providers work to keep you
healthy. New York Health pays the bill.
1. Freedom to choose your health care
providers. There would be no network
restrictions. Only patients and their doctors – not
insurance companies – would make health care
decisions.
2. Comprehensive coverage. All New
Yorkers, regardless of immigration status, would
be covered for all medically necessary services,
including: primary, preventive, specialists,
hospital, mental health, reproductive health care,
dental, vision, prescription drug, and medical
supply costs – more comprehensive than
commercial health plans.
3. Paid for fairly. Today, insurance
companies set the same high premiums,
deductibles, and co-pays, whether it’s for a CEO or
a receptionist, and a big successful company
actually pays less than a small new business.
Under New York Health, individuals and employers
would not pay premiums, deductibles and co-pays.
Instead, coverage would be funded through a
graduated assessment on payroll and non-payroll
taxable income, based on ability to pay. For 98%
of New Yorkers, it will be a substantial reduction in
what they now spend. Prof. Friedman estimates
that there would be savings for New Yorkers with
incomes up to $400,000, with the biggest share of
savings going to middle-class families.
4. Less administrative waste, better
care, more accountability. The total cost
would be $45 billion less than what we now spend,
because we wouldn’t be paying for huge insurance
company administrative costs and profits or for
the costly time and paperwork health care
providers spend for dealing with insurance
companies. Health coverage would be accountable
to the people of New York, not to insurance
company stockholders.
5. Job-friendly. Health care costs are a
significant and unpredictable problem for
business. These costs as a share of payroll have
increased 50% in a decade, with small group rates
increasing almost 7% on average in 2014, and New
York businesses spend over $2 billion annually just
to administer health benefits. The New York
Health Act simplifies and reduces costs for
employers – large and small – by taking them out
of the business of buying health coverage. That
would make New York dramatically more job-
friendly, especially for small businesses, start-ups,
low-margin businesses, local governments and
taxpayers, and non-profits.
6. The most affordable way. Any plan
that keeps insurance companies in the picture
means wasting close to $50 billion a year. The
cost of eliminating financial barriers to health care
and providing universal coverage would be more
than offset by savings on administration and
through negotiated pricing for pharmaceuticals
and other services.
Support is growing for this common sense
approach. A report by the non-partisan
organization Public Citizen shows how a state
single-payer plan can be enacted even with federal
laws like the ACA and Medicare.
The New York Health Act has been endorsed by a
long list of organizations, including the New York
State AFL-CIO, 1199 SEIU, the New York State
Nurses Association, 32BJ SEIU, NYS United
Teachers (NYSUT), United Federation of Teachers
(UFT), UFCW Region 1 and Local 1500,
Communications Workers of America District 1
and Locals 1103, 1104, 1120 and 1180, United
Auto Workers 9 & 9A, Amalgamated Transit Union
Local 1056 and 1179, the Retail, Wholesale &
Department Store Union (RWDSU) UFCW and
RWDSU Local 338, the Doctors Council SEIU, the
Committee of Interns and Residents SEIU, United
University Professions, IATSE Local 1, Utility
Workers of America Local 1-2, Teamsters Joint
Council 16, Machinists District 15, the Working
Families Party, the Green Party, Citizen Action,
League of Women Voters, Make the Road/New
York, New York Communities for Change, the New
York Immigration Coalition, the New York State
Academy of Family Physicians, the New York State
American Academy of Pediatrics, and the Public
Health Association of NYC (PHANYC), the New
York State Black, Puerto Rican, Hispanic and Asian
Legislative Caucus, and 98 state legislators.
The Affordable Care Act and New York’s health
benefit exchange are cleaning up some of the
damage caused by the way we pay for health care.
But it’s time to truly fix the system.
* * * * *
The “New York Health Act” is sponsored in the
Assembly by Health Committee chair Richard N.
Gottfried (A.5062) and in the Senate by Bill Perkins
(S.3525). For the full text of the bill, see below or go
to http://public.leginfo.state.ny.us and type: a5062.
For more information, e-mail:
GottfriedR@assembly.state.ny.us.
FAQs
Q: Doesn’t the ACA fix health care?
A: The Affordable Care Act is making insurance
available to more people. But it leaves insurance
companies in charge. Many more health plans have
narrow restricted provider networks, rising premiums,
high deductibles and co-payments that shift a large part
of the cost to the individual too much control over
which doctors or hospitals we can go to and what care
they can provide, and high administrative costs and
profits. The marketplace is so complicated because the
system requires an income assessment to see who is
eligible for financial assistance, and then requires
people to select from multiple plans and “tier levels.”
Employers continue to shift more of the cost of
coverage to their workers, or drop coverage entirely –
even before the new law.
Q: Won’t New York Health be just like every
other health plan, only bigger and more
powerful?
A: Not at all. By law, it will not limit who you can go to
for care and will not dictate health care decisions.
Financial barriers won’t limit your ability to get care
when you need it. Because wealthy and well-connected
New Yorkers will be in the same plan with the rest of
us, you can be sure it will be a better plan – better for
patients and for health care providers.
Q: Won’t this be a huge new tax increase?
A: Our total price tag will go down by $45 billion,
because we won’t be paying for insurance company
middlemen or health care provider costs for dealing
with them, and save through State bargaining for
reduced pharmaceutical and equipment prices. We
won’t be paying for premiums, deductibles, co-pays,
and out-of-network charges. Property taxes will go
down because local governments won’t pay for
Medicaid and health care for their employees will be
cheaper. The bottom line is New Yorkers will have
more money in our pockets and better health care for
our families, and the assessments that pay for the plan
will be based on ability to pay.
Q: Can I buy private insurance?
A: Private insurance that duplicates benefits offered
under New York Health could not be offered to New
York residents. But a private market will remain for
coverage of benefits that might be outside the NY
Health program, like purely cosmetic surgery.
Q: Is long-term care covered?
A: Long-term care (e.g., home health care, nursing
homes) will be covered, but the specifics are to be
developed later.
Q: What about retiree health benefits?
A: Most retirees will simply be covered by New York
Health, plus Medicare. A plan will be developed to deal
with retirees who move out of state.
Q: What if a person moves out of state?
A: New York Health covers New York residents.
Q: What if a person is temporarily out of state
and needs care?
A: New York Health will pay for health care while a
New York resident is temporarily out of state and needs
health care there. It will also pay if there are special
reasons why someone needs health care from an out-of-
state provider.
Q: How will this affect union health plans?
A: New York Health will be at least as comprehensive
as any employer- or union-sponsored coverage, with no
deductibles, co-pays or limited networks. Instead of
negotiating for health benefits, unions will be able to
put all their efforts into negotiating for higher wages
and other issues. Unions that have negotiated low or
zero worker contributions to a health plan will
negotiate the same arrangement for the worker share
of the payroll assessment. Union-sponsored clinics will
be able to continue serving union members – and
anyone else – and be paid by New York Health.
Q: How much will doctors and hospitals get
paid?
A: New York Health will set up payment systems
(hopefully moving away from the fee-for-service model
that just rewards volume, not value) and levels of
payment. Health care providers will be allowed to form
organizations that will collectively negotiate with the
plan over payment and other issues. The most
important guarantee that payments will be adequate is
that all New Yorkers – rich and poor alike – will be in
the same publicly-accountable plan. Savings from
reduced administrative costs will be used to bring up
rates for providers who are currently
undercompensated for Medicaid patients.
Q: What doctors and hospitals will I be able to
use?
A: There will be no restricted network of providers.
Every health care provider in the state will be able to
participate, and patients can go to whichever provider
they choose.
Q: Will doctors and hospitals be required to
participate?
A: No. However, there would be no other insurance
coverage to pay a non-participating provider.
Q: Will doctors and hospitals be able to charge
more than New York Health will pay for specific
services?
A: No. If a provider is paid by New York Health, the
patient may not be charged more (no “balance billing”).
Q: How much will we have to pay for New York
Health coverage?
A: The average family will pay a lot less than we do
now. The total cost of coverage will go down because
we won’t be paying for administrative costs and profit
that eat up almost $50 billion a year. Basing the
assessments on the ability to pay means less of a
burden on most households and most employers –
especially small businesses and start-ups. That means
more money in our pockets for 98% of New Yorkers –
those making up to $400,000 annually – with the
biggest share going to middle-class families.
Q: What part of the assessment will my
employer pay?
A: Employers pay at least 80% of the assessment on
payroll, and employees up to 20%. Employers can
agree to pay all or part of the employee’s share (e.g.,
through collective bargaining).
Q: My employer now pays the whole premium
for my coverage. Will I now have to pay 20% of
the payment?
A: Employers can pay all or part of the employee’s
share, just as they can now for premiums. It will be
easier to bargain to get them to do that, since the total
cost will be less than it is now.
Q: What if I am self-employed or a sole
proprietor?
A: You will pay the entire contribution, just as you now
pay your whole insurance premium.
Q: What about Workers Compensation costs and
benefits?
A: Right now, the bill does not change Workers Comp.
But the New York Health plan will develop a proposal to
move work-related health care costs into New York
Health, and consider whether there should be an
experience-rating charge to employers to encourage
workplace safety.
Q: I have a good health plan. Why would I want
to trade it for New York Health?
A: New York Health will upgrade everyone with better
and more comprehensive coverage with full choice of
providers, and will save families thousands of dollars in
premiums, deductibles, co-pays.
Q: Is universal health insurance “socialized
medicine”?
A: No. New York Health would not tell your doctor or
hospital how to care for you, and they would not be
working for the government. That would be “socialized
medicine.” New York Health just pays the bills. Like
Medicare, which is public health coverage but is not
“socialized medicine.”
Q: Won’t this result in rationing and long waits
like in Canada?
A: No. In the U.S., deductibles, co-pays, and restricted
networks are all forms of rationing, even if we don’t call
it that. One in three families with health insurance had
a family member put off care in 2014 due to cost. In
traditional Medicare – a single-payer system – there is
no rationing or delaying care.
Canada’s single-payer system doesn’t ration
health care. There have been delays in getting some
services in Canada, but not because their health plan
doesn’t provide excellent coverage. It’s because of
management issues in their delivery system, largely
because it’s hard to maintain high-volume hospitals in a
country with a small population spread out over huge
distances.
Q: Who will run the health care system?
A: Under New York Health, patients and their health
care providers will be in charge. Today, our health care
is largely controlled by our insurance companies, which
tell us who we can go to for care and what services they
will pay for. There will be none of that in New York
Health. There will be no limited provider networks.
You choose your doctor or hospital. You and your
health care providers make the health care decisions.
New York Health just pays the bill.
Q: Wouldn’t it be better to have a national
system? Why should New York be doing this?
A: It would be great to have truly universal coverage in
every state. But we can’t wait for Washington. A
progressive state like New York can and should take the
lead. The states have long been the “laboratories of
democracy,” and the Affordable Care Act gives states
new authority to set up their own health care systems
that meet Federal goals. Given the current makeup of
Congress, it’s also unlikely that any major national
health care legislation will be enacted in the near
future.
Frequently Asked Questions
Q: Doesn’t the ACA fix health care?
A: The Affordable Care Act is making insurance available to more people, and has led
to 900,000 New Yorkers getting coverage that they otherwise wouldn’t have had. But
many health plans have narrow restricted provider networks, rising premiums, high
deductibles and co-payments that shift a large part of the cost to the individual. The
marketplace is so complicated because the system requires an income assessment to
see who is eligible for financial assistance, and then requires people to select from
multiple plans and “tier levels.” Employers continue to shift more of the cost of
coverage to their workers, or drop coverage entirely, a long-running trend before the
new law.
The basic flaw of the ACA is that it leaves insurance companies in charge – with high
premiums, high deductibles, and co-pays; too much control over which doctors or
hospitals we can go to and what care they can provide; and high administrative costs
and profits.
Q: Won’t New York Health be just like every other health plan, only bigger and more
powerful?
A: Not at all. By law, it will not be limiting who you can go to for care and will not be
dictating health care decisions. Financial barriers won’t limit your ability to get care
when you need it. Because wealthy and well-connected New Yorkers will be in the
same plan with the rest of us, you can be sure it will be a better plan – better for
patients and for health care providers.
Q: Won’t this be a huge new tax increase?
A: Our total price tag will go way down, because we won’t be paying for inefficient
insurance company middlemen. We won’t be paying for premiums, deductibles, co-
pays, and out-of-network charges. Property taxes will go down because local
governments won’t pay for Medicaid and health care for their employees will be
cheaper. The bottom line is New Yorkers will have more money in our pockets and
better health care for our families.
Q: Can I buy private insurance?
A: Under this proposal, private insurance that duplicates benefits offered under New
York Health could not be offered to New York residents. But a private market will
remain for coverage of benefits that might be outside the NY Health program, like
cosmetic surgery.
nyhcampaign.org • info@nyhcampaign.org
Q: Is long-term care covered?
A: Long-term care (e.g., home health care, nursing homes) will be covered, but the
specifics are to be developed later.
Q: What about retiree health benefits?
A: Most retirees will simply be covered by New York Health, plus Medicare. A plan will
be developed to deal with retirees who move out of state.
Q: What if a person moves out of state?
A: New York Health covers New York residents.
Q: What if a person is temporarily out of state and needs care?
A: New York Health will pay for health care while a New York resident is temporarily out
of state and needs health care there. It will also pay if there are special reasons why
someone needs health care from an out-of-state provider.
Q: How will this affect union health plans?
A: New York Health will be at least as comprehensive as any employer- or union-
sponsored coverage, with no deductibles, co-pays or limited networks. Instead of
negotiating for health benefits, unions will be able to put all their efforts into negotiating
for higher wages and other issues. Unions that have negotiated low or zero worker
contributions to a health plan will negotiate the same arrangement for the worker share
of the payroll assessment. Union-sponsored clinics will be able to continue serving
union members – and anyone else – and be paid by New York Health.
Q: How much will doctors and hospitals get paid?
A: New York Health will set up payment systems (hopefully moving away from the fee-
for-service model that just rewards volume, not value) and levels of payment. Health
care providers will be allowed to form organizations that will collectively negotiate with
the plan over payment and other issues. The most important guarantee that payments
will be adequate is that all New Yorkers – rich and poor alike – will be in the same
publicly-accountable plan.
Q: What doctors and hospitals will I be able to use?
A: There will be no restricted network of providers. Every health care provider in the
state will be able to participate, and patients can go to whichever provider they
choose.
nyhcampaign.org • info@nyhcampaign.org
Q: Will doctors and hospitals be required to participate?
A: No. However, there would be no other insurance coverage to pay a non-participating
provider.
Q: Will doctors and hospitals be able to charge more than New York Health will pay for
specific services?
A: No. If a provider is paid by New York Health, the patient may not be charged more
(no “balance billing”).
Q: How much will we have to pay for New York Health coverage?
A: The average family will pay a lot less than we do now. The total cost of coverage will
go down because we won’t be paying for insurance company overhead and profit that
eat up 20-30% of the health care dollar. Basing payments on the ability to pay means
less of a burden on most households and most employers – especially small
businesses and start-ups. Most of us will have more money in our pockets.
Q: What part of the assessment will my employer pay?
A: Employers pay at least 80% of the assessment on payroll, and employees up to
20%. Employers can agree to pay all or part of the employee’s share (e.g., through
collective bargaining).
Q: My employer now pays the whole premium for my coverage. Will I now have to pay
20% of the payment?
A: Employers can pay all or part of the employee’s share, just as they can now for
premiums. It will be easier to bargain to get them to do that, since the total cost will be
less than it is now.
Q: What if I am self-employed or a sole proprietor?
A: You will pay the entire contribution, just as you now pay your whole insurance
premium.
Q: What about Workers Compensation costs and benefits?
A: Right now, the bill does not change Workers Comp. But the New York Health plan
will develop a proposal to move work-related health care costs into New York Health,
and consider whether there should be an experience-rating charge to employers to
encourage workplace safety.
nyhcampaign.org • info@nyhcampaign.org
Q: I have a good health plan. Why would I want to trade it for New York Health?
A: New York Health will save families thousands of dollars in premiums, deductibles,
co-pays, and out-of-network charges, and provide better and more comprehensive
coverage.
Q: Is universal health insurance “socialized medicine”?
A: No. New York Health would not tell your doctor or hospital how to care for you, and
they would not be working for the government. That would be “socialized medicine.”
New York Health just pays the bills. Like Medicare, which is public health coverage but
is not “socialized medicine.”
Q: Won’t this result in rationing and long waits like in Canada?
A: No. In the U.S., the current system rations health care. People who can’t afford care
(if your coverage has a high deductible, or you’re uninsured, or the provider you want
to use is out of network) often have to delay care or go without it. Every year in
America, tens of thousands go bankrupt or get sicker or die as a result. In traditional
Medicare – a single-payer system – there is no rationing or delaying care.
There is no rationing of health care under Canada’s single-payer system. At times,
there have been delays in getting some services in Canada, but not because their
health plan doesn’t provide excellent coverage. It’s because of management issues in
their delivery system, largely because it’s hard to maintain high-volume hospitals in a
country with a small population spread out over huge distances.
Q: Who will run the health care system?
A: Under New York Health, patients and their health care providers will be in charge.
Today, our health care is largely controlled by our insurance companies, which tell us
who we can go to for care and what services they will pay for. There will be none of
that in New York Health. There will be no limited provider networks. You choose your
doctor or hospital. You and your health care providers make the health care decisions.
New York Health just pays the bill.
Q: Wouldn’t it be better to have a national system? Why should New York be doing
this?
A: It would be great to have truly universal coverage in every state. But we can’t wait
for Washington. A progressive state like New York can and should take the lead. The
states have long been the “laboratories of democracy.” Given the current makeup of
Congress, it’s unlikely that any major national health care legislation will be enacted in
the near future.
nyhcampaign.org • info@nyhcampaign.org