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AP 12-06-07SOUTH TAHOE PUBLIC UTILITY DISTRICT "Basic Services for a Complex World" REGULAR BOARD MEETING AGENDA Thursday, December 6, 2007 2:00 P.M. District Board Room 1275 Meadow Crest Drive, South Lake Tahoe, California Richard Solbri•, General Mana•er Paul Sciuto, Assistant Mana•er Eric W. Schafer, President Duane Wallace, Director BOARD MEMBERS Mary Lou Mosbacher, Director 1. CALL TO ORDER REGULAR MEETING — PLEDGE OF ALLEGIANCE 6. PRESENTATION a. Report on the 2007 Fiscal Year Financial Statement Audit (Larry Mace, Partner, Grant Thornton, LLP) James R. Jones, Vice President Kathleen Farrell, Director 2. COMMENTS FROM THE AUDIENCE (Short non - agenda items that are within the subject matter jurisdiction of the District. Five - minute limit. No action will be taken.) 3. CORRECTIONS TO THE AGENDA OR CONSENT CALENDAR 4. ADOPTION OF CONSENT CALENDAR (Any item can be discussed and considered separately upon request.) 5. CONSENT ITEMS BROUGHT FORWARD FOR ACTION / DISCUSSION 7. ITEMS FOR BOARD ACTION REQUESTED BOARD ACTION a. Consideration of Request to Appear Before Customer Request to Waive Sewer Pg. 39 the Board and Water Fees on Vacant Lot (Del Lafountain, Lisa Coyner) REGULAR BOARD MEETING AGENDA — DECEMBER 6, 2007 c. Plan Document for Employees' Benefit Plan Pg. 51 (Nancy Hussmann) d. Employee Benefits Plan 2008 Renewal Pg. 53 (Nancy Hussmann, Rhonda McFarlane) e. Check Signing Authority Pg. 59 (Rhonda McFarlane) 8. BOARD MEMBER STANDING COMMITTEE REPORTS (Discussions may take place; however, no action will be taken) a. b. c. d. b. 2:30 P.M. PUBLIC MEETING Pg. 41 Indian Creek Reservoir TMDL Oxygenation Project (Ivo Bergsohn) Water & Wastewater Operations Committee (Jones / Farrell) Finance Committee (Wallace / Schafer) Executive Committee (Schafer / Jones) Planning Committee (Mosbacher / Schafer) PAGE — 2 (1) Hold a Public Meeting to Take Public Comments on the Initial Study and Negative Declaration of Environ- mental Impact; and (2) Certify the Negative Declaration of Environment Impact Approve Updated Plan Document (1) Renew Excess Insurance Policy with Gerber Life Insurance Co.; (2) Approve Funding Level for Plan in the Amount of $1,600 per Employee Per Month; (3) Approve COBRA Rates for 2008 as Follows: Single Dental $80; Family Dental $185; Single Medical $650; Family Medical $1,600 Adopt Resolution No. 2840 -07 to Designate Authorized Signatories of All District Bank Accounts, Superseding Resolution No. 2590 f. Payment of Claims Approve Payment in the Amount Pg. 63 of $1,694,948.98 9. EL DORADO COUNTY WATER AGENCY REPRESENTATIVE REPORT 10. BOARD MEMBER REPORTS (Discussions may take place; however, no action will be taken) 11. GENERAL MANAGER REPORT (Discussions may take place; however, no action will be taken) a. Corp of Engineers Meeting re: 219 Funding b. Prop. 50 Grant 12. STAFF / ATTORNEY REPORTS (Discussions may take place; however, no action will be taken) REGULAR BOARD MEETING AGENDA- DECEMBER 6, 2007 13. NOTICE OF PAST AND FUTURE MEETINGS / EVENTS Past Meetings / Events 11/20/07 — Finance Committee Meeting 11/27/07 —11 /30/07 ACWA Fall Conference 11/28/07 — ECC (Employee Communications Committee) Meeting 12/03/07 — Water and Wastewater Operations Committee 14. CLOSED SESSION (Closed Sessions are not open to the public) PAGE -3 Future Meetings / Events 12/12/07 — 9:00 a.m. — El Dorado County Water Agency Meeting in Shingle Springs 12/17/07 — 4:00 p.m. — Water and Wastewater Operations Committee Meeting at District 12/18/07 — 9:00 a.m. — Alpine County Supervisors Regular Meeting in Markleeville 12/20/07 — 2:00 p.m. — STPUD Regular Board Meeting at District 12/24/07 — Union Holiday — District Office Closed 12/25/07 — Christmas Holiday — District Office Closed a. Pursuant to Government Code Section 54956.9(a) /Conference with Legal Counsel — Pg. 79 Existing Litigation re: Meyers Landfill Site: United States of America vs. El Dorado County and City of South Lake Tahoe and Third Party Defendants, Civil Action No. S -01 -1520 LKK GGH, United States District Court for the Eastern District of CA 15. ACTION / REPORT ON ITEMS DISCUSSED DURING CLOSED SESSION 16. ADJOURNMENT (To the next regular meeting, December 20, 2007, 2:00 p.m.) The South Tahoe Public Utility District Board of Directors regularly meets the first and third Thursday of each month. A complete agenda packet, including all backup information is available for review at the meeting and at the District office during the hours of 8:00 a.m. — 5:00 p.m., Monday through Friday. Items on this agenda are numbered for identification purposes only and will not necessarily be considered in the order in which they appear on the agenda. Designated times are for particular items only. Public Hearings will not be called to order prior to the time specified. Public participation is encouraged. Public comments on items appearing on the agenda will be taken at the same time the agenda items are heard; comments should be brief and directed to the specifics of the item being considered. Comments on items not on the agenda can be heard during "Comments from the Audience;" however, action cannot be taken on items not on the agenda. Please provide the Clerk of the Board with a copy of all written material presented at the meeting. The meeting location is accessible to people with disabilities. Every reasonable effort will be made to accommodate participation of the disabled in all of the District's public meetings. If particular accommodations for the disabled are needed (i.e., disability- related aids, or other services), please contact the Clerk of the Board at 530.544.6474, extension 6203, at least 24 hours in advance of the meeting. ITEMS a. Dump Truck and Water Service Truck Pg. 1 (Randy Curtis) b. Surplus Vehicle and Equipment Pg. 3 (Linda Brown, Randy Curtis) c. Temporary Help — Finance Department Pg. 5 (Debbie Henderson) d. Pg. 7 e. Pg. 11 AB 303 Groundwater Assistance Program Application (Lynn Nolan) 457 Deferred Compensation Plan Provider Agreement (Nancy Hussmann) CONSENT CALENDAR December 6, 2007 f. 2008 Washington, D.C. Legislative Advocacy Pg. 13 Services (Dennis Cocking) g. 2008 California Legislative Advocacy Services Pg. 29 (Dennis Cocking) REQUESTED ACTION Authorize Staff to Advertise for Bids for One (1) 5/6 Yard Dump Truck, and One (1) 1 '/z ton 4x4 Water Service Truck Authorize First Capitol Auction, Inc., to Sell District Surplus Vehicle and Equipment at Public Auction Approve Extending the Contract with Accounting Temps, for a Temporary Employee through June 2008, in an Amount Not to Exceed $30,000 Adopt Resolution No. 2841 -07 to Submit a Grant Application for Funds Authorize Staff to Enter into a Contract with Great West Life to Provide Administrative and Record - keeping Services for the District's Deferred Compensation Plan (1) Authorize Execution of Contract with ENS Resources, Inc., in the Amount of $74,390.40; and (2) Authorize Execution of Contract with Crosspointe Partners, L.L.C., in the Amount of $66,000.00 Authorize Execution of Contract with Suter, Wallauch, Corbett and Associates, in the Amount of $30,000 CONSENT CALENDAR — DECEMBER 6, 2007 h. Approve Regular Board Meeting Minutes: Pg. 35 November 1, 2007 (Kathy Sharp) Approve Minutes South Tahoe Public Utility District • 1275 Meadow Crest Drive • South Lake Tahoe, CA 96150 Phone 530.544.6474 • Facsimile 530.541.0614 • www.stpud.us PAGE -2 TO: youth Tahoe Pubfie Utility District 1273 Meadow Crest Drive •Soud+ 1 Mane 530 54 6474•f +x 530 541- 0014•www.a dies BOARD AGENDA ITEM 4a Board of Directors FROM: Randy Curtis, Manager of Field Operations MEETING DATE: December 6, 2007 ITEM — PROJECT NAME: Dump Truck and Water Service Truck. REQUESTED BOARD ACTION: Authorize staff to advertise for bids for one (1) 5/6 yard dump truck, and one (1) 1 '/2 ton 4x4 water service truck. DISCUSSION: The dump truck is to replace Truck #56 which is a 1990 5/6 yard dump truck with 43,704 miles. This vehicle is currently in Alpine County being utilized as an on farm only vehicle. The 1 1/2 ton water service truck is to replace the current water service Truck #77, which is a 2001 model year with 116,939 miles. This vehicle is used by the District's water service employee, and stand -by personnel for emergency call outs. SCHEDULE: As soon as possible COSTS: ACCOUNT NO: Truck #56 — 1005-8887; Truck #77 — 2005 -8856 BUDGETED AMOUNT REMAINING: 1005 -8887— $60,000; 2005 -8856 — $40,000 ATTACHMENTS: CONCURRENCE WITH REQUESTED ACTION: GENERAL MANAGER: YES /g I NO CHIEF FINANCIAL OFFICER: YES Plikr We- NO -1- CATEGORY: Sewer & Water James IC. Jaw Mary Lau Mosi etbr Duane Wm Nor.. Eric So Iteivr South Taho Public Utility District 1275 Mose low Ora Drive • South Lai Tahoe • CA Mona 530 74* Fax 530 50-0614*wwws4pu4ue BOARD AGENDA ITEM 4b TO: Board of Directors FROM: Linda Brown, Purchasing Agent Randy Curtis, Manager of Field Operations MEETING DATE:' December 6, 2007 ITEM — PROJECT NAME: Surplus Vehicle and Equipment REQUESTED BOARD ACTION: Authorize First Capitol Auction Inc. to sell District surplus vehicle and equipment at public auction. DISCUSSION: This would be our second sale with First Capitol Auction which is located in Vallejo, has an excellent reputation, and offers terms similar to its competitors. The surplus equipment (which has been replaced by new equipment) includes: (1) Truck 74 -1994 Ford Aerostar Van, VIN 5053, mileage —81,000 (2) Ingersoll -Rand trailer- mounted Air Compressor 1974 model G150, S/N 00479U 74 211 Does not meet County & State Air Board emission regulations First Capitol will complete required vehicle smog testing, and perform minor vehicle repairs with District approval. A vehicle which cannot pass smog certification without substantial repairs will be sold to dealers only. Staff believes that selling through a professional auctioneer, is the best option for the sale of this surplus equipment. SCHEDULE: As soon as possible COSTS: Income less 8% commission ACCOUNT NO: Various BUDGETED AMOUNT REMAINING: N/A ATTACHMENTS: None rr+eraf Miinver IIIkAaMt�y Directors Ked+wen Farrel Jenks R. Josses Mary toy Matioctsr Puma %Wm* Eric Schtskr Linda Brown Randy Curtis December 6, 2007 Page 2 CONCURRENCE WITH REQUESTED ACTION: GENERAL MANAGER: YES 4 4 NO CHIEF FINANCIAL OFFICER: YES ' "'fr 4YYC NO - CATEGORY: General TO: South Tahoe Public Utility District BOARD AGENDA ITEM 4c Board of Directors FROM: Debbie Henderson, Accounting Manager MEETING DATE: December 6, 2007 ITEM — PROJECT NAME: Temporary Help — Finance Department REQUESTED BOARD ACTION: Approve extending the contract with Accounting Temps, for a temporary employee through June 2008, in an amount not to exceed $30,000. DISCUSSION: The Finance Committee has conceptually approved a 1 /2 time position for grant assistance and authorized an additional 1 /2 time position for miscellaneous accounting duties, through the end of June 2008. This extension will allow time to explore other options to address current workload issues. Approval of this item also includes funds for the current temporary employee to be enrolled in CaIPERS when 1,000 hours is reached in the current fiscal year, as required by CaIPERS rules. SCHEDULE: COSTS: Not to exceed $30,000 ACCOUNT NO: 1039 - 4405/2039 -4405 BUDGETED AMOUNT REMAINING: 1039 -4405 <7,011 >; 2039 -4405 $12,541 ATTACHMENTS: CONCURRENCE WITH REQUESTED ACTION: CATEGORY: Sewer & Water GENERAL MANAGER: YES )4.9 NO CHIEF FINANCIAL OFFICER: YES F'. t-- NO -5- Kahtsen Farr#! Jams C. Jane. May Lai Dam %Um Eric &hew South Taho Public Utility District BOARD AGENDA ITEM 4d ?hang 530 544-6474' Fax TO: Board of Supervisors FROM: Lynn Nolan, Grant Coordinator MEETING DATE: December 6, 2007 ITEM — PROJECT NAME: AB 303 Groundwater Assistance Program Application REQUESTED BOARD ACTION: Adopt Resolution No. 2841 -07 to submit a grant application for funds. DISCUSSION: The District's Land Application Manager and engineering staff are planning to submit an application for $250,000 to the Department of Water Resources 2007 AB 303 Groundwater Assistance Program Funds. These funds are to be used for the development of nutrient management plans (NMP's) for Diamond Valley Ranch and the six private ranches that utilize the District's effluent for irrigation. These plans are an important groundwater management tool for the implementation of the Alpine County Groundwater Management Plan, to ensure water quality standards are maintained in District influenced areas. The District is currently seeking proposals from qualified consulting firms to provide engineering and planning services to develop these NMP's. SCHEDULE: Application due December 11, 2007 COSTS: No costs are associated with this item. ACCOUNT NO: N/A BUDGETED AMOUNT REMAINING: N/A ATTACHMENTS: Resolution No. 2841 -07 CONCURRENCE WITH REQUESTED ACTION: GENERAL MANAGER: YES NO CHIEF FINANCIAL OFFICER: YES NO - CATEGORY: Sewer [Amuxe KatMben Farrel James R. Jones Mary Lau Mans Wallace Eric Sdiefer 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 A RESOLUTION OF THE BOARD OF DIRECTORS OF THE SOUTH TAHOE PULBIC UTILITY DISTRICT TO SUBMIT A GRANT APPLICATION PURSUANT TO AB303 GROUNDWATER ASSISTANCE PROGRAM FUNDS NOW, THEREFORE BE IT RESOLVED, by the Board of Directors of the South Tahoe Public Utility District that: 1. Application be made to the California Department of Water Resources for a Local Groundwater Assistance Grant pursuant to the Water Security, Clean Drinking Water, Coastal and Beach Protection Act of 2002 (Water code Section 79560 et seq.); and 2. If the application is successful, the District will enter into an agreement to receive a grant for a Nutrient Management Plan for Diamond Valley Ranch and the six private ranches that receive effluent for irrigation. BE IT FURTHER RESOLVED, the District's Land Application Manager is hereby authorized and directed to prepare the necessary data, conduct investigations, file such application, and execute a grant agreement with California Department of Water Resources. WE, THE UNDERSIGNED, do hereby certify that the above and foregoing Resolution was duly adopted and passed by the Board of Directors of the South Tahoe Public Utility District at a regularly scheduled meeting held on the 6th day of December, 2007, by the following vote: AYES: NOES: ABSENT: ATTEST: Kathy Sharp, Clerk of the Board RESOLUTION NO. 2841-07 -9- Eric W. Schafer, Board President South Tahoe Public Utility District TO: FROM: MEETING DATE: December 6, 2007 SCHEDULE: COSTS: ACCOUNT NO: BUDGETED AMOUNT REMAINING: ATTACHMENTS: South Tahoe Public Utility District Directors K+t811en Farrel Jana, It ,Ipnes Mary Lou MaaMeher Puma WaSoca F.& 8duefer 1275 MoM,w Cre. C)v1 • South Lake 53 Tahoe. CA 00 gi-n Mute r Ie � 544-64740 I Fax !'0014' weevatruAue BOARD AGENDA ITEM 4e Board of Directors Nancy Hussmann, Human Resources Director ITEM — PROJECT NAME: 457 Deferred Compensation Plan Provider Agreement REQUESTED BOARD ACTION: Authorize staff to enter into a contract with Great West Life to provide administrative and recordkeeping services for the District's Deferred Compensation Plan. DISCUSSION: The Retirement Benefits Committee (comprised of Union and Management employees) decided to go out for proposal for the provider of administrative and recordkeeping services for the 457 Deferred Compensation Plan, in part because our plan with John Hancock is terminating in June, 2008, and the committee wanted to allow them the opportunity to bid on deferred compensation plan services. Request for Proposals were sent out to twelve providers on August 27, 2007, and six proposals were received by the September 14, 2007 deadline. All members of the committee reviewed the extensive proposals, and the top three proposers were invited to an interview on October 17, 2007. Great West Life is the District current provider of Deferred Compensation Plan services, and along with ICMA -RC and John Hancock, were interviewed on October 17, 2007. After discussion of the benefits of each provider, the committee voted to retain Great West Life as the provider for the District's Deferred Compensation Plan. Staff has requested some amendments to the current agreement, including performance standards, which are being considered by Great West Life, and is therefore requesting that the Board authorize staff to enter into the agreement with Great West once a mutually agreed upon Agreement is reached. —11— Nancy Hussmann December 6, 2007 Page 2 CONCURRENCE WITH REQUESTED ACTION: GENERAL MANAGER: YES CHIEF FINANCIAL OFFICER: YES -12- NO NO CATEGORY: General TO: youth Tahoe Public Utility District BOARD AGENDA ITEM 4f Board of Directors Drive+South ti Tage•CA 9el5O - 7Ao1 Phone 3O544-6474.Fax 530 541-0614 FROM: Dennis Cocking, District Information Officer MEETING DATE: December 6, 2007 ITEM — PROJECT NAME: 2008 Washington, D.C. Legislative Advocacy Services REQUESTED BOARD ACTION: (1) Authorize execution of contract with ENS Resources, Inc., in the amount of $74,390.40; and (2) Authorize execution of contract with Crosspointe Partners, L.L.C., in the amount of $66,000.00. DISCUSSION: ENS Resources, Inc. (Eric Sapirstein and David French) and Crosspointe Partners, L.L.C. (Jeff Fedorchak), have effectively advocated on the District's behalf regarding federal governmental matters since 1997. Both firms have submitted their proposals for ongoing legislative advocacy in Washington, D.C. Please see attached proposals and scope of work. SCHEDULE: COSTS: $74,390.40 ENS /$66,000.00 Crosspointe ACCOUNT NO: 50/50 27 -4405 BUDGETED AMOUNT REMAINING: 1027 -4405 - $36,574; 2027 -4405 - $36,574 ATTACHMENTS: Proposals and Scope of Work CONCURRENCE WITH REQUESTED ACTION: CATEGORY: General GENERAL MANAGER: YES 4Z .I4 NO CHIEF FINANCIAL OFFICER: YES O -13- Director. Kett' lran farts. Jaws R Jones Mary Law Mookacher Puma Walisea &lc Schafer ENS . - (R650WRCBS) -- SCOPE OF SERVICES FOR CONTINUATION OF WASHINGTON REPRESENTATION ON BEHALF OF THE SOUTH TAHOE PUBLIC UTILITY DISTRICT SOUTH LAKE TAHOE, CALIFORNIA SUBMITTED BY ENS RESOURCES, INC. November 14, 2007 ENS Resources. Inc. 1747 Pennsylvania Avenue. N.W. / Suite 420 Washington, D.C. 20006 / Telephone (202)466-3755 Telefax: (202) 466 -3787 www.ensresnrces.com I. INTRODUCTION ENS Resources, Inc. (ENS), proposes to continue providing Washington representation services to the South Tahoe Public Utility District ( STPUD). ENS will maintain and expand its work on behalf of STPUD with an emphasis on water quality and water supply policy issues identified by STPUD as priority areas of interest. This work will involve liaison with the congressional delegation, key federal agencies tasked with implementation of natural resources and water qualitypolicies, and key congressional committees with jurisdiction over environment, public health and resource protection. We will continue to build on our past successes. ENS will work with STPUD officials to review its existing federal priorities and develop a strategy to guide implementation of the identified federal priorities. Past years' efforts have focused on issues affecting water supply and resolution of disputes related to special use permits. We understand that STPUD continues to be interested in these issues, but would like to direct attention toward water quality matters. Given this area of interest, we propose to expand our activities with an emphasis on regulatory matters, as they impact the management and operation of STPUD's wastewater treatment system. As in past years, the following can summarize our proposed approach: • Developing and implementing a strategy to secure appropriate authorizations of program assistance supporting STPUD operations; • Assisting STPUD in developing environmental initiatives to utilize district properties located in Alpine County; • Supporting STPUD develop approaches to support regional initiatives related to water quality improvement projects authorized through the U.S, Army Corps of Engineers; • Developing a strategy to secure authorization of federal support of C -Line infrastructure replacement; • Monitoring legislative initiatives related to wilderness designations; • Providing regulatory support on matters impacting STPUD operations; • Supporting, through research resolution of pending litigation related to the Myers Landfill dispute or other matters; and • Providing general monitoring of legislative and regulatory initiatives initiated at the federal level. We would continue to provide support on issues as identified by STPUD related to maintaining the effective and efficient delivery of water and water quality services. Mr. Schafer November 14, 2007 Page 2 II. SCOPE OF SERVICES ENS proposes to continue our current level of services as provided during the past year. This will include periodic updates by telephone, emails, and memoranda on matters determined to be a priority for STPUD. In the course of conducting these responsibilities, we will continue to base our activities within three areas. These are: • Legislative Liaison • Executive Branch Liaison • Washington -based association liaison A. Legislative Liaison 1. Work with STPUD to identify goals and objectives that would serve as the federal priorities; 2. Develop a strategy for STPUD to review that would implement a program to achieve goals and objectives; 3. Maintain and expand congressional liaison on behalf of STPUD focusing on water quality and infrastructure policy; 4. Monitor the status of legislative proposals and initiatives of interest to STPUD and provide recommendations on how to respond to such initiatives; 5. Draft as appropriate legislative communications and supporting materials for STPUD consideration and use to achieve goals and . objectives; 6. Draft analyses, talking papers, and related briefing materials on matter of interest; 7. Arrange, coordinate and attend meetings between elected and appointed policymakers and STPUD officials; and 8. Provide periodic updates on the status of STPUD priorities and other matters that could directly or indirectly affect STPUD priorities. B. Executive Branch Liaison and Representation 1. Collaborate with STPUD on defining issues of interest within the federal regulatory arena and develop a regulatory advocacy program focusing upon water quality issues; 2. Establish an expanded liaison network with key federal agencies including U.S. Environmental Protection Agency, Department of the Interior and Department of Agriculture, and the related independent agencies; 3. Monitor federal agency activities and report to STPUD on potential impacts of activities on STPUD activities; 4. Support STPUD officials in developing communications to federal agencies related to federal initiatives affecting STPUD operations; and 5. Arrange, coordinate and attend meetings between. STPUD and federal regulatory officials to discuss matters of interest to STPUD. -17- Mr. Schafer November 14, 2007 Page 3 C. Washington -based Association Liaison ENS will continue to maintain contact with key trade associations officials located in Washington. This will be supplemented by our working relationships with individual advocates that represent water and wastewater agencies. Our liaison will included such organizations as the Association of California Water Agencies, National Association of Clean Water Agencies, California Association of Sanitation Agencies, Association of Metropolitan Water Agencies, WateReuse Association and American Water Works Association. We would, as appropriate, also work with the national public interest organizations like the National Association of Counties and National League of Cities. Our activities in this area may involve: III. BUDGET 1. Attendance and participation in meetings to review regulatory or legislative initiatives for impact on STPUD's goals and objectives and to identify concerns that, SSTPUD may have with a group's position or strategy; 2. Securing letters of support for STPUD goals and objectives; and 3. Identification of opportunities for STPUD to work with groups on initiatives in furtherance of STPUD goals and objectives ENS proposes to carryout its representation services agenda on an annual budget similar to its current agreement. The only change would involve a 5% cost of living adjustment to accommodate recent increases in the delivery of services. Expenses would be limited to an amount not to exceed $250 in any one - month period. However, we, do not expect . that this level would be reached except when extraordinary activities occur. We would bill out -of -town travel as an additional cost under this agreement subject to STPUD's prior approval for such travel activities. A. Professional Services A retainer of $ 6,199.20 per month would be charged for services as described in Section II. This retainer would cover all time expended by ENS staff in connection with the scope of services. B. Expenses As noted we will endeavor to limit our monthly expenses as we have accomplished during the past contract period. Any expenses that are expected to exceed the monthly cap will be identified to STPUD. for approval to incur such costs. Mr. Schafer November 14, 2007 Page 4 IV. TERMS OF AGREEMENT ENS and STPUD agree to the following terms: The term of this agreement shall be January 1, 2008 through December 31, 2008. Either party may terminate this agreement provided written notice of termination is provided thirty days prior to such termination. In the event that such agreement is terminated, STPUD shall reimburse ENS for all reasonable costs incurred prior to the date of termination. Such costs shall be reimbursed within thirty days of the date of termination. A ENS shall continue to provide monthly invoices detailing activities initiated pursuant to the Scope of Services of this agreement. B. ENS will provide its best efforts, working with STPUD, to support identified project priorities. C. ENS designates Eric Sapirstein as the lead official for contract management. D. STPUD designates the General Manager or his designee as the primary contact for ENS. E. STPUD agrees to pay ENS a monthly retainer in this agreement. STPUD further agrees to reimburse ENS for expenses consistent with the budget. Such retainer will be payable no later than the 15` day of the month for which such services will be provided. Expenses will be billed on a monthly basis and will be due within thirty days of such invoicing. F. ENS will register as. the Washington representative and comply with any additional requirements imposed on such registrant as they occur. G. STPUD will be provided periodic written updates (through email or fax) detailing issues of general interest to STPUD as well as specific areas of focus. Such updates will be provided not less than monthly. Mr. Scnafer November 14, 2007 Page 5 If you agree with the terms oftlris agreement, please complete and si1P1 below. Return one executed. agreement to our office. The second copy is for your file. If YOu have any questions, please give me a call. Again, we look forward to another productive year on behalf of the South Tahoe Public Utility District. ACCEPTED BY: TITLE: DATE: -20- CROSSPOINTE Partners LLC "Strategic Counsel for Business, Government & Nonprofit Organizations" November 19, 2007 Mr. Dennis Cocking District Information Officer South Tahoe Public Utility District 1275 Meadow Crest Drive South Lake Tahoe, CA 96150 Dear Dennis: It is with mixed emotion that I must announce to you and the Board that this second half of the 1 10th Congress will need to be my last in representing the District's legislative and regulatory interests in Washington, DC. It has been an honor to work with all of you and to help identify and meet the needs of the District and its customers. My practice has been moving more toward the corporate setting, helping Fortune 500 companies identify and address risk as it relates to their brand and bottom line. As more companies focus on risk I see the trend continuing. As a result, I need to begin a more structured and reasonable exit from some of the congressional lobbying activities I have been involved with over time but do so in a way that makes sense and does not jeopardize any ofthe work we are in the midst of addressing. I also believe on a personal level that after all these years of working together, departing in a way that is reasonable and is done with integrity and reflects the spirit and success of the relationship is a necessity. As you know, we are closing on this first half ofthe 1 10th Congress. In January, the second half begins with all the same bills still in play exactly where they were left. Given the appropriations backlog and promised presidential veto on most of these bills, we may start back in January having to close out the remaining bills that did not get done. So while it is illogical and inappropriate to leave at halftime when we have key items in play, it does make sense to make the end of the second half a logical departure point. I wanted to be sure to alert you and the Board with such advance notice out of respect and courtesy for our many years together. Crosspointe Partners LLC Fair Oaks Business Plaza 11350 Random Hills Road; Ste 800 FairfaJt; ~22030 CROSSPOINTE Partners LLC "Strategic Counsel for Business, Government & Nonprofit Organizations" We have had some remarkable achievements together and they are well documented. Together, we: o Secured $lm for an export pipeline oRe-wrote the landmark Lake Tahoe Restoration Act - perhaps the biggest piece of legislation to impact the area in modern history o Ensured MTBE was an issue receiving the highest levels of congressional attention and oversight o Secured a $1 million dollar authorization and later appropriation for MTBE remediation o Secured federal relocation cost funding that will total millions of dollars in savmgs o Saved ratepayers $17 million dollars in beating back a USFS mandated pipeline o Secured $1 million dollars for expanding waterlines in key tract areas to provide greater fire protection to the Tahoe NatL Forest Maybe our most important achievement to date has been the less tangible one - meeting with members of Congress, personal staff and committee staff to formally introduce STPUD, advance our issues, protect our interests and refute and rebut comments of our once-vocal opponents. Through ACW A and others, we joined neighboring (and sometimes rival) communities as part of trade associations and developed an overall presence on Capitol Hill and in key regulatory bodies. Today, key stakeholder groups know ofSTPUD; our presence and ability to make things happen when need be. I'm not sure the price you put on that but there is real value in it. We still have some work to do in this last remaining session and I look forward to pursuing our agenda and securing additional funding for fire protection in particular. Again, please express my gratitude to the Board for their trust and support. Working with them, you and ENS Resources we have made a formidable team and have the success metrics to show for our efforts. We did not just mark our time here but made a tangible difference for the District and for its customers that can be measured. That is most gratifying. Let's finish the second half of this Congress strong. cJtff Jeff Fedorchak Crosspointe Partners LLC Fair Oaks Business Plaza 11350 Random Hills Road; Ste 800 Fairfax,a0\-22030 CROSSPOINTE Partners LLC "Strategic Counsel for Business, Government & Nonprofit Organizations" 2008 CONSULTING SERVICES AGREEMENT This Agreement is entered into between Crosspointe Partners LLC (CP) and the South Tahoe Public Utility District ("Client"). 1. Services. CP agrees to provide Client with the services described in the Statement of Work ("SOW") attached to this Agreement as Schedule A. Client may cancel or suspend the SOW at any time upon 3D-day written notice to CPo Upon receipt of a cancellation or suspension notice, CP agrees to discontinue providing services immediately. 2. Additional Services. Client may request services in addition to those described in the SOW by submitting a proposed SOW to CP, describing the specific additional tasks that Client would like CP to perform. CP will review the proposed SOW and prompdy notify Client in writing that it intends to accept, reject, or request changes to the proposed SOW for additional services. 3. Compensation. Client agrees to pay CP at the rates, fees or prices listed in the Rate Sheet attached to this Agreement as Schedule B. If Client requests and CP agrees to a change to the SOW or to provide additional services, Client agrees to pay CP for any additional time and costs incurred by such change, if any, provided that the price of the change or additional services are mutually agreed upon in advance by the parties in writing. 4. Expenses. Unless otherwise agreed, Client agrees to pay Cp's reasonable, direct expenses incurred in perfonning the work described by this Agreement. Such expenses include trave~ meals, lodging and incidental expenses. Client reserves the right to reject any expense that is not reasonable in amount and/or that is not direcdy related to CP's work for Client. 5. Payment. CP will invoice Client monthly for both the fees to be incurred by CP in the current month and for any expenses incurred by CP in the prior month. CP will attach to its invoice receipts evidencing all expenses incurred Unless otherwise agreed, Client will pay CP within thirty (30) days following receipt of CP's invoice. 6. Independent Contractor. This is not a contract or an agreement for employment. The relationship between the parties created by this Agreement is that of an independent contractor. CP represents and agrees that it is and will at all times acts as an independent contractor to Client under this Agreement. By this Agreement, CP and Client do not become partners, joint ventures, associates, affiliates, parent, subsidiary, employee or agent of the other. CP is not authorized to bind Client in any way or to represent Client other than as set forth in this Agreement. Crosspointe Partners LLC Fair Oaks Business PI82a 11350 Random Hills Road; Ste 800 Fairfax,2Wr 22030 CROSSPOINTE Partners LLC "Strategic Counsel for Business, Government & Nonprofit Organizations" 7. Term. This Agreement will commence upon its execution by both parties and continue for one year. Either party may terminate this Agreement upon thirty (30) days advance written notice to the other, provided that any such termination by CP will not terminate. release or discharge CP from its obligations to provide its services pursuant to any on-going task. Client may terminate a task at any time upon advance written notice to CPo Upon termination of the Agreement or any task. Client will pay CP for work done up through the day of termination of the task. 8. Compliance with Laws. CP certifies that it is duly registered in and in compliance with the laws of the state in which it is incorporated and/or does business and will in the performance of this Agreement comply with all applicable federal, state and local laws and regulations. No payments to third parties will be made in violation of applicable federal law. Upon request. CP will provide Client with the information listed in IRS Form W-9 Request for Taxpayer Identification and Certification. 9. Confidential Information. CP and Client each acknowledge that one may provide the other during the term of this Agreement with information that is confidential and proprietary to the providing party or its customers. CP and Client each agree not to reproduce. transfer or disclose to any person or entity any information confidential and proprietary to the providing party or its customers. Confidential and proprietary information includes but is not limited designs. formulae. trade secrets. computer programs. in whole or part. in both object and source code. hardware configurations. system documentation. source materials. schematics. blueprints. manuals. names and identities of customers and prospective customers. proposals, financial data. sales data and marketing data. CP and Client each will take such steps as are reasonably necessary to safeguard confidential and proprietary information to assure that no unauthorized disclosures are made. CP and Client each will promptly report to the providing party any prohibited action regarding the disclosure of confidential and proprietary information of which either CP or Client, as a receiving party. becomes aware and further will take such steps as may reasonably be requested by the providing party to prevent such disclosure. Upon termination of this Agreement for any reason. CP and Client will promptly deliver to the other. as the providing party. all information confidential and proprietary to the providing party. CP's and Client's obligations will survive any termination or expiration of this Agreement and will continue in perpetuity. 11. Limitation of Liability. IN NO EVENT WIlL EITHER CLIENT OR CP BEšLIABLE TO THE OTHER IN CONTRACT, TORT OR OTHERWISE FOR ANY CONSEQUENTIAL. EXEMPLARY, SPECIAL. PUNITIVE OR INCIDENTAL DAMAGES THAT ARE IN ANY WAY RELATED TO THIS AGREEMENT. 12. Arbitration. Any dispute that arises between the parties with regard to this Agreement will be submitted to binding arbitration for resolution. Any arbitration will be conducted in the metropolitan Washington. D.C.. area in accordance with the then effective arbitration rules of the American Arbitration Association. Crosspointe Partners LLC Fair Oaks Business Plaza 11350 Random Hills Road; Ste 800 FairfitK~'4A 22030 CROSSPOINTE Partners LLC "Strategic Counsel for Business, Government & Nonprofit Organizations" 13. Notices. All notices required to be given under this Agreement will be delivered by mail to the addresses set forth in the preamble to the Agreement 14. General. The headings of paragraphs and sections of this Agreement are inserted for convenience only and will not be deemed to be part of the terms of this Agreement. This Agreement may be amended only in writing signed by all the parties. The laws of the Commonwealth of Virginia will govern this Agreement. The provisions of this Agreement are severable, and if any provision becomes or is declared invalid or unenforceable, all other provisions will remain in effect. This Agreement represents the entire Agreement of the parties and supersedes all prior and contemporaneous oral and written communications between the parties relating to this Agreement. Neither Client nor CP has made any other representations or promises of any kind to the other. By Crosspointe Partners LLC By South Tahoe Public Utility District Signature: Signature: Name: Name: Tide: Title: Date: Date: Crosspointe Partners LLC Fair Oaks Business Plaza 11350 Random Hills Road; Ste 800 FairfiHt,2l&r 22030 CROSSPOINTE Partners LLC "Strategic Counsel for Business, Government & Nonprofit Organizations" SCHEDULE A STATEMENT OF WORK In conjunction with the South Tahoe Public Utility District team, Crosspointe agrees to engage the following issues in the 2008 calendar year: AUTHORIZATIONS · C-Line - Authorization to fund study on hydropower generation and new technologies demonstration APPROPRIATIONS · Any necessary follow up from FY '08 appropriations cycle on water line funding (ie.. should a continuing resolution push the bill into January-February of2008 and that bill be pursued to closure before the FY '09 bill will be taken up) · New FY '09 Appropriation language of at least $1 million to allow funding for the expansion of water lines for fire protection IMPACT ISSUE TRACKING · S. 493 - The California Wild Heritage Act (Boxer) which designates certain public land (nearly 74,000 acres including lands within the Tahoe National Forest) as wilderness and certain rivers as wild & scenic in California. Our attention needs to be on M&O access to our existing and potential future facilities · HR2421- Clean Water Restoration Act (Oberstar) which amends the Federal Water Pollution Control Act to clarify jurisdiction over waters of the United States. Specifically, the bill reaffirms Congressional intent (as now defined by this new Congress); and defines exactly what waters are subject to the Clean Water Act. The term "navigable" will be dropped from waterways under the jurisdiction of the CWA therefore opening the broadest possible definition and therefore regulation · Myers Landfill- Stay apprised of final arrangements and alignment agreements; keep congressional offices aware of ongoing status and interaction with USFS · ESA - Ensure any review allows for continued access to aging water & sewer infrastructure; Identify opportunities to reduce or eliminate costly, duplicative and/or scientifically questionable studies currently required before moving forward with infrastructure projects Crosspointe Partners LLC Fair Oaks Business Plaza 11350 Random Hills Road; Ste 800 Fairfax,a&t-22030 CROSSPOINTE Partners LLC "Strategic Counsel for Business, Government & Nonprofit Organizations" GENERAL · Representation of District interests before Congress, government agencies, trade associations, stakeholder groups and coalitions · Arrange meetings with any ofthe above groups for District Board and/or professional staffmembers during DC visits · Maintain regular communication (via Board designee Dennis Cocking) and continue joint work with ENS Resources Crosspointe Partners LLC Fair Oaks Business Plaza 11350 Random Hills Road; Ste 800 Fairf'ax; Jl?r-22030 CROSSPOINTE Partners LLC "Strategic Counsel for Business, Government & Nonprofit Organizations" SCHEDULE B STATEMENT OF FEES There shall be no changes in the current contractual amounts paid for services. As compensation for services rendered under this Agreement, STPUD shall compensate CP at a fee of $66,000.00 annually; to be paid in monthly installments of $5,500.00 over a 12-month period from January through December 2008. Crosspointe Partners LLC Fair Oaks Business Plaza 11350 Random Hills Road; Ste 800 Fa~,2Q\-22030 ~..~..,.... 1!Ic:hftH.... South Tahoe Public Utility DistrIct ~ ~ FlIImlII Jaw 1t.JoMe ~I..Q\I""" D\I.tn:l ~ frio 8cfulf'Ir 1Z15 MaadowOwt.Drive. South... .....CAge1f5O-7<<)1 """5!054+6414.F8x5!O!541--0614.WWW~ BOARD AGENDA ITEM 4g TO: FROM: Board of Directors Dennis Cocking, District Information Officer MEETING DATE: December 6, 2007 ITEM - PROJECT NAME: 2008 California Legislative Advocacy Services REQUESTED BOARD ACTION: Authorize execution of contract with Suter, Wallauch, Corbett and Associates, in the amount of $30,000. DISCUSSION: Suter, Wallauch, Corbett and Associates (formerly Lynn M. Suter and Associates), have effectively advocated on the District's behalf on state legislative matters since 1997. They have submitted their proposal for ongoing legislative advocacy in Sacramento. Please see attached proposal and scope of work SCHEDULE: COSTS: $30,000 ACCOUNT NO: 50/5027-4405 BUDGETED AMOUNT REMAINING: 1027-4405 - $36,574; 2027-4405 - $36,574 ATTACHMENTS: Proposal and Scope of Work CONCURRENCE WITH REQUESTED ACTION: GENERAL MANAGER: YES CHIEF FINANCIAL OFFICER: YES CATEGORY: General -29- 1iI.};~:i; - S.u.ter.~allaUCh.COrbett ':';:;:~:\;,'& Associates : '..'~' '':' .. . II..... .-.... . Government Relations October 29, 2007 Mr. Dennis Cocking South Tahoe Public Utility District . '1275 Meadow Crest Drive Sputll.L~e Tahoe, CA 96150 R;E: Scope of Service - Contract Renewal ,'!J Dear Mr. Cocking: \ \ Thank you for the opportunity to continue our relationship under our new name Suter, Wallauch, Corbett and Associates for legislative advocacy services. Having worked together on a contract basis for many years, Lynn M. Suter & Associates has joined forces with Michael Y. Corbett & Associates to fonn Suter, Wallauch, Corbett & Asseciates (SWCA). SWCA has successfully served as the South Tahoe Public Utilities District's (STPUD) legislative representative in the State Capitol for several years, and has developed a s.trong relationship with STPUD's staff and with members of the District's legislative delegation. This year SWCA was successful in updating existing law to bring the compensation rate for board members that serve on Public Utility District on par with those that serve on Water District boards. This long over due changes was accomplished by amending AB 490, Chapter #213, Statutes of 2007, to include the PUD provisions. Assemblywoman Loni Hancock originally introduced AB 490 to address board compensation issues relating to transit operators in her district. However, given the similarity ofthePUD p,rovisions with the other issues in the bill and the lack of opposition to the PUD language, she agreed with our request to add the PUD compensation language. We propose to continue the existing relationship with Steve Wallauch as the primary contact person, managing the day-to-day needs ofSTPUD's legislative program. Lynn Suter will continue her contribution to the political and policy process, and Michael Corbett is a valuable resource where his areas of expertise touch upon related issues. All other SWCA advocates and staff are available resources to STPUD, as needed. 'Attached is an outline of services that SWCA has historically provided, and will continue to provide, for the STPUD. We .are happy to discuss any additions or changes to our .c;llrrent activities, and understand that specific adjustments are always necessary in ~yolving political situations. 1127 1 ph Street, Suite 512 .. Sacramento, CA 95814.. Telephone 916/442-0412' Facsimile 916/444-0383 www.sw~~ocates.com ,~ l1S7-M Contract Term and Fees: SWCA will perform the activities listed for a fee of $30,000.00 per year covering the period January 1,2008 through December 31,2008. This fee shall include ordinary expenses of doing business such as postage, telephone and travel. Travel other than Sacramento and South Lake Tahoe and extraordinary expenses shall be reimbursed with prior approval of STPUD. Quarterly Reporting Requirements: SWCA agrees to abide by all statutes and regulations applying to lobbying activities in California, to file timely reports with the Secretary of State's Office pursuant to state disclosure requirements, and SWCA agrees to provide to STPUD the information necessary for the District's disclosure responsibilities with the Secretary of State. Thank you for your past confidence, and we look forward to continuing our relationship with the STPUD. If you have any questions please give us a call. Sin1elY, ~7 StevenT. w~ 2 -32- Scope of Services In this proposal SWCA outlines services that would be provided to the South Tahoe Public Utility District (STPUD). The goal of these activities is to provide STPUD with the most coordinated and seamless service possible in furtherance of its state legislative and administrative needs. . SWCA advocates maintain regular communication with designated key contacts regarding STPUD's sponsored bills and positions. . SWCA provides updates on Capitol activities and the status oflegislation of importance to the STPUD, and in addition, STPUD receives Budget Updates when events warrant. i.' SWCA analyses and distributes legislation and amendments to bills as needed for STPUD. . SWCA writes letters on all positions taken by the STPUD Board for every committee hearing and to the Governor and delivers them personally to legislative and administrative offices. . SWCA maintains a data base that electronically tracks all bills with a Board position, as well as those bills that are monitored on behalf of STPUD. . SWCA meets with STPUD's legislative delegation, as well as Legislators from other areas, to present STPUD's legislative issues, and then works closely with them throughout the year. . SWCA testifies at legislative hearings on all bills in which the STPUD has an interest and position and before all Budget Subcommittees on relevant issues. . SWCA keeps Legislators informed through correspondence, personal contact, staff contact, and other means of STPUD's legislative and budget issues. . SWCA schedules meetings between STPUD personnel and Legislators when issues demand their expertise. . SWCA negotiates with other delegations, and other local entities for amendments sought by STPUD, and actively works against passage of bills STPUD opposes. . SWCA provides background for legislative staff and new members on STPUD issues. . SWCA participates in strategy meetings on policy and budget issues with leadership staff in both Houses and both parties, as well as with other advocate groups, to further STPUD's legislative goals. 3 -33- ,~~~.~~, t<!' ~\, ''', ''i)J ~ ;~~~~),;)i \. ",' - ~~ ~A~ ,.' 1""'.... ~':<'~.:;_ ,>J .. . "... ... " .~~.~ .... ~. .~. . .,' ". ," ~.' , '>~~ ., ,''; ,. ~" 'I "" ";"t.... """"" ,') SOUTH TAHOE PUBLIC UTILITY DISTRICT "Basic Services for a Complex World" './ Richard Solbrig, General Manager Eric W. Schafer, President Paul Sciuto, Assistant Manai:. BOARD MEMBERS James R. Jones, Vice President Duane Wallace, Director Mary Lou Mosbacher, Director Kathleen Farrell, Director REGULAR MEETING OF THE BOARD OF DIRECTORS SOUTH TAHOE PUBLIC UTILITY DISTRICT NOVEMBER 1, 2007 MINUTES The Board of Directors of the South Tahoe Public Utility District met in a regular session, November 1, 2007, 2:00 P.M., District Office, 1275 Meadow Crest Drive, South Lake Tahoe, California. BOARD OF DIRECTORS: President Schafer, Directors Wallace, Jones, Farrell, Mosbacher ROLL CALL STAFF: Solbrig, Sciuto, Sharp, McFarlane, Cocking, Ryan, Hammond, Torney, Brown, Curtis, Barnes, Eidam, Coyner, R. Johnson, Pinkel, Attorney Herrema GUESTS: John Runnels, Julie Threewit, Mike McFarlane Staff requested that Action Item b. (Engineering CORRECTIONS TO THE AGENDA Department 2008 Project Priority List) be removed OR CONSENT CALENDAR from the agenda, and placed on a future agenda for consideration. Moved Wallace / Second Farrell / Passed Unanimously CONSENT CALENDAR to approve the Consent Calendar as submitted: a. Keller Booster Station Pumps and Motors - Awarded bid to the lowest responsive, responsible bidder, Simonds Machinery Co., in the amount of $30,321.76; b. Adopted new Purchasing Policy; -35- REGULAR BOARD MEETING MINUTES - NOVEMBER 1, 2007 PAGE - 2 c. Upper Dressler Ditch Phase 1 Project - Approved Change Order No.1 to T&S Construction Co., Inc., in the amount of $5,766.70; d. 2007 Glen Road and Gardner Mountain Waterline Replacement Project - Approved Change Order No.2 to Marv McQueary Excavating, Inc., in the amount of $87,136.92; e. Sewer Capacity Fees - Accepted proposal from Municipal Financial Services to develop an update to the sewer capacity charge, in an amount not to exceed $23,000; f. Approved Regular Board Meeting Minutes: October 18, 2007. CONSENT CALENDAR (continued) ITEMS FOR BOARD ACTION A work plan and schedule for the sewer collection system is required by the State Water Resources Control Board, so they can develop a regulatory mechanism to provide a consistent statewide approach for reducing sanitary sewer overflows. Randy Curtis gave a PowerPoint presentation cover- ing aspects of the plan, including: goals, organizational charts, staffing, notification and reporting procedures, overflow emergency response plan, legal authority, operation and maintenance, fats/oils/grease control program, design and construction schedules, system evaluations and capacity assurance plan, monitoring/ measurement and program modifications, internal management audits, and the communications program. Moved Jones / Second Farrell/ Passed Unanimouslv to approve the schedule and work plan as presented. Moved Farrell/ Second Mosbacher / Passed Unanimously to approve payment in the amount of $1,471,511.69. Water and Wastewater Operations Committee: The committee met October 29. Minutes of the meeting are available upon request. Director Wallace reported that the agency is trying to secure 40,000 acre feet of water to accommodate agricultural needs. Several issues raised by Georgetown Divide PUD must be resolved before any more progress can be made. -36- SEWER SYSTEM MANAGEMENT PLAN PAYMENT OF CLAIMS BOARD MEMBER STANDING COMMITTEE REPORTS EL DORADO COUNTY WATER AGENCY PURVEYOR REPRESENTATIVE REPORT REGULAR BOARD MEETING MINUTES - NOVEMBER 1, 2007 PAGE. 3 Director Mosbacher reported the bid process is under- way for 2008 cattle grazing at the Diamond Valley Ranch. Director Schafer reported he was the Board represen- tative at the ECC (Employee Communications Committee) meeting on October 31 . He was happy to see increased attendance at the meeting. General Manager: Richard Sol brig reported on three items: 1) The CTC (California Tahoe Conservancy) has taken a new position that public agencies should no longer receive grant funding for BMPs (Best Manage- ment Practices) on private parcels. In response to this decision, staff will look into the intent behind the grant program to be sure nothing has gone awry, and if it has, will work to get it back on track with the original intentions. 2) The District's second application for Proposition 50 funding was denied. Apparently the application rater did not assign credits appropriately, so staff will request reconsideration. 3) The District received an "emergency" request from City of South lake Tahoe council members and staff to immediately open the water valve between the District's waterline and the 14" line the developer installed to provide fire protection for motels on Cedar Ave. District staff is not sure why they felt it was an emergency since they have fire protection from Lakeside Mutual Water Company - the same protection that has been provided for the past 30 years - and anew, high volume District hydrant on the convention center site. The City attorney, though, was very concerned regarding the potential for being sued for not providing the fire protection that was available in the event of a fire. District crews opened the valve 15 minutes later to charge the line and fire hydrants as requested. 3: 15 - 3:25 P.M. 3:30 P.M. -37- BOARD MEMBER REPORTS GENERAL MANAGER REPORTS MEETING BREAK AND ADJOURN- MENT TO CLOSED SESSION RECONVENED TO REGULAR SESSION REGULAR BOARD MEETING MINUTES - NOVEMBER 1, 2007 PAGE. 4 ACTION I REPORT ON ITEMS DISCUSSED DURING CLOSED SESSION No reportable Board action. Pursuant to Government Code Section 54956.9(a)/Conference with Legal Counsel - Existing Litigation re: Meyers Landfill Site: United States of America vs. EI Dorado County and City of South Lake Tahoe and Third Party Defendants, Civil Action No. S-01-1520 LKK GGH, U.S. District Court for the Eastern District of Ca. 3:30 P.M. ADJOURNMENT Eric W. Schafer, Board President South Tahoe Public Utility District ATTEST: Kathy Sharp, Clerk of the Board South Tahoe Public Utility District -38- Action Item 7a SOUTH TAHOE PUBLIC UTILITY DISTRICT .1275 Meadow Crest Drive, South Lake Tahoe, CA 96150. · Phone 530.544.6474. Facsimile 530.541.0614 · NOTE: COMPLETION OF THE ABOVE INFORMATION IS VOLUNTARY AND NOT A PRECONDITION FOR ATTENDANCE. REQUEST TO APPEAR BEFORE THE BOARD (Use Separate Sheet if Necessary) 1. Name: Del Lafountain 2. Street Address: 948 Normuk Street 3. Mailing Address: Box 16473. South Lake Tahoe. CA 96151 4. Phone No: 530.318.0426 Date: Nov. 24. 2007 5. Date I wish to appear before Board: Thursday. December 6. 2007 6. I have discussed this matter with a member of District staff: Ves X No If "Ves": Name/Department of District contact: Christene. Lisa. Kathy 7. Staff Introduction: Mr. Lafountain contacted the District concernina waiYine water and sewer service charees because house is not built yet. 8. Customer Comments: Lot is vacant - no utilities are connected. The County issued a non-comoliance letter years aao and made us tear out the foundation. 9. Action I am requesting Board take: Consider removine oneoina fees that have been billed to me. 10. Staff Comments / Recommendation: Board has oreviously uoheld Administrative Code Sections 6.1.2 and 6.1.3 as the District has no control over how lone it takes to build a home after water/sewer connection has been insoected and "finaled." -39- ~......... .....8...... South Tahoe Public UttlftyDistrlct ~ ~ F..... .....It. ..IOlW u.rylAl~ Pt.lM! ~ Edc~ 1275 ~~0rM.5outh Labl TahoI.CA9615O-7401 f'hcrte 530 544 T8414.fax530M1..()614.MWI~. BOARD AGENDA ITEM 7b TO: Board of Directors FROM: Ivo Bergsohn, Hydro-Geologist MEETING DATE: December 6, 2007 ITEM - PROJECT NAME: Indian Creek Reservoir TMDL Oxygenation Project REQUESTED BOARD ACTION: 2:30 p.m. PUBLIC MEETING REQUESTED BOARD ACTION: (1) Hold a Public Meeting to take public comments on the Initial Study and Negative Declaration of Environmental Impact; and (2) Certify the Negative Declaration of Environmental Impact. DISCUSSION: At 2:30 p.m. open the meeting to receive public input on the Initial Study and Negative Declaration of Environmental Impact for the Indian Creek Reservoir TMDL Oxygenation Project. After the close of the meeting and response to comments by staff, the Board may certify the Negative Declaration of Environmental Impact and approve the project. SCHEDULE: N/A COSTS: N/A ACCOUNT NO: 1029-8605/ICTMDL BUDGETED AMOUNT REMAINING: ATTACHMENTS: Certification of the Negative Declaration of Environmental Impact, IS/ND for Indian Creek Reservoir Oxygenation Project - Responses to Written Comments Memorandum (dated November 26,2007) and Notice of Determination. CONCURRENCE WITH REQUESTED ACTION: GENERAL MANAGER: YES~ NO CHIEF FINANCIAL OFFICER: YES~ NO CATEGORY: Sewer -41- SOUTH TAHOE PUBLIC UTILITY DISTRICT INDIAN CREEK RESERVOIR TMDL OXYGENATION PROJECT State Clearinghouse Number: 2007102083 FINAL ENVIRONMENTAL DOCUMENTATION PACKAGE December 6, 2007 -43- 1 SOUTH TAHOE PUBLIC UTILITY DISTRICT INDIAN CREEK RESERVOIR TMDL OXYGENATION PROJECT CERTIFICATION OF THE NEGATIVE DECLARATION OF ENVIRONMENTAL IMPACT SOUTH TAHOE PUBLIC UTiliTY DISTRICT INDIAN CREEK RESERVOIR TMDL OXYGENATION PROJECT Whereas a Mitigated Negative Declaration was prepared dated October 12,2007 on the project which includes: A brief description of the Project; the location of the project; findings that the project will not have a significant effect on the environment and; an Initial Study documenting the potential impacts, incorporated mitigation measures and information supporting the finding of no significant impact; Whereas the Negative Declaration was circulated through the California Office of Planning and Research and to responsible agencies and the interested public from October 15, 2007 through November 19, 2007 and comment letters were received from: California Department of Water Resources Division of Safety of Dams (11/09/07); California Department of Transportation (11/19/07); Whereas the Negative Declaration was noticed to adjacent property owners on October 15,2007; Whereas the written comments received during the Public Review period were considered and accompanying responses were prepared on November 26, 2007; Whereas the Negative Declaration was presented at a Public Meeting on December 6, 2007; Now therefore, at the December 6, 2007 Regular Meeting, the South Tahoe Public Utility District Board finds "that upon review of the initial study and comments received that there is no substantial evidence that the Project will have a significant impact on the environment." -44- PAGE 1 SoutVt TCtVtOe Ri.c~Clrcl soLbrtg c;eV'l-tYCll MCl V\,Clgey Board Members Katl1LeeY\. Farrell Ja~ R.JOV\.tS Marl:1 LolA. MosbClcl1er DIA.ClV\.t walLace 6ri.c scl1afer pubLLc vttLLLtkj Dtsbict MtltVto yet vu;{ UltVt Date: November 26, 2007 To: Board of Directors n Ivo Bergsohn ). -f!J · IS/ND for Indian Creek Reservoir Oxygenation Project - Responses to Written Comments From: Subject: The following are responses to comments that were received by the South Tahoe Public Utility District on the Indian Creek Reservoir TMDL Oxygenation Project, dated October 12,2007. A total of two comments were received. The two comments are summarized below followed by responses. Copies of the comments received, are attached to this memorandum. Comment #1 - Mike Zumot, Acting Chief Division of Safety of Dams, California Department of Water Resources - The proposed project is located adjacent to the dam which is under State jurisdiction for safety. The proposed project may require excavation into the dam embankment to install pipelines and conduits. If the excavation required is more than a few feet into the embankment, an alteration application may be required. Response - This comment is not in response to the environmental analysis provided in the initial study, however this is a permitting issue. If prior to construction it is determined the depth of excavation is more than a few feet, an alteration application will be submitted to the CA Department of Water Resources, Division of Safety of Dams. Trenches for buried conduit and piping installations would be properly backfilled with granular material in maximum 8- inch lifts and compacted to 90% to 95% relative compaction. -45- ISIND for Indian Creek Reservoir Oxygenation Project- STPUD Responses to Written Comments Page 2 November 26, 2007 Comment #2 - Kathleen Zahniser McClaflin, Associate Transportation Planner, CA Department of Transportation - The project has no impacts on traffic. The Washoe Tribe of California and Nevada is a federally recognized tribe located within the area, and should be consulted with early in the process to determine impacts this project may have on the project. Response - The District and the environmental documentation staff consulted with the Washoe Tribe of California and Nevada on 19 October 2007 to discuss the project and potential impacts to known archeological sites within the vicinity. The Tribe also has been provided copies of the Initial Study for their review and comment. cc: AVl-Cler$ I-tCllA.ge, I-tCllA.ge "Bn.(.ec~ A$$oci.t:lte$ R. solbrLg F~le South Tahoe Public Utility District. 1275 Meadow Crest Drive, South Lake Tahoe, CA 96150 Phone 530.544.6474. Facsimile 530.541.0614. www.stpud.us -46- STATE OF CAlIFORNIA- THE RESOURCES AGENCY DEPARTMENT OF WATER RESOURCES 1416 NINTH STREET. P.O. BOX 942836 SACRAMENTO. CA 94236-0001 (916) 653-5791 NOV 9 'Sf! Mr. Ivo Bergsohn South Tahoe Public Utility District 1275 Meadow Crest Drive South Lake Tahoe, California 96150 Initial Study/Environmental Checklist of South Tahoe Public Utility District Indian Creek Reservoir TMDL Oxygenation Project, October 2007 Alpine County . Dear Mr. Bergsohn: The Division of Safety of Dams has reviewed the Initial Study/Environmental Checklist report for the proposed Indian Creek Reservoir TMDL Oxygenation Project involving Indian Creek Dam, No.1062, which is currently under State jurisdiction for safety. Based on the information provided, we find the proposed project may require excavation into the upstream portion of the embankment dam to install pipelines and conduits. As long as the trench excavations are shallow and are backfilled properly, this work should not significantly affect the dam or its appurtenances. If the excavation is more than a few feet into the embankment, however, an alteration application may be required. If you have any questions or need additional information, you may contact Office Engineer Chuck Wong at (916) 227-4601 or Acting Regional Engineer Aspet Ordoubigian at (916) 227-4625. Sincerely, 4(6~or Mike Zumot, Acting Chief Division of Safety of Dams cc: Ms. Nadell Gayou Resources Agency Project Coordinator Environmental Review Section, DPLA 901 P Street Sacramento, California 95814 Governor's Office of Planning and Research State Clearinghouse Post Office Box 3044 Sacramento, California 95812-3044 -47- (vo Bergsohn From: Sent: To: Subject: Kathleen McClaflin [kathleen_mcclallin@dot.ca.gov] Monday, November 19, 20073:05 PM Ivo Bergsohn $0 Tahoe PUD Indian Crk Res TMDL Oxy proj Comments Mr. Bergsohn, This email is to thank you for the opportunity to review and comment on the Notice of Intent (NOI). The South Tahoe Public Utility District (PUD) proposes to implement a Hypolimnetic oxygengation System (HOS) to improve water quality in Indian Creek Reservoir and comply with total maximum daily load requirements. The project is located off Diamond Valley Road and State Route 89 in Alpine County near Woodfords. This project has No Impacts to traffic. The Washoe Tribe of California and Nevada is a federally recognized tribe located within the area, please ensure that early consultation takes place with the Tribe and input from the Native American community occurs for any potential impacts of this proposed project. Kathleen Zahniser McClaflin Associate Transportation Planner Alpine and Amador County IGR Coordinator District Native American Liaison Department of Transportation Office of Rural Planning and Administration 1976 E. Charter Way Stockton, CA 95205 209-948-7647 209-948-7164 -'/8- Notice of Determination Form C To: ~ Office of Planning and Research PO Box 3044, 1400 Tenth Street, Room 212 Sacramento, CA 95812-3044 From: (Public Agency) South Tahoe Public Utility District, 1275 Meadow Crest Drive South Lake Tahoe, CA 96150 (Address) ~ County Clerk County of Alpine P.O. Box 158 Markleeville, CA 96120 Subject: Filing of Notice of Determination in compliance with Section 21108 or 21152 of the Public Resources Code. Indian Creek Reservoir TMDL Oxygenation Project Project Title 2007102083 State Clearinghouse Number (If submitted to Clearinghouse) Ivo Bergsohn Lead Agency Contact Person 530.543.6204 Area Code/felephonelExtension Indian Creek Reservoir, NW 1/4, SE 1/4, Section 4, T 10 N, R 20 E, Alpine County, CA Project Location (include county) Project Description: Project will entail the construction and operation of an in-reservoir hypolimnetic oxygenation system to achieve compliance with TMDL water quality numeric targets. The system will include construction of a 460 sf equipment building west of the main dam, installation of a submerged oxygenation equipment skid within the reservoir and submerged connecting oxygen supply and power lines. This is to advise that the South Tahoe Public Utility District has approved the above described project on l2J Lead Agency 0 Responsible Agency December 6, 2007 and has made the following determinations regarding the above described project: (Date) 1. The project [[]will llJwill not] have a significant effect on the environment. 2. 0 An Environmental Impact Report was prepared for this project pursuant to the provisions of CEQA. III A Negative Declaration was prepared for this project pursuant to the provisions of CEQA. 3. Mitigation measures [Dwere l;ZIwere not] made a condition of the approval of the project. 4. A statement of Overriding Considerations [[]was ~as not] adopted for this project. 5. Findings [lZJwere []were not] made pursuant to the provisions ofCEQA. This is to certify that the final EIR with comments and responses and record of project approval is available to the General Public at: Not Applicable Signature (Public Agency) Date Title Date received for filing at OPR: January 2004 26 -49- ~t~...1Ir' .............. South Tahoe Public Utility District 0Irect.0rt ~ F...... .-. R. JcNie MatyI.Q\.l~ Ii>u.tntJ W~ frlc ScMfIr 1275 ~~ Dri\e .South....,.~.CA961fX)..1AI01 PI10re 530 544-6414-Fmc 5SOf541-0614.www.trt.pud' us BOARD AGENDA ITEM 7c TO: Board of Directors FROM: MEETING DATE: Nancy Hussmann, Human Resources Director December 6, 2007 ITEM - PROJECT NAME: Plan Document for Employees' Benefit Plan REQUESTED BOARD ACTION: Approve updated Plan Document DISCUSSION: The Plan Document for the District's Employees' Benefit Plan is reviewed periodically and updated to comply with current law and other Plan changes that have taken place since the last publication. Additionally, this year, staff has had the new Third Party Administrator, CDS Group Health, review the document and make recommendations for changes. The attached redline/strikeout version of the updated Plan Document indicates the changes staff is recommending for the 2008 Plan Year. One item in the Plan Document, the Wellness Guidelines, starting on page 23, are being reviewed by the Wellness Committee, comprised of shop stewards, management representatives, and Dr. Greg Bergner, as a consultant. The Wellness Committee is meeting on December 5th to determine if there are any changes needed to these guidelines. A copy of any updated changes to the Wellness Guidelines will hopefully be distributed at the Board Meeting on December 6th. SCHEDULE: COSTS: ACCOUNT NO: BUDGETED AMOUNT REMAINING: ATTACHMENTS: Plan Document & Summary Plan Description for S.T.P.U.D. Employees' Benefit Plan. Due to its length, additional copies can be requested from the Board Clerk. CATEGORY: General CONCURRENCE WITH REQUESTED ACTION: GENERAL MANAGER: YES~ NO CHIEF FINANCIAL OFFICER: YES~ NO -51- \., \., Plan Document and Summary Plan Description For South Tahoe Public Utility District Employees' Benefit Plan \.., Implemented January 1, 1997 Updated January 1, 1998 Updated May 12, 2000 Updated January 1,2004 Updated January 1, 2007 Updated January 1,2008 lntroduetion This document is a description of the South Tahoe Public Utility District Employees' Benefit Plan (the Plan). The Plan described is designed to protect Plan Participants against catastrophic health expenses, as well as for more routine medical, dental, and prescription needs. This Plan is intended to provide the Employee and eligible dependents health insurance coverage for preventive care, routine services and minor injuries and illnesses, in addition to providing covemge for catastrophic illness or injury. This Plan can ease financial burdens by providing reimbursement for the great majority of covered expenses. This document summarizes the Plan rights and benefits for covered Employees and their Dependents and is divided into the following parts: ..J .J .J \., Table of Contents Section Paee # Soecial Notices Newborns & Mothers Health Protection Act and Women's Health & Cancer Rights Act.....................................................~.......................1 COBRA Notification Procedures Provides an overview of the COBRA Notification Requirements ...................................1 Dermed Terms Defines those Plan terms that have a specific meaning ....................................................1 Eligibility, Funding, Effective Date, and Termination Explains eligibility for coverage under the Plan, fimding of the Plan, and when the coverage takes effect and terminates ..........................................................8 Schedule of Benefits Provides an outline of the Plan reimbursement formulas, as well as payment limits on certain services .................................................................16 WeIlness Program Guidelines..... ............... ..... ................ ............................................ .22 '-' Notes for Schedule of Benefits, Benefit Descriptions & Benefit Limits Explains when the benefit applies, the types of charges covered, and the limits applicable for certain conditions or treatment methods ...........................26 Prescription Drug Benefit Provides an outline of the Plan reimbursement formulas as well as payment limits regarding prescription drugs ..................................................................35 Dental Benefits Provides an outline of the Plan reimbursement formulas as well as payment limits on certain dental services .......................................................................39 Medical Management Services Explains the methods used to curb unnecessary and excessive charges This part should be read carefully since each Participant is required to take action to assure that the maximum payment levels under the Plan are paid. ....... ........ .............................. ............ ....................................................... .........45 Case Management Services Explains voluntary program where catastrophic conditions are monitored \., and care coordinated to provide the most appropriate level of care ...............................49 Table of Contents - Continued Section Pae:e # Plan Exclusions Shows what charges are not covered..............................................................................50 .J Claim Provisions Explains the rules for filing claims .................................................................................54 Claim Denials Explains the provisions when a claim is denied in whole or in part...............................62 Appeal Procedures Explains the process for appealing a denied claim .........................................................63 Coordination of Benefits Shows the Plan payment order when a person is covered under more than one plan ............ ............ ........ ............ .... ........ ..... .......... ...................... ........... ..65 Subrogation and Reimbursement Provisions Explains the Pan's rights to recover payment of charges when a Covered Person has a claim against another person because of injuries sustained............................................69 COBRA Continuation Options . . ..i Explains when a person's coverage under the Plan ceases, .." and the continuation options which are available ...........................................................74 USERRA Continuation Coverage Explains continuation coverage for a covered Employee and covered Dependents who lose coverage due to service in the Uniformed Services..................... 79 Plan Amendment Regarding HIP AA Privacy Compliance Explains the provisions of the Health Insurance Portability and Accountability Act of 1996 ......................................................................................81 Responsibilities for Plan Administration Outlines the duties and responsibilities of the Plan Administrator.................................85 General Plan Information Provides general plan information as required by federal law .......................................87 Attachments Attachment 1 Attachment 2 Attachment 3 Authorization for Release of Claim Information 89 Claim Appeal Release of Medical Information Form 90 Release of Medical Information Authorization for Request for Plan Exception 91 ..J \., \., \." Special Notices Stated on Paee 32 of Plan Doc - but required to be on front Daee Der Federal Law The Newborns and Mothers Health Protection Act Group health plans and helath insurance issuers generally may not. under Federal law. restrict benefits for any hospital length of stay in connection with childbirth for the mother or newborn child to less than 48 hours following a vaginal delivery. or less than 96 hours following a cesarean delivery. However. Federal law generally does not prohibit the mother's or newborn's attending provider. after consulting with the mother. from discharging the mother or her newborn earlier than 48 hours (or 96 hours as applicable). In any case. plans and issuers may not. under Federal law. require that a provider obtain authorization from the plan or the issuer for prescribing a length of stay not in excess of 48 hours (or 96 hours). Stated on pafle 28 of Plan Doc, but required bv Federal law to be on front page The Women's Health and Cancer Rie:hts Act Under Federal law. the heatlh benefits of most plans must include coverage for the following post-mastectomy services and supplies when provided in a manner determined in consultation between the attending physician and the patient: 1. Reconstruction of the breast on which a mastectomy has been performed. 2. Surgery and reconstruction of the other breast to produce symmetrical appearance. 3. Breast prostheses. and 4. Physical complications of all stages of mastectomy. including lymphedemas. Plan participants must be notified. upon enrollment and annually thereafter. of the availability of benefits required due to the Women's Health and Cancer Rights Act (WHCRA). Required bv Federal law to have an overview at front of document COBRA Notification Procedures Notice Responsibilities It is a Plan participant's responsibility to provide the following Notices relating to COBRA Continuation Coverage: Notice of Divorce or Separation - Notice of the occurrence of a Qualifying Event that is a divorce or legal separation of a covered Employee from his or her spouse. Page 1 of3 Notice of Child's Loss of Dependent Status - Notice of a ~ualifying Event that is:a" child's loss of Dependent status under the Plan (e.g.. a Dependent child reaching the .."" maximum age limit). Notice of a Second OuaIifvine: Event - Notice of the occurrence of a second Qualifying Event after a Qualified Beneficiary has become entitled to COBRA coverage with a maximum duration of 18 (or 29) months. Notice Ree:ardine: Disabilitv - Notice that: 1. A Qualified Beneficiary entitled to receive COBRA Continuation Coverage with a maximum duration of 18 months has been determined by the Social Security Administration (SSA) to be disabled at any time during the first 60 days of continuation coverage. or 2. A Qualified Beneficiary as described in "1." Has subsequently been determined by the SSA to no longer be disabled. Notification Procedures Notification must be made in accordance with the following procedures. Any individual who is either the covered Employee. a Qualified Beneficiasry with respect to the Qualifying Event. or any representative acting on behalf of the covered Employee or Qualified Beneficiary may provide the Notice. Notice by one individual shall satisfy any responsibility to provide Notice on behalf of all related Qualified Beneficiaries with respect to the Qualifying Event. ..J Form or Means of Notification - Notification of the Qualifying Event must be provided to the District's Human Resources Department. Content - Notification must include any official documentation showing evidence that a Qualifying Event has occurred. such as a copy of a divorce decree. a child's birth certificate. a copy of the Social Security Administration's disability determination. etc. Delivery of Notification - Notification must be received by the District's Human Resources Department. Time Requirements for Notification - Should an event occur (as described in Notice Responsibilities above). the Emplovee. other Qualified Beneficiary. or a representative acting on behalf of any such person must provide Notice to the designated recipient within a certain time frame. In the case of divorce. legal separation or a child losing dependent status. Notice must be delivered within 60 days from the later of: 1. 2. The date of the Qualifying Event. The date health plan coverage is lost due to the event. or wi Page 2 of3 \., '-' \. 3. The date the Qualified Beneficiary is notified of the obligation to provide Notice through the Summary Plan Description or the Plan Sponsor's General COBRA Notice. If Notice is not received within the 60-dav oeriod. COBRA Continuation Covera2e will not be available. except in the case of a loss of coverage due to foreign competition where a second COBRA election period may be available - see "Effect of the Trade Act" in the COBRA Continuation Coverage section of this Plan Document. If an Emplovee or Qualified Beneficiary is determined to be disabled under the Social Security Act. Notice must be delivered within 60 days from the later of: 1. The date of the determination. 2. The date of the Qualifying Event. 3. The date coverage is lost as a result of the Qualifying Event. or 4. The date the covered Employee or Qualified Beneficiary is advised of the Notice obligation through the Plan Document or the Plan Sponsor's General COBRA Notice. Also, Notice must be provided within the 18-month COBRA coverage period. Page 3 of3 'Refined ~ The following terms have special meanings and when used in this Plan will be capitalized. ,J Active Employee is an Employee who performs all of the duties ofhis or her job with the Employer on a full-time basis. Ambulatory Surgical Center is a licensed facility that is used mainly for performing outpatient surgery, has a staff of Physicians, has continuous Physicians and nursing care by registered nurses (R.N.s) and does not provide for overnight staYs. Baseline shall mean the initial Test Results to which the results in future years will be compared in order to detect abnormalities. Rirthing Center means any freestah4alg health facility, place, professional office or institution which is not a Hospital or in a Hospital, where births occur in a home-like atmosphere. This facility must be licensed and operated in accordance with the laws pertaining to Birthing Centers in the jurisdiction where the facility is located. The Birthing Center must provide facilities for obstetrical delivery and short-term recovery after delivery in compliance with the Mothers and Newborns Protection Act; provide care under the full-time supervision of a Physician and either a registered nurse . ... (R.N.) or a licensed nurse-midwife; and have a written agreement with a Hospital in the .., same locality for immediate acceptance of patients who develop complications or require pre- or post-delivery confinement. Calendar Year means January 1st through December 31st of the same year. COBRA means the Consolidated Omnibus Budget Reconciliation Act of 1985, as amended. Claims Administrator/Contract Administrator - A company that oerforms all functions reasonably related to the administration of one or more benefits of the Plan (e.g.. processing of claims for payment in accordance with the terms and conditions of the Benefit Document and an administration agreement between the Contract Administrator and the Plan Sponsor. Cosmetic Surgery means medically unnecessary surgical procedures, usually, but not limited to, plastic surgery directed toward preserving beauty or correcting scars, bums or disfigurements. Covered Person is an Employee, Dependent, or Active Board Member who is covered under this Plan. ~ Page 1 of 95 \., Custodial Care is care (including room and board needed to provide that care) that is given principally for personal hygiene or for assistance in daily activities and can, according to generally accepted medical standards, be performed by persons who have no medical training. Examples of Custodial Care are help in walking and getting out of bed; assistance in bathing, dressing, feeding; or supervision over medication which could normally be self-administered. Dentist is a person who is properly trained and licensed to practice dentistry and who is practicing within the scope of such license. Durable Medical Equipment means equipment which (a) can withstand repeated use; (b) is primarily and customarily used to serve a medical purpose; (c) generally is not useful to a person in the absence of an Illness or Injury and (d) is appropriate for use in the home. Employee means a person who is an Active, regular Employee of the Employer, regularly scheduled to work for the Employer in an Employee/Employer relationship. -.. Experimental and/or Investigational means services, supplies, care and treatment which do not constitute accepted medical practice properly within the range of appropriate medical practice under the standards of the case and by the standards of a reasonably substantial, qualified, responsible, relevant segment of the medical ~mmunity or government oversight agencies at the time services were rendered. The Plan Administrator, or hislher designee, must make an independent evaluation of the experimental/non-experimental standings of specific technologies.> The Plan Administrator, or hislher designee shall be guided by reasonable interpretation of Plan provisions. The decisions shall be made in good faith and rendered following a detailed factual background investigation of the claim and the proposed treatment. The Plan Administrator, or his/her designee will be guided by the following principles: 1. If the drug or device cannot be lawfully marketed without approval of the U.S. Food and Drug Administration and approval for marketing has not been given at the time the drug or device is furnished; or 2. If the drug, device, medical treatment or procedure, or the patient informed consent document utilized with the drug, device, treatment or procedure, was reviewed and approved by the treating filcility's Institutional Review Board or other body serving a similar fimction, or if the federa1law requires such review or approval; or 3. If Reliable Evidence shows that the drug, device, medical treatment or procedure is the subject of on-going phase I or phase II clinical trials, is the research, experimental, study or investigational arm of on-going phase ill clinical trials, or is otherwise under study to determine its maximum tolerated dose, its toxicity, its \., Page 2 of95 safety, its efficacy or its efficacy as compared with a standard means of1reatment or diagnosis; or ...J 4. If Reliable Evidence shows that the prevailing opinion among experts regarding the drug, device, medical treatment or procedure is that further studies or clinical trials are necessary to determine its maximwn tolerated dose, its toxicity, its safety, its efficacy or its efficacy as compared with a standard means of treatment or diagnosis. Reliable Evidence shall mean only published reports and articles in the authoritative medical and scientific literature; the written protocol or protocols used by the treating facility or the protocol(s) of another facility studying substantially the same drug, device, medical treatment or procedure; or the written informed consent used by the treating facility or by another facility studying substantially the same drug, device, medical1reatment or procedure. Family Unit is the covered Employee and the family members who are covered as Dependents under the Plan. Generic Drug means a Prescription Drug which has the equivalency of the brand name drug with the same use and metabolic disintegration. This Plan will consider as a Generic Drug any Food and Drug Administration-approved generic pharmaceutical dispensed according to the professional standards of a licensed pharmacist and clearly designated by the pharmacist as being generic. .J Home Health Care Agency is an organization that meets all of these tests: its main function is to provide Home Health Care Services and Supplies; it is federally certified as a Home Health Care Agency; and it is licensed by the state in which it is located, if licensing is required. Home Health Care Services and Supplies include: part-time or intermittent nursing care by or under the supervision of a registered nurse (R.N.); part-time or intermittent home health aide services provided through a Home Health Care Agency (this does not include general housekeeping services); physica4 occupational and speech therapy; medical supplies; and laboratory services by or on behalf of the Hospital. Hospice Agency is an organi7.ation where its main fimction is to provide Hospice Care Services and Supplies and it is licensed by the state in which it is located, if licensing is required. Hospice Care Plan is a plan of terminal patient care that is established and conducted by a Hospice Agency and supervised by a Physician. Hospice Care Services and Supplies are those provided through a Hospice Agency and under a Hospice Care Plan and include inpatient care in a Hospice Unit or other licensed facility, home care, and family counseling during the bereavement period. J Page 3 of 95 \.., Hospice Unit is a facility or separate Hospital Unit, that provides ~tment under a Hospice Care Plan and admits at least two unrelated persons who are expected to die within six months. Hospital is an institution which is engaged primarily in providing medical care and treatment of sick and injured persons on an inpatient basis at the patient's expense and which fully meets these tests: it is accredited as a Hospital by the Joint Commission on Accreditation of Healthcare Organizations; it is approved by Medicare as a Hospital; it maintains diagnostic and therapeutic facilities on the premises for surgical and medical diagnosis and treatment of sick and injured persons by or under the supervision of a staff of Physicians; it continuously provides on the premises 24.hour.a-day nursing services by or under the supervision of registered nurses (R.N.s); and it is operated continuously with organized facilities for operative surgery on the premises. The definition of "Hospital" shall be expanded to include the following: . A facility operating legally as a psychiatric Hospital or residential treatment facility for mental health and licensed as such by the state in which the facility operates. . A facility operating primarily for the treatment of Substance Abuse if it meets these tests: maintains permanent and full-time facilities for bed care and full-time confinement of at least 15 residential patients; has a Physician in regular attendance; continuously provides 24.hour a day nursing service by a registered nurse (R.N.); has a full-time psychiatrist or psychologist on the staff; and is primarily engaged in providing diagnostic and therapeutic services and facilities for treatment of Substance Abuse. \" Illness is, for all persons: Sickness, disease, or Pregnancy. Injury means an accidental physical injury to the body caused by unexpected external means. Intensive Care Unit is defined as a separate, clearly designated service area which is maintained within a Hospital solely for the care and treatment of patients who are critically ill. This also includes what is referred to as a "coronary care unif' or an "acute care unit". It has: facilities for special nursing care not available in regular rooms and wards of the Hospital; special life saving equipment which is immediately available at all times; at least two beds for the accommodation of the critically ill; and at least one registered nurse (R.N.) in continuous and constant attendance 24 hours a day. \.,. Lifetime is a word that appears in this Plan in reference to benefit maximums and limitations. Lifetime is understood to mean while covered under this Plan. Under no circumstances does Lifetime mean during the lifetime of the Covered Person. Page 4 of 95 Medical Care Facility means a Hospital, or a facility that treats one or more specific ailments or any type of Skilled Nursing Facility. ,J Medical Emergency means a sudden onset of a condition with acute symptoms requiring immediate medical care and includes such conditions as heart attacks, cardiovascular accid.<mts, poisonings, loss of consciousness or respiration, convulsions or other such acute medical conditions. Medically Necessary care and treatment is recommended or approved by a Physician; is consistent with the patient's condition or accepted standards of good medical practice; is medically proven to be effective treatment of the condition; is not performed mainly for the convenience of the patient or provider of medical services; is not conducted for research purposes; and is the most appropriate level of services which can be safely provided to the patient. All of these criteria must be met; merely because a Physician recommends or approves certain care does not mean that it is Medically Necessary. Medicare is the Health Insurance for the Aged and Disabled program under Title xvm of the Social Security Act, as amended. Mental Disorder means any disease or condition that is classified as a mental Disorder in the cmrent edition of Intemational Classification of Diseases. published by the u.s. Department of Health and Human Services or is listed in the current edition of Diagnostic ..J and Statistical Manual of Mental Disorders. published by the American Psychiatric Association. Morbid Obesity is a diagnosed condition in which the body weight exceeds the medically recommended weight by either 100 pounds or is twice the medically recommended weight in the most recent Metropolitan Life Insurance Co. tables for a person of the same height, age, and mobility as the Covered Person. No-Fault Auto Insurance is the basic reparations provision of a law providing for payments without determining fault in connection with automobile accidents. Outpatient Care is treatment including services, supplies and medicines provided and used at a Hospital under the direction of a Physician to a person not admitted as a registered bed patient; or services rendered in a Physician's office, laboratory or X-ray facility, an Ambulatory Surgical Center, or the patient's home. Pharmacy means a licensed establishment where covered Prescription Drugs are filled and dispensed by a pharmacist licensed under the laws of the state where he or she practices. Physician means a Doctor of Medicine (M.D.), Doctor of Osteopathy (D.O.), Doctor of Dental Surgery (D.D.S.), Doctor of Podiatry (D.P.M.), Doctor of Chiropractic (D.C.), ..",; Page 5 of95 \., Audiologist, Certified Nurse Anesthetist, Licensed Professional Counselor, Licensed Professional Physical Therapist, Midwife, Occupational Therapist, Optometrist (O.D.), Physiotherapist, Psychiatrist, Psychologist (ph.D.), Speech Language Pathologist and any other practitioner of the healing arts who is licensed and regulated by a state or federal agency and is acting within the scope ofhis or her license. Plan or Plan Program means South Tahoe Public Utility District Employees' Benefit Plan, which is a benefits plan for certain employees of South Tahoe Public Utility District, and is described in this document. Plan Participant is any Employee or Dependent who is covered under this Plan. Plan Year is the 12-month period beginning on the effective date of the Plan. Pregnancy is childbirth and conditions associated with Pregnancy, including complications. \., Preferred Provider Organization (PPO) means the currently designated networks of discounting providers for which the Plan provides financial incentive to plan participants. Selection of PPO providers by participants results in the highest plan benefits. The Plan may enter into other discounting arrangements with non-PPO designated providers. When a participant uses one of these providers, benefits will be paid at the non-PPO percentage, however the non-PPO co-insurance will be payable on a smaller (e.g., negotiated) amount. Prescription Drug means any of the following: a drug or medicine which, Wlder federal law, is required to bear the legend: "Caution: federal law prohibits dispensing without prescription"; injectable insulin, Imitrex, Glucagon, prescribed Bee Sting Kits for allergic Covered Persons, or other approved injectables as defined in the Prescription Drug section; hypodermic needles or syringes, but only when dispensed upon a written prescription of a licensed Physician. Such Drug must be Medically Necessary in the treatment of a Sickness or Injury. Sickness is, for all persons: nlness, disease or Pregnancy. Skilled Nuning Facility is a facility that fully meets all of these tests: 1. It is licensed to provide professional nursing services on an inpatient basis to persons convalescing from Injury or Sickness. The service must be rendered by a registered nurse (R.N.) or by a licensed practical nurse (L.P.N.) under the direction of a registered nurse (R.N.). Services to help restore patients to self-care in essential daily living activities must be provided. 2. Its services are provided for compensation and under the full-time supervision of a Physician. \.- Page 6 of 95 3. It provides 24-hour per day nursing services by licensed nurses, under the direction of a full-time registered nurse. .J 4. It maintains a complete medical record on each patient. 5. It has an effective utilization review plan. 6. It is not, other than incidentally, a place for rest, the aged, dmg addicts, alcoholics, mental retardates, Custodial or educational care or care of Mental Disorders. 7. It is approved and licensed by Medicare. This term also applies to charges incwred in a facility referring to itself as an extended care facility, convalescent nursing home or any other similar nomenclature. Spinal Manipulation/Chiropractic Care means skeletal adjustments, manipulation or other treatment in connection with the detection and correction by manual or mechanical means of structural imbalance or subluxation in the human body. Such treatment is done by a Physician to remove nerve interference resulting from, or related to, distortion, misalignment or subluxation of, or in, the vertebral column. Massage therapy is not included as a covered benefit. Substance Abuse is the condition caused by regular excessive compulsive drinking of alcohol and/or physical habitual dependence on drugs that results in a chronic disorder affecting physical health and/or personal or social functioning. This does not include dependence on tobacco and ordinary caffeine-contJlining drinks. .j Temporomandibular Joint (TMJ) syndrome is the treatment of jaw joint disorders including conditions of structures Jinlcine the jaw bone and skull and the complex of muscles, nerves and other tissues related to the temporomandibular joint. Usual, Customary and Reasonable Charge (VCR) is a charge which is not higher than the usual charge made by the provider of the care or supply and does not exceed the usual charge made by most providers of like service in the same area. This test will consider the nature and severity of the condition being treated. It will also consider medical complications or unusual circumstances that require more time, skill or experience. For services, supplies or fees where publications of Usual, Customary, and Reasonable Charges are not available, the Claims Administrator shall survey local or nearest geographic providers of the same service to determine the allowable Usual, Customary, and Reasonable Charges lrtiJi7.ing applicable local resources. ..j Page 7 of 95 ~ \., '-' EIiIDbilitv. Fundinll. Effective Date & Termination Provisions EIi2ibilitv Eligible Classes of Employees The following Classes of Employees are considered eligible classes of Employees: 1. All Active Full-Time Employees of the Employer. An Employee is considered to be Full-Time ifhe or she normally works at least 20 hours per week and is on the regular payroll of the Employer for that work. 2. Active members of the Board of Directors. 3. Those persons formerly covered under the Board/Management insurance plan prior to 1/1/96, who are not otherwise classified in # 1 or #2 above. 4. Any other persons who become eligible in accordance with the Memorandum of Understanding in effect at the time they would otherwise be considered ineligible. Eligibility Requirements for Employee Coverage A person is eligible for Employee coverage on the first day of the Calendar month following date of hire. Eligible Classes of Dependents Dependent is anyone of the following persons: 1. A covered Employee's Spouse and unmarried children from birth to the limiting age of 19 years. However, a Dependent child will continue to be covered after age 19, provided the child is a full-time student at an accredited school, primarily dependent upon the covered Employee for support and maintenance, is unmarried and under the limiting age of25. When the child reaches either limiting age, coverage will end on the last day of the child's birthday month. The term "Spouse" shall mean the person recognized as the covered Employee's husband or wife under the laws of the state where the covered Employee lives. The Plan Administrator may require documentation proving a legal marital relationship. The term "children" shall include natural children, adopted children or Step- children who reside in the Employee's household, including those with court order that mandates dependent coverage. However, if a dependent is enrolled in a mandatory full-time (40 hour/week) unpaid internship as a mandatory Page 8 of 95 requirements of their degree program, and such unpaid internship results in enrollment in less than 12 units, such dependent shall continue to be eligible for ..J coverage for that semester. Satisfactory documentation of same will be required to be provided to the Plan Administrator, and shall include verification from the accredited school. The phrase "primarily dependent upon" shall mean dependent upon the covered Employee for support and maintenance as defined by the Internal Revenue Code and the covered Employee must declare the child as an income tax deduction or have a court order mandating that employee provide dependent coverage. The Plan Administrator may require documentation proving dependency, including birth certificates, tax records or initiation of legal proceeding severing parental rights, 2. A covered Dependent child who is incapable of self-sustaining employment by reason of mental retardation or physical handicap, primarily dependent upon the covered Employee for support and maintenance, unmarried, and covered under the Plan when reaching the limiting age. The Plan Administrator may require, at reasonable intervals during the two years following the Dependent's reaching the limiting age, subsequent proof of the child's disability and dependency. After such two-year period, the Plan Administrator may require subsequent proof not more than once each year. The Plan Admini~tor reserves the right to have such Dependent examined by a Physician of the Plan Admini~tor's choice, at J the Plan's expense, to determine the existence of such incapacity. These persons are excluded as Dependents: 1. Other individuals living in the covered Employee's home, but who are not eligible as defined; 2. The legally separated or divorced former Spouse of the Employee; 3. Any person who is on active duty in any military service of any country. If a person covered under this Plan changes status from Employee to Dependent or Dependent to Employee, and the person is covered continuously under this Plan before, during, and after the change in status, credit will be given for all amounts applied to maximums. Ifboth husband and wife are Employees, their children will be covered as Dependents of both. ..J Page 9 of 95 \.,. Eligibility Requirements for Dependent Coverage A family member of an Employee will become eligible for Dependent coverage on the fIrst day that the family member satisfies the requirements for Dependent coverage. At any time, the Plan may require proof that a Spouse or a child qualifies or continues to qualify as a Dependent as defined by this Plan. Fundin2 Cost of the Plan South Tahoe Public Utility District pays the entire cost of Employee and Dependent coverage under this Plan. Enrollment Enrollment Requirements An eligible Employee or eligible Board Member must enroll for coverage by filling out and signing an enrollment application. The covered Employee or Board Member is required to enroll for Dependent coverage also, including coverage for newborn children. \.,. Enrollment Requirements for Newborn Children A newborn child of a Plan Participant is covered under the parent's coverage for routine nursery care covered under this Plan. For coverage of Sickness or Injury, including Medically Necessary care and treatment of congenital defects, birth abnormalities or complications resulting from prematurity, the newborn child must be enrolled as a Dependent under this Plan within 31 days of the child's birth in order for non-routine coverage to take effect from birth. If the child is not enrolled within 31 days of birth, the enrollment will be considered a Late Enrollment. Timely and Late Enrollments An enrollment is either "timely'" or "late": 1. Timely Enrollment - The enrollment will be ''timely'" if the completed form is received by the Plan Administrator no later than 31 days after the person becomes eligible for the coverage. 2. Late Enrollment - Late enrollment is accepted at the next Annual Enrollment Period. \.,. Page 10 of 95 Effective Date ..J Effective Date or Employee Coverage An Employee or Board Member will be covered under this Plan as of the first day of the calendar month following the date that the Employee or Board Member satisfies all of the following: 1. Eligibility Requirement 2. The Enrollment Requirements of the Plan Effective Date or Dependent Coverage A Dependent will be covered under this Plan on the first date that the Dependent satisfies all of the following: 1. Eligibility Requirement 2. Enrollment Requirements of the Plan Coverage for a subsequent Dependent is effective, upon enrollment, as follows: 1. For a spouse, the date of marriage; J 2. For a newborn child, the date of birth; 3. For an adopted child, the date of adoption or placement for adoption; 4. For any other child, the date the child becomes a Dependent. Enrollment Periods The Initial Eligibility Period is the 31-day period which begins on the date the Employee or Board Member is first eligible under this Plan. The District must offer enrollment during that time and advise the employee of the deadline. Employees and/or Dependents who are not enrolled during the Initial Eligibility Period, or a Special Enrollment Period, through the Employee's election or omission, must wait until the next Annual Enrollment Period to enroll for coverage. The Annual Enrollment Period is designated by the Employer as December of each year. It is held before the start of each Plan Year. During this period, all eligible Employees and Dependents can enroll for coverage. .J Page 11 of 95 \., Special Enrollment Periods are available to certain persons who have lost other coverage and to certain dependents. A Special Enrollment Period is available to a covered Employee's spouse or minor child if a court orders that coverage must be provided under this Plan and the request for enrollment is made within 30 days after the issuance of the order. A Special Enrollment Period is available to a person who meets each of the following conditions: 2. The Employee or Dependent was covered under a group health plan or had health insurance coverage or was covered under no-share-of-cost Medi-Cal coverage at the time coverage under this Plan was previously offered to the Employee or Dependent. 3. The Employee stated in writing, at the time coverage was previously offered, that the other coverage was the reason for declining enrollment under this Plan. The Employer must have requested the statement and provided the Employee with notice of this requirement (and its consequences) at that time. If the Employer cannot produce the signed waiver form at the time the person wants to enroll, the provision does not apply. 4. The Employee's or Dependent's prior coverage was one of the following: \., A. COBRA continuation which was exhausted. B. Non-COBRA coverage which was terminated either as a result ofloss of eligibility for the coverage (including as a result of legal separation, divorce, death, termination of employment, or reduction in the number of hours of employment) or employer contributions towards such coverage where terminated. C. The Employee requests enrollment under this Plan not later than 31 days after the date of the end of COBRA continuation, termination of coverage, or termination of Employer contribution. A Special Enrollment Period is available to Subsequent Dependents. The Dependent Special Enrollment Period is the 31-day period which begins with the date the person becomes a dependent. ~ If a Subsequent Dependent is enrolled, the Employee must enroll at the same time if not already covered. In addition, any of the Employee's other Dependents may be enrolled at the same time, if not already covered, subject to the same enrollment requirements. "Subsequent Dependent" includes a spouse or child of an eligible Employee whose coverage is ordered by the court. The request for enrollment must be made within 30 days after issuance of the order. Page 12 of95 Qualified Medical ChDd Support Qrden .J In the event a court order provides that coverage under the Plan or some portion thereof, must be provided for your minor child, the following rules will apply: 1. You must submit the order in a timely manner to the Plan Administrator. The Plan Administrator will notify you and your child that the order has been received and what procedures will be used to determine if the order is a qualified medical child support order within the meaning of Section 609 of ERISA. The Plan Administrator will decide whether the order is qualified and notify the Participant and the Participant's child of that decision. 2. If the Plan Administrator determines that the order is qualified, the Plan Administrator shall permit an alternate recipient (as defined in ERISA Section 609(a)(2)(C)) to designate a representative for recipient of copies of notices that are sent to the alternate recipient with respect to the medical child support order. 3. If the Plan Administrator determines that the circumstances surrounding the court order constitutes and/or satisfies the change in family status requirements under the Plan, then you will be permitted to change your election of benefits under the Plan Programs. Termination of Coverae:e ..J When Employee Coverage Terminates Employee or Board Member's coverage will terminate on the earliest of these dates (except in certain circumstances, a covered Employee may be eligible for COBRA continuation coverage. For a complete explanation of when COBRA continuation coverage is available, what conditions apply, and how to select it, see the section entitled COBRA Continuation Option): 1. The date the Plan is terminated. 2. The last day of the calendar month in which the covered Employee ceases to be in one of the Eligible Classes. This includes death or termination of employment of the covered Employee. (See the COBRA Continuation Option) Continuation During Periods of Employer-Certified Disability, Leave of Absence or Layoff A person may remain eligible for a limited time if active, full-time work ceases due to disability, leave of absence or layoff. Limited eligibility shall be determined by the negotiated Memorandum of Understanding between the applicable employee group and the District. ..J Page 13 of 95 '-' While continued, coverage will be that which was in force on the last day worked as an Active Employee. However, ifbenefits reduce for others in the class, they will also reduce for the continued person. Continuation During Family and Medical Leave Regardless of the established leave policies mentioned above, this Plan shall at all times comply with the Family and Medical Leave Act of 1993 as promulgated in regulations issued by the Department of Labor. During any leave taken under the Family and Medical Leave Act, the Employer will maintain coverage under this Plan on the same conditions as coverage would have been provided if the covered Employee had been continuously employed during the entire leave period. If Plan coverage terminates during the FMLA leave, coverage will be reinstated for the Employee and his or her eligible Dependents if the Employee returns to work in accordance with the terms of the FMLA leave. Coverage will be reinstated only if the person(s) had coverage under this Plan when the FMLA leave started, and will be reinstated to the same extent that it was in force when that coverage terminated. Rehiring a Terminated Employee ...., A terminated Employee who is rehired will be treated as a new hire and will be required to satisfy all Eligibility and Enrollment requirements, with the exception of an Employee returning to work directly from COBRA coverage. An Employee returning to work directly from COBRA coverage does not have to satisfy the employment waiting period. Employees on Military Leave Employees going into or returning from military service will have Plan rights mandated by the Uniformed Services Employment and Re-employment Rights Act. These rights include up to 18 months of extended health care coverage upon payment of the entire cost of coverage plus a reasonable administration fee and immediate coverage with no pre. existing conditions exclusions applied in. the Plan upon return from service. These rights apply only to Employees and their Dependents covered under the Plan before leaving for military service. Plan exclusions and waiting periods may be imposed for any Sickness or Injury determined by the Secretary of V eterans Affairs to have been incurred in, or aggravated during, military service. When Dependent Coverage Terminates \.. A Dependent's coverage will terminate on the earliest of these dates (except in certain circumstances, a covered Dependent may be eligible for COBRA continuation coverage. Page 14 of95 For a complete explanation of when COBRA continuation coverage is available, what conditions apply, and how to select it, see the section entitled COBRA Continuation Option): 1. The date the Plan is terminated. 2. The date that the Employee's or Board Member's coverage under the Plan terminates for any reason including death (See the COBRA Continuation Option). 3. The date Dependent coverage is terminated under the Plan. 4. On the last day of the month that follows the first date that he or she ceases to be a Dependent as defined by the Plan (See eligibility for dependents). Page 15 of95 .J .J .J \., Sehedule of Benefits VerificatioD of Eligibility Call ("99) 892 4912 00lID 455-4236 or (775) 352-6900 to verify eligibility for Plan benefits before the charge is incurred Medical Benefits Note: The following non-emer~encv services must be pre-certified or reimbursement from the Plan will be reduced: . . . . . . . \r . . . . . Hospitalizations; MRI (on second or subsequent tests per year, eKe..nlteB ordered dYriBg BR -Asit) CT/CA T 8eaBB; 8ubstaRee AbuselMeDtal Disorder Treatmeats (exeept the first three visits per Calelldai- Year); Skilled Nursing Facility stays; Home Health Care; Hospiee Care; Durable Medical Equipment exceeding $3.000; Physical, Speeeh aOOIor Oeeupational 'I11ef8py; Carwae R-eha9ilitatiOB Thempy; Outpatient Surgical Procedures performed in an ambulatory surgical center. hospital. or free-standing surgical center; and Prosthetics. Please see the Medical Management section in this booklet for details. Participating Provider Organization (PPO) This Plan has entered into an agreement with certain Hospitals, Physicians and other health care providers, which are called Participating Providers. Because these Participating Providers have agreed to charge reduced fees to persons covered under the Plan, the Plan can afford to reimburse a higher percentage of their fees. Therefore, when a Covered Person uses a Participating Provider, that Covered Person will receive a higher payment from the Plan than when a Non-Participating Provider is used. It is the Covered Person's choice as to which Provider to use. '-' The District will reimburse the following providers, who currently are not participants in the self-insured plan preferred provider organizatio~ as if they were participants in the self-insured plan preferred provider organi7.ation: Page 16 of95 Jose A irre, MD Catherine Aisner, PhD'J . Ma ie Che MD Ton Cruz Thomas Dicke , MFCC Timoth Do Ie, MD Lee Van E s, MD William Everts, MD Robert Flie ler, MD Ron Gemberlin , MD Colleen Carr Hurwitz, MA Ned Jaleel, MD M. Mack, Chiro ractor Practice .J Additional information about this option, as well as a list of Participating Providers will be given to covered Employees and updated as needed. Members who use a non-network Physician will need to file their own claim and make sure treatment is approved by the applicable Cost Management Services. Members who use a non-network provider for large claims may receive a negotiated discount to reduce claims costs. as?re their aRt afpaeket eKpeases rellu0es by a ..",J 00mpaay the Distriet e9Btraets ".'lith tEl leElRee aut af setwark elaims eests. This eempaBY is refefi'es tEl as a "Sileat PP.Q". The "SHE PP.Q" pJlegraBl aegatiates eifeedy with the aRt of BeWlark pl8vftler 16 reduee the amaRBt billetl. The Participant is not responsible for any negotiated discount obtained. however charges will be paid at the non-PPO benefit level. 'Nrite off aegariateEl by tile Silest PPO. The serviees aegetiateEl by the Sileat PPO are eeasidefeEl BOB aetwerk Pf6'\iSefS \lBEler this PlaB, therefefe, the e~Vleres member is respeasible for pre wlHmeat appfaval fer kespHal admi59iees 8ft<! IM'gery eutsie:le the PllysieiaB's affiee. Allowable Covered Expenses All medical benefits are subject to allowable covered expense guidelines. Network providers have agreed to negotiated rates a set fee selleEkHe. Members are not responsible for expenses over the negotiated rates seI1eElules ameum for covered services. Members are responsible for any applicable co-pays, deductibles, and coinsurance. For non-network providers, the allowable covered expense is determined by usual and customary charge guidelines. The usual and customary charge for each service or supply received will be the lesser of the fee usually charged by a provider and the fee usually charged by other providers in the same geographical area (Tahoe, Reno, Sacramento) for these services and supplies. When Participants utilize the services of a PPO network facility, such as hospital, emergency room, and/or diagnostic medical imaging facility, for which there are no network physicians, benefits will be paid at the higher PPO benefit leveL Additionally, .~ Page 17 of 95 \., \" ~ in the event an employee is required to utilize a non-network facility due to medical necessity ~ when there is no availability at a comparable network facility, benefits will be paid at the higher PPO benefit level. Deductibles/Co-Pavments Pavable bv Plan Participants Deductibles and Co-Payments Deductibles and co-payments are dollar amounts that the Covered Person must pay before the Plan pays. A deductible is an amount of money that is paid once a Calendar Year per Covered Person. Typically~ there is one deductible amount per Plan and it must be paid before any money is paid by the Plan for any covered service. This is an amount of covered charges for which no benefits will be paid. Before benefits can be paid in a Calendar Y ear~ a Covered Person must meet the deductible shown below. Each January 1st, a new deductible amount is required. Deductibles do not accrue toward the 100% maximum out-of-pocket payment. A co-payment is a smaller amount of money that. is paid each time a particular service is used. Typically~ there may be co-payments on some services and other services will not have any co-payments. Co-payments do not accrue toward the 100% maximum out-of- pocket payment. Deductible Three-Month Carryover Covered expenses incurred in, and applied toward the deductible in October, November and December will be applied toward the deductible in the next Calendar Year. Family Unit Limit When the dollar amount shown in this Schedule of Benefits has been incurred by members of a Family Unit toward their Calendar Year deductibles~ the deductibles of all members of that Family Unit will be considered satisfied for that year. Deductible for a Common Accident This provision applies when two or more Covered Persons in a Family Unit are injured in the same accident. These persons need not meet separate deductibles for treatment of injuries incurred in this accident; instead, only one deductible for the Calendar Year in which the accident occurred will be required for them as a unit. Page 18 of95 Incentives for Wellness Program Plan participants are encouraged to participate in the recommended Wellness Program outlined in this Plan Document with the goal of prevention and/or early detection of potential illnesses. Different Deductibles, Co.Pays, and Out of Pocket Maximums shall apply to Plan Participants who follow the Wellness Program guidelines than to those who do not follow the Wellness Program guidelines, as follows: J Out of Pocket Deductible Co-Pay Maximum Wellness Program PPO: $1000 Single Guidelines $100 Single $2000 Family Followed $200 Family $10 per office visit Non-PPO: $1500 Single $3000 Familv Wellness Program PPO: $2000 Single Guidelines Not $250 Single $4000 Family Followed $500 Single + 1 $20 per office visit Non-PPO: $750 Family $3000 Single (See Note below) $6000 Family Note: If the employee and all eligible dependents comprising the Family Unit, fail to participate in the recommended annual wellness testing program, the Family Unit's annual co-pays, deductibles, and out of pocket maximum will be increased for the subsequent year. ..J The Calendar Year Deductible is waived for Second Surgical Opinions. Maximum Out.of-Pocket Payments, per Calendar Year The Plan will pay the percentage of covered charges designated in the Schedule of Benefits until the above amounts of out-of-pocket payments are reached, at which time the Plan will pay 100% of the remainder of covered charges for the rest of the Calendar Year, unless stated otherwise. The charges for the following do not apply to the 100% benefit limit and are never paid at 100% . Deductible(s) . Outpatient mental treatment charges . Outpatient substance abuse treatment charges . Cost containment penalties . Co-payments Medical Benefits .J Page 19 of95 \.,. \. \.., Medical Benefits apply when covered charges are incurred by a Covered Person for care of an Injury or Sickness and while the person is covered for these benefits under the Plan. Benefit Payment Each Calendar Year, benefits will be paid for the covered charges of a Covered Person. Payment will be made at the rate shown under Percentage Payable in the Schedule of Benefits. No benefits will be paid in excess of the Maximum Benefit Amount or the "Benefit Limits" of the Plan. Maximum Benefit Amounts The Maximum Benefit Amount is shown in the Schedule of Benefits. It is the total amount of benefits that will be paid under the Plan for all covered charges incurred by a Covered Person Lifetime, while covered .... ...... ............................ ........... ...... .......... .... ......... ......$2,000,000 There are other maximums on individual benefits. These follow under Benefit Limits. Schedule of Benefits % Co-Pay Co-Payor Benefit Payable % Payable or Co-Ins Co-Ins Benefit Type Limits PPO Non-PPO PPO NonPPO Acupuncture! 52 visits 90% 70% 10% 30% combined with chiropractic Ambulance:l Per trip 90% 90% 10% 10% max ChiropracticJ 52 visits 90% 70% $10 30% combined with acupuncture Durable Medical 90% 70% 10% 30% Equipment4 Emergency Room' 90% 70% $50/10% 30% Home Health Careo 100 visits 900J'o 700fo 10% 30% per year Hospice Care I $15,000 per 90% 700fo 1 OOJ'o 300.10 lifetime Hospital CarelServices6 90% 70% 10% 30% Immunizations'J 100% 700fo $10 30% Page 20 of 95 % eO-Pay . Co-Payor Benefit Payable % Payable or Co-Ins Co-Ins Benefit TYDe Limits PPO Non-PPO PPO NonPPO Injury to or Care of 90% 70% l00A. 30% Mouth, Teeth & Gums10 Mastectomyll 90% 7 WA>> 10% 30% Mental Health- 30 dayslyr 90% 70% l00A. 30% Inpatientl2 Mental Health-Outotll 100% 70% $10 30% Occupational Therapyl-' $1,500/yr 90% 70% 10% 30% Or~an Transplantl4 100% 70% $10 30% Other Medical Services 90% 70% lOOA. 30% & Supplies1S Out of Area Medical 800,10 80% 200,10 200,10 Emer~encies Outpatient Care & 90% 70% 100,10 30% Services Physical TherapylO $1,500/yr 90% 70% 10% 30% Physician 90% 70% 10% 30% CarelServices17 Physician's Office 100% 70% $10 30% Visitl8 Pregnancy-Employee, 90% 70% 10% 30% Spouse or Covered Childl9 ProstheticslOrthoticszu 90% 70% 10% 30% Wellness Program Care 100% SOOA. -0- 200,10 (See Wellness Program Guidelines) Child Wellness Program 100% 80% -0- 20% Care (See Wellness Program Guidelines )21 Wellness Program 100% 80% -0- 200,10 Testing (See Wellness Program GUideIineS)21 Second Surgical 100% 100% -0- -0- Opinion22 Skill~l~ursing 100 days 90% 70% 10% 30% Facilit 3 Substance Abuse $20,000 90% 70% 10% 30% Treatment-Inpatien~ lifetime Substance Abuse Included 100% 70% up to $75 $10 30% Treatement-Outof4 Above Ur~ent Care Center 100% 70% $10 300,10 Page 21 of95 .J .J ..J \. \., -.. Covered Charges Covered charges are the Usual and Reasonable Charges that are incurred for the following items of service and supply. These charges are subject to the "Benefit Limits" of this Plan. A charge is incurred on the date that the service or supply is performed or furnished. WeUness Program Guidelines Plan Participants are encouraged to be proactive in seeking out medical testing and wellness information for the prevention and early diagnosis of potential illnesses. It is the Plan Participant's responsibility to meet the Wellness Program Guidelines in order to qualify for the lower co-pays, deductibles, and out of pocket maximums. The Wellness Program's two-tier structure will become effective January 1,2008. There is no change to current benefit levels prior to that date. Well care and wellness testing will be paid at 100% for PPO providers and at 80% for non-PPO providers, and will not be subject to the annual deductible. If a participant's physician recommends a more frequent exam and/or testing than the frequency described herein, due to medical history or physical e~ such extra exams and/or testing will not be paid at 100%, but will be paid at the applicable PPO or Non-PPO benefit level for regular medical care. If a participant's physician states that due to health history and/or exam, a particular test or exam is not needed as :frequently as is indicated herein, the participant must have the physician put such recommendation in writing and submit it to the Plan's Claims Administrator no later than the last day of the Calendar Year, so that there is no reduction in benefits for the following year. Benefit levels for new employees hired between January 1st and June 30th, and their dependents, or new Adult Dependents, will be at the lower deductibles, co-pays, and out- of pocket maximums until January 1st of the following year. During this time, the employee and/or their dependents must meet the Wellness Program Guidelines. Benefit levels for new employees hired between July 1st and December 31 st, and their dependents or new Adult Dependents, will be at the lower deductibles, co-pays, and out-of-pocket maximum until January 1 st following their one-year anniversary. During this time period, the employee and/or their dependents must meet the Wellness Program Guidelines. Any new employees and/or their dependents failing to meet the deadlines as stated above, will then be subject to the higher deductibles, co-pays, and out-of pocket maximums for the subsequent calendar year. The annual/bi-annual physical exams that are cmrently required for employees possessing a commercial license and/or who wear respirators, will be replaced by the full physical exams that are part of the Wellness Program Guidelines. The table below summarizes the We11ness Progmm Guidelines that are to be followed in order to qualify for the lower deductible, co-pay and out of pocket maximums: Page 22 of 95 Wellness Prolmlm Guidelines ..,J Child WeOness Guidelines Children through 18 years of age shall receive a minimum of one annual physical exam, and young children may receive more than one well-child ex~ up to the Frequency Limits listed below. Benefit is payable at 100% with no deductible or co-pay for PPO Providers and 80010 payable for non-PPO providers. Coverage includes the following routine services, as recommended by the physician: 1. Physical Exam 2. Laboratory blood tests 3. Urinalysis 4. X-rays 5. Immunizations (See Immunization Requirements, below) WeD Child Care Calendar Year ..,J Child Immunization Reauirements (Per CB.FeBt 2006 CDC Recommendations Immunization 18t Dose 2Da Dose 3ra Dose 4m DoselBooster Diptheria, 2 months 4 months 6 months Between 15 and 18 months. Can Tetanus, Pertussis be given as early as 12 months (DTPIDTaP) as long as 6 months have passed since third dose. Fourth dose should be given at the latest between 4-6 years. Tetanus and If If If 11-18 years: One booster dose if Diptheria (Td) previously previously previously the child has completed the completed completed completed DTPIDTaP series and has not yet received a booster for any reason. Hepatitis A 12 months 23 months Nla (Hep A) Given at least 6 months apart Hepatitis B Birth 1-2 months 6-18 2-18 years: Three dose series (Hep B) months given to all children under 18 who didn't get the vaccine as infants J Page 23 of 95 ~ \.. ~ Immunization lit Dose 280 Dose 3nl Dose 418 DoseJBooster H. influenzae type 2 months 4 months 6 months b (Rib) or between 12-15 months MeaslesIMumps, Between One month N/a Second dose is typically given Rubella (MMR) 12-15 after fll'St between 4-6 years, and should months dose be given by 11-12 years at the lastest. Pneumococcus 2 months 4 months 6 months 12-15 months (PCV7) Chickenpox 12-24 N/a N/a Can be given up to age 13 in a (Varicella, Var) months child who has not contracted chickenpox Rotavirus (RV) 2-3 months 4-10 weeks 6-8 months All three doses should be given after the no later than 8 months. first dose Polio (IPV) 2 months 4 months Between 6- Between 4-6 years Injectable Polio 18 months Vaccine Meningococcal Age 13-15 Age 18 Ad ItW Un P G od liD u e ess ro !!:ram we es Exam, Test or Procedure Frequency 18-25 26-39 40-49 50-64 65+ Physical Exam, including abdomen, breasts, heart, Annually height, weight, neck, X X X X X pelvic, rectal, testicles & groin, vision/color, hearing (forced whisper) Blood Pressure Annually X X X X X Rectal Exam Annually X X X X X Rectal Exam of Prostate Annually X X X Hemoccult (Stool occult Annually X X X blood) Blood Test & Urinalysis Every 5 years X X Fasting chemistry panel Every 2 years X Annually X X Complete Lipid Profile Every 3 Years X X Thyroid-Stimulating Every 3 years X X Hormone (TSH) TB Skin/Quantiferon Test Every 5 years X X X X X Page 24 of 95 , " Exam. Test or Procedure FrequeKY 18--25 26-39 40-49 50-64 65+ Baseline Age 30 EKG Every 4 years X Every 3 years X X Colonoscopy Every 10 years X X Bone Mineral Density Test Every 3 yrs post X X Women menopausal Men At least One X Women Only Pap/Pelvic Annually X To 30 Every 2 years 31+ X X Mammogram Baseline 35-39 Every 2 years X Annually X X HPV immunization series Ages 19-26 X To 26 Men Only PSA Blood Test Annually X X Testicles & Groin Exam Every 3 years X X Adult Immunization Guidelines an accordance with Cal'feBt 2006 CDC Recommendations) Immunization Frequency or Booster Diptheria & Tetanus Toxoid Every 10 years at 30, 40, 50, 60, etc Influenza (flu) Annually if over 65 Pneumovax (pneumonia shot) Once over age 65 Page 25 of 95 ..J .J ..J ~ ~ 6. \.,. Notes for Schedule of Benefits Benefit Descriptions & Benefit Limits 1. Acupuncture: PPO is payable at 900A and Non-PPO is payable at 7OOA, up to a maximum of 52 visits per Calendar Year, combined with Chiropractic services. 2. Ambulance: Covered Charges are for local Medically Necessary professional land or air ambulance service. A charge for this item will be a Covered Charge only if the service is to the nearest Hospital or Skilled Nursing Facility where necessary treatment can be provided, or the transfer from a non-PPO hospital to a PPO hospital. if approved by Universal Health Network. l>ut iB &:BY eveRt, Be more tlteB SO miles from the plaee sf piekup, UBless 1M PIaB .A..ElsHBistfater fiftds a loager trip ~1:8B Medieally Neeessary. ;\selaBee Seniee is limited to the U8U8:l8Be! ReeseBableGftafge per Trip. The Per Trip Maximum for Ambulance Services is paid at 90% subjeet to tile tJeual &:Be! R-ea58B:aMe Charge. 3. Chiropractic: PPO is payable at 90% and non-PPO is payable at 70% up to a maximum of 52 visits per Calendar Year, combined with Acupuncture services. Spinal manipulation/Chiropractic services will be paid as shown in the Schedule of Benefits, but does not include massage therapy. 4. Durable Medical Equipment: Covered charges include rental of durable medical or surgical equipment if deemed Medically Necessary up to the amount of purchase price. These items may be bought rather than rented, but only if agreed to in advance by the Plan Administrator. 5. Emergency Room: If emergeaey e8fe is a_eEl, ge te tile Be8fest medieel faeility. CS~Ief8ge fer emergeaey eare is a"l8ilable 7 days a week, 24 haUlS a day. For Non-Emergency visits to the Emergency Room, a $50 co-pay will be charged in addition to the regular Calendar Year deductible before benefits are paid at either 90% (PPO) or 700Al (Non-PPO). For Emergency visits, or if the Covered Person is admitted directly from the emergency room to the Hospital because of a Medical Emergency, this $50 co-payment will be waived and the Plan will apply only the Calendar Year deductible before paying benefits at either 90% or 70%. Medical Emergency means a sudden onset of a condition with acute symptoms requiring immediate medical care and includes, but is not limited to, such conditions as heart attacks, cardiovascular accidents, poisonings, loss of consciousness or respiration, convulsions or other such acute medical conditions. Home Health Care Services and Supplies: Home Health Care benefits payable are limited to a Calendar Year maximum of 100 visits. Charges for home health care services and supplies are covered only for care and treatment of an Injury or Sickness when Hospital or Skilled Nursing Facility Page 26 of 95 confmement would otherwise be required. The diagnosis, care and treatment . .. must be certified by the attending Physician and be contained in a Home Health .." Care Plan. Benefit payment for nursing, home health aide and therapy services is subject to the Home Health Care limit shown in the Schedule of Benefits. A home health care visit will be considered a periodic visit by either a nurse or therapist, as the case may be, or four hours of home health aide services. 7. Hospice Care Services and Supplies: The Benefit payment Limit for Hospice Care is limited to $15,000 per Lifetime. Charges for hospice care services and supplies are covered only when the attending Physician has diagnosed the Covered Person's condition as being terminal, determined that the person is not expected to live more than six months, and placed the person under a Hospice Care Plan. 8. Hospital Care and Services: The Daily Limit for Hospital Room and Board is the semi~private room rate. The Daily Limit for the Intensive Care Unit is the Hospital's ICU charge. The Daily Limit for Skilled Nursing Facility is the facility's Usual and Reasonable Charge, with a maximum number of 100 days payable per Calendar Year. Covered charges include the medical services and supplies furnished by a Hospital or Ambulatory Surgical Center or a Birthing center. Covered charges for room and board will be payable as shown in the Schedule of Benefits. After 23 observation hours, a confinement will be considered an inpatient confinement. J Room charges made by a Hospital having only private rooms will be paid at 80% of the average private room rate. The 20% coinsurance paid by the Employee will count toward the out-of-pocket maximum. 9. Immunizations: Immunizations received by a PPO are paid at 1000.10. Immunizations received from a Non-PPO are payable at 70%. 10. Injury to or Care of Mouth, Teeth and Gums: Charges for injury to or care of the mouth, ~ gums and alveolar processes will be covered charges under Medical Benefits only if that care is for the following oral surgical procedures: A. Excision of tumors and cysts of the jaws, cheeks, lips, tongue, roof and floor of the mouth. B. Emergency repair due to Injury to sound natural teeth. This repair must be made within 12 months from the date of an accident and the accident must have occwred while the person was covered under the Plan. .J Page 27 of 95 -... c. Surgery needed to correct accidental injuries to the jaws, cheeks, lips, tongue floor and roof of the mouth when the Injuries occurred while covered under the Plan. D. Excision of benign bony growths of the jaw and bard palate. E. External incision and drainage of cellulitis. F. Incision of sensory sinuses, salivary glands or ducts. G. Removal of impacted teeth. No charge will be covered under Medical Benefits for dental and oral surgical procedures involving orthodontic care of the teeth, periodontal disease and preparing the mouth for the fitting of or continued use of dentures. 11. Women's Health and Cancer Rights Act. Under the Women's Health and Cancer Rights Act, a group health plan participant or beneficiary who is receiving benefits in connection with a mastectomy, and who elects breast reconstruction in connection with the mastectomy is entitled to coverage for the following: \., A. Reconstruction of the breast on which the mastectomy has been performed; B. Surgery and reconstruction of the other breast to produce a symmetrical appearance; and c. Prostheses and treatment of physical complications at all stages of mastectomy, including lymphedemas. Coverage for these benefits Of services will be provided in a manner determined in consultation with the participant's attending physician. Additionally, coverage for the mastectomy-related benefits or services required under the Women's Health Law will be subject to the same deductibles and coinsurance or co- payment provisions that apply with respect to other medical or surgical benefits provided under the group medical plan. Your rights to benefits in this Plan are subject to amendment, modification, or termination in accordance with the Plan Eligibility and Participation Section of this Plan, and the applicable provisions. Any amendment, modification or termination of a Program will also be an amendment, modification or termination of this Plan. \.. 12. Mental Health Inpatient and Outpatient: Covered charges for care and treatment of Mental Disorders will be limited as follows: Page 28 of 95 A. All treatment is subject to the benefit payment maximums shown in the Schedule of Benefits. B. Physician's visits are limited to one treatment per day. .J C. Psychiatrists (.M.D.), psychologists (ph.D) or counselors (MFCC, LCSW) may bill the Plan directly. Other licensed mental health practitioners must bill the Plan through these professionals. Inpatient Mental Health - PPO or Non-PPO is limited to 30 days per Calendar year and 60 days per lifetime. D. Outpatient mental health co-payment is applied per office visit. Non-PPO outpatient treatment is limited to 66 visits per Calendar Year. Outpatient charges for Mental Disorders will not be counted in accumulating covered charges toward the 100% payment percentage of other charges, nor will outpatient charges be subject to the lOOO!c. payment. 13. Occupational Therapy: Benefit payable is limited to $1,500 per Calendar Year. Covered charges include occupational therapy performed by a licensed occupational therapist. Therapy must be ordered by a Physician, result from an Injury or Sickness that occurred while covered under the Plan and improve a body function. Covered expenses do not include recreational programs, maintenance therapy or supplies used in occupational therapy. .J 14. Organ Transplant - Covered Transplant Procedures: Organ and tissue transplants are covered except those which are classified as "Experimental and/or Investigational". Percentage payable in a network facility is 1 00%. Percentage Payable in a Non-Network Facility is 70% with an Unlimited Maximum Out-Of-Pocket. Charges for the reasonable travel expenses of the Covered Person's immediate family to the designated transplant facility will be covered when pre..authorized, up to a maximum of $10,000 per transplant. OrRan TransDlant Covetalle Limits Charges otherwise covered under the Plan that are incurred for the care and treatment due to an organ or tissue transplant are subject to these limits: A. Charges made by a Hospital or a Physician's fee for organ transplants are treated as covered charges when incurred as a recipient only, except as provided below. B. Covered charges will be paid at lOOO!c. for transplants done at a designated transplant facility. Covered charges for transplants performed at a non- ..J Page 29 of95 ~ network facility will be paid at 700fct and such non-network charges are subject to an unlimited maximum out-of-pocket limit c. Charges made by a Hospital or a physician's fee for a donor will be paid at 100% if the organ transplant is performed at a designated transplant facility and such charges are pre-authorized. When the donor bas medical coverage, his or her plan will pay first. The benefits under this Plan will be reduced by those payable under the donor's plan. Donor charges include those for: . Evaluating the organ; . Removing the organ from the donor; and . Transportation of the organ from within the United States and Canada to the place where the transplant is to take place. D. The Plan covers a Covered Person's charges as a donor, only when the recipient is either an immediate family member of the Covered Person, or is also a Covered Person. Immediate family is defined as mother, father, natural or adopted child, grandparent, grandchild, brother or sister. Such donor charges will be paid at 100% if the organ transplant is done at a designated transplant facility and such charges are pre-authorized by Hometown Health Providers. ~ 15. Other Medical Services and Supplies: These services and supplies not otherwise included in the items above are covered as follows: A. Anesthetic; oxygen; blood and blood derivatives that are not donated or replaced; intravenous injections and solutions. Administration of these items is included. B. Cardiac rehabilitation as deemed Medically Necessary provided services are rendered (a) under the supervision of a Physician; (b) in connection with a myocardial infarction, coronary occlusion or coronary bypass surgery; (c) initiated within 12 weeks after other treatment for the medical condition ends; and (d) in a Medical Care Facility as defined by this Plan. C. Radiation or Chemotherapy and treatment with radioactive substances. The materials and services of technicians are included. D. Initial contaet lenses or glasses required following cataract surgery. E. Laboratory Studies \., F. Prescription Drugs (as defined). Page 30 of 95 G. Private. Duty Nundng Care. The private duty nursing care by a licensed nurse (R.N., L.P.N., or L.V.N.). Covered charges for this service will be included to this extent: J . Inpatient Nuning Care. Charges are covered only when care is Medically Necessary or not Custodial in nature and the Hospital' s Intensive Care Unit is filled or the Hospital has no Intensive Care Unit. . Outpatient Nursing Care. The only charges covered for Outpatient nursing care are those shown below, under Home Health Care Services and Supplies. Outpatient private duty nursing care on a shift-basis is not covered. . Smoking Cessation. Costs for medically supervised classes and/or cessation supplies to a maximum of three programs per participant lifetime. Proof of mandatory attendance shall be provided to the Claims Administrator (firsT- :\4miBiMtem). H. Speech Therapy by a licensed speech therapist. Therapy must be ordered by a Physician and follow either: (i) surgery for correction of a congenital condition of the oral cavity, throat or nasal complex (other than a frenectomy) of a person born while covered under the Plan; (ll) an Injwy; or (iii) a Sickness that is other than a learning or Mental Disorder. J I. Sterilization procedures. J. Surgical dressings, splints, casts and other devices used in the reduction of fractures and dislocations. K. Diagnostic x-rays. 16. Physical Therapy: Covered charges are for physical therapy by a licensed physical therapist. The therapy must be in accordance with a Physician's exact orders as to type, frequency and dmation and to improve a body function. If recommended and prescribed by a Physician due to Medical Necessity as a result of serious illness, physical therapy performed by a certified exercise trainer may be payable upon written request to the Plan Administrator. Physical Therapy benefits payable are limited to $1,500 per Calendar Year. Physical Therapy Annual Maximum may be extended to a maximum of $2,400 per Calendar Year due to lumbar or cervical spinal stenosis, if Physical Therapy benefits are used in lieu of Occupational Therapy benefits. .J Page 31 of95 -. Physical Therapy Annual Maximum may be extended to a maximum of 20 visits up to $1,725.00 per Calendar Year when medically necessary and pre-authorized by HHP, for the treatment of chrondromalacia patellae. Physical Therapy Annual Maximum may be extended to a maximum of $3,000 per year due to anterior lumbar discectomy and interbody fusion followed by posterior decompression and fusion with instrumentatio~ when medically necessary and pre-approved hy HHP, if Physical Therapy benefits are used in lieu of Occupational Therapy benefits. 17. Physician Care. The professional services of a Physician for surgical or medical services. Covered charges for Physician Care and Services includes services received in office; other than office visit charge, Inpatient ServiceslTreatment, Outpatient Serviceslfreatment and Surgical ServiceslProcedures. 18. Physician's Office Visit: Co-pay applies to Physician's Office Visit only. All other services provided in physician's office are payable at 90% after satisfying deductible, unless specified elsewhere in the Plan. The Plan covers only one office visit charge per visit to the physician's office. \., 19. Pregnancy Benefits: For Normal Delivery - 48 hour inpatient hospital stay is approved. For Caesarean Section: 96-hour inpatient hospital stay is approved. A shorter length of stay may be approved if the decision is made by participant and attending physician. The Usual and Reasonable Charges for the care and treatment of Pregnancy are covered the same as any other Sickness for covered Employee, covered Spouse or Dependent child. Group health plans and health insurance issuers offering group insurance coverage genera1ly may not, under Federal law (the Newborns' and Mothers' Health Protection Act of 1996 (NMHPA)) restrict benefits for any hospital length of stay in connection with childbirth for the mother or newborn child to less than 48 hours following a normal vaginal delivery, or less than 96 hours following a caesarean section, or require that a provider obtain authorization from the plan or the insurance issuer for prescribing a length of stay not in excess of the above periods. 20. Prosthetics/Orthotics: Benefits are payable for covered charges for the initial purchase, fitting, repair and replacement of fitted prosthetic devices which replace body parts or for the initial pmchase, fitting, repair and replacement of orthotic appliances such as braces, splints or other appliances which are required for support for an injured or deformed part of the body as a result of a disabling congenital condition or an Injury or Sickness that occurred while covered under the Plan. \. 21. Charges for ChDd WeDness Program Care. Routine well newborn nursery care is room, board and other normal care for which a Hospital makes a charge. Page 32 of95 The Usual and Reasonable Charge made by the Hospital for routine nursery care ..,J provided as shown below after the newborn child's birth will be considered as covered charges under the Plan. This coverage is only provided if a parent is a Covered Person who was covered under the Plan at the termination of the Pregnancy and the newborn child is an eligible Dependent and is neither injured nor ill. Charges for Wellness Program Care. The benefit is limited to the Usual and Reasonable Charges made by a Physician for the first pediatric visit to the newborn child after birth while Hospital confined. 22. Second Surgical Opinion: Deductible is waived and benefit is payable at 100% for second surgical opinion. 23. Skilled Nursing Facility Care. The room and board and nursing care furnished by a Skilled Nursing Facility will be payable if and when: a The patient is confined as a bed patient in the facility; b. The attending Physician certifies that the confinement is needed for further care of the condition that caused the Hospital confinement; and .J c. The attending Physician completes a treatment plan which includes a diagnosis, the proposed course of treatment and the projected date of discharge from the Skilled Nursing Facility. d. Covered charges for a Covered Person's care in these facilities is limited to the covered daily charge limit shown in the Schedule of Benefits and for other charges incurred for necessary medical care on a day for which Room and Board benefits are payable. Covered services are limited to the first 100 days of confinement each Calendar Year. 24. Substance Abuse Inpatient and Outpatient: Covered charges for care and treatment of Substance Abuse will be limited as follows: a. All treatment is subject to the benefit payment maximums shown in the Schedule of Benefits. b. Physician's visits are limited to one treatment per day. .J Page 33 of95 '-' c. Psychiatrists (M.D.), psychologists (ph.D) or counselors (MFCC, LCSW) may bill the Plan directly. Other licensed mental health practitioners must bill the Plan through these professionals. d. Inpatient Substance Abuse Treatment limited to $10,000 maximum per Calendar Year, for PPO and Non-PPO. Lifetime maximum for inpatient and outpatient Substance Abuse treatment combined is $20,000. e. Outpatient Substance Abuse Treatment is paid at 100% after $10 co-pay for PPO, and limited to $10,000 maximum per Calendar Year for PPO or Non-PPO. Non-PPO outpatient Substance Abuse Treatment is paid at 70% up to a maximum of $75 per visit. Outpatient charges for Substance Abuse will not be counted in accumulating covered charges toward the 100% payment percentage of other charges, nor will Non-PPO outpatient charges be subject to the 100% payment. ~ \.., Page 34 of 95 Prescription Drat! Benefit ..J In an effort to reduce the costs of the prescription drug plan, effective January 1, 2007, the following changes will be implemented to the Prescription Drug Plan, so that Plan Participants can have control over how much they spend on prescription medications, thereby assisting the Plan in controlling costs as well. Pharmacy Drug Charge Participating pharmacies have contracted with the Plan to charge Covered Persons reduced fees for covered Prescription Drugs. PhanBaCare Maaagemen.t Servioes, IDe:, Catalyst RX is the administrator of the pharmacy drug plan effective January 1. 2008. Co-Payment The co-payment is applied to each covered pharmacy drug charge and is shown in the Prescription Drug Plan Schedule of Benefits. The co-payment amount is not a covered charge under the Medical Plan. Anyone prescription is limited to the greater of a 30-day supply or a l00-writ dose. If a drug is purchased from a non-participating pharmacy, or a participating pharmacy when the Covered Person's ID card is not used, the amount payable in excess of the co-payment will be the ingredient cost and dispensing fee. .J Mail Order Drug Benefit Option The mail order drug benefit option is available for maintenance medications (those that are taken for long periods of time, such as drugs sometimes prescribed for heart disease, high blood pressure, asthma, etc). Because of volume buying, PhermaCare Ma8agemeBt SetViees, me., ill ees.jUBetiOB with PhermaC8fe Difeet, the mail order pharmacy, is able to offer Covered Persons significant savings on their prescriptions. Co-Payment The co-payment is applied to each covered mail order prescription charge and is shown in the Prescription Drug Plan Schedule of Benefits. It is not a covered charge under the Medical Plan. Anyone prescription is limited to the greater of a 90-day supply or a 300-writ dose. ..J Page 35 of95 ~ Prescription Drug Benefit Schedule of Benefits Brand Name when no generic available, or when noted Bledieally Deeessary Purchase Generic Brand Name "Dispense as Location (Generic Available) Written" for Brand Name Retail Pharmacy See Note (1) $5.00 $45.00 $5.00 Mail Service for Maintenance Medication (See $10.00 $75.00 $10.00 Note (2) Retail Pharmacy for Maintenance $20.00 $75.00 $20.00 Medication \.,. Notes: (1) (2) Retail Pharmacy is for short-term use; l00-unit dose or 30 day supply or if prescription is unavailable by mail service Maintenance Medication is a 90 day supply or a 300 unit dose, is taken longer than 60 days for a long term or chronic condition, and is purchased through the mail order service. A maintenance medication does not require frequent dosage adjustments, and is prescribed to treat a long-term condition such as birth control or chronic condition such as arthritis, diabetes and/or high blood pressure. Ask your physician if you will be taking a prescribed medication longer than 60 days. If you purchase a maintenance medication at a retail pharmacy after the second (2~ fill, you will be charged the applicable Retail Pharmacy Maintenance Service co-payment described above for the usual 30 day, 100 unit dose retail prescription. Covered Prescription Drugs 1. -. All drugs prescribed by a Physician that require a prescription either by federal or state law, except injectables. The following injectables will be covered: Insulin, Imitrex, Glucagon, Copaxin for multiple sclerosis, Enbrel for the treatment of psoriasis and/or rheumatoid arthritis, Injectable DHE for migraines, injectable Depo- Testosterone and prescribed Bee Sting Kits for allergic Covered Persons. Page 36 of 95 2. All compounded prescriptions containing at least one prescription ingredient in a therapeutic quantity. .J 3. Insulin when prescribed by a Physician. 4. Retin-A, when Medically Necessary for persons over the age of 19. 5. Gleevec for treatment of Chronic Myeloid Leukemia (CML). 6. Ritalin for treatment of Narcolepsy. 7. Strattera, when Medically Necessary for persons over the age of 19, for the diagnosis of Attention Deficit Disorder. Limits to this Benefit This benefit applies only when a Covered Person incurs a covered Prescription Drug charge. The covered drug charge for anyone prescription will be limited to: 1. Refills only up to the number of times specified by a Physician. 2. Refills up to one year from the date of order by a Physician. ..J Expenses Not Covered This benefit will not cover a charge for any of the following: 1. A charge excluded under Medical Plan Exclusions. 2. A drug or medicine that can legally be bought without a written prescription. This does not apply to injectable insulin. 3. Devices of any type, even though such devices may require a prescription. These include (but are not limited to) therapeutic devices, artificial appliances, braces, support garments, or any similar device. 4. Immunization agents or biological sera. 5. A drug or medicine labeled: "Caution -limited by federal law to investigational use". 6. Experimental drugs and medicines, even though a charge is made to the Covered Person. 7. Any charge for the administration of a covered Prescription Drug. ..,J Page 37 of 95 \., 8. Any drug or medicine that is consumed or administered at the place where it is dispensed, 9. A drug or medicine that is to be taken by the Covered Person, in whole or in part, while Hospital confined. This includes being confined in any institution that has a facility for the dispensing of drugs and medicines on its premises. 10. A charge for Prescription Drugs which may be properly received without charge under local, state, or federal programs. 11. A charge for hypodermic syringes and/or needles, injectables or any prescription directing administration by injection (other than ins. Imi1re'4 Glucagon, Copaxin, or prescribed Bee Sting Kits for allergic Covered Persons). 12. A charge for Prescription Drugs for smoking cessation (i.e., nicotine gum), except for a medically supervised program including prescription for Chantix. up to three programs per participant lifetime. 13. A charge for infertility medication. \.., 14. A charge for smoking deterrent patches. 15. A charge for Crinone will not be covered, unless prescribed for the purpose of assisting in the continuation of an existing pregnancy. New FDA approved drugs are evaluated by our pharmacy benefit management company. Oversight and final approval are given by the pharmacy benefit manager and the Plan Administrator. Some drugs may have dispensing limits which are primarily based on FDA recommendations. '-' Page 38 of95 ~ntal Benefits Calendar Year Deductible for Class B (Basic) and Class C (Major) Serviees Per person............................................................................................................... ..$25 .00 Per FaInily Unit..... ............ ............... ................................ ...................................... ..$50.00 Dental Percentage Payable Class A Services - Preventive .......................................................100% (No Deductible) Class B Services - Basic................................................................... 800.10 after deductible Class C Services - Major .................................................................. 80% after deductible Participants and their families are encouraged to obtain their routine dental exams and cleanings twice per year, with the goal of reducing the number of Basic and Major dental services needed and utilizing the Plan in a cost effective manner. The District's self- insured plan therefore implements this Preventive Dental Program to provide incentives to employees to obtain preventive dental care. P tiv D tiP reven e en a r02l1lm Cl:lITeBt 2007 Dental Preventive Dental Program Preventive Dental Program Benefits Payable Guidelines Followed Guidelines Not Followed Preventative (Exam & Preventive - 3 or 4 Oral Minimum of 3 oral exams Cleaning) Exams & Cleanings every 6- and cleanings not received Paid at 100%, with No 8 months during the previous during the previous two year Deductible two-year period (JaR 2Q06 period (JeB 2006 Je 20gB). J882OO8) Each exam/cleaning paid at 100% with no deductible 100% with no deductible Basic Dental Services (as Basic Dental Services as Basic Dental Service as defined below) defined below defined below continued to ,.. .. Paid at 80% Continued to be paid at 80% be paid at 80% Major Dental Services as If follow above preventive, If preventive not followed defmed below - elil'fefttly Major dental services will be Major services will be paid at Paid at 80% paid at 80%. Participants 50%. with full dentures need only obtain one oral exam prior to January 2008 and then one oral exam per year thereafter, to qualify for the 80% benefit for Major servIces. Page 39 of 95 ..,J .J ..J .... \., \.,. Exams and cleanings will be an on-going requirement in order to maintain the 8001'0 rate for Major dental work. New hires only: No benefits are payable for Class C (Major) Services in the first 12 months of the Covered Person's coverage under the Plan. Maximum Benefit Amount Per Person per Calendar Year ..................................................................................$2,000 This benefit applies when covered dental charges are incurred by a person while covered under this Plan. Deductible Deductible Amount: This is an amount of dental charges for which no benefits will be paid. Before benefits can be paid in a Calendar Year, a Covered Person must meet the deductible shown in the Schedule of Benefits. Family Unit Limit: When the dollar amount shown in the Schedule of Benefits has been incurred by members of a Family Unit toward their Calendar Year deductibles, the deductibles of all members of that Family Unit will be considered satisfied for that year. Benefit Payment Each Calendar Year benefits will be paid to a Covered Person for the dental charges in excess of the deductible. Payment will be made at the rate shown under Dental Percentage Payable in the Schedule of Benefits. No benefits will be paid in excess of the Maximum Benefit Amount. Dental Charges Dental charges are the Usual, Customary and Reasonable Charges made by a Dentist or other Physician for necessary care, appliances or other dental material listed as a covered dental service. A dental charge is incurred on the date the service or supply for which it is made is performed or furnished. However, there are times when one overall charge is made for all or part of a course of treatment In this case, the Claims Administrator will apportion that overall charge to each of the separate visits or treatments. The pro rata charge will be considered to be incurred as each visit or treatment is completed. Page 40 of 95 C-overed Dental Serviees ..,J Class A Services: ................................. Preventive and Diagnostic Dental Procedures The limits on Class A Services are for routine services. If dental need is present, this Plan will consider for reimbursement services performed more frequently than the limits shown. 1. Routine oral exams. This includes the cleaning and scaling of teeth. Limit of two exams per Covered Person each Calendar Year. 2. One bitewing x-ray series every Calendar Year. 3. One full mouth x-ray every five Calendar Years. 4. One fluoride treatment for covered Dependent children under age 19 each Calendar Year. 5. Dental sealants for covered Dependent children under age 19. 6. Space maintainers for covered Dependent children under age 19 to replace primary teeth. ..j 7. Emergency palliative treatment for pain. Class B Serviees: .....................................................................Basie Dental Proeedures 1. Dental x-rays not included in Class A. 2. Oral surgery. Oral surgery is limited to removal of~ preparation of the mouth for dentures and removal of tooth-generated cysts of less than ~ inch. 3. Periodontics (gum trea1ments) 4. Endodontics (root canals). 5. Extractions. This service includes local anesthesia and routine post-operative care. 6. Recementing bridges, crowns, or inlays. 7. Fillings, other than gold. .J Page 41 of95 \., \., \. 8. General anesthetics, upon demonstration ofMedica1 Necessity. 9. Antibiotic drugs. Class C Senriees..................................................................... Major Dental Proeedures 1. Gold restorations, including inlays, onlays and foil fillings. The cost of gold restorations in excess of the cost for amalgam, synthetic porcelain or plastic materials will be included only when the teeth must be restored with gold. 2. Installation of crowns. 3. Installing precision attachments for removable dentures. 4. Installing partial, full or removable dentures to replace one or more natural teeth that were extracted while the person was covered for this benefit. This service also includes all adjustments made during a six-month period following the installation. 5. Addition of clasp or rest to existing partial removable dentures. 6. Initial installation of fixed bridgework to replace one or more natural teeth which were extracted while the person was covered for these benefits. Initial installation of fixed bridgework will be covered for one or more natural teeth if the adult permanent teeth are missing due to congenital birth defect. 7. Repair of crowns, bridgework, and removable dentures. 8. Rebasing or relining of removable dentures. 9. Replacing an existing removable partial or full denture or fixed bridgework; adding teeth to an existing removable partial denture; or SliMing teeth to existing bridgework to replace newly extracted natural teeth. However, this item will apply only if one of these tests is met: A. The replacement or addition of teeth is required because of one or more natural teeth being extracted after the person is covered under these benefits. B. The existing denture or bridgework was installed at least five years prior to its replacement and cannot currently be made serviceable. Replacement. dentures will be allowed earlier than 5 years if deemed medically necessary due to dental oral health being compromised and the existing dentures cannot be made serviceable. Page 42 of 95 c. The existing denture is of an immediate temporary nature. Further, replacement by permanent dentures is required and must take place within 12 months from the date the temporary denture was installed. ..J 10. Night guards are covered for night grinding only. They are not covered for orthodontics. Voluntary Predetermination of Benefits Before starting a dental treatment for which the charge is expected to be $300 or more, a predetermination of benefits fonn should be submitted. A regular dental claim form is used for the predetermination of benefits. The covered Employee fills out the Employee section of the form and then gives the form to the Dentist. The Dentist must itemize all recommended services and costs and attach all supporting x-rays to the form. The Dentist should send the fonn to the Claims Administrator at this address: FirsTier f..ElmiBilHfatef&, IBe. P.O. BeI{ 19338 Rime, NV 895 11 (8QG) 892 4912 FaK: (775) 78ft 9ft37 .J CDS Group Health P.O. Box 50190 Sparks. NY 89435-0190 (800) 455-4236 The Claims Administrator will notify the Dentist of the benefits payable under the Plan. The Covered Person and the Dentist can then decide on the course of treatment, knowing in advance an estimate of how much the Plan will pay. Alternate Treatment Many dental conditions can be treated in more than one way. This Plan has an "alternate treatment" clause which governs the amount of benefits the Plan will pay for treatments covered under the Plan. If a patient chooses a more expensive treatment than is needed to correct a dental problem according to accepted standards of dental practice, the benefit payment will be based on the cost of the treatment which provides professionally satisfactory results at the most cost-effective level. .J Page 43 of95 \., ~ ~ For example, if a regular amalgam filling is sufficient to restore a tooth to health, and the patient and the Dentist decide to use a gold filling on any tooth, or a composite filling on posterior teeth, the Plan wiD base its reimbursement on the Usual, Customary and Reasonable Charge for an amalgam filling. The patient will pay the difference in cost. Exclusions A charge for the following is not covered: 1. Services that are excluded under Medical Plan Exclusions. 2. Services that, to any extent, are payable under any medical expense benefits of the Plan. 3. Services which are not included in the list of covered dental services. 4. Crowns for teeth that are restorable by other means or for the purpose of Periodontal Splinting. 5. Crowns, fillings or appliances that are used to connect (splint) teeth, or change or alter the way the teeth meet, including altering the vertical dimension, restoring the bite (occlusion) or are Cosmetic. 6. Implants, including any appliances and/or crowns which are actually implants and the surgical insertion or removal of implants and any expense specifically related to examination for or preparation for implants. 1. Replacement of lost or stolen appliances. 8. Orthodontic treatment and orthognatic surgery 9. Personalization of dentures. 10. Oral hygiene, plaque control programs or dietary instructions. Page 44 of95 M~I'M'D_ement Serviees ..J Medical Management Services Phone Number: HemetewB Health Pr-ev-iders Universal Health Network/Nevada Preferred Professionals (800) 336 0123 (800) 776-6959 The patient or family member must call this number to receive certification of certain Medical Management services. This call must be made at least 48 hours in advance of services being rendered or within 24 hours after an emergency. Any reduced reimbunement due to failure to follow medical management procedures will not accrue toward the 100% maximum out-of-pocket payment. Utilization Review Utilization review is a program designed to help ensure that all Covered Persons receive necessary and appropriate health care while avoiding unnecessary expenses. It is the Employee's or Covered Person's responsibility to make certain that the compliance procedures of this program are completed. To minimi7e the risk of reduced benefits, the Covered Person should contact Medical Management Services to make certain that the hospital or attending physician has initiated the necessary procedures. ..J Also, any prior authorization is not a guarantee of coverage. The Utilization Review Program is designed to determine whether or not a proposed course of1reatment is Medically Necessary and appropriate. Benefits under the plan will depend upon the person's eligibility for coverage and the Plan's limitations and exclusions. The Program Consists of: 1. Pre-certification of the Medical Necessity for the following non-emergency services before medical services are provided: Hospitalizations MRI (only on 2nd and any subsequent MRI in the calendar year, .L .. . ........ ... T! ~) CT; C}..T ge&ftB Home Health Care ";"" I . . , ~_ 4 .t:..~" .~ . 'T_ -, .L_J . n. ~... ...... . . ..I . , Outpatient surgical procedures performed in an ambulatory surgical center. hospital. or free- standinl! surl!ical center Durable Medical Equipment exceedinQ $3.000 Continued on next oat!'e .J Page 45 of 95 -., I~~~= . Prosthetics '-' \.,. 2. Retrospective Review of the Medical Necessity of the listed services provided on an emergency basis; 3. Concurrent Review, based on the admitting diagnosis, of the listed services requested by the attending Physician; and 4. Certification of Services and planning for discharge from a Medical Care Facility or cessation of medical treatment The purpose of the program is to determine: 1. The medical necessity of the care 2. The appropriate location for the care to be provided 3. If admitted to the hospital, the appropriate length of stay. If a particular course of treatment or medical service is not certified, it means that the Plan will not consider that course of treatment as appropriate for the maximum reimbursement under the Plan. In order to maTimi7.e Plan reimbunement, please read the following provisions carefully. Here's How the Program Works: Pre-Certification Before a Covered Person enters a Medical Care Facility on a non-emergency basis or receives other listed medical services, Medical Management Services will, in conjunction with the attending Physician, certify the care as appropriate for Plan reimbursement A non-emergency stay in a Medical Care Facility is one that can be scheduled in advance. The Utilization Review Program is set in motion by a telephone call from the Covered Person. Contact Medical Management Services at: HemetowB Health PrevideN (no) ]a, 0113 Universal Health Network/Nevada Preferred Professionals (800) 776-6959 at least 48 hours before the services are scheduled to be rendered, with the following information: Page 46 of 95 1. 2. 3. 4. 5. .J 6. 7. The name of the patient and relationship to the Covered Employee The name, Social Security Number and address of the Covered Employee The name of the Employer The name and telephone number of the attending Physician The name of the Medical Care Facility, proposed date of admission, and proposed length of stay The diagnosis and/or type of surgery The proposed rendering of listed medical services. If there is an emergency admission to the Medical Care Facility, the patient, patient's family member, Medical Care Facility or attending Physician must contact Hem.etevlB Health Pl'8"liders Universal Health Network within 24 hours of the first business day after the admission. If a Physician does not get pre-treatment authorization, or if a Covered Person does not follow these pre-certification procedures, benefit payment will be reduced by 50%. This reduction of benefits cannot be applied toward the deductible or out-of-pocket maximum. It is the Covered Person's responsibility to ensure that these procedures are followed. IF THE COVERED PERSON DOES NOT RECEIVE AUTHORIZATION AS EXPLAINED IN THIS SECfION, THE BENEFIT PAYMENT WILL BE REDUCED BY 50% ...J Concurrent Review; Discharge Planning Concurrent review of a course of treatment and discharge planning from a Medical Care Facility are parts of the utilization review program. Medical Management Services will monitor the Covered Person's Medical Care Facility stay or use of other medical services and coordinate with the attending Physician, Medical Care Facilities and Covered Person either the scheduled release or an extension of the Medical Care Facility stay or extension or cessation of the use of other medical services. If the attending Physician feels that it is Medically Necessary for a Covered Person to receive additional services or to stay in the Medical Care Facility for a greater length of time than has been pre-certified, the attending Physician must request the additional services or days. Second and/or Third Opinion Program Certain surgical procedures are performed either inappropriately or unnecessarily. In some cases, surgery is only one of several treatment options. In other cases, surgery will not help the condition. In order to prevent unnecessary or potentially harmful surgical ...i treatments, the second and/or third opinion program fulfills the dual purpose of protecting ."" the health of the Plan's Covered Persons and protecting the financial integrity of the Plan. Page 47 of 95 '" ~ \., Benefits will be provided for a second (and third, if necessary) opinion consultation to determine the Medical Necessity of an elective surgical procedure. An elective surgical procedure is one that can be scheduled in advance; that is, it is not an emergency or of a life-threatening nature. Benefits will be payable as described in the Schedule of Benefits. The patient may choose any board-certified specialist who is not an associate of the attending Physician and who is affiliated in the appropriate specialty. While &BY surgieal treatmeBt is aUsweti a sees&<! apiBi9B; the feUewiBg preeetlwes 8fe eMS fer '/:lhieh surgery is afteR perfermeel \.:hen ether veatmeats are a"JIJi:lilWe, &Bel wmeh RJflYiN a seeeBtl epHHes: . . r . 1'__11 .. ". ~ . 1'. J . . Pre state 9l:lrget')' SalpiBge eetHtefeetemy (reme....at of . . , ~ . L t_ . . . .. , 4-~... , , - ... .oJ A .. . ..... ,. _'\ -- . .:- . Please refer to the "Claims Procedures" section of this booklet for information on submitting and appealing a Medical Management decision. Page 48 of95 Case,'~nal!ement ~ The Case Management (eM) Program helps Members with serious Illnesses manage their health care. The goal of the eM program is to develop alternative treatment plans that will help the Member obtain the type of care needed outside of a Hospital setting. Members who choose to participate in the program are assigned a case mAnager to help coordinate care. Case Management is a process performed by H0met0Wll Health Universal Health Network Registered Nurses and Social Workers who coordinate services for members, both in the inpatient setting as well as services in the ambulatory setting. Many of these services require prior authorization to confirm benefit coverage and medical necessity. After an admission to a facility, }{ell\et(ylJB Heakk Universal Health Network Case Managers monitor the member's progress, with the attending physician, to assure the appropriate level of care is maintained and services utilized are delivered in a quality, cost-effective manner using national standards (Interqual criteria, Milliman & Robertson) and HometowB Healtli Universal Health Network custom community guidelines. These Case Managers work with the attending physician and community resources to develop a plan of treatment per the benefit level of the plan. Note: Case Management is a voluntary service. There are no reductions of benefits or penalties if the patient and family choose note to participate. Each treatment plan is individually tailored to a specific patient and should not be seen as appropriate or recommended for any other patient, even one with the same diagnosis. .J ..J Page 49 of 95 \... Plan Exclusions Note: All exclusions related to Prescription Drugs are shown in the Prescription Drug Plan. All exclusions related to Dental are shown in the Dental Plan. For all Medical Benefits shown in the Schedule of Benefits, a charge for the following is not covered: Abortion. Services, supplies, care or treatment in connection with an abortion unless the life of the mother is endangered by the continued Pregnancy or the Pregnancy is the result of rape or incest. Complications of non-covered treatments. Care, services or treatment required as a result of complications from a treatment not covered under the Plan, except when Medically Necessary due to complications arising out of previous surgery, up to $1,000 per Calendar Year and $2,000 while covered under the Plan. Cosmetic Services. Care and treatment provided for cosmetic reasons. This exclusion will not apply if the care and treatment is for repair or damage from an accident that occurred while the person was covered under the Plan. -..... Reconstroctive breast surgery following a Medically Necessary mastectomy is covered. Custodial Care. Services or supplies provided mainly as a rest cure, maintenance or Custodial Care. Educational or Vocational Testing. Services for educational or vocational testing or training. Excess Charges. The part of an expense for care and treatment of an Injury or Sickness that is in excess of the Usual, Customary and Reasonable Charge. Exercise Programs. Exercise programs for treatment of any conditio~ except for Physician prescribed and supervised programs, including cardiac rebabilitatio~ occupational or physical therapy covered by this Plan. Experimental or not MedicaJly Necessary. Care and treatment that is either ExperimentallInvestigational or not Medically Necessary. Eye Care. Radial keratotomy or other eye surgery to correct near-sigbtedness. Also, routine eye e~8U1in;:ltions, including refractions, lenses for the eyes and exams for their fitting. This exclusion does not apply to aphakic patients and soft lenses or sclera shells intended for use as corneal bandages. \.. Page 50 of 95 Foot Care. Treatment of~eak, strained, flat, unBtabIe or unbalanced feet, metatarsalgia j or bunions (except orthotics up to $200 per Calendar Year, and open. cutting operationsj, .." and treatment of corns, calluses or toenails (unless needed in treatment of a metabolic or peripheral-vascular disease). Government Coverage. Care, treatment or supplies furnished by a program or agency funded by any government. This does not apply to Medicaid or when otherwise prohibited by law. Hair Loss. Care and treatment for hair loss including wigs, hair transplants or any drug that promises hair growth, whether or not prescribed by a Physician. Hearing Aids and Exams. Charges for services or supplies in connection with hearing aids or exams for their fitting. Hospital Employees. Professional services billed by a Physician or nurse who is an employee of a Hospital or Skilled Nursing Facility and paid by the Hospital or facility for the service. Illegal Acts. Charges for services received as a result of Injury or Sickness caused by or contributed to by taking part in the commission of a felony. Infertility. Diagnosis, care and treatment for infertility, artificial insemination or in vitro .. j fertilization. .." Massage Therapy. Charges for any condition, except when prescribed by a Physician following trigger point injection treatment due to inflammation of the myofascia of the muscle. Such prescription sball designate type, frequency and duration of Medica1lly Necessary massage therapy. No Charge. Care and treatment for which there would not have been a charge if no coverage had been in force. Non-Emergency Hospital Admissions. Care and treatment billed by a Hospital for non~ Medical Emergency admissions on a Friday or a Saturday. This does not apply if surgery is performed within 24 hours of admi~ion. No Obligation to Pay. Charges incurred for which the Plan has no legal obligation to pay. No Physician Recommendation. Care, treatment, services or supplies not recommended and approved by a Physician; or treatment, services or supplies when the Covered Person is not under the regular care of a Physician. Regular care means ongoing medical supervision or treatment which is appropriate care for the Injury or Sickness. ..J Page 51 of95 \" Not Specified as Covered. Services, treatments and supplies which are not specified as covered under this Plan. Obesity. Care and treatment of obesity, weight loss or dietary control whether or not it is, in any case, a part of the treatment plan for another Sickness. Medically Necessary charges for Morbid Obesity will be covered. OccupationaL Care and treatment of an Injury or Sickness due to or aggravated by employment with any employer or self-employment. Penonal Comfort Items. Personal comfort items or other equipment, such as, but not limited to, air conditioners, air-purification units, humidifiers, electric heating units, orthopedic mattiesses, blood pressure instnnnents, scales, elastic bandages or stockings, nonprescription drugs and medicines, and first-aid supplies and non-hospital adjustable beds. ~ Relative Giving Services. Professional services performed by a person who ordinarily resides in the Covered Person's home or is related to the Covered Person as a Spouse, parent, chil~ brother or sister, whether the relationship is by blood or exists in law. Replacement Braces. Replacement of braces of the leg, arm, back, neck, or artificial arms or legs, unless there is sufficient change in the Covered Person's physical condition to make the original device no longer functional. Routine Care. Charges for routine or periodic examinations, screening examinations, evaluation procedures, preventive medical care, or treatment or services not directly related to the diagnosis or treatment of a specific Injury, Sickness or pregnancy-related condition which is known or reasonably suspected, unless such care is specifically covered in the Schedule of Benefits. Self-Infticted. Any loss due to intentionally self-inflicted Injury, while sane or insane. Services Before Coverage. Care, treatment or supplies for which a charge was incurred before a person was Covered under this Plan. Sex Changes. Care, services or treatment for non-congenital transsexualism, gender dysphoria or sexual reassignment or change. This exclusion includes medications, implants, hormone therapy, surgery, medical or psychiatric treatment. Sleep Disorden. Care and treatment for sleep disorders unless deemed Medically Necessary. \., Smoking Cessation. Care and treatment for smoking cessation programs, including smoking deterrent patches that is in excess of three times per participant lifetime and is not medically supervised. Page 52 of 95 Surgical Steri~D .Reve..waL Care and treatment for eversal of surgical stetili:zation. Temporomandibular Joint Syndrome. All diagnostic and trea1ment services related to the treatment of jaw joint problems including temporomandibular joint (1MJ) syndrome. ..J War. Any loss that is due to a declared or wuieclared act of war. ...J .J Page 53 of 95 ~ Claims Procedures ~iea~ (How to Submit a Claim) It is the intent of the Plan Administrator that the following claims procedures comply with the United States Department of Labor ("DOL") regulation 29 CPR ~ 2560.503-1. llft<! .the Bmpleyee RetiremeBtlBesme Seeurity set sf 1974t 85 ameBdeEl ("ERISt..'t). Where any provision is in conflict with the DOL's claims procedure regulations, ERISA, ef any other applicable law, such law shall control. Administrative Processes and Safe2uards Same language as before. iust moved to beginning of section The Plan requires that claims determinations be made in accordance with govemin~ documents of the Plan and that they be applied consistently with respect to similarly situated Claimants. The claims procedures will not be administered in a way that unduly inhibits or hampers the initiation or processing of claims or claims appeals. ~ Authorized Representative Mav Act for Claimant Same language as before. iust moved to beginning of section Anv of the following actions which can be done by the Claimant can also be done by an authorized representative actinr on the Claimant's bebalf. The Claimant may be required to provide reasonable proof of such authorization. For an urSlent claim a health care professional with knowl~e of a Claimant's medical condition. will be oennitted to act as the authorized ret>resentative of the Claim~nt "Health care professional" means a physician or other health care professional licensed. accredited or certified to perform specified health services consistent with state law. Benefit Determinations Same language as before. iust moved to beginning of section Uoon the Claims Administrator's receipt of a written claim for benefits and Pursuant to the procedures described herein. the Claims Administrator will review the claim submission. proof of claim. and all associated and/or applicable information provided by the Claim~nt and Slathered ~ntly by the Claims Administrator in llizht of the Plan Document through which benefits of the Plan are paid. Further. the Claims Administrator will assure that all benefit determinations are applied consistently to similarly-situated Plan particiDants b~ maintaill~ll~ ~pro~ claim and benefit records which shall be reviewed periodically and on a case-by-case basis to determine past practices in similar claim situatio~. ShoYlJi, the qqiro~ Administrator at any time durinQ: its review perj.od ~termine thN additional infol'IDatjon is reauired from the Emoloyee or CJ~jmant. the Claims Administrator will request such necessary information from the Emoloyee. The C~ Administrator will make every effort to make its benefit determination in as reaso~le a time frame as P9ssible. \.,. Page 54 of 95 Submitting a Cia... .J A claim is a request for a benefit determination which is made, in accordance with the Plan's procedures, by a Claim~t or his authorized representative. A claim must be received by the person or organh'.ational unit customarily responsible for handling benefit matters on behalf of the Plan so that the claim review and benefit deterinination process can begin. A claim must name the Plan. a specific Claimant, a specific health condition or symptom or diagnostic code. and a specific treatment, service or supply (Qr procedure/revenue codes) for which a benefit or benefit determination is requested. the date of service. the amount of charges. the address (location) where services are received. and provider name. address. phone number and tax identification number. For purposes of the Plan, the Plan Administrator, at its discretion, may contract with other entities to handle claims communications and benefit determinations for the Plan. Such other entities may include a third party claims administrator payet', a managed care organization, or a pharmacy benefit manager. Contact information for such entities is provided below. There are two types of claims: (1) Pre-Service Claims, and (2) Post-Service Claims: Same language as before that was in chart format. just moved here and stated more clearly 1. A Pre-Service Claim is a written or oral reauest for Innatient Hosnital .j benefits where the terms of the Plan condition benefits. in whole or in narl on ... prior approval of the proposed care (e.g.. a utilization review requirement). See the Medical Manuement PnwntmnJtilization Review section for that information. A Pre-Service Claim should be submitted to: Universal Health Network/NPP P.O. Box 30007 Reno. NV 89520-3007 Important: A Pre-Service Claim is onlv for the purposes of asses sine: the Medical Necessity and appropriateness of care and delivery settine:. A determination on a Pre-Service Claim is not a e:uarantee of benefits from the Plan. Plan benefit payments are subiect to review upon submission of a claim to the Plan after medical services have been received. and are subiect to all related Plan provisions. includine: exclusions and limitations. Note: Requests for benefit determination and requests for Plan approval where prior approval is desired but not required should be directed to CDS Group Health. the Claims Administrator as identified in the "Post-Service Claim" information below. or call (775) 352-6900. .J Page 55 of 95 \. Same language as before that was in chart. lust moved here and stated more clearly 2. A Post Service Claim is a written reauest for benefit determination after a service has been rendered and expense has been incurred. Proof of loss for a Post Service Claim must be submitted to the claims office within 45 dayfi twelve (12) months after the date a service is rendered. Failure to furnish such proof within the time required will not invalidate nor reduce any claim if it can be shown that it was not reasonably possible to give proof within such time. provided such proof is furnished as soon as reasonably possible. It is the Claimant's responsibility for timely submission of all claims. A Post Service Claim should be submitted to: CDS Group Health P.O. Box 50190 Sparks. NV 89435-0190 Note: Proof of loss for a claim has not been "furnished" unless and until the Claims Administrator has received all information they reasonably deem necessary to allow processing of the claim. This includes responding to reasonable requests for completion of forms. providing additional information about the claim. or providing of documents in support of the claim. If satisfactory proof of loss is not furnished within the 12-month period after chare:es are incurred. benefits will not be available. ~ Note: In accordance with federal law, the Centers for Medicare and Medicaid Services (CMS) have three (3) years to submit claims when CMS has paid as the primary plan and the Plan should have been primary. Assieoments to Providers Same language as before. moved to this section All Eligible Expenses reimbursable under the Plan will be paid to the covered Employee except that: 1. Assignments of benefits to Hospitals, Physicians, or other providers of service will be honored, 2. The Plan may pay benefits directly to providers of service unless the Covered Person requests otherwise, in writing, within the time limits for filing proof of loss, and 3. The Plan may make benefit payments fOf a child covered by a Qualified Medical Child Support Order (a QMCSO) directly to the custodial parent or legal guardian of such child. Note: Benefit payments on behalf of a Covered Person who is also covered by a state's Medicaid program will be subject to the state's right to reimbursement for benefits it has paid on behalf of the Covered Perso~ as created by an assignment of rights made by the Covered Person or his beneficiary as may be required by the state Medicaid plan. '-' Furthermore, the Plan will honor any subrogation rights that a state may have gained Page 56 of 95 from a Medicaid-eligible benefioiary due to the state's haviil.JW&i<l.'-~,bcnefits that were payable under the Plan. ' ~ Sf'.. Notet These CIa.s 'reeedures address the,p,rieds witkia wlHehlJea~fit determiRatioas lDustlJedeeided, Botpldd. B:..,.,..eets lDut.'.dewitltia N8S8B8lJle perieds ef tiBte feIIewiBg 8m appre'.~ asl.....ed It)t ERISA. There are twe types fir elaims: 1. Pre Serviee Claims, aad 2. Past 8erviee Claims Pre Serviee ClaHBs Post Sertiee Chlims A Pre Servise Claimie a \vfltte9Feml A Past Serviee CI8iat iea wRUea N'illest feEJUest rorheaetit 4eteRBiBati9ll where the fer beaeftt t!etel'fl:1iaatiea after a servise has teABS af the PI8B eoo4maa heBefits, iB heea feBdered ~'~e'has heea '.~:liele at in par.., 0B prier 8J1Pl8va1 af the iB88ffeEl. A Pest Serviee Claim :&l1wt he EI € utir'. . submitted 10 the eIaims ames "mtBiB 4 S prepese eare. e.g~a ' ImtieB ftWlty.y re'i~t). See the Ned_I days aftlie Elate eharges far the serAee MtmacemeatP.....1bltJtiliMti8B were iaeun:eEl. Red,,,, seeUaa fer fitrtker iBfemtaHaa regaMiBg prier appmvel efthe'J1f8P9Bed. e&fe: ~ Pre Seniee Claim. Pf'8eedlH'e fOF SalJlllittiRg . CIeim P08t Sen_ Claim Preeedare fer SuIJIIIittiBg . Claim .\ Pre Serviee Claim should he 9Q~ed. far heaefit determiBatieB ta: fo. Pest Seniee Claim sheuW he su9miUed. tef HelDetewB llealtk PFeViders (800) ~U 9123 FiPsTier fadmiBistftten, me. P.O. ..Be. 19~~8 ReRo, NY 89511 Please fefer 1a the "MeElieaJ. MaB&gemeBt SenieesflJtilisMaB &e'l'ne\\''' semoR :fer Blare iBfermati9B. NMet lB aeeaFElanee "1mB fedefallaw, the CeatefS fer Me<:f.isare 8BEI MeeieaidServiees (eMS) have three (3) yeam 1a suhmlt elaims whea MeElieare has paid. as die primary pl8B 8BEI the Plea skeDlt! ..,e heea pAmety. AssigBIBeats to Previders ~ Page 57 of 95 \., \., \., All Bl-igible BKpeftBes reimbufsahle tWIer the Plan '.viii be paid te the COVeFe8 Eml'loyee eKeept dlat: 1. ..\ssignmeatsof beaefits te Hospitals, PkyeieiBBS ar edier Pf&1'$ef8 sf serviee vAll be Belt0fed; 2. The PIlla -.y pay benefits ttireetly te pt(WiElem of sen_ aalesstBe C&\~ PemeB reElllestB edler\'.ise,iB '.vritiBg, withHttke time liiBisfer.g }:tfeaf of lass;aad 3. ThePIM -.y make beBefit paymeBts far 8 e&iW eO\'ereti by a ~d Medieal Child Suppett Order (QMCSO) tlireetly ta the .eustedial pareBter legal g1:1ardian sf sueh. eliikl. Benefits due to MY Netw<<k pl'cYlider wiR be eeBSidered "assigBed" te SBeB pmviEier aatl '.ViR be paid ttireetly to suek pl'9YiEler, whetker at Jlet a wmteB 89SigBmes.t efbeBefits was eMel:tted. . Netet Besent paymems 8R behalf ef a Cavere4 PersoB '.'Jhe is alse ecy:ered by a state's Me4ieeid J'l8gpam will be subjeette the state's right ta reimlnlfS8IIleBt fer MaeHS it Bas paid as beheJ:f of the Ca....~e4PefSE)Jl, as efe8ted by &Il assigtHBeatof rights _e~' t:ke Cavered PefSOS Of his heaefieiMy, as may Be le<faked by thes.te Medieeidples.. FU1'tkemtere, die .PJ:an '."Jill MBM aay 9U~gatieR rights that a state may havegaiaed Rem a Medieaid eligible beaefieiary due lothe state's ha"liBg paid Medie8Wheaefits that t'.W8 payaWe \lAdei' die PIa&. aaims Tillie UIIlits ..d ..\Dew.e. Forgreup Ile&kB pI8ftB subjeet to die Employee RetiMttettt !Beame Seeurity ..AS (BRI8f.), tile ehatt below sets fefth die time limits aaEI aD&W&Ilees wlHeli apply te the PleB aBti a ClaimaBt vA. respeet teelaim filiBgs, eti-iQistraU8B atl4 h.aJl8Bt deteaBiBafteBs (i.e., hew tluieldy tBe PI8B m&st fe8l'8B4te eleims aetiees, filiBgs, aad eIaims appeal&, aBEI Raw !Buell time is aIIewed for ClaimeRts to NSf'SB&, em). Iftkefe is MY VafteRee betv:eeti diefoHawiBg iBfermatiea aatltlle iBteftEled ~ afthe le'" tile lev- '~1i1l prevail ...., .. .... . TllePe are he types af .'Pfe S8l'\4een C1eimB~ as fella\vs: 1. UPleat Claim Afi ''ufgeBt elaim" is aa ami at WRtteB yetlllest fer beo.efit determiBatiaB where tile 4eeisiaa "f9uld result in eit:her ae tile faJle?:liBg if deeide4 ":1itBiB tile time fmmes fer Bes. 1:1l'geBt elaims: I",. Serious jeopardy ta the CIaimaBt's life ar health, er die amlity te regaiB mMimum iURetiaa, ar Page 58 of 95 B. 1ft die jllcfgmeBt ef Ii PkysieiaB kBewle4geah1e alteu$ the CJaiptll"t's a~tiOB, Be\'ere.peie. that. eealEr Rat he adefluately managed witBeHt the eare er watmellt-hemg elaimed. .,J All Beeessary mel1Batioti iBeladiag the PIM'S haBdfulg ef aft appeal9haR he tFaftsmiUedhetweea the Plaaaad tke Claittumthytelepkeae, feesimHe ar ether a'lailable aBd similarlf epediuaus metlteds. Whether a elaiBl is urgeJlt ':JilI generally be deeiEled By MilHtividlHll aetiBg OR hehalf of the PIM Md atfIYiag the judgJBeBt fta pl84eBt lcly,ersea whe possesses &B ave. klte".vledge. afhealtB ... medieiae~ Hewev<<, if a PhysieiaB familiar "-'litH tHe OIaitBeat~s eeaditi9l1 deeities that tHe elatm <HweJ.'r:esurgeateare, the PIM must defer te tile PliysieiM' s j1lClgmeat. 2. C8DealTeBt Care Cia'" A. 4'eOBellReRt eare a.aim" is a Cleimaftt's feEt_at te .~ a previeusly apflraved aagemg eeurse aft:featmeBt (e.g., tddBey dialysis) heyaad the aPl*l'fled J:'Ieftod af time ar Buml3eref treatmeBtB. Aft adve.f8e elaim deei$ieR fer eeBeut'fElRt eafe dees net iftehule a heB.efif redueaeaar Elesial due fa Plaa ameBdtBeBt ar termiftatiaa 3. NeD tJpgeat Claim ..J ~\ "ooB urgent elaim" is &BY elaim fer a beBefit U:BEIer this Plaa that is Ret a Pre Seniee Claim, Urgent CareC.aim, ar CeeutfeBt Care Claim. The feUo'.viBg 0l18ft iBdieates tHe lespeeft.ve Time Limits aatI Alle\':aaees fer eaeh '6 fttHieEI GI' It. .. 1 e lHBL...ew/tty. ....... -... . un.. ... . " . ... . T-. Li8lit .r ...'\De,,'..e Claimtmt makes IBitial IIIetI'IIfJ11se Claim WHlHB 8:8t mere thaB 24 hellf'B (aB4 as R..est S90Jl88peSsmle takiBg iftte aeeeUflt the medieel eK-igeaeies), VI&B _tiftes ClaimaBt 0f material Reeded te eemplete the etaim Ief.l1le8t NaOOeatiaa may he efallHllesB GI . .. ~fflnM 1etI1:IestB a wntteB Boaee. ClaiftlQAt ~.viU have a reflS0B8.bte periea sf time, I:lUt Bet le88 tkaa 48 hems ta previae the N~d iBfeRB6UeB to eamplete die ~ PIM IeeeWes CtHffJIlelillK IBfermatieB PIaB B0tifies ClaimaBt, ill ~.~aitiB.g 9f eleetfeBieally, ef He helleBt determiBatiaB as saaR as pa~le aBtI set later tkaa 48 l1eUfS after 1ke earlier eft (1) reeeipt sf the . . . ... . ""''' 4.L_ .. _&' .J Page 59 of95 -. \. \., - ame ClaHBatit was aIIw.ved to pmvi4e tlie ..... . - ... ClaimaBt makes 1Bi1ial C8IffJ1Iete Claim WttIHs.s.etJBef8 thaB 12 BeufS (&BS as ReflUeBt 988ft as..pee$j91e tekiftg. ime Bese.t $e me4ieal ~ie~), PlEmMlpallds with \vfttteJler. eleetFi:)tHEl beae&. ~ti.6a Oml B&ti.ee Baa be ~VeB hl aElditielllO "y9JfitteBer ele*aaieft~e. WriUea ar eleeveai0aeHeeef abMet'k <leBial ar ~ll.(aa "a4veme heoefrt deteRBiMtk>B") must he l*'0viEled ta the CI~ Qat later thaR 3 .Y8 after lHl af8l lletifi~B. ClaimaBt Af'Peals See "..'\tJpeal Pi:aeeaures" sullseetiaB. AD a.PPe8:l fer 8ft. BfgeBt elaim. may ae JB8EIe ..;....It.. __ :_ . . . Pltm fespellds te f..ppeel Witlmt set mere dian 72 Ileum (S\das seeR as paBSiWe takiBg da Bee0U1lt the me4ieal exigeBeies) atler feeeipt ef ~.. , . . . Netef. VIhefe the '~ime Limit for ..'\R9W8BOO".slatett ahe"l' refileets "ar saeBer ifpassible", tMs phrase BlEl8BS 1I:Iat &B eerYer respease lBBY he re~ takiag Bite aeea8S:t the medieal eKigeBeies. Speeiel Netel The Besefit DetetmiBatieB time &ames stated 88\'8 shell hegiR at tile time a eleim is flied ill 110eer<iaaee with the preeedares ef the pI&, 9.vitheut regani to whether aU the iBfermatioB Beeessary te mak-e a lJeaefit 8etermiM1i9B 110eempBBies t:ke filiBg. COBeUFreBt Care asia .......- ... . ....... . -. . Time 1._1 Dr AD8W8Bee Pltm makes &B l\threme Claim PIaB lletWeS ClaiMaPt efBiteBt to reEltlee er 6eBY DeeisiOB lJeaefits "eleN 8IIY NElBetiea sr termiBati.eB ef NBeftts iB maee BB4 previEles eBe1:tgB time to eIlew the. CIB:im8Bt te appeal aml ebteiBa ietertnmauea 88 ~yy lJeleN tlie eeeefit is fed8eetl er termiBate4. .:\8)'ieeiBieB -Nidi th tialE · Eli' . . e peteB. . e mv~g empties te eBg01Bg eare wWeI1 is .~ Neeessary, is m"1eet to the UrgeRt Claim rules. ClaimaBt ReftUests BKteBsiea Pl&B B0tifies ClaimaBt ef its benefit determisatiaB fer UfgeBt Care ":lithia Bet mere .. 24 keurs after reeeipt ef the reEftleBt (1HlG as SeeR as ~98Bible takiBg iBte &ee9Uftt the .. . . '" ... _ L . -'.... Page 60 of 95 least 24 litlillfS ,pllitir ,..tm!I~..imtiaaa-'th.e 'fJre:oAously . . j appre~._ peried. tlif~ erlFeaUBeBt.()tken.Jise, the ,..", PlaB's BeHfieaB8R lIW9t~_eiBaeeetdaaee 'llith the time alte.::aaees fer .P~ad. afaB urgeBt, pre serviee, or ... . ".. . "8_. ~ ." -. ... . CIeimaJlt makes laitial hte8Mf1lete Gleim Re(}uest PIe Reeei'les CtHnplethrg IafeflllaB9fi ClaimaBt mak.eslBitial CtmIplete Claim Re(}uest .n.' ... . no..... ... .. . 1IIo.1,....y -. . 6 ,__ T.el.-'t er..\It~e . . ~..J '. ,~..L'L . ~1, . -,,- ....' ~- -- - -..-.... reEluel9t,PIen ae$iese~ 0f8Dy 8f ift~mitiB:g, af ~ needed to 001Bplete the elQimtefIllest. CJ4i~QJ:K may fEHI_a-.vriUeB aetifieatiea ' Claim&Bt has at least 4S days RElm reeeipt af 91leB aeaee to _"_:'t- .... _,.. WitIHB 1 S days, PIaa tespOOds \..41:11 ..wittea 9r eleetfeBie Belt.t determiaatioa. IS BEWitieBtll daYB may Be allo:'.~ .>>ith:Ml Beaee te Claim&at see de&Hti9B af'1Wl~e"Belwll. WItIHB 15 days,'P.lIafEl~_ tvith -.vftUea9r eleetmB:ie BeI:lefitdetermilulti9a. 15 aaditioBSl days may Be alla.:;edwilt fultBeDee te ClAi~8at see tiefiBiiee af~.ti.ee"Mlaw. Cl" _'" ".t.' ~ . . .,1\..1. ^ . ~ . DeIiBifteB ef "FaR'Neee" feF~. G.... Pre .iewiee 'Qeims "Full Netiee" IBeaB5 that BeBee is ,revideEl tetlle CJaime$ tle&$rihiBg the eifeumstaBees fe(}uiriBg tile 8*teBsiaa af time eEl.t:ke date By vlhiehdle Plaa 'SKpeet.9 te Nader a E1eeiBioa 8ueli eJGeasiea must be Reeessary due 18 JIIBttefs aeyeBEllte e6Rtlel af the Pie 8BEl aaHfieatiea m1:1flt aeeur prier te tile expimti9R of flt:eiBitiall S day PeRod. Ifl the ease ef ey eJrtessieB as eutliBed aBave, tile BeRee af eJAeBsieB whieh is previtled te the Employee ar ClaimaBt shell speemeaDy explejB tile staBtlards es wftieli eatitlemeat te 8 heaefit is Based, th.e UB:reSah_ issues that pfeveat a EleeisioB 8ft the eleim, aBd the aElditi0B81 iBfarmatisB Beed_ ttl fespallti te these iS8lleS. Wltefe tke Pis ~~",dmiBi9tf8ter , feEJuifes atfElitieB&l iBfenmm9R arb Bmpleyee at Claimaat, the Plaa "'~A4miBi9t:fater must afferti tile Emplayee 8f CJa""m,t at least 4 S days te previEle Ite speeitie iBform&aeB. IB sueR ease, tkeheaefit 4etermiBaa0B periafl..vill he teUetl (S\tSpeBde6) from tile Elate ea wBielt aetHieeti8B ef 1:ke eKteBBies is seat te Its Emplayee ar ClaimaBt lIBtY the date Oft ..vBielt the respeBSe ta the le<iUe8t fer ~ iBfeRllfttiOft is made. Pest Serviee Claim I~~I~ I ~~i:-~~_~~"lG~(ed~~WaR J Page 61 of95 \., \., '-' eleim Nflaest. lBe PI_may elfteB4this periaEI f0l' up - to IS _)'5 witk fuU DB_ tcHhe CI&iRleat see aetiftiti0B ef ''filII ttetiee" he Jew. Cf4dmAN has at 'Mast · 4SQayB to . . . . .- ... . . Phm Reeeives C8llfJJleIiIIg 'Atithbl30 days, Pltm Qf)pt6"/es 0l' 4~elaim. 1 S 1ftfe1lll6tiaB additi9ftfll days may he a41ewea vlllt iWJ.- Beti.e to Claimel _ seec!ejditi&ll $.f''lWl80tlee"belCWl. . .,',.,.-,", -'. CWmaBt makes Iftkial WitIBs.30. efreeeiviBg tk8 $~P"'~ves ar C9111p1ete Claim Request seales eIaim~ ISaa4fti9Bll:ldaYSlBaytJe.el:l.ewes-\V:itlt full ootiee te CWmaBt see defiBitiea ef~ ooUee" bela'" , y.. ...... .. . cL " " . . PlaB Re9J1aoos to A al \\{khiB 00 says after Heei}'t af .,eat 69 adtBftesal ~..ppe days may he aU:e\\'eEI '."lith fullaetifieati8B te ClaimaBt see Elefiftiti9B sf "full Jletiee" hele-v;. DefiBifieB af"FuII Natiee~fer Pest Semee CI8im8 "PmI aetiee" lBeaBB that aetiee is prevlaedte the CIaime&tEleaeribiBgtke eifeamstanees teq1HrlBg the eKteBsiaB at'tiste ami ile Sate hy wlHeh 1he PI8fl 0K:peet8 te feset a seei9iea--Suek emeBSieamust he l1eeessary S9 temattef9'heyeBEltheeeatfel efd1e-PleB aDd aetifieati9B te ClaimaBt IIlll9t eeeur prier tel the eKpifatiea. eftlte iBitiel 39 Sayar 60 Sayperiet:l. IB the ease of 8flY eX;teasiea as eutliBea ee",e, the --aetiee ef eKteBsiaa whisk is pmviEled to tlte 8mpla)'i!le at GlaimaBt -shall Sfteeifieally eJEPlaiBtke 9tftB(Ieras eft -jlkieh eatitlemem to aheaefit is hase&, the lHIfeS8lveQ ~ dmt preveat a EleeisisB ea. .!aim, aB8 the a4ditkmal iBfermeH0B aee4etlte respeM to thase is9aes. Where ile CJ8ims ~A"d.iRi8trator reEfllU'es ad._ iBfeaBatieB. at. 8mpleyee at CI..-8Dt,tfte Claims ~A~t mBSt a:ffer41ke Empleyee-er GJ9i~at leest 4' Says te pre"Ade die speeifie WeABtHiea IB saek esse; the heaefit EleteImiBatieR perle. 'WiD "$ teUe4 (9U5peade4) WJB die ~ 8ft mtiek aeUfieaaaB afthe exteftsieB is seat te 1he8etplay.e er Claimaat lIfttiI die date 9ft ...JhieIl ile re9pease te the feEJlIest fer aEklitieMI iBfemHlSeB is made. Moved to beginning of section f.il.iRiAN.lve Preeuses IBd SafepllNs The Plaa requires 1Bat elaims SeteRBiBatieBB he BHHIe iRaeeeraaaee ...Jitk g&\.entiBg aaetHBeBts af ile Plan eEl tliat dley he applied e9B9isteBtly wi. respeet tel similarly SHuateEl Cleimaats. The elaims pmeet:Iu.Ms '.viII Jl0t ~e tlffR:linistereEl iRe way dtat 1:1Baaly i:Bhimts at hampem tile iBitiatieB 91' pteee8BiBg af eleims al elaims apJge81s. J.dIdterked RepNlleBtadve May 1M fer Claimaat Aity of die above aeuOBS \"AHek e8fl he SeRe by 1:I1e Cleimaftt e8fl alse hedeBe ~ 8fl 81:ltBeMea lepFeseatatP/e aetiag 9ft the CIfli~aBt'9 hehaIf. The ClaimaBt may he rectllifea to pm"tide fe&SaDalHe pmef ef suek autkerimtioa Fer 8ft Ulgent elaim, a heal+.h eafe Page 62 of95 ~ pl'afessieBBlt .nithk:aEv.vlesge sf a GlaimaBt's medieal OOBEIiooa,. win he permitted to set .. Jt as the a11tkefi:zes represeatatk~eefthe CJ$i~AlJt. "Heel.~. prefes~" me. a ..", pIlysieiao. er ether kealtk eaN prefessklBellieeBSe&, aeere&test at eerti:fiaQ to perferm speeified heeItl1 serviees e9BSisteat ....Ath stete law. SeReIt Oete"'atie8:S Upaa the Claims f..iJmiBistmter's ree. af a '.vrittea eIaim, fer heaefits aa8pliflRJ8Bt ta tile pmeeaures deseriheslleteiB,tke Cl~ Mmint!itfatef \ViII fe'~wtlte elaHB SllhMissiea; prasf af slaim, 8$I.aD esseei$e8 &IUIIer~We.iBtbl6llH0apF&".idedby tile CI~,"IIRt aBdgatllered iMe~Yhy tile ~l~ElmiBiMteriftHght aftlle Plett DaeunteBt'tkreagh w8iek heaefits af. Plea aN ..d. .FUrtliett me 01_ ..A;.-dfRinif&tmter will.as9Ufe that aIlhettelt det8ffJii9aU&8B ate ~liedee.isteDdy to simtlatJy 8itlJates Plaa pameipaatshylBBintaieiftg .~rieteeleim $ltl heaetit reeords '.Viii. $IHtll be reviewed periaE1ieeD.r CHld.CJfi a _e 'hy ease.is to determh1epast .pIlleUees ifl ~ elaim .situatiOBB.. De~tiait efMs le\i&V/s sksII he made aveilaNe te tile Bmployee ar ClaimaBt upea re'tRest. 8k&ukI die Gl$:ims .:\Elministfatar at .y time El8fiflg its revi&".\' p~ed. s.mHlte that atWitieaal infe~8Il is requifed from the Rmpl~e ar CJeiRJ8Bt,d1eCleims ..A...dministfater 'WiD ~uestsueBaeeessalY ~D hmthe ElBpleyee er CJf\iRlapt. The Claims f.:dmiBi...... wHlmake e....ery eftelt U) make its heaefit EletetmHtatiaa ifl as reasaMhle a time frame 89 pessi.hle. Calealatiac TilBe Pwieds J Far heaefit tIetermiBatioBt the pmad eftime '.vitlHft whiek 1RfeIl. deteRRiBaSeB is NEftHreS begiBB at.the time 8 eIaim isfi1e8 iR aeeer8aBee ',vith die PIe's ~epraeeElweB, \.lftheut regeN to wkether aU tkeiBl8Ml8tiaB Deeessat'y to malte a },eBefit aetefmi~etieB aeeem,P88ies the fiJiag. Is. theevemthet &B eKteB4ed peried af tiftleiBpemHbs due te a ClaimaBtts fail_ta Emit tile aeeessary infermaSeD, the penes f0l'melEiBg the ~B will be telletl (suspeBf:ie4) Hem die Elate eft wWek the. aetiiieaS9B af the eKteBSiea is seat te the CJ~.~t UBtil the Elate aD wlHeJi 1ke Cleim8Bt resp9BEls te the request fer a4sitiesal iBfet:matiaB. WriUeB or EledroBie Netiees The Pl&B shall pre":ise a Cleim8Bt ylidt vmuea af eleetmBie aoofieatiea of &BY beaefit rec:taetieB ar deBial. WritteB 81' "eele !lease af &B appHved heftefit m-ast be pra.:idetI aBly fer Pfi Seme8 heseHt tletermiBatiOBB. ''NoBee" er "ootifieatiaa" meass the Eleliyery er fumisBiBg ef iBfeffti&tiaa Hi a m&ftIler that satisfies the staB6afEls ef29 CFR 2S20.194h 1 (IJ) as apprepriate with respeet to material reEJ.1Hfes to he fumiehed er maee availMle te &B iBtIividual. ..\By eleetmBie aotifieaseB shaD semply ".'lith tile staB8aras af29 CFR 2S29.l94h 1 (e)(l )(1), (ii)(iii), aBd (iv) ana 2S2G.194h 1(8)(2)(1) &Bd (ii). .J Page 63 of 95 \.; Claims Denials If a elei:&l is wh.aUy ar J'8ftiaUy t!eaieEl (see Note), the ClajJ;NI~ '.viR begi",~ vmttefl ar ele_e. llaUBeatioa af saeh. Eleaiel witlHa *e -time frames re<<iukeeEl-tty law (See Claims Time Limim aBd AlIaw&BeEls). The aeaee ...lill _11:1. tile fallowing aad wUI be pl'EWide<l Hi a maBBer The Claims Administrator shall provide adequate notice in writing to any Claimant whose claims for benefits. under this Plan have been denied. written in a manner intended to be understood by the Claimant. including: 1. The specific reason(s) for the denial~ tleeisiea.8 retllieEler deay beaefltB; 2. Specific reference to the Plan provision(s) on which the denial is based; as \".~ as itleB.tifieatioB of &BE:i aeeess to ass guitleliftes,ruleB~8B.tlprOteeel5 v:meh. W~fe relied UpOB ift makiBg tlte deeisioa. Whefea Plaauti!iMs' a speeiie ia.temal flJIe ar preteeeJ., tile aetieeJlla;Y eitker set :forth the pteteeel8rs.kKIe a statemeat flat a eopy af saeI1 pra,teeel",viU be fumisl1etl to the ChuRtflRt er his atHherized represeatative free sf ehatge anti BpOO ref.lll89t. f.. aotWeatiea aftlemel at beaetit rettueaOR llasea oa Medieal Neeessity Of eXfM.vimelltal treaBBeBt 8f 8*er similar gelusiee or limit ~ <<plain tBe seiestifie 9f elisieal jlldgmellt af lBe Plaaift applyiBg tile teaBS aft1le PI8ft to the ClAh~_t's mecieel e~eB, or must ise1uE1e a BtatemeBt dHlt- -SQeh eKi"lanatiaa "Nillbe J1f0videElte tkeClaimsftt Bee of eharge llpOft re<<iaElst; \., 3. A description of any additional information needed for further review of the claim~ and to ehaBge tile .eisiee aM 8ft explasatieB of'Miy it is Reeeed; 4. An explanation of the Plan's review procedure. ElesefipUoa ef*e Pkm's pmeetiUfes 8Bd time-limits fer appealed eleims. A EleBiel of 8B 8fgeat elaim mllSt deseriBe the expeEliWEI appeal Pftleess ror 1lfgeat lleaI4h elaims. L'\B 1lf8t'at eleim EIeftial may be Illtlde emlly totlte ClaimaBt ita ":JritteB ar eleekeBie BOtifieat:iOft is fumisked to tBe ClaimaBt ":lidHB 3 tlayfi after tile 9f8l B:&tifieetieB. Further. the Claims Administrator shall afford a reasonable opportunity to any Claimant whose claim for benefits has been denied for a full and fair review of the decision denying the claim by the person designated by the Plan Administrator for that purpose. \r Netet fa. elaim Eleaial, or 8ft "a&".~eme ),eaefit Elet0fftliBatioa" meass &BY of the fella\vmgl a EIeaial, reElueaa~ teffB:imtt:ieB ef a heaefit, 0f a failure 10 previ4e ar mak-e paymeBt - (ia wkele 9f is paR) fer a be.aefit, iBeluEliBg &BY S\:leh EIeBiaI, reHeft~ tellBiBatieB af failure to ptavi. or mak-e payftleat "is hasetl OR a E1eterm:iltati8fl ef a partieiJWlt' B or beaefieiery' B eJ..igi9illty to peRieipate is a pia&, &BEl iflelllEliBg a EleRial, retlBeaeB ar tel'miAfUieB ef a heaefH, or a feihJfe to Pf8vitle Sf make paymes.tt Hi ".vkele er ill F"t far a MaefitresultiBg Uem the applieatiaa of 8IlY ~eBle:vie.l." as well as a feRUle te ea..ref 8ft item ar serviee fer ".vhieh. henetHs are odtelwise previdecllleeaase it is Page 64 of95 <!~d to he eKj)eriBleBtal af Hwe.~9.aalerBetMectieally~ 01' ~ apprepriate. DtlBial eta e_ fer ~te ebtai$ a }lrier appreval..WlElet~eB ""'" thatwamdMak. e\1taiBiBg sueh prier 8flP!eVali$,."le at ~".-~eatieB sftae prief.~Val p~ess ealdd _&8S~YJe0par~.lIfe er leal. efdle l'8tleJ!t (e~g.t the patiest lsuaee.ei9lt8 aRd is iB Mati etimBlediate eare at_ ti$ej fIl<<Iieal treatmeB.t is r~) is ~ahiWted. Appeal Procedures New language more accurately reflects actual practice for the last 10 years. If a claim has been denied in whole or in part by the Claims Administrator. the Claimant may appeal the determination of that claim under the lowest review level indicated below. If the denial is uoheld. Claimant may appeal to the next highest level of review. until the entire appeals process has been exhausted. Level I: REVIEW OF THE CLAIM BY THE CLAIMS ADMINISTRATOR: The Claimant may submit an appeal letter referencing the claim to the Claims Administrator. The Claimant shall have this opportunity to present additional information and/or documentation supporting this appeal. The Claims Administrator will review the claim for appropriateness based on the Plan Document. and if needed for medical interpretation or clarification. request a Physician review. Appeal letter and additional information and/or documentation must be submitted within sixty (60) days of the claim denial to: CDS Group Health ATTN: Claims Mana2er 1625 East Prater Way. Buildin2 C. Suite 101 P.O. Box 50190 Sparks. NV 89435-0190 J The Claims Administrator will render a decision within sixty (60) days of receipt of the appeal letter and will notify the Claimant in writing of the findings. Level II: PLAN ADMINISTRATOR REVIEW: If after completing Level I. the Claimant is dissatisfied with the Claim Administrator decision. the Claimant may submit a written appeal to the Plan Administrator for review and/or Request for Plan Exception. The appeal shall contain all information and/or documentation the Claimant would like reviewed by the Plan Administrator and shall include a signed Authorization for Release of Medical Information for Claim Appeal/Request for Plan Exception form. The written appeal must be submitted within sixty (60) days of the Level I decision to: South Tahoe Public Utility District General Mana2erIPlan Administrator The Claimant will be notified in writing of the Plan Administrator's decision within sixty.. (60) days of the date the decision was made. ..", Page 65 of 95 ~ 4., '-' Pre-CertificationlPrior Authorization Appeals If the pre-certification of a service or procedure has not been approved by Universal Health Network. and the service or procedure has not vet been rendered. a Claimant may appeal the determination under the lowest review level indicated below. If the determination is upheld. Claimant may appeal to the next highest level of review until the entire appeals process is exhausted. If the service or procedure has been rendered. Claimant will need to follow the "Claims Appeals" procedures outlined above. Level I: REVIEW OF THE CLAIM BY THE UTILIZATION REVIEW FIRM: The Claimant may submit an appeal letter referencing the determination to Universal Health Network. The Claimant shall have this opportunity to present additional information and/or documentation supporting this appeal. The Medical Director will review.the information to determine medical necessity. Appeal letter and additional information and/or documentation must be submitted within thirty (30) days of the original determination to: Universal Health NetworklNPP P.O. Box 30007 Reno. NV 89520-3007 The Medical Director will render a decision within thirty (30) davs of the date the appeal letter was received and will notify the Claimant in writing of his/her findings. Level II: PLAN ADMINISTRATOR REVIEW: If after completing Level I. the Claimant is dissatisfied with the Medical Director decision. the Claimant may submit a written appeal and Request for Plan Exception to the Plan Administrator for hislher review. The appeal shall contain all information and/or documentation the Claimant would like reviewed by the Plan Administrator. including a signed Release of Information for Request for Plan Exception form. The written appeal must be submitted within thirty (30) days of the Level I decision to: South Tahoe Public Utility District A TTN: General ManaeerlPlan Administrator 1275 Meadow Crest Drive South Lake Tahoe. CA 96150 The Claimant will be notified in writing of the Plan Administrator's decision within thirty (30) davs of the date the decision was made. 'iI_IRR Ai',e..l aad Appeal Review WHhia 1 gO Gays af teeehiBg aetitle ef 8 elaim retlaeUeB af Elenial~ a ClaimaBt may allpeallHs etaim, ill writiBg~ to aRe'll tleeisieB maker (8:11 8~8te NaaieEl FiEkieiary ef tile PlaB ,vile is Reither the iBElivi4uel -:Ale maEie die iBiael ae-:eree BeBeBt EleteftBiBatieB Page 66 of 95 B0l' a mmordiBate ef1ke iBitial Eleeisiea _<<) aad Ile may suhmit IieW ~~ (eommeats, ooeamems, Nee., ete.,)iR supp0rt efWs appeal. .,jj Ia eNei' fe ..,eal au. .dveN, he.-4,.enaiaad8B, . 0..........11..... .,........., ill wfttia~ tettle '111I A........tel\ htreSJl0Bfle to hiB appeal,.the CIQiJR8Rtis eBlitleEl teBfaR SfHlfilir leVie-"/: of tile elaim e d' . d · ~.. f~' tfte' .tieI d ..' 8ft . a aev: eelSl8B 8ftaet SUIIp . a fe\'I~V e\'. '. er JBI .' .' EletBl8a\V8B reasonable. ..A.. ''fuJIBB.d fairRWiev/' tak-es iRk> BeliJemlt allee$$eJits, OOe\HBeBts, reeems aDd o1ller $ennatiea sublBiUed by the Cl~t rela~ to the elai$. f..tS'HeB time as theClaimaatappeBls a EleBied el_lie will heJH'EWi~ upoa request and free ef eharge, with aeeElff9 16' sad 09f'ies sf aU. deel:HBeBtS, Feeertls aB4 ether ~a rele'l8ftt k> IHs eIeim forbe&efits, 'tvit8auttegflfEl t0 ,,"At:etIter.. PIafl relied oa the mateRel. TIt, PlaB wiD else &eele&e tlie bftIBf3fief ey me8ieBlat heaItB pFofessiOBals eoli9\lkeEl as JHtrt af 1ke elaimproee9S,,,'Jkether Of aet BUell iefetmatiea was submitted af eeasiElered iRthe iBitial beaefit EletermieMioo. Fer appeal of a denial based ill whole or in part ORa medieaI juegmeBt, ifleladiBg EletemHBatieas 'lAth legar6 te wkather apattieular 1N8tmeat, drug er eiler'itemiB eltf'erimeatal, iBvestigati9aal, er I10t MedieaUyNe~ er 4fl~;, .dttJ. Pie /;.A.iRi9t$ter sBaU eeBSUltwHk e~t~_epl'(lfessieBftl. has ~pftate 1fai8iBg aa4 'expelieaee ill 1Ile field efllHldieiae iIlvehretlia .. medieal j1lC:igmeat SHeil .flf0fessi08Bl BHISt he iB<Ietlemieatef 8Ilyliealth eere pretessieaal iB'liJWeEliB the iBitialdeeisi9fl te .uee er deay beBefits. "Health safepl8fessioaa!" meaas a l'hysieiaB ar atBerkeeltheare pmfessieMllieessea, BeeN~ ar semRed to perferm speeified healdt seniees eeBSi9lertt vMh state law. .J Deei8iBB 8B Appeal ..A.. cleeisioB '.vith regard ta the elaim appeal ?/ill he 1B8EIe widHB tile allt)1'l{M time frame (see Claims Time Limits ..... ..\HM\~.Be~. If spee_ eireumstaBees ",rftieh &Fe eat ef tile PlaB~B e9Btfel, require all messiea eftime, 'lJIHte aetiee efthe eKteBsi8B '.vitI he fumisBeEI to the Claimaat prier t01he temiAaUeB 8fthe iBitiaRy allev.reEl time. The eX:teBei8B aeuee 'lnD explaifl tile st'ee- eifeum.staftees requiriag all eJiteBsiea aad the date the Pie eKpeets to reader the fiBalEleeisi8B. Ne elfteasi8B is peBBHted for urgeat elaims. The Eleeisiea ea appeal vAIl he ill wfitiBg er hy eleetfeBie aetHieati8B. If tile tleeisiea is to e8BMue te rec:fuee Of EIeay hellefits, 1Ile aoufieatiea will ~ pre'AtleEl ill a lBBBIler eale\ilaW to he lHlttemtoed by the Claim88t aad will iBelude: 1. The speeiHe 18aseB(fij fer tlte deeisi8a; 2. R-efereaee 16 the pertiBeBt Pie pftlvisiellS 8a wm. the deeisiea is hased; ...J Page 67 of95 ~ 3. .A.. atatemeat that die Claim9flt is eBtitled te reeei~..-e, 1:JpGBA.Wil1:le$t &BEl free at eharge, fe8B9aahle ~ te a&4l eepies sf aIltleetHMf1tS,N~ aa4edter iBfefJBQUeBfelel'lBfttte the eleus. "Rele\"8ftf' ~~elliflelll_.a d9~t, leet;)r'eF t;)tker iftfomlfl1i~ tvhielt: (1) was NIW ... Bt ~ the u81\efit detetmiB4tiea; (2) "N8$ su&mitted~eessi<l_detgeB.eRtt$diRtkee9\1fS~ af'~ the heBefit detetmift81:km, ~er B&t it wasfeUeda~et(~).4~s eempliaBee vAth tIte~i~i_tWepf8ee8Ses_~.'~\JiNd' in ~"Jdlag tkeheaetit <l~.. The.PIaB ""Jill else ..lese.y da8lHBeJl:tS that ","Jete ere.tea er reeeived By the Plas. Eluriftg the 8pfJeal preeess; 4. WeIltifieatiGB af MYBlElEliesl sr voeat:ieB81 eKpeRs whese ad"liee ,vas ohtaiBed iB OOMeeU9R with tile iBitial elaim <leBial, wltether or Bet tile aFAee was relied \lpes iB J'l9frilag tile iBitiel deeisie&; 5. IdetHifieaaeB ef &BEl aeeess to MY guitleliBe&, roles, 9t preteeels ""dii. ",,,,,efe relied \If)es iB ~ tile deeisi8B. A. ootifieaUes ef deeial ef heaefit redaeft9B hasedoB Medieal Neeessity er eKperimeBtal treatmeator etlter similar eKeltIsioo Of l~t must eKplaiadleseieBtifie sr eliBieal jvttgmeBt sf the Plea iB applyiBg tile ter$9 eftke PlaB te tIte ClaimaBt'smetlieal eireumstaBees, er BHlstiBelu4e a stateBieRt that 9lle1t ~B 'Will he pretoiEle<t te tile ClaimsBt free at elwge llpSB fe<illest. '-' \. Page 68 of 95 Coordination of Benefits ~ Coordination of the benefit plans Coordination of benefits sets out roles for the order of payment of covered Charges when two Of more plans - including Medicare - are paying. When a Covered Person is covered by this Plan and another pIan, or the Covered Person's Spouse is covered by this Plan and by another plan, or the couple's Covered children are covered under two or more plans, the plans will coordinate benefits when a claim is received. The plan that pays first according to the rules will pay as if there were no other plan involved. The secondary and subsequent plans will pay the balance of the claim after the primary plan has paid. Deductible(s) and co-pay(s) shall not be taken when this plan is the secondary plan. (corrects language to reflect actual practice) up te eaeIi 0Jle's plaa fel'fBBla. The taW re~SleBt wHlBeV<< he lDere thaa die see9B(f8ry (or seSeElllMt) ,plan's fo_. 5(;)% or 8Qq4. sr 1 (;)Q.4J4. \vBetewr it may he. The helaaee Ellie, if any, is the respeBSihRity of the C&"/ered :Pe.f$eB. Benefit Plan This provision will coordinate the medical and dental benefits of a benefit plan. The term benefit plan means this Plan or anyone of the following plans: 1. Group or group-type plans, including franchise or blanket benefit plans. .J 2. Blue Cross and Blue Shield group plans. 3. Group practice and other group prepayment plans. 4. Federal government plans or programs. This includes Medicare. 5. Other plans required or provided by law. This does not include Medicaid or any benefit plan like it that, by its terms, does not allow coordination. 6. No Fault Auto Insurance, by whatever name it is called, when not prohibited by law. Allowable Charge For a charge to be allowable it must be a Usual, Customary, and Reasonable Charge and at least part of it must be covered under this Plan. In the case of HMO (Health Maintenance Oreani7-6hon) plans: This Plan will not consider any charges in excess ofwbat an HMO provider has agreed to accept as . "",j payment in full. Also, when an HMO pays its benefits first, this Plan will not consider as ...., Page 69 of 95 '- '" \. an allowable charge, any charge that would have been covered by the HMO had the Covered Person used the services of an HMO provider. In the case of service type plans where services are provided as benefits, the reasonable cash value of each service will be the allowable charge. AutomobDe Limitations When medical payments are available under vehicle insurance, the Plan shall pay excess benefits only, without reimbursement for vehicle plan deductibles. This Plan shall always be considered the secondary carrier regardless of the individual's election under PIP (personal Injury Protection) coverage with the auto carrier. Benefit Plan Payment Order When two or more plans provide benefits for the same allowable charge, benefit payment will follow these rules. 1. Plans that do not have a coordination provision, or one like it, will pay:first. Plans with such a provision will be considered after those without one. 2. Plans with a coordination provision will pay their benefits by these rules up to the allowable charge. A. The benefits of the plan which covers the person as an employee, member, or subscriber (that is, other than as a dependent) are determined before those of the plan which covers the person as a dependent; except that: if the person is also a Medicare beneficiary, and as a result of the rule established by Title xvm of the Social Security Act and implementing regulations, Medicare is: 1. Secondary to the plan covering the person as a dependent, and 2. Primary to the plan covering the person as other than a dependent (e.g., a retired employee), Then the benefits of the plan covering the person as a dependent are determined before those of the plan covering that person as other than a dependent B. If both husband and wife are Employees, benefits covering the person as an Employee are determined before benefits covering the person as a Dependent After determining benefits for the person as an Employee, Internal Coordination of Benefits will apply, and benefits will be determined for the person as a Dependent Page 70 of95 Benefits for children covered as Dependents of both Employee Spouses will be determined in accordance with the Dependent rules below and coordinated internally. .J C. The benefits of a benefit plan which covers a person as an Employee who is neither laid off nor retired are determined before those of a benefit plan which covers that person as a laid-off or Retired Employee. The benefits of a benefit plan which covers a person as a Dependent of an Employee who is neither laid off nor retired are determined. before those of a benefit plan which covers a person as a Dependent of a laid-off or Retired Employee. If the other benefit plan does not have this rule, and if, as a resul~ the plans do not agree on the order of benefits, this rule does not apply. D. The benefits of a benefit plan which covers a person as an Employee who is neither laid off nor retired or a Dependent of an Employee who is neither laid off nor retired are determined before those of a plan which covers the person as a COBRA beneficiary. E. When a child is covered as a Dependent and the parents are not separated or divorced, these rules will apply: 1. The benefits of the benefit plan of the parent whose birthday falls earlier in a year are determined before those of the benefit plan of the parent whose birthday falls later in that year. .J 2. If both parents have the same birthday, the benefits of the benefit plan which has covered the patient for the longer time are determined before those of the benefit plan which covers the other parent. F. When a child's parents are divorced or legally separated, these rules will apply: 1. This rule applies when the parent with custody of the child has not remarried. The benefit plan of the parent with custody will be considered before the benefit plan of the parent without custody. 2. This rule applies when the parent with custody of the child has remarried. The benefit plan of the parent with custody will be considered first. The benefit plan of the stepparent that covers the child as a Dependent will be considered next. The benefit plan of the parent without custody will be considered last. 3. This rule will be in place of items (1) and (2) above when it applies. A court decree may state which parent is financially ..,J Page 71 of 95 \., '-' \.., responsible for medical and dental benefits of the child. In this case, the benefit plan of that parent will be considered before other plans that cover the child as a Dependent. 4. If the specific terms of the court decree state that the parents shall share joint custody, without stating that one of the parents is responsible for the health care expenses of the child, the plans covering the child shall following the order of benefit determination rules outlined above when a child is covered as a Dependent and the parents are not separated or divorced. G. If there is still a conflict after these rules have been applied, the benefit plan which has covered the patient for the longer time will be considered first. 3. Medicare will pay primary, secondary, or last, to the extent stated in federal law. When Medicare is to be the primary payer, this Plan will base its payment upon benefits that would have been paid by Medicare under Parts A and B, regardless of whether or not the person was enrolled under both of these parts. Claims Determination Period Benefits will be coordiDatOO on a Calendar Year basis. This is called the claims determination period. Right to Receive or Release Necessary Information To make this provision work, this Plan may give or obtain needed information from another insurer or any other organi7.a.tion or person. This information may be given or obtained without the consent of or notice to any other person. A Covered Person will give this Plan the information it asks for about other plans and their payment of allowable charges. Facility of Payment This Plan may repay other plans for benefits paid that the Plan Administrator determines it should have paid. That repayment will count as a valid payment under this Plan. Right of Recovery This Plan may pay benefits that should be paid by another benefit plan. In this case, the Plan may recover the amount paid from the other benefit plan or the Covered Person. That repayment will count as a valid payment under the other benefit plan. Page 72 of95 Further, this Plan may pay benefits that.are later found to be greater than the allowable charge. In this case, the Plan may recover the amount of the overpayment from the source to which it was paid. ..j Subroeation and Reimbursement Provisions Ri2ht of Subrontion and Refund When this provision appHes: The Covered Person may incur medical or dental charges due to injuries, sickness, disease or disability which may be ~ in whole or in p~ by or resulting from the acts or omissions of a third party, or from the acts or omissions of Plan Participant where any insurance coverage, no-faul~ uninsured motori~ underinsured motori~ medical payment provision or other insumnce policies or funds ("Coverage") exist In such circumstances, the Covered Person may have a claim against that third party, or insurer, for payment of the medical or dental charges and the Plan will conditionally advance payment or extend credit of medical benefits as a courtesy in such situations. Payment Conditions 1. Plan Partici~ his or her attorney, and/or legal guardian of a minor or incapacitated individual( s) agrees, by accepting benefits under this Plan for those incurred medical or dental expenses, to maintain in trust and without dissipation one hundred percent (1 ()()OAt) of the amount paid for benefits by the Plan, or the full extent of payment received, less reasonable attorney's fees, when recovered from anyone or combination of first and third party sources. oJ 2. By accepting benefits under the Plan, the Plan Participant recognizes this property right or equitable interest of the Plan in any cause of action the Plan Participant may have or the proceeds thereof and allows the Plan to pursue any claim which the Covered Person has against any third party, or insurer, whether or not the Covered Person chooses to pursue that claim. 3. The Plan may make a claim directly against the third party or insurer. In the event a Plan Participant settles, recovers, or is reimbursed by any third party or Coverage, the Plan bas the first priority right of recovery and a first lien on any amount recovered by the Covered Person whether or not designated as payment for medical expenses, and shall be paid before any other claims for the Plan Participant as the result of the illness or injury. This lien shall remain in effect until the Plan is repaid in full. Said right and/or lien may be filed with any person or 0~tli7~tion responsible, or potentially responsible, to the Plan Participant for indemnification, the Plan Participant's attorney, or the Court. oJ Page 73 of 95 \. 4. If the Plan Participant fails to reimburse the Plan for all benefits paid or to be paid, less reasonable attorney' fees, as a result of said injury or condition, out of recovery or reimbursement received, the Plan Participant will be liable for any and all expenses (whether fees or costs) associated with the Plan's attempt to recover such money from the Plan Participant. 5. The Plan requires written co~nt for any fees or costs associated with a Plan Participant pursuing a claim against any Coverage. The Plan Participant agrees to hold the Plan harmless against any unreasonable claims made against the Plan by the attorneys retained by the Plan Partic~ however these rights of subrogation and reimbursement shall apply without regard to whether any separate written acknowledgement of these rights is issued by the Plan and signed by the Plan Participant 6. This provision shall not limit any other remedies of the Plan provided by law. These rights of subrogation and reimbursement shall apply without regard to the location of the event that led to or caused the applicable sickness, injury, disease, or disability. The Covered Penon: 1. As a condition to participating in and receiving benefits under the Plan, automatically agrees to assign to the Plan any and all claims, causes of action or rights that they have or that may arise against any person, corporation and/or other entity, third party or insurer when this provision applies and to any Coverage for which the Covered Person claims an entitlement to benefits under this Plan, regardless of how classified or cha.racteriud. ~ 2. To promptly reimburse the Plan for any benefits paid on his or her behalf out of the recovery made from the third party or insurer, when such recovery through settlement, judgmen~ award or other payment is received; 3. To cooperate with the Plan or its agents in defining, verifying and protecting its rights of subrogation and reimbursement and to do nothing to prejudice the Plan's rights of subrogation and reimbursement. 4. To provide the Plan with pertinent information regarding the injury or sickness, including various forms of documentation, accident reports, settlement reports and any other requested additional information; 5. To take such action, furnish such information and assistance, and execute such documents as the Plan may require to facilitate enforcement of its subrogation and reimbursement rights. 41. Page 74 of95 Amount Subject to Subrogation or Refund ..J 1. The Covered Person agrees to recognize the Plan's right to subrogation and reimbursement. These rights provide the Plan with a priority over any funds to recover 10001<<. of the benefits paid by a third party to a Covered Person relative to the Injury or Sickness, with reasonable deduction for non-medical or dental charges, attorney fees, or other costs and expenses, without regard to whether the Plan Participant is fully compensated by hislher net recovery from all sources. This obligation exists whether or not thejudgment or settlement specifically designates the recovery or a portion of it as including medical, disability, or other expenses, and exists regardless of how classified or characterized. If the Plan Participant's net recovery is less than the benefits paid, then the Plan is entitled to be paid all of the net recovery achieved, less reasonable attorney's fees. 2. Notwithstanding its priority to funds, the Plan's subrogation and refund rights, as well as the rights assigned to i~ are limited to the extent to which the Plan has made, or will make, payments for medical or dental charges as well as any costs and fees associated with the enforcement of its rights under the Plan. Assignment of Rights 1. As a condition to the Plan making payments for any medical or dental charges, the Covered Person must assign to the Plan his or her rights to any recovery arising out of or related to any act or omission that caused or contributed to the Injury or Sickness for which such benefits are to be paid. The scope of this assignment is consistent with the amount subject to subrogation or refund set forth above. vJ 2. If the Covered Person decides to pursue a third party or any Coverage available to them as a result of the said injury or condition, when a right of recovery exists, the Covered Person agrees to include the Plan's subrogation claim in that action and will execute and deliver all required instruments and papers as well as doing whatever else is needed to secure the Plan's right of subrogation as a condition to having the Plan make payments. In addition, the Covered Person will do nothing to prejudice the right of the Plan to subrogate. If the Covered Person fails to include the Plan's subrogation claim in that action, the Plan will be legally presumed to be included in such action or recovery. 3. In the event the Plan Participant fails to make a claim against or pursue damages against: A. The responsible party, its insurer, or any other source on behalf of that party; B. Any first part insurance through medical payment coverage or personal injury protection; .J Page 75 of95 ~ '-' 2. ~ C. The Plan Participant's uninsured or underinsured motorist coverage; D. Any policy or contract of insurance from any insurance company or guarantor of a third party; E. Workers' Compensation or other liability insurance company; or F. Any other source, including but not limited to crime victim restitution funds, any medical, disability or other benefit payments, and no-fault or school insurance coverages, Then the Plan Participant authorizes the Plan to pursue, sue, compromise or settle any such claims in their name, to execute any and all documents necessary to pursue said claims in their name, and agrees to fully cooperate with the Plan in the prosecution of any such claims, and assigns all rights to the Plan or its assignee to pursue a claim and the recovery of all expenses from any sources listed above. 4. If at the time of injury, sickness, disease or disability there is available, or potentially available based on information known or provided to the Plan or to the Plan Participan~ any other Coverage, including but not limited to judgment at law or settlements, the benefits under this Plan shall apply only as excess insurance over such other sources of indemnifications. The Plan's benefits shall be excess to the parties listed above. 5. The Plan may, in its own name, or in the name of the Plan Participant or their personal representative, commence a proceeding or pursue a claim against such other third person for the recovery of all damages in the full extent of the value of any such benefits or services furnished or payment advanced or credit extended by the Plan. 6. In the event the Plan Participant is a minor as that term is defined by applicable law, the minor's parents or court-appointed guardian, as the case may be, shall take and cooperate in any and all action requested by the Plan to seek and obtain any requisite court approval in order to bind the minor and his or her estate insofar as the subrogation and reimbursement provisions are concerned. If the minor's parents or court-appointed guardian fail or refuse to take such action, any court costs or legal fees incurred by the Plan associated with obtaioiJlg such approval, shall be paid by the minor's parents or court-appointed guardian. Language Interpretation and Severability 1. The Plan Administrator retains sole, full and final discretionary authority to construe and interpret the language of this provision, to determine all questions of fact and law arising under this provision, and to ~lJ1jnlster the Plan's subrogation/reimbursement rights. In the event that any section of this provision is considered invalid or illegal for any reason, said invalidity or illegality shall not affect the rero$Jinine sections of this provision and Plan. The section shall be fully severable. The Plan shall be Page 76 of95 construed and enforced as if such invalid or illegal sections had never been inserted in the Plan. .J Defined Terms 1. Recovery means monies paid to the Covered Person by way of judgment, sett1emen~ or otherwise to compensate for all losses caused by the Injuries or Sickness whether or not said losses reflect medical or dental charges covered by the Plan. 2. Subrogation means the Plan's right to pursue the Covered Person's claims for medical or dental charges against the other person. 3. Refund means repayment to the Plan for medical or dental benefits that it has paid toward care and treatment of the Injury or Sickness. ..J .J Page 77 of95 \" COBRA Continuation Options To provide options for individuals who lose health coverage from an employer-sponsored insurance plan, the FedemI Government enacted the Consolidated Omnibus Budget RecOnciliation Act of 1985 (Public Law 99-272, Title X), commonly known as COBRA. The following will explain your rights under the law and what should be done if you (or a covered dependent) experience a COBRA "qualifying event". A qualifying event is an event that occurs whereby an employee or covered dependent would no longer be eligible to continue under a group health plan. We request that you and your covered dependents take the time to read this important notification. COBRA Law ~ With a few exceptions, employers with twenty or more employees that provide health benefits are required to offer employees (and/or their covered dependents) the right to a temporary extension of group insurance (called "continuation coverage") upon experiencing a qualifying event. An individual experiencing a qualifying event is referred to as a "qualified beneficiary" and receives many of the rights granted to similarly situated active employees as it relates to group insurance plans. It is the emolovee's resoonsibility to notify the Plan Admlni.trator Immedlatelv uoon exoeriencine: . QUa6fvin1l event. so that the Plan Adminatntor may effeetuate the required notification within the required time frames. See definition of Qualifying Events, below. Continuation coverage is different from converting to individual coverage after termination of employment. The major advantages of COBRA are that participants will receive the same group plan benefits as a similarly situated active employee and will be charged the company's group rate (plus a maximum. of two percent as an administrative fee). These COBRA rates may (or may not) be less than the premiums charged under a conversion policy so it is recommended that you contact the insurer directly to receive a quote. With many conversion policies, benefits are reduced and premiums are based upon the age and sex of the converting members. Another difference is that COBRA allows for covered dependents to independently continue their health coverage and retain COBRA rights throughout their continuation time ftame. Employer and Qualified Beneficiary's Responsibilities \.,. When you or your covered dependent experience a qualifying event, you will be sent a notification explaining your rights to elect COBRA continuation coverage. The Plan Administrator shall provide this notification through its third party COBRA administrator, within fourteen days from the date of the qualifying event (or as soon as administratively possible ). Yon or vour d~ntlent have the resoonsiJJility to notify the third oartv COBRA .dmini.trator ofvour desire to continue covere:e within IiItv (60) daVI from the later of the date of notification or loss of covene:e. Upon acceptance you or your dependent will be notified of any enrollment forms that must be completed. Keep in mind, qualified beneficiaries who elect continuation coverage Page 78 of 95 are responsible for premiums back to the date termination from the plan would have occurred. ...J If you or a covered dependent experience a qualifying event and do not receive a qualifying event notification in a timely fashion, you are requested to contact the Plan Administrator immediately. Even if you elect not to continue coverage, it is vital you have the information necessary to make an informed decision. The Employer will know when certain qualifying events (i.e., reduced work hours, employment termination and death of an employee) occur. Y@u fAfl vow covered deoendents wiD be resoonsible for notilrintr the Plan Adp"..istrator or hislher desimte of a div~fC!, fml se~ntio", Medjeare enfi:tleme,t or when a de~ndent loses hislher "dependent status". .. You or vour de"ndenUs} have sixtv (60) dars to notify the Plan Administrator or tits clajtmee of fhese QVaJifriD2: events. If the Plan Administntor OJ: IY! ~~i&wt! if not ,.tUJ!4.lt!tJW! tJ!iI tie, h~~ (;2DM continuation eannot be offered. In order to take advantage of the disability extension described below, you must also notify us within sixty days of a determination by Social Security that you or a dependent are "disabled". COBRA Qualifying Events Listed below are qualifying events for which you and/or your covered dependents are able to continue coverage under COBRA. As sho~ the maximum continuation coverage time frame depends upon the qualifying event experienced. To be considered a .,j qualified beneficiary, you or your dependent must have been enrolled on the group plan on the day prior to the qualifying event. One exception to this rule is when a child is born to (or placed for adoption with) an employee during the COBRA continuation period. These children will receive all the rights of a qualified beneficiary throughout the COBRA continuation period. Divorce or Ie on Employee is entitled to Medicare but d ndents are not Dependent child who no longer meets the lan's definition of a "de nt" ..J Page 79 of 95 \. Disability Extension If the qualifying event is an employee's termination or reduction in work hours and you or a covered dependent are determined to be "disabled~~ by Social Security (under Title XI or Title XVI) either before that qualifying event or within sixty days of such even~ you and your covered dependents are eligible for an additional eleven months of coverage (yielding a total of29 months). For this extension to apply, evidence of disability under the Social Security Act must be provided to the Plan Administrator within the initial eighteen month continuation coverage time frame and within sixty days from the date of Social Security's determination. Multiple Qualifying Events ~ If you experience a qualifying event that entitles you and your covered dependents to less than thirty-six months of continuation coverage (including the disability extension described above) and during your period of continuation coverage your covered dependents experience a second (or "multiple") qualifying even~ the period of continuation coverage for your covered dependents may be extended under COBRA from eighteen months (or twenty-nine months if disabled) to thirty-six months. The maximum continuation period is thirty-six months regardless of how many qualifying events your covered dependents experience. It is your responsibility, or the responsibility of your covered dependents to notify the Plan Administrator within sixty days of the multiple qualifying event. Employees who experience a reduction in work hours followed by a terrnlJ1~tion of employment shall only be eligible for eighteen months of continuation coverage under COBRA. Family and Medical Leave Ad Under the Family and Medical Leave Act of 1993 (FMLA), eligible employees have the right to take up to twelve weeks of unpaid leave to care for themselves or a specified relative. If you elect to take this leave and later notify the company that you will not be returning, you have the ability to continue your coverage for eighteen months from the date benefits are terminated on account of your failure to return to work. Please refer to the District's Family Care and Medical Leave Policy for complete details regarding benefits status during this type of leave. Re-Enrollment after a FMLA Leave If any or all of an Employee's coverages end while the Employee is on a FMLA leave, the Employee can re-enroll for coverage when he or she returns to work from the FMLA leave. '-' The Employee and any Dependents will be considered timely enrollees if the Employee re-enrolls within thirty one.(31) days from the date he or she returns to work. Any waiting period will be applied as if there had been no break in coverage. Page 80 of 95 COBRA Termination ..J Although COBRA continuation coverage has a maximum time frame, you may voluntarily terminate coverage at any time by notifying the Plan Administrator in advance. In addition, COBRA states that continuation coverage will end for one or more of the following reasons: 1. The District terminates all of its health plans for similarly situated active employees. 2. COBRA premiums are not paid in a timely manner. 3 . You and/or your Covered Dependents become covered under another group plan after electing continuation coverage and that plan does not exclude a pre-existing medical condition affecting you or your dependents. 4. You become entitled to Medicare (meaning enrolled in Parts A and/or B) after you have elected continuation coverage under COBRA. However, your dependent's continuation coverage may be extended to thirty-six months upon notifying the Plan Ad.m:inis1rator of your Medicare entitlement. 5. You or a Covered Dependent are enrolled in a plan that requires you to live in the plan's "Service Area" or visit contracted providers and you move out of that service area. However, if another plan is available to similarly situated active employees who move from the service area, coverage under that plan will be offered to you. ~ 6. You file fraudulent claims or engage in other activities for which a similarly situated active employee would be terminated "for cause". 7. A "disabled" participant is determined by Social Security to be no longer disabled during the eleven month extension. In that case, the entire family unit will be terminated from. COBRA. Premium Costs The cost of continuation coverage will be determined at the time of the qualifying event. Your cost will be the amount determined by the District for similarly situated active employees under the Plan, plus a 2% admiujstration fee. An employee who is deemed to be disabled and who elects the disability extension may be charged a 50% administration fee during the eleven month extension. (If the disabled employee does not elect the disability extension or tero1jn~tes coverage before the extension would ordinarily end, hisIher covered dependent's administration fee will be reduced to 2%). If the District's "premium" funding increases or decreases, the COBRA participant's premiums will be adjusted accordingly. Premium rates for the plan are set for twelve month periods based "filii upon the Plan Year. Page 81 of95 , \.., If you elect to continue coverage under COBRA, you will be granted an initial forty-five day grace period to make your payment. Your first payment must include the premiums for coverage retroactively to the date you or your covered dependents would have lost coverage if you hadn't elected to continue coverage. Subsequent premium payments will have a thirty-day grace period. If premiums are not received within the allotted grace period, COBRA coverage will be terminated back to the date for which premiums were applied. Coverage under COBRA Since COBRA is a continuation of benefits, your benefits will remain the same as prior to the qualifying event. If the District elects to change plans and/or benefits, you will be eligible to enroll in the changed plan and will therefore receive the same benefits as similarly situated active employees. If your Plan has deductibles and co~insurance maximums, these amounts will be based upon expenses incurred prior to the qualifying event by only those family members electing to continue under the plan. COBRA participants who move from the plan's service area may lose coverage under the group health plan (as would a similarly situated active employee). If the District offers a plan that would provide coverage in the new area, the COBRA participant will be offered the right to enroll in that plan. \., Open Enrollment COBRA participants are offered the same rights as similarly situated active employees during open enrollment They may change plans and add/delete eligible dependents. Although part of the family unit, dependents (other than newborn children and adopted children of the employee) added during open enrollment will not have the same COBRA rights as the initial qualified beneficiaries. The District's open enrollment may vary from year to year, so feel free to contact the Plan Administrator for further information on open enrollment. Tnde Act 0(2002 On August 6, 2002, the Trade Act of 2002 was signed into law expandinf the benefits available to workers displaced by import competition or shifts of production to other countries. The Trade Act of 1974 initially offered benefits (known as "trade adjustment assistance") which expired September 30, 2001. The Trade Act of 2002 extended this period to September 30, 2007 and offers qualified workers a tax credit of up to 65% of COBRA health insurance premiums for both them and their family. \" To be eligible for the tax credit, you must be currently receiving trade adjustment assistance or considered an "eligible PBOC pension recipient", paying premiums for qualified health insurance, not receiving other coverage and not in prison. The law also creates a second "election period" for individuals not electing COBRA coverage upon Page 82 of 95 their loss of employment if they are within the six months immediately after their group health plan coverage ended. For further information on the Trade act of 2002, please .j visit the website at www.cobralaw.com/trade-act. Health Insurance Portability and Accountability Act of 1996 (IDP AA) The scope ofHIPAA is to eliminate barriers for individuals (mainly people with pre- existing medical conditions that would have difficulty obtaining immediate coverage) who lose coverage and want to find a replacement plan. The law limits a plan's "pre- existing condition limitation time frame" to twelve months for newly enrolling individuals and provides credit for prior medical coverage, including COBRA continuation coverage. When you termin~ from a group medical plan, you will receive a Certificate of Coverage that illustrates your prior coverage. This certificate should be shown to a new employer to receive one month credit for every month of prior coverage. If there is a break in coverage greater than sixty-three (63) days, the new employer does not have to provide any prior coverage credit. (Individuals receiving trade adjustment assistance and who enroll in COBRA during the "second election period" shall receive creditable covemge even with a break in coverage larger than sixty-three days.) In addition, if you elect COBRA and keep your coverage for the maximum continuation period available to yo~ you may be eligible for coverage under an individual plan (through an insurer of your choice) on a guaranteed issue basis without any pre-existing condition limitations. .J Questions Regarding COBRA COBRA is complex, placing certain requirements on both the employer and the qualified beneficiary. It is designed to provide temporary health insurance with a defined termination date. Hyou have any questions regarding this notification of your COBRA rights, please feel free to contact Conea at (866) 262-7277. Continuation of Coverage Under USERRA If your Service ends due to a qualified military leave of absence you may be eligible to continue coverage under this provision, subject to payment of contributions. The Uniformed Services Employment and Reemployment Rights Act of 1994 (USERRA) established requirements that Employers must meet for certain Employees who are involved in the Uniformed Services. In addition to the rights under COBRA continuation of coverage, you are entitled under USERRA to continue the coverage yu had under the group for Medical, Prescription Drug and Dental. "Service in the Uniformed Services" means the performance of active duty in the Uniformed Services under competent authority which includes W\ining, full-time National Guard duty and the time necessary for a person to be absent from employment .II Page 83 of95 '-' -.., \., for an examination to determine the fitness of the person to perform any of the assigned duties. When a covered Employee takes a leave for Service in the Uniformed Services, USERRA coverage for the covered Employee and covered Dependents for whom coverage is elected, begins the day after the Employee and covered Dependents lose coverage under the Plan and it continues for a maximum period of up to 24 months. If you are entitled to COBRA continuation coverage, both COBRA and USERAA coverage are concurrent. This means both COBRA coverage and USERRA coverage will begin upon commencement of the employee's leave. The administrative policies and procedures described for COBRA continuation coverage will also apply to USERAA coverage. In some instances, COBRA coverage may continue longer. Additional information on COBRA continuation coverage is described in this Plan Document. If coverage under USERRA is elected, the covered Employee and covered Dependents will be required to pay up to 102% of the applicable group rate. However, if your Uniformed Service leave of absence is less than 31 days, you are not required to pay more than the amount that you pay as an active Employee for that coverage. Page 84 of95 ,rJall Amendment Re2an~liDI!.ml-M PrlvacvComnlianee " For the So e Oct Em~l~~' BeoefijPlan ..J Introduction The South Tahoe Public Utility District (plan Sponsor) sponsors the South Tahoe Public Utility District Employees' Benefit Plan (the Plan). Members of the District's workforce may have access to the individually identifiable health information of Plan participants for administrative functions of the Plan. When this health information is provided from the Plan to the Plan Sponsor, it is Protected Health Information (PHI). The Health Insurance Portability and Accountability Act of 1996 (HIP AA) and its implementing regulations restrict the Plan Sponsor~ s ability to use and disclose pm. The following lllP AA definition ofPID applies to this Plan Amendment: Protection Health Information: Protected health information means information that is created or received by the Plan and relates to the past, presen~ or future physical or mental health or condition of a participant; the provision of health care to a participant; or the past, presen~ or future payment for the provision of health care to a participant; and that identifies the participant or for which there is a """ reasonable basis to believe the information can be used to identify the participant. Protected health information includes information of persons living or deceased. The Plan Sponsor shall have access to pm from the Plan only as permitted under this Plan Amendment or as otherwise required or permitted by lllP AA. Provision of Protected Health Information to Plan SDOBIOr Permitted Disclosure of EnrollmentlDis-Enrollment Information The Plan (or a health insurance issuer or HMO with respect to the Plan) may disclose to the Plan Sponsor information on whether the individual is participating in the Plan, or is enrolled in or has dis-enrolled from a health insurance issuer or HMO offered by the Plan. Permitted Us. and Disclosure of SDl"1IIary Health Information The Plan (or a health insurance issuer or HMO with respect to the Plan) may disclose Summary Health Information (defined below) to the Plan Sponsor, provided the Plan Sponsor requests the Summary Health Information for the purpose of: r.,J Page 8S of9S \" 1. Obtaining premium bids from health plans for providing health insurance coverage under the plan; or 2. modifying, amending, or terminating the Plan. Summary Health Information: Summary health information means information that (a) summarizes the claims history, claims expenses or type of claims experienced by individuals for whom a plan sponsor had provided health benefits under a Health Plan; and (b) from which the information described at 42 CFR ~ 164.514(bX2)(I) has been deleted, except that the geographic information described in 42 CFR ~164.514(bX2)(i)(B) need only be aggregated to the level of a five-digit zip code. Permitted and Required Uses and Disclosure of Protected Health Information for Plan Administration Purposes '-' Unless otherwise permitted by law, and subject to the conditions of disclosure described under "Conditions of Disclosure for Plan Administration Purposes". and obtaining written certification pursuant to "Certification of Plan Sponsor", the Plan (or a health insurance issuer of HMO on behalf of the Plan) may disclose PHI to the Plan Sponsor, provided the Plan Sponsor uses or discloses such PIll only for Plan administration purposes. Plan Administration Purposes: Plan adminilrtrative purposes means oomhlistration functions performed by the Plan Sponsor on behalf of the Plan, such as quality assurance, claims processing, utili7J1tion trends, auditing, and monitoring. Plan admini~tion functions do not include functions performed by the Plan Sponsor in connection with any other benefit or benefit plan of the plan of the Plan Sponsor, and they do not include any employment related functions. Notwithstanding the provisions of this Plan to the contrary, in no event shall the Plan Sponsor be permitted to use or disclose PIll in a manner that is inconsistent with 45 CFR ~ 164.504(f). Conditions of Disclosure for Plan Admtnllltration Purposes Plan Sponsor agrees that with respect to any PIll (other an enrollmentldis-enrollment information and Summary Health Information, which are not subject to these restrictions) disclosed to it by the Plan (or a health insurance issuer or HMO on behalf of the Plan) Plan Sponsor shall: \., Page 86 of 95 1. Not use or further disclose the Pill other than as permitted or required by the Plan or as required by law. '.I 2. Ensure that any agen~ including a subcontractor, to whom it provides Pill received from the Plan agrees to the same restrictions and conditions that apply to the Plan Sponsor with respect to PHI. 3. Not use or disclose the PHI for employment-related actions and decisions or in connection with any other benefit or employee benefit plan of the Plan Sponsor. 4. Report to the Plan any use or disclosure of the information that is inconsistent with the uses or disclosures provided for, of which it becomes aware. 5. Make available PHI to comply with HIP AA's right to access in accordance with 45 CPR ~ 164.524. 6. Make available PHI for amendment and incorporate any amendments to PHI in accordance with 45 CFR ~ 164.526. 7. Make available the information required to provide an accounting of disclosures in accordance with 45 CFR ~ 164.528. 8. Make its internal practices, books, and records relating to the use and disclosure of Pill received from the Plan available to the Secretary of Health and Human Services for purposes of determining compliance by the Plan with HIP AA's privacy requirements. ..J 9. If feasible, return or destroy all PHI received from the Plan that the Plan Sponsor still maintains in any form and retain no copies of such information when no longer needed for the purposes for which disclosure was made, except that, if such return or destruction is not feasible, limit further uses and disclosure to those purposes that make the return or destruction of the information infeasible. 1 O. Ensure that the adequate separation between Plan and Plan Sponsor (Le., the ''firewall''), required in 45 CPR ~ 504(t)(2)(iii), is satisfied. Adequate Sepantion Between Plan and Plan Sponsor The Plan Sponsor shall allow the General Manager (as Plan Administrator), Human Resources Director (as Plan Coordinator) and Chief Financial Officer and/or Accounting Manager (to conduct internal audit of the Plan's expenses and payment of claims), access to the Pill. No other persons shall have access to and use Pill to the extent necessary to perform the Plan 3{1ministration functions that the Plan Sponsor performs for the Plan. In the event that any of these specified employees do not comply with the provisions of this . ..,j Section, that employee shall be subject to disciplinary action by the Plan Sponsor for ..", Page 87 of95 \r \., \. non-compliance, pursuant to the Plan Sponsor's employee discipline and termination procedures. CertUICation of Plan Sponsor The Plan (or a health insurance issuer or HMO with respect to the Plan) shall disclose PHI to the Plan Sponsor only upon the receipt of a certification by the Plan Sponsor that the Plan has been amended to incorporate the provisions of 45 CFR ~ 164.504(f)(2Xii), and that the Plan Sponsor agrees to the conditions of disclosure set forth in the preceding paragraphs of this Section. Page 88 of95 ResponsibjJjtimif2tlJ~ Admilistratic!p ..J Plan Administrator South Tahoe Public Utility District Employees' Benefit Plan is the benefit plan for Employees of South Tahoe Public Utility District. The Plan Administrator, also called the Plan Sponsor is an individual appointed by the South Tahoe Public Utility District to be Plan Administrator and serve at the convenience of the Employer. If the Plan Administrator resigns, dies or is otherwise removed from the position, South Tahoe Public Utility District shall appoint a new Plan Administrator as soon as reasonably possible. The Plan Administrator sha1l9dminister this Plan in accordance with its terms and establish its 'policies, interpretations, practices, and procedures. It is the express intent of this Plan that the Plan Administrator shall have maximum legal discretionary authority to construe and intetpret the'terms and provisions of the Plan, to make determinations regarding issues which relate to eligibility for benefits, to decide disputes which may arise relative to a Plan Participant's rights, and to decide questions of Plan intetpretation and those of fact relating to the Plan. The decisions of the Plan Administrator will be final on all interested parties. Duties of the Plan Adminifltrator ..J 1. To admin;ster the Plan in accordance with its terms. 2. To interpret the Plan, including the right to remedy possible ambiguities, inconsistencies or omissions. 3. To decide disputes which may arise relative to a Plan Participant's rights. 4. To prescribe procedures for filing a claim for benefits and to review claim denials. 5. To keep and maintain the Plan documents and all other records pertaining to the Plan. 6. To appoint a Claims Administrator to pay claims. 7. To delegate to any person or entity such powers, duties and responsibilities as it deems appropriate. Plan Administrator Compensation The Plan Administrator serves without compensation; however, all expenses for Plan administration, including compensation for hired services, will be paid by the Plan. .J Page 89 of 95 \.., Claims Administrator is not a Fiduciary A Claims Administrator is not a fiduciary under the Plan by virtue of paying claims in accordance with the Plan's rules as established by the Plan Administrator. Funding the Plan and Payment of Benefits The cost of the Plan is funded as follows: 1. For Employee and Dependent Coverage: A. Funding is derived solely from the funds of the Employer. 2. Benefits are paid directly from the Plan through the Claims Administrator. Plan is not an Employment Contract The Plan is not to be construed as a contract for or of employment. Clerical Error \.. Any clerical error by the Plan Administrator or an agent of the Plan Administrator in keeping pertinent.records or a delay in making any changes will not invalidate coverage otherwise validly in force or continue coverage validly terminated. An equitable adjustment of contributions will be made when the error or delay is discovered. If, due to a clerical error, an overpayment occurs in a Plan reimbursement amoun~ the Plan retains a contractual right to the overpayment. The person or institution receiving the overpayment will be required to return the incorrect amount of money. In the case of a Plan Participant, if it is requested, the amount of overpayment will be deducted from future benefits payable. Self-Funded Benefits Medical, Prescription Drug, Dental and Vision Benefits The Plan Administrator has complete authority to control and manage the Plan. The Plan Administrator has full discretion to determine eligibility, to interpret the Plan, and to determine whether a claim should be paid or denied, according to the provisions of the Plan as set forth in this booklet. The Employer is fully responsible for the self-funded . benefits. The Claims Administrator processes claims and provides other services to the Employer related to the self-funded benefits. The Claims Administrator does not insure or guarantee the self-funded benefits. \.., Page 90 of 95 General Plan Information ,~ The Plan will provide benefits, in accordance with the applicable requirements of federal laws, such as COBRA, HIP AA (the Health Insurance Portability and Accountability Act of 1996), the NMHP A (The Newborns' and Mothers' Health Protection Act of 1996), and the WHCRA (The Women's Health and Cancer Rights Act of 1998). The Plan will also provide benefits as required by any qualified medical child support order, as defined in ERISA ~ 609(a), and provide benefits to dependent children placed with participants or beneficiaries for adoption under the same terms and conditions as apply in the case of dependent children who are natural children or participants of beneficiaries, in accordance with ERISA ~609( c). Your right to benefits under this Plan will be determined under each Program in which you participate. Your rights to benefits in this Plan or any Program are subject to amendmen~ modification or termination in accordance with the Plan Eligibility and Participant Section of this Plan, and the applicable provisions of each Program. Any amendmen~ modification or termination of a Program will also be an amendment, modification or termination of this Plan. Amendment or Termination of this Plan The Employer fully intends to maintain this Plan indefinitely. However, it reserves the .A right to terminate, suspend, discontinue or amend the Plan at any time upon advance ..", notice to all Participants, subject to the terms of the applicable MOU. Changes in the Plan may occur in any or all parts of the Plan including benefit coverage, deductibles, maximums, co-payments, exclusions, limitations, definitions, eligibility and the like. If the Plan is terminated, the rights of Covered Persons are limited to covered charges incurred before terl:nination. Funding All benefits paid under the Plan are paid in cash from the general assets of the District. No Employees have any righ~ title, or interest whatever in or to any investment reserves, accounts, or funds that the District may purchase, establish, or accumulate to aid in providing Benefits under the Plan. Nothing contained in the Plan, and no action taken under its provisions, creates a trust or fiduciary relationship of any kind between the District and an Employee or any other person. Neither an Employee nor a beneficiary of an Employee acquires any interest greater than that of an unsecured creditor. Type of Plan The Plan provides medical, dental, and prescription drug benefits. .,J Page 91 of95 \., Type of Administration The Plan is a self-funded welfare plan and the administration is provided through a third party Claims Administrator Plan Name South Tahoe Public Utility District Employees' Benefit Plan Plan Number 901 Plan Effective Date January 1, 1997 Plan Year January 1 through December 31 sf The Plan has been amended several times since its original effective date. See the title page for all amendment dates. Employer Information South Tahoe Public Utility District 1275 Meadow Crest Drive South Lake Tahoe, CA 96150 (530) 544-6474 Plan Administrator General Manager South Tahoe Public Utility District 1275 Meadow Crest Drive South Lake Tahoe, CA 96150 (530) 543-6201 \., Claims Administrator CDS Group Health 1625 East Prater Way. Building C. Suite 101 P.O. Box 50190 Reno.~ 89435-0190 (800) 455-4236 Trustee(s) Board of Directors South Tahoe Public Utility District 1275 Meadow Crest Drive South Lake Tahoe, CA 96150 Plan Coordinaton Nancy Hussmann; Rhonda McFarlane South Tahoe Public Utility District 1275 Meadow Crest Drive South Lake Tahoe, CA 96150 (530) 543-6222 or 543-6211 Agent of Legal Process General Manager/Plan Administrator South Tahoe Public Utility District 1275 Meadow Crest Drive South Lake Tahoe, CA 96150 (530) 5343-6201 The Plan Trustees reserve the right to change Claims Administrator and/or Plan Administrator at their discretion. The Plan and its attachments constitute the written Plan Document required by ERISA ~402. \.., Page 92 of 95 Attachment 1 ...,J Authorization for Release of Claim Information Claim Assistance I, , hereby authorize the staff of CDS Group Health, claims administrator for the South Tahoe Public Utility Distri~ to release to Nancy Hussmann, Plan Coordinator, information regarding This release of information is for the purpose of allowing the Plan Coordinator to assist me with claim processing questions and to assist in resolving any billing and/or claim discrepancies. Specifically, I authorize the staff of CDS Group Health, to provide Nancy Hussmann, Plan Coordinator, with billing and/or claim processing information, which may include diagnosis and/or medical information, that will assist in determining the appropriate action needed regarding the above c1aim(s). This authorixation will expire 60 days after the date of my signatme on this Authorization, after which date CDS Group Health is no longer authorized to discuss my current medical claims information with the Plan Coordinator, unless a new Authorization is signed by me. J I understand that the District shall not use any information contained in or obtained as a result of this Medical Information Release against me in any District personnel action (promotion, demotion, layoff: or disciplinary determination). I further understand that a copy of this signed authorixation will be provided to me upon my request. Signature: Date: Print Name: Original: Cc: Plan Coordinator Employee Claims Administrator ..J Page 93 of 95 \.., \... \. Attachment 2 Authorimtion for Release Of Claim Information For Claim Anneal I, , hereby authorize the staff of CDS Group Health, Claims Administrator for the South Tahoe Public Utility District, to release information regarding to the Human Resources Director (plan Coordinator) and/or General Manager (plan Administrator). This release of information is for the purpose of allowing the Plan Administrator and/or Coordinator to assist me with appealing the denial of the above claim. Specifically, I authorize the Claims Administrator to provide the General Manager (plan Administrator) and/or Human Resources Director (plan Coordinator) with billing and/or claim processing information, which may include diagnosis and/or medical information, that will assist in determining the appropriate action needed regarding the above claim(s). This authorization will expire 60 days after the date of my signature on this Authorization, after which date Claims Administrator is no longer authorized to discuss my current medical condition with the Plan Administrator and/or Coordinator, unless a new Authorization is signed by me. I understand that the District shall not use any information contained in or obtained as a result of this Medical Information Release against me in any District personnel action (promotion, demotion, layoff: or disciplinary determination). I further understand that a copy of this signed authorization will be provided to me upon my request. Signature: Date: Print Name: Original: Cc: Plan Administrator Plan Coordinator Employee Claims Administrator Page 94 of 95 Attachment 3 .J Authorization for Release of Medical Information Th Claims Administrator and Plan Administrator Request for Plan Exception I, ~ hereby authorize the staff of CDS Group Health and/or Medical Provider, to release to the Human Resources Director and/or Geneml Manager (plan Coordinator and Plan Administrator) for the South Tahoe Public Utility Distri~ information regarding This release of information is for the purpose of allowing the Plan Admini~trator to make an informed decision regarding my Request for Plan Exception. I understand that the Claims Administrator will consult with the Plan Administrator and that any information released pursuant to this Authorization may be shared with the Plan Administrator for purposes of decision regarding the requested plan exception. Specifically, I authorize Provider to inform the Claims Administrator of any medical ..J information bearing upon my Request for Plan Exception, including when relevan~ my current diagnosis, recommended course of action, and medical information relevant to the recommended course of action, including any documents, test results, x-rays, etc. I further specifically authorize the Claims Administrator to share this information with the Plan Administrator. I further authorize Provider, Claims Administrator and/or Plan Administrator to release this information to any third party qualified to review such claims which may be consulted by Claims Administrator and/or Plan Administrator for purposes of obtaining a recommendation or opinion regarding my Request for Plan Exception. This authorization will expire 60 days after the date of my signature on this Authorization, after which date Provider is no longer authorized to discuss my current medical condition with the Claims Admini~tor. I understand that the District shall not use any information contained in or obtained as a result of this Medical Information Release against me in any personnel (promotion or demotion or layoff determination) or District disciplinary action. I further understand that a copy of this signed authorization will be provided to me upon my request. Signature: Date: Original: Cc: Claims Administrator Plan Coordinator, Plan Administrator, Employee ..J Page 95 of 95 ~........ ................ South Tahoe Public Utility District 0Ir<<;t.cn ~ F..,... Jamft It .Jon/Ilt MtIy t,QU ~ Duanct~ EIfc~ 1275 ~a.t.0rIve. South ~ Tahc>>-CA 96150-1<401 PhcnJ530!S44-6414. Fax 580 !541-o614.WWW.stputus BOARD AGENDA ITEM 7d TO: Board of Directors FROM: Nancy Hussmann, Human Resources Director Rhonda McFarlane. Chief Financial Officer MEETING DATE: December 6, 2007 ITEM - PROJECT NAME: Employee Benefits Plan 2008 Renewal REQUESTED BOARD ACTION: (1) Renew Excess Insurance Policy with Gerber Life Insurance Company; (2) Approve funding level for plan in the amount of $1 ,600 per employee per month; (3) Approve COBRA rates for 2008 as follows: Single Dental $70; Family Dental $185; Single Medical $650; Family Medical $1,600. DISCUSSION: BB&H Benefit Designs, Inc., the District's consultant for the self-insured Employee Benefits Plan, went out for proposal for the Excess Insurance company for the Plan. Currently the District has a policy with Gerber Life Insurance Company. Renewal proposals that were received indicated that renewing with Gerber would result in only a 9.2% increase in fixed costs, versus 26.7-67.2% increase with other carriers. Staff met with the Finance Committee who concurs that renewing with Gerber is most cost effective. Staff also met with the Finance Committee regarding the funding level per employee per month for the Employee Benefits Plan. The District experienced a higher than normal claims costs in 2007, due in part to initiating the Wellness Program. Inflation trending was utilized to determine the appropriate level of funding required to meet anticipated claims in 2008. Staff anticipates that Wellness costs will decrease in 2008, since many of the tests required are not annual tests. Therefore, staff believes that the current $1,600 per employee, per month, is adequate to cover anticipated claims in 2008. The Employee Benefits Plan provides, as required by federal law, for continuation of coverage in the event of termination or loss of dependent status. Participants electing COBRA continuation coverage pay the applicable COBRA rate plus a 2% administrative fee. Each year, applicable COBRA rates are established consistent with the prior year's actual claim experience, in conjunction with the current Plan renewal issues. As required under COBRA regulations, a two-tier rate structure must be provided, and participants can elect to continue coverage for either medical or dental, or both. -53- Nancy Hussmann Rhonda McFarlane December 6, 2007 Page 2 Based upon recommendation from BB&H Benefit Designs, and taking into account the current year's claim experience, renewal quotes and estimated claims liability for 2008, these COBRA rates will accurately cover actual COBRA costs. SCHEDULE: December 6,2007, Notify BB&H of Board decision; Notify CDS Group Health of COBRA rates. COSTS: $2,188,800 ACCOUNT NO: BUDGETED AMOUNT REMAINING: ATTACHMENTS: Stop Loss Renewal Comparison, BB&H Memo re COBRA Rates CONCURRENCE WITH REQUESTED ACTION: GENERAL MANAGER: YES~ NO CHIEF FINANCIAL OFFICER: YES~ NO -54- CATEGORY: General -.. South Tahoe Public UtIlity District Stop Loss Renewal Elf 1/1_ Volume Gerber Gerber TransAmenca Canada Life RE Moulton Current Renewal Proposal Proposal Proposal Specific Stop Loss MedIRx MedIRx MedIRx MedIRx MedIRx Specific Level $65,000 $65.000 $65,000 $65,000 $65,000 lifetime Maximum $2,000,000 $2,000,000 $2.000,000 $2,000,000 $2,000,000 ContJact Type 15/12 15112 15/12 15/12 15112 Premiums Single 22 $54.62 $59.92 $90.30 $80.46 $93.53 Family 96 $133.84 $146.27 $227.56 $168.84 $201.28 Monlhly Cost $14,050.28 $15,360.16 $23,832.36 $17,978.76 $21,380.54 Annual Cost $168,603.36 $184.321.92 $285,988.32 $215,745.12 $256,566.48 Aggregate Stop Loss MEidIRx MedIRx MedIRx MedIRx MedIRx Margin 125% 125% 125% 125% 125% Centrad Type 15112 15112 15/12 15112 15112 Monthly Cumulative Maximum Reimbursement $1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000 Pl8mium Single 118 $9.45 $10.11 $12.86 $10.50 $8.46 Monthly Cost $1,096.20 $1,1n.76 $1,491.76 $1,218..00 $981.36 Annual Cost $13,154.40 $14,073.12 $17,901.12 $14,616.00 $11,776.32 Total Stop loss Annual FIXed Cost $181,757.76 $198.395.04 $303,889.44 $230,361.12 $268,342.80 $ Difference $16,637.28 $122.131.&8 $48,603.36 $86,515.04 % DIffenmce 9.2% 67.2% 2&.7% 47.6% ClaIms Liability AggIegafe Fac:Ior Single 22 $563.30 $669.03 $636.13 $806.02 $887.88 Family 96 $1,399.81 $1,662.55 $1,604.56 $1,767.05 $1,910.75 Monthly Uability $146,n4.36 $174,323.46 $168,045.82 $187,369.24 $202,965.36 Annuall.iablllty $1,761,292.32 $2,091 ,881.52 $2,016,549.84 $2,248.430.88 $2,435,584.32 $ Differ8nce $330,588.20 $255,257 .S2 $487,138.56 $674,292.00 % Difference 18.8% 14.5% 27.7% 38.3% Rud plus Claims liability $1.943.050.08 $2,290,278..56 $2,328,439.28 $2,478,782.00 $2,703,927.12 $ DIfference $347,226.48 $377'-.20 $535,741.92 $760,877.04 % DifferelICe 17.1% 1tA% 27..6% 39.2% -55- To: From: cc: Date: Re: Nancy Hussmann, S. Tahoe Pubk Ufifity District Deb Babineau, OB55630 SooziBrooks 11/27/2007 2008 COBRA Rates 8. Funding levels Memo benefit designs ,",.,..ala "'''IU!' As requested, please find attached the COBRA rates for 2008. The stop loss renewal should be finalized in mid-Oecember, and if there ore any material changes to the factors and fees proposed, the cobra rates should change. The stop loss renewal is based on the claims experience through 10/31/07. Based on the update of claims we received from Firstier (11/1/07-11/15/07), it does not appear that the stop loss renewal will change. However, if claims deteriorate in the second half of November, then a change will probably be proposed by the stop loss carrier. Gerber. last year we recommended a change in methodology. This recommendation was based on the fact that the covered population of 116 employees does not produce creditable claims experience year to year. Therefore, we recommended using 85% of the stop loss attachment factor proposed by the stop loss carrier, and then added the fixed cost (factored employee/dependent when a super composite rate is charged). For 2008 we used this methodology in providing annual cobra rates. Because the dental is not included in the stop loss, we used actual claims trended at 7.6% and then added the administration fees. Please let me know if you hove any questions. . Page 1 80 1 Garden Street, Suite 301 Santa Babara, CA 93101 Tele: 805-962-2868 Fax: 805-962-9268 -56- S. Tahoe Public Utility District COBRA Rates - Plan Year 2008 Spec stop Loss $65k Claims dental medical employee 62.7 6 568.68 family 104.60 1,413.17 fixed costs dental medical employee - ssl 57.16 family - ssl 139.55 employee - admin & asf 1.06 14.78 family - admin & asl 2.82 39.41 Trended Claims 7.60% no trend employee 68.36 568.68 family 113.93 1 ,413.17 supercomposite 151.91 1,255.72 cobra rates (2% not added) employee family supercomposite 69.42 185.11 164.02 640.61 1 ,592.13 1 ,418.05 11/27/2007 2008 cobra rates with 651c ssl.xls -57- ~..,...,. .............. South Tahoe Puk7Uc UtUityDlstrict Dll-oc;t;ore ~FMdI JImcIrlJ III Jolw Mpyl.ou~ 1>uarlIJ~ Erlc~. 1275 ~~.South... rat.-CAge1f5O.7<401 n.onego544. 6474.Fax530541-Ce14.www~ BOARD AGENDA ITEM 7e TO: Board of Directors FROM: Rhonda McFarlane, Chief Financial Officer MEETING DATE: December 6,2007 ITEM - PROJECT NAME: Check Signing Authority REQUESTED BOARD ACTION: Adopt Resolution No. 2840-07 to designate authorized signatories of all District bank accounts, superseding Resolution No. 2590. DISCUSSION: As a matter of law and good policy the Board of Directors approves payment of claims at each Board meeting. Upon Board approval, staff releases checks to the payees. Checks are printed on a laser printer with a facsimile signature. Control over the check stock, micro toner ink, and access to necessary computer software is tightly controlled to avoid misappropriation of funds. Several positions are involved in the automated check signing process to ensure proper internal controls are in place. The only checks manually signed are emergency checks that usually involve a TRPA permit deadline. In those cases, two of the authorized check signers manually sign the check. In addition, the District has in place "Payee Positive Pay." This is a banking tool that requires transmission of a computer file to the bank prior to releasing checks. The computer file lists the check date, check numbers, check amounts and payees. The check must match the computer file exactly or it will not be honored without proper authorization. At one time the District had minimal financial staff and needed the Board of Directors to sign checks in order to have adequate internal controls over funds. Because the District has evolved due to both having necessary staff for segregation of duties, and also due to technology like "Payee Positive Pay," the Chief Financial Officer recommends the administrative function of check signing be assigned to appropriate staff. Request is made to have check signers on the District's bank accounts be designated as any two of the following managers: General Manager, Assistant General Manager, Chief Financial Officer and Executive Services Manager. Delegating this authority to these positions will provide for effiCiency and safety over District funds. None of these positions have computer access to input data into the general ledger. The District's outside auditor and the District's Finance Committee concur with this recommended change. -59- Rhonda McFarlane December 6, 2007 Page 2 SCHEDULE: Effective upon approval. COSTS: Some savings in staff time. BUDGETED AMOUNT REMAINING: N/A ATTACHMENTS: Resolution No. 2840-07 CONCURRENCE WITH REQUESTED ACTION: GENERAL MANAGER: YES~ NO CHIEF FINANCIAL OFFICER: YES~ NO CATEGORY: General -60- 1 2 3 4 5 RESOLUTION NO. 2840-07 A RESOLUTION OF THE BOARD OF DIRECTORS OF THE SOUTH TAHOE PUBLIC UTILITY DISTRICT TO DESIGNATE AUTHORIZED SIGNATORIES OF ALL DISTRICT BANK ACCOUNTS SUPERSEDING RESOLUTION NO. 2590 6 WHEREAS, at each board meeting of the South Tahoe Public Utility District the 7 Board Directors review and authorize payment of claims. 8 9 WHEREAS, strong internal controls are in place for check issuance, including 10 physical controls, computer software access controls, segregation of duties, and Payee 11 12 Positive Pay. 13 WHEREAS, check signing is an administrative function best delegated to senior 14 management staff. 15 16 WHEREAS, financial institutions require the Board of Directors designate the 17 appropriate positions allowed to withdraw funds from all accounts by check, draft, or 18 other items, for and on behalf of the South Tahoe Public Utility District. 19 20 NOW THEREFORE BE IT RESOLVED by the Board of Directors of the South Tahoe Public Utility District, a public agency in the County of EI Dorado, State of 22 California that any two of the following designated positions are authorized to withdraw 23 funds from all accounts by check, draft, or other items, for and on behalf of the South 24 Tahoe Public Utility District: General Manager, Assistant General Manager, Chief 21 25 Financial Officer and Executive Services Manager. 26 1/1 27 1/1 28 11/ 29 11/ 30 11/ -61- 1 Resolution No. 2840-07 2 Page 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 WE, THE UNDERSIGNED, do hereby certify that the above and foregoing Resolution was duly adopted and passed by the Board of Directors of the South Tahoe Public Utility District at a regularly scheduled meeting held on the 6th day of December, 2007, by the following vote: AYES: NOES: ABSENT: Eric W. Schafer, Board President South Tahoe Public Utility District ATTEST: Kathy Sharp, Clerk of the Board -62- PAYMENT OF CLAIMS FOR APPROVAL December 6, 2007 Payroll 11/21/07 Total Payroll BNY Western Trust Company FirstTier Administrators...health care pmts Hatch & Parent-legal services LaSalle Bank Total Vendor EFT Accounts Payable Checks-Sewer Fund Accounts Payable Checks-Water Fund Accounts Payable Checks-Self-funded Ins Accounts Payable Checks-Grant Fund Total Accounts Payable Grand Total Pavroll EFTs & Checks EFT EFT EFT CHK EFT EFT CHK EFT CHK CHK EFT CHK AFLAC Medical & Dependent Care CA Employment Taxes & W/H Federal Employment Taxes & W/H CalPERS Contributions John Hancock Pension Loan Pmts Great West Deferred Comp Stationary Engineers Union Dues United Way Contributions CA State Disbursement Unit CA State Franchise Tax Board Employee Direct Deposits Employee Paychecks Adjustments-prior period correction Total -63- 11/21/07 3,151.31 12,482.06 79,618.02 25,598.66 2,442.46 15,314.05 2,077.04 86.00 460.15 15.00 192,684.90 11,580.10 0.00 345,509.75 345,509.75 345,509.75 288,598.88 47,520.54 34,340.16 156,572.80 527,032.38 431,193.67 336,648.80 15,444.38 39,120.00 822,406.85 1,694,948.98 Vendor Name A -1 CHEMICAL INC ACCOUNTEMPS ACCOUNTEMPS User: LAVERNE Report: OH_PMT_CLAIMS_V2 Department / Proi Name GEN & ADMIN FINANCE FINANCE PAYMENT OF CLAIMS Description Acct# / Pro' Code Amu Check Num Tvoe OFFICE INVENTORY 1000 - 0428 499.99 Check Total: 499.99 AP -00068139 MW CONTRACT SERVICE 1039 - 4405 1,764.00 CONTRACT SERVICE 2039 - 4405 1,764.00 Check Total: 3,528.00 AP -00068140 MW AFLAC GEN & ADMIN SUPP INS W/H 1000 - 2532 829.72 Check Total: 829.72 AP -00068141 MW ALESSI, SUSAN CUSTOMER SERVICE - WTR CNSRV INCNT WTR CONS EXPENSE 2038 - 6660 - WCNCTV 250.00 Check Total: 250.00 AP -00068142 MW ALPEN SIERRA COFFEE COMPANY FINANCE OFC SUPPLY ISSUE 1039 - 6081 278.50 Check Total: 278.50 AP -00068143 MW ALPINE METALS HEAVY MAINT GROUNDS & MNTC 1004 - 6042 169.71 Check Total: 169.71 AP -00068144 MW ARAMARK UNIFORM SERVICES GEN & ADMIN UNIFORM PAYABLE 1000 - 2518 1,266.31 i Check Total: 1,266.31 AP-00068145 MW rn AROPERP PUMPS OPERATING PERMIT 1002 - 6650 575.00 Check Total: 575.00 AP -00068146 MW AT &T GEN & ADMIN SIGNAL CHARGES 1000 - 6320 32.96 Check Total: 32.96 AP -00068149 MW AT &T /CALNET 2 PUMPS TELEPHONE 1002 - 6310 0.19 AT &T /CALNET 2 PUMPS TELEPHONE 2002 - 6310 0.19 Check Total: 0.38 AP -00068147 MW AT &T/MCI GEN & ADMIN TELEPHONE 1000 - 6310 15.65 AT &T/MCI PUMPS TELEPHONE 1002 - 6310 17.79 AT &T/MCI OPERATIONS TELEPHONE 1006 - 6310 21.68 AT &T /MCI INFORMATION SYS TELEPHONE 1037 - 6310 82.80 AT &T/MCI CUSTOMER SERVICE TELEPHONE 1038 - 6310 7.17 AT &T /MCI GEN & ADMIN TELEPHONE 2000 - 6310 15.64 AT &T/MCI PUMPS TELEPHONE 2002 - 6310 17.78 AT &T/MCI INFORMATION SYS TELEPHONE 2037 - 6310 82.79 Page: 1 Current Date: 11/29/2007 Current Tune: 12:03:12 PAYMENT OF CLAIMS Vendor Name Department 1 Prol Name Description Acct# / Prof Code Amount Check Num Type AT &T/MCI CUSTOMER SERVICE TELEPHONE 2038 - 6310 7.17 Check Total: 268.47 AP -00068148 MW AUERBACH ENGINEERING CORP ENGINEERING - UPPER DRESSLER DRSSLR DTCH,UPR 1029 - 7062 - DRSSLR 280.00 Check Total: 280.00 AP- 00068150 MW AWARDS OF TAHOE ADMINISTRATION INCNTV & RCGNTN 1021 - 6621 17.40 AWARDS OF TAHOE ADMINISTRATION INCNTV & RCGNTN 2021 - 6621 17.40 Check Total: 34.80 AP -00068151 MW AWWA QUALSERVE OPERATIONS DUES /MEMB /CERT 1006 - 6250 71.00 Check Total: 71.00 AP -00068152 MW BARNES, SHELLY CUSTOMER SERVICE - WTR CONS PROG WTR CONS EXPENSE 2038 - 6660 - WCPROG 100.00 Check Total: 100.00 AP -00068153 MW BAY AREA COATING CONSULTANTS UNDERGROUND REP - ANGORA FIRE 07 G CONTRACT SERVICE 2001 - 4405 - FANG07 9,875.00 Check Total: 9,875.00 AP -00068154 MW BAY TOOL & SUPPLY INC GEN & ADMIN SHOP SUPPLY INV 1000 - 0421 176.82 c Check Total: 176.82 AP -00068155 MW BErJIETT, DAVID CUSTOMER SERVICE - WTR CNSRV INCNT WTR CONS EXPENSE 2038 - 6660 - WCNCTV 75.00 Check Total: 75.00 AP -00068156 MW BENTLY AGROWDYNAMICS OPERATIONS SLUDGE DISPOSAL 1006 - 6652 2,358.79 Check Total: 2,358.79 AP- 00068157 MW BING MATERIALS UNDERGROUND REP PIPE/CVRS /MHLS 2001 - 6052 1,250.26 Check Total: 1.250.26 AP -00068158 MW BROWN & CALDWELL CONSULTANTS DIAMOND VLY RNCH GROUNDS & MNTC 1028 - 6042 1,488.38 BROWN & CALDWELL CONSULTANTS ENGINEERING - ICR TMDL O2SYS/TMDL,ICR 1029 - 8605 - ICTMDL 2,704.59 BROWN & CALDWELL CONSULTANTS ENGINEERING - COLL SYS MASTER COLL SYS MST PLN 1029 - 8721 - CSMSPL 81,324.85 Check Total: 85,517.82 AP -00068159 MW BUREAU OF LAND MANAGEMENT DIAMOND VLY RNCH LAND & BUILDINGS 1028 - 5010 4,700.00 Check Total: 4,700.00 AP -00068160 M W CALIF BOARD OF EQUALIZATION GEN & ADMIN SHOP SUPPLY INV 1000 - 0421 45.17 CALIF BOARD OF EQUALIZATION PUMPS BEECHER PS UPGR 1002 - 8630 15.81 CALIF BOARD OF EQUALIZATION EQUIPMENT REP GENERATORS 1005 - 6013 6.98 User: LAVERNE Page: 2 Current Date: 11/29/2007 Report: OH PMT_CLAIMS V2 Current Time: 12:03:12 Vendor Name CALIF BOARD OF EQUALIZATION CALIF BOARD OF EQUALIZATION CALIF BOARD OF EQUALIZATION CALIF BOARD OF EQUALIZATION CALIF WATER RESOURCES CTRL BD OPERATIONS CALIF WATER RESOURCES CTRL BD OPERATIONS CALIFORNIA OVERNIGHT CALIFORNIA OVERNIGHT CALLIAN, JERALEE CAMPBELL AUD, NANCI 0 CAMPBELL AUD, NANCI CAMPMOR CAMPMOR CARDINALE CARDINALE CAROLLO ENGINEERS CAROLLO ENGINEERS CHARTER ADVERTISING/DESIGN CHARTER ADVERTISING/DESIGN CLARK PLUMBING HEATING & A/C Department / Prof Name LABORATORY PUMPS PUMPS LABORATORY LABORATORY LABORATORY CUSTOMER SERVICE - WTR CNSRV INCNT WTR CONS EXPENSE PUMPS PUMPS GEN & ADMIN FINANCE EQUIPMENT REP EQUIPMENT REPAIR ELECTRICAL SHOP ELECTRICAL SHOP FINANCE FINANCE DIAMOND VLY RNCH PAYMENT OF CLAIMS User: LAVERNE Page: 3 Report: OH_PMT_CLAIMS_V2 Description LAB SUPPLIES WELLS PUMP STATIONS LAB SUPPLIES TRAVEL/MEETINGS OPERATING PERMIT POSTAGE EXPENSES POSTAGE EXPENSES SAFETY/EQUIP/PHY SAFETY/EQUIP/PHY SHOP SUPPLY INV INV/FRT/DISCOUNT AUTOMOTIVE AUTOMOTIVE TRAVEUMEETINGS TRAVEUMEETINGS PRINTING PRINTING GROUNDS & MNTC Acct# I Proi Code 1007 - 4760 2002 - 6050 2002 - 6051 2007 - 4760 1006 - 6200 1006 - 6650 1007 - 4810 2007 - 4810 2038 - 6660 - WCNCTV Check Total: 1002 - 6075 2002 - 6075 1000 - 0421 1039 - 6077 1005 - 6011 2005 - 6011 1003 - 6200 2003 - 6200 1039 - 4920 2039 - 4920 1028-6042 Check Total: Check Total: Check Total: Check Total: Check Total: Check Total: Check Total: Check Total: Check Total: Current Date: 11/29/2007 Current Time: 12:03:12 A oun Check Num Type 6.42 86.13 2.30 6.44 169.25 AP -00068161 MW 170.00 170.00 AP -00068162 MW 46,143.00 46,143.00 AP -00068163 MW 179.36 27.00 206.36 AP -00068164 MW 250.00 250.00 AP- 00068165 MW 104.00 104.00 208.00 AP -00068166 MW 582.84 6.99 589.83 AP-00068167 MW 32.33 32.32 64.65 AP -00068168 MW 104.00 156.00 260.00 AP- 00068169 MW 4,437.50 4,437.50 8,875.00 AP- 00068170 MW 249.50 Vendor Name CWEA DELARIVA, MITCH DICK'S FULLER - DICK'S FULLER - DICK'S FULLER - DIONEX CORP EL DORADO COUNTY EMPIRE SAFETY & SUPPLY rn ENT IX INC ENTRIX INC ENTRIX INC ENTRIX INC ETS FERGUSON ENTERPRISES INC. FERGUSON ENTERPRISES INC. FERGUSON ENTERPRISES INC. FERGUSON ENTERPRISES INC. FISHER SCIENTIFIC FISHER SCIENTIFIC Department / Proi Name ENGINEERING CUSTOMER SERVICE - WTR CONS PROG WTR CONS EXPENSE HEAVY MAINT OPERATIONS OPERATIONS LABORATORY ENGINEERING - SUT WELL REDRILL UNDERGROUND REP ENGINEERING ENGINEERING ENGINEERING ENGINEERING LABORATORY PUMPS HEAVY MAINT PUMPS PUMPS LABORATORY LABORATORY - WTRLN,GRD MTN - SUT WELL REDRILL - WELL, BAYVIEW - SUT WELL REDRILL PAYMENT OF CLAIMS Description User: LAVERNE Page: 4 Report: OH PMT_CLAIMS V2 TRAVEL/MEETINGS GROUNDS & MNTC BUILDINGS GROUNDS & MNTC REPL ION CHRMATG SUT WELL REDRILL SAFETY/EQUIP /PHY WTRLN, GARD MTN SUT WELL REDRILL WELL, BAYVIEW CORR PILOT SUTWL MONITORING SHOP SUPPLIES SECONDARY EQUIP WELLS SHOP SUPPLIES LAB SUPPLIES LAB SUPPLIES Acct# / Prol Code 2029 - 6200 Check Total: Check Total: 2038 - 6660 - WCPROG Check Total: 1004 - 6042 1006 - 6041 1006 - 6042 1007 - 8822 1007-4760 2007-4760 Check Total: Check Total: 2029 - 8463 - RWSUTR Check Total: Check Total: Check Total: Current Date: 11/29/2007 Current Time: 12:03:12 Amount Check Num I PQ 249.50 AP -00068171 MW 66.00 66.00 AP- 00068172 MW 1,200.00 1,200.00 AP- 00068173 MW 47.79 144.44 205.88 398.11 AP -00068174 MW 47,543.98 47,543.98 AP -00068175 MW 68.00 68.00 AP -00068176 MW 2001 - 6075 772.57 Check Total: 772.57 AP- 00068177 MW 2029 - 7065 - GMWL07 1,605.50 2029 - 8463 - RWSUTR 15,030.27 2029 - 8574 - BAYWEL 466.70 2029 - 8717 - RWSUTR 8,281.51 Check Total: 25,383.98 AP -00068178 MW 1007 - 6110 700.00 Check Total: 700.00 AP -00068179 MW 1002 - 6071 33.73 1004 - 6022 187.05 2002 - 6050 22.51 2002 - 6071 33.73 277.02 AP -00068180 MW 537.40 750.16 1,287.56 AP -00068181 MW Vendor Name FUSCO, TINA GERBER LIFE INSURANCE COMPANY GFOA GFOA GFS CHEMICAL GFS CHEMICAL GIBSON, HARRY GRAINGER GRAINGER GRAINGER cn GRAANGER HAEN CO INC, THOMAS HAEN CO INC, THOMAS HAEN CO INC, THOMAS HAEN CO INC, THOMAS HARTFORD, THE HARTFORD, THE SELF FUNDED INS FINANCE FINANCE LABORATORY LABORATORY HEAVY MAINT HEAVY MAINT HEAVY MAINT OPERATIONS GEN & ADMIN - ENGINEERING GEN & ADMIN - ENGINEERING GEN &ADMIN GEN & ADMIN LPPS SEISMIC UPG - LPPS SEISMIC UPG SUT WELL REDRILL - SUT WELL REDRILL PAYMENT OF CLAIMS Department / Proi Name Descriotion CUSTOMER SERVICE - WTR CNSRV INCNT WTR CONS EXPENSE User: LAVERNE Page: 5 Report: OH_PMT_CLAIMS_V2 EXCESS INSURANCE ADVISORY ADVISORY LAB SUPPLIES LAB SUPPLIES CUSTOMER SERVICE - WTR CNSRV INCNT WTR CONS EXPENSE PRIMARY EQUIP FILTER EQ/BLDG SMALL TOOLS GROUNDS & MNTC CONST RETAINAGE LPPS IMPRVMNTS CONST RETAINAGE SUT WELL REDRILL LIFE INS LTD, UNION HAUGE BRUECK ASSOCIATES LLC ENGINEERING - ICR TMDL O2SYS/TMDL,ICR HELVIG, PAUL CUSTOMER SERVICE - WTR CNSRV INCNT WTR CONS EXPENSE HIGH SIERRA BUSINESS SYSTEMS ADMINISTRATION SERVICE CONTRACT Acct# / Pro' Code 2038 - 6660 - WCNCTV Check Total: 100.00 AP- 00068182 MW 3000 - 6744 14,929.38 14,929.38 AP- 00068183 MW 1039 - 4440 207.50 2039 - 4440 207.50 415.00 AP -00068184 MW 1007 - 4760 127.84 2007 - 4760 82.95 210.79 AP -00068185 MW 150.00 150.00 AP -00068186 MW 1004 - 6021 420.01 1004 - 6023 50.28 1004 - 6073 121.22 1006 - 6042 243.62 Check Total: 835.13 AP -00068187 MW 1000 - 2605 - LPSEIS - 818.30 1029 - 8720 - LPSEIS 8,183.00 2000 - 2605 - RWSUTR - 16,687.62 2029 - 8463 - RWSUTR 166,876.20 Check Total: 157,553.28 AP -00068188 MW 1000 - 2512 1,962.09 1000 -2539 1,758.62 Check Total: 3,720.71 AP -00068189 MW Check Total: Check Total: Check Total: 2038 - 6660 - WCNCTV Check Total: 1029 - 8605 - ICTMDL Check Total: 2038 - 6660 - WCNCTV Check Total: 1021-6030 Current Date: 11/29/2007 Current Time: 12:03:12 ount Check Num Tye 100.00 6,523.95 6.523.95 AP -00068190 MW 350.00 350.00 AP- 00068191 MW 173.32 Vendor Name HIGH SIERRA BUSINESS SYSTEMS HIGH SIERRA SOUNDS HIGH SIERRA SOUNDS HUGO BONDED LOCKSMITH HUGO BONDED LOCKSMITH HUGO BONDED LOCKSMITH HUGO BONDED LOCKSMITH HUGO BONDED LOCKSMITH HUSSMANN, NANCY HUSSMANN, NANCY HYD & NATIVE AMER BANK rn '.o INSTY- PRINTS INC INSTY - PRINTS INC INSTY - PRINTS INC INSTY - PRINTS INC INSTY - PRINTS INC INSTY- PRINTS INC INSTY- PRINTS INC INTERNATIONAL INSTITUTE OF INTERNATIONAL INSTITUTE OF INTERSTATE SAFETY & SUPPLY INTERSTATE SAFETY & SUPPLY User: LAVERNE Report: OH_PMT_CLAIMS_V2 Department / Proi Name ADMINISTRATION ADMINISTRATION ADMINISTRATION PUMPS EQUIPMENT REP UNDERGROUND REP PUMPS EQUIPMENT REPAIR HUMAN RESOURCES HUMAN RESOURCES UNDERGROUND REP OPERATIONS DIO ENGINEERING ENGINEERING - EFFLUENT EVAL DIO ENGINEERING CUSTOMER SERVICE - WTR CONS PROD ADMINISTRATION ADMINISTRATION GEN & ADMIN GEN & ADMIN PAYMENT OF CLAIMS Description SERVICE CONTRACT INCNTV & RCGNTN INCNTV & RCGNTN PUMP STATIONS AUTOMOTIVE SHOP SUPPLIES PUMP STATIONS AUTOMOTIVE TRAVEUMEETINGS TRAVEUMEETINGS INFILTRTN /INFLOW TRAVEUMEETINGS PRINTING PRINTING REP EXP PUMPS PRINTING PRINTING WTR CONS EXPENSE DUES/MEMB /CERT DUES/MEMB /CERT SHOP SUPPLY INV SAFETY INVENTORY Page: 6 Acct# I Prol Code 2021 - 6030 1021 - 6621 2021 - 6621 1002 - 6051 1005 - 6011 2001 - 6071 2002 - 6051 2005 - 6011 1022 - 6200 2022 - 6200 1001 - 6055 1021 - 6250 2021 - 6250 1000 - 0421 1000 - 0425 Check Total: Check Total: Check Total: Check Total: Check Total: 1006 - 6200 1027 - 4920 1029 - 4920 1029 - 8676 - EFFLEV 2027 - 4920 2029 - 4920 2038 - 6660 - WCPROG Check Total: Check Total: Check Total: Current Date: 11/29/2007 Current Time: 12:03:12 Amount Check Num Tvoe 173.32 346.64 AP -00068192 MW 300.00 300.00 600.00 AP- 00068193 MW 5.12 21.55 23.44 5.12 21.55 76.78 AP -00068194 MW 177.76 177.75 355.51 AP -00068195 MW 32,381.25 32.381.25 AP -00068196 MW 760.03 685.35 209.26 457.62 685.36 209.25 436.43 3.443.30 AP -00068197 MW 87.50 87.50 175.00 AP- 00068198 MW 486.33 119.54 605.87 AP- 00068199 MW Vendor Name IVES TRAINING GROUP J&L PRO KLEEN INC J&L PRO KLEEN INC JATCO INC KAHL COMMERCIAL INTERIORS INC KAISER PERMANENTE KELLEY EROSION CONTROL INC KENKO UTILITY SUPPLY INC v KIVINIS CLUB OF LAKE TAHOE KRLT & KOWL RADIO LAKE TAHOE EYE CARE LAKE TAHOE EYE CARE LAKE TAHOE EYE CARE LAKE TAHOE SOUTH SHORE LAKE TAHOE SOUTH SHORE LAKE TAHOE SOUTH SHORE LAKE TAHOE SOUTH SHORE User: LAVERNE Report: OH_PMT_CLAIMS_V2 Department / Proi Name EQUIPMENT REP FINANCE FINANCE ENGINEERING CUSTOMER SERVICE SELF FUNDED INS EXPORT PIPELINE - B LINE REVEG HEAVY MAINT DIO - PR EXP- EXTERNAL DIO - WTR CONS PROG OPERATIONS ELECTRICAL SHOP ELECTRICAL SHOP ADMINISTRATION DIO - PR EXP- EXTERNAL ADMINISTRATION DIO - PR EXP- EXTERNAL PAYMENT OF CLAIMS Description SHOP SUPPLIES JANITORIAL SERV JANITORIAL SERV OFFICE SUPPLIES FILE CAB, INSPEC CLAIMS BLINE REVEG EXPORT/FRCE MAIN PUB RELATIONS WTR CONS EXPENSE SAFETY /EQUIP/PHY SAFETY/EQUIP /PHY SAFETY/EQUIP/PHY DUES/MEMB /CERT PUB RELATIONS DUES/MEMB /CERT PUB RELATIONS Page: 7 Acct# / Proi Code 1005 - 6071 1039 - 6074 2039 - 6074 1029 - 4820 1038 - 8744 3000 - 6745 9098 - 8736 - BLNVEG Check Total: 1004 - 6047 1027 - 6620 - PREEXT Check Total: 2027 - 6660 - WCPROG Check Total: 1006 - 6075 1003 - 6075 2003 - 6075 1021 - 6250 1027 - 6620 - PREEXT 2021 - 6250 2027 - 6620 - PREEXT Check Total: Check Total: Check Total: Check Total: Check Total: Check Total: Check Total: Check Total: Current Date: 11/29/2007 Current Time: 12:03:12 Amount Check Num I n 658.06 658.06 AP- 00068200 MW 1,603.50 1,603.50 3,207.00 AP- 00068201 MW 111.37 111.37 AP -00068202 MW 1,717.02 1,717.02 AP -00068203 MW 515.00 515.00 AP -00068204 MW 39,120.00 39.120.00 AP -00068205 MW 3,840.21 3,840.21 AP- 00068206 MW 484.09 484.09 AP -00068207 MW 4,220.00 4,220.00 AP- 00068208 MW 65.00 65.00 AP -00068210 M W 84.00 84.00 168.00 AP -00068211 MW 100.00 25.00 100.00 25.00 PAYMENT OF CLAIMS Vendor Name Department / Proi Name Description Acct# / Prot Code Amount Check Num Type Check Total: 250.00 AP- 00068212 MW LAKESIDE NAPA PUMPS SHOP SUPPLIES 1002 - 6071 43.42 LAKESIDE NAPA PUMPS SMALL TOOLS 1002 - 6073 11.91 LAKESIDE NAPA HEAVY MAINT FILTER EQ/BLDG 1004 - 6023 7.31 LAKESIDE NAPA HEAVY MAINT BUILDINGS 1004 - 6041 31.03 LAKESIDE NAPA HEAVY MAINT GROUNDS & MNTC 1004 - 6042 149.99 LAKESIDE NAPA HEAVY MAINT SHOP SUPPLIES 1004 - 6071 108.25 LAKESIDE NAPA EQUIPMENT REP AUTOMOTIVE 1005 - 6011 786.18 LAKESIDE NAPA EQUIPMENT REP GENERATORS 1005 - 6013 600.10 LAKESIDE NAPA EQUIPMENT REP SMALL TOOLS 1005 - 6073 517.19 LAKESIDE NAPA DIAMOND VLY RNCH GROUNDS & MNTC 1028 - 6042 248.31 LAKESIDE NAPA UNDERGROUND REP SMALL TOOLS 2001 - 6073 22.94 LAKESIDE NAPA PUMPS SHOP SUPPLIES 2002 - 6071 36.99 LAKESIDE NAPA PUMPS SMALL TOOLS 2002 - 6073 11.91 LAKESIDE NAPA EQUIPMENT REPAIR AUTOMOTIVE 2005 - 6011 878.78 1 LAKESIDE NAPA EQUIPMENT REPAIR GENERATORS 2005 - 6013 221.02 i Check Total: 3.675.33 AP -00068213 MW LIVE WIRE MEDIA PARTNERS DIO - WTR CONS PROG WTR CONS EXPENSE 2027 - 6660 - WCPROG 672.00 Check Total: LONG, WES DIAMOND VLY RNCH DUES/MEMB /CERT 1028 - 6250 93.95 Check Total: 93.95 AP -00068215 MW LOOMIS FARGO & CO. FINANCE CONTRACT SERVICE 1039 - 4405 267.07 LOOMIS FARGO & CO. FINANCE CONTRACT SERVICE 2039 - 4405 267.06 Check Total: MACAN, JULIANA MAXHIMER, JOHN W MAXHIMER, JOHN W MC MASTER CARR SUPPLY CO User: LAVERNE CUSTOMER SERVICE - WTR CNSRV INCNT WTR CONS EXPENSE 2038 - 6660 - WCNCTV 250.00 Check Total: 250.00 AP -00068217 MW PUMPS TRAVEUMEETINGS 1002 - 6200 48.50 PUMPS TRAVEUMEETINGS 2002 - 6200 48.50 Check Total: 97.00 AP -00068218 MW PUMPS SHOP SUPPLIES 1002 - 6071 359.37 Page: 8 Current Date: 11/29/2007 Report: OH_PMT_CLAIMS_V2 Current Time: 12:03:12 672.00 AP-00068214 MW 534.13 AP- 00068216 MW Vendor Name Department / Prol Name MC MASTER CARR SUPPLY CO HEAVY MAINT MC MASTER CARR SUPPLY CO PUMPS MC MASTER CARR SUPPLY CO PUMPS MEEKS BUILDING CENTER UNDERGROUND REP SMALL TOOLS 1001 - 6073 60.95 MEEKS BUILDING CENTER PUMPS PUMP STATIONS 1002 - 6051 15.00 MEEKS BUILDING CENTER PUMPS SHOP SUPPLIES 1002 - 6071 10.78 MEEKS BUILDING CENTER PUMPS SMALL TOOLS 1002 - 6073 194.04 MEEKS BUILDING CENTER ELECTRICAL SHOP SHOP SUPPLIES 1003 - 6071 65.44 MEEKS BUILDING CENTER HEAVY MAINT PRIMARY EQUIP 1004 - 6021 54.39 MEEKS BUILDING CENTER HEAVY MAINT FILTER EQ/BLDG 1004 - 6023 38.08 MEEKS BUILDING CENTER HEAVY MAINT BUILDINGS 1004 - 6041 598.29 MEEKS BUILDING CENTER HEAVY MAINT GROUNDS & MNTC 1004 - 6042 243.01 MEEKS BUILDING CENTER HEAVY MAINT SHOP SUPPLIES 1004 - 6071 30.05 MEEKS BUILDING CENTER HEAVY MAINT SMALL TOOLS 1004 - 6073 387.28 MEEKS BUILDING CENTER DIAMOND VLY RNCH FENCE, DVR 1028 - 8689 203.86 ME&S BUILDING CENTER UNDERGROUND REP SMALL TOOLS 2001 - 6073 13.37 MEEKS BUILDING CENTER PUMPS WELLS 2002 - 6050 10.66 MEEKS BUILDING CENTER PUMPS PUMP STATIONS 2002 - 6051 11.37 MEEKS BUILDING CENTER PUMPS SHOP SUPPLIES 2002 - 6071 10.78 MEEKS BUILDING CENTER PUMPS SMALL TOOLS 2002 - 6073 194.03 Check Total: 2,141.38 AP -00068220 MW MUNIQUIP INC PUMPS PUMP STATIONS 1002 - 6051 651.37 Check Total: 651.37 AP -00068221 MW MURDOCK, HENRY CUSTOMER SERVICE - WTR CNSRV INCNT WTR CONS EXPENSE 2038 - 6660 - WCNCTV 325.00 Check Total: 325.00 AP-00068222 MW MY OFFICE PRODUCTS GEN & ADMIN OFFICE INVENTORY 1000 - 0428 1,312.40 MY OFFICE PRODUCTS CUSTOMER SERVICE OFFICE SUPPLIES 1038 - 4820 1.38 MY OFFICE PRODUCTS FINANCE OFFICE SUPPLIES 1039 - 4820 19.08 MY OFFICE PRODUCTS CUSTOMER SERVICE OFFICE SUPPLIES 2038 - 4820 1.38 User: LAVERNE PAYMENT OF CLAIMS Description Acct# / Proi Code Amount Check Num Type BUILDINGS 1004 - 6041 28.78 SHOP SUPPLIES 2002 - 6071 441.44 SMALL TOOLS 2002 - 6073 945.47 Check Total: 1,775.06 AP -00068219 MW Page: 9 Current Date: 11/29/2007 Report: OH_PMT CLAIMS_V2 Current Time: 12:03:12 PAYMENT OF CLAIMS Vendor Name Denartmeot / Pro! Name Description Acct# / Proi Code Amount Check Num TAM MY OFFICE PRODUCTS FINANCE OFFICE SUPPLIES 2039 - 4820 19.08 Check Total: 1,353.32 AP- 00068223 MW NELS TAHOE HARDWARE HEAVY MAINT SHOP SUPPLIES 1004 - 6071 12.90 Check Total: 12.90 AP -00068224 MW NEVADA GENERATOR SYSTEMS EQUIPMENT REP GENERATORS 1005 - 6013 100.40 Check Total: 100.40 AP -00068225 MW NEWARK IN ONE ELECTRICAL SHOP WELLS 2003 - 6050 446.85 Check Total: 446.85 AP -00068226 MW NOLAN, LYNN FINANCE - WTRLN/WATER CNSV TRAVEUMEETINGS 2039 - 6200 - PRP502 124.87 Check Total: 124.87 AP -00068227 MW NORTON, LARRY B ELECTRICAL SHOP TRAVEUMEETINGS 1003 - 6200 91.18 NORTON, LARRY B ELECTRICAL SHOP TRAVEUMEETINGS 2003 - 6200 91.18 Check Total: 182.36 AP -00068228 MW NOVALYNX CORP LABORATORY LAB SUPPLIES 1007 - 4760 80.81 NOVALYNX CORP LABORATORY LAB SUPPLIES 2007 - 4760 88.07 w Check Total: 168.88 AP 00068229 MW OFFICE MAX ADMINISTRATION OFFICE SUPPLIES 1021 - 4820 13.30 OFFICE MAX ENGINEERING OFFICE SUPPLIES 1029 - 4820 38.89 OFFICE MAX CUSTOMER SERVICE OFFICE SUPPLIES 1038 - 4820 23.82 OFFICE MAX ADMINISTRATION OFFICE SUPPLIES 2021 - 4820 13.29 OFFICE MAX ENGINEERING OFFICE SUPPLIES 2029 - 4820 38.90 OFFICE MAX CUSTOMER SERVICE OFFICE SUPPLIES 2038 - 4820 23.86 Check Total: 152.06 AP -00068230 MW PDM STEEL DIAMOND VLY RNCH GROUNDS & MNTC 1028 - 6042 1,304.74 Check Total: 1,304.74 AP- 00068231 MW PERKS PLUMBING & HEAT INC, L A HEAVY MAINT GROUNDS & MNTC 1004 - 6042 1,230.00 Check Total: 1,230.00 AP -00068232 MW PIONEER AMERICAS LLC OPERATIONS HYPOCHLORITE 1006 - 4755 11,589.23 Check Total: 11.589.23 AP -00068233 MW PRAXAIR 174 HEAVY MAINT SHOP SUPPLIES 1004 - 6071 372.63 User: LAVERNE Page: 10 Current Date: 11/29/2007 Report: OH_PMT_CLAIMS_V2 Current Time: 12:03:12 Vendor Name RADIO SHACK RADIO SHACK RADIO SHACK RADIO SHACK RADIO SHACK RED WING SHOE STORE RED WING SHOE STORE RHP MECHANICAL SYSTEMS RSN SPORTS NETWORK SACRAMENTO BEE, THE SCHLANGE, PAUL SCHWAB TIRES, LES SCHWAB TIRES, LES SCOTTYS HARDWARE SEARS, R SHANNON, MICHAEL SHARP, KATHY SHARP, KATHY User: LAVERNE Report: OH_PMT_CLAIMS_V2 Department / Proi Name PUMPS INFORMATION SYS PUMPS ELECTRICAL SHOP INFORMATION SYS DIAMOND VLY RNCH UNDERGROUND REP EQUIPMENT REP DIO - WTR CONS PROG ENGINEERING - EFFLUENT EVAL DIAMOND VLY RNCH EQUIPMENT REP EQUIPMENT REPAIR PUMPS CUSTOMER SERVICE CUSTOMER SERVICE ADMINISTRATION ADMINISTRATION PAYMENT OF CLAIMS Description OFFICE SUPPLIES DIST.COMP SPPLIS OFFICE SUPPLIES SHOP SUPPLIES DIST.COMP SPPLIS SAFETY/EQUIP /PHY SAFETY/EQUIP/PHY GENERATORS WTR CONS EXPENSE REP EXP PUMPS DUES /MEMB /CERT AUTOMOTIVE AUTOMOTIVE WELLS - WTR CNSRV INCNT WTR CONS EXPENSE - WTR CNSRV INCNT WTR CONS EXPENSE TRAVELIMEETINGS TRAVEL/MEETINGS Acct# I Proi Code 1002 - 4820 1037 - 4840 2002 - 4820 2003 - 6071 2037 - 4840 1028 - 6075 2001 - 6075 1005-6013 1028-6250 1005 - 6011 2005 - 6011 2002-6050 1021 - 6200 2021 - 6200 Check Total: Check Total: Check Total: Check Total: 2027 - 6660 - WCPROG Check Total: 1029 - 8676 - EFFLEV Check Total: Check Total: Check Total: Check Total: 2038 - 6660 - WCNCTV Check Total: 2038 - 6660 - WCNCTV Check Total: Check Total: Page: 11 Current Date: 11/29/2007 Current Time: 12:03:12 moun 372.63 AP- 00068234 MW 26.93 18.63 26.93 10.75 18.62 101.86 AP -00068235 MW 164.86 164.86 329.72 AP -00068236 MW 245.14 245.14 AP -00068237 MW 4,175.00 4,175.00 AP- 00068238 MW 922.60 922.60 AP -00068239 MW 56.25 56.25 AP- 00068240 MW 2,256.76 1,526.36 3,783.12 AP -00068241 MW 32.31 32.31 AP -00068242 MW 250.00 Check Num Type 250.00 AP -00068243 MW 250.00 250.00 AP -00068244 MW 53.35 53.35 106.70 AP -00068245 MW PAYMENT OF CLAIMS Vendor Name Department / Proi Name Description Acct# / Prot Code Amount Check Num Type SHORTRIDGE, LAURA CUSTOMER SERVICE - WTR CNSRV INCNT WTR CONS EXPENSE 2038 - 6660 - WCNCTV 750.00 Check Total: 750.00 AP -00068246 MW SIERRA CHEMICAL CO PUMPS HYPOCHLORITE 2002 - 4755 1,957.43 Check Total: 1,957.43 AP -00068247 MW SIERRA ENVIRONMENTAL LABORATORY MONITORING 1007 - 6110 380.00 Check Total: 380.00 AP -00068248 MW SIERRA NEVADA CLASSIFIEDS DIAMOND VLY RNCH PRINTING 1028 - 4920 73.24 Check Total: 73.24 AP -00068249 MW SIERRA PACIFIC POWER GEN & ADMIN ELECTRICITY 1000 - 6330 60,120.50 SIERRA PACIFIC POWER GEN & ADMIN ST LIGHTING EXP 1000 - 6740 8.67 SIERRA PACIFIC POWER GEN & ADMIN ELECTRICITY 2000 - 6330 28,448.93 Check Total: 88,578.10 AP -00068250 MW SIERRA SPRINGS UNDERGROUND REP SUPPLIES 1001 - 6520 40.28 SIERRA SPRINGS PUMPS SUPPLIES 1002 - 6520 2.69 SIERRA SPRINGS ELECTRICAL SHOP SUPPLIES 1003 - 6520 13.42 SIERRA SPRINGS HEAVY MAINT SUPPLIES 1004 - 6520 40.28 SIERRA SPRINGS EQUIPMENT REP SUPPLIES 1005 - 6520 13.43 SIERRA SPRINGS OPERATIONS SUPPLIES 1006 - 6520 40.28 SIERRA SPRINGS DIAMOND VLY RNCH SUPPLIES 1028 - 6520 13.43 SIERRA SPRINGS CUSTOMER SERVICE SUPPLIES 1038 - 6520 13.43 SIERRA SPRINGS UNDERGROUND REP SUPPLIES 2001 - 6520 40.28 SIERRA SPRINGS PUMPS SUPPLIES 2002 - 6520 10.74 SIERRA SPRINGS ELECTRICAL SHOP SUPPLIES ., 2003 - 6520 13.42 SIERRA SPRINGS EQUIPMENT REPAIR SUPPLIES 2005 - 6520 13.43 SIERRA SPRINGS CUSTOMER SERVICE SUPPLIES 2038 - 6520 13.43 Check Total: 268.54 AP -00068251 MW SMITH, GREG PUMPS STANDBY ACCOMODA 1002 - 6083 31.69 Check Total: 31.69 AP -00068252 MW SOUTH SIDE AUTO BODY EQUIPMENT REPAIR AUTOMOTIVE 2005 - 6011 1,628.91 Check Total: 1,628.91 AP- 00068253 MW User: LAVERNE Page: 12 Current Date: 11/29/2007 Report: OH PMT_CLAIMS_V2 Current Time: 12:03:12 Vendor Name SOUTH TAHOE NEWSPAPER AGENCY SOUTH TAHOE NEWSPAPER AGENCY SOUTH TAHOE REFUSE SOUTH TAHOE REFUSE SOUTHWEST GAS SOUTHWEST GAS STANTEC CONSULTING INC STANTEC CONSULTING INC STANTEC CONSULTING INC STANTEC CONSULTING INC STANTEC CONSULTING INC SUTITUTE PERSONNEL & SUBSTITUTE PERSONNEL & SUTER ASSOCIATES, LYNN M. SUTER ASSOCIATES, LYNN M. SWAIN, CAROL SWAIN, CAROL TAHOE ASPHALT INC TAHOE BLUEPRINT TAHOE BLUEPRINT TAHOE BLUEPRINT User: LAVERNE Report: OH_PMT_CLAIMS_V2 Department / Proi Name ADMINISTRATION ADMINISTRATION DIO - PR EXP- EXTERNAL DIO - PR EXP- EXTERNAL GEN &ADMIN GEN & ADMIN ENGINEERING - ENGINEERING - ENGINEERING - ENGINEERING - ENGINEERING - UNDERGROUND REP OPERATIONS DIO DIO INFORMATION SYS INFORMATION SYS UNDERGROUND REP EFFLUENT EVAL DVR EIR WTRLN,GRD MTN HWY 50 WTR W2Y WTRLN, GLEN RD ENGINEERING - EFFLUENT EVAL ENGINEERING - WTRLN,AL TAHOE ENGINEERING - WTRLN, TATA PAYMENT OF CLAIMS Description SUBSCRIPTIONS SUBSCRIPTIONS PUB RELATIONS PUB RELATIONS NATURAL GAS NATURAL GAS REP EXP PUMPS DIAM VLY MP /EIR WTRLN, GARD MTN WTLN HWY50 WIN/Y WTLN, GLEN RD CONTRACT SERVICE CONTRACT SERVICE CONTRACT SERVICE CONTRACT SERVICE TRAVEL/MEETINGS TRAVEUMEETINGS PIPE/CVRS/MHLS REP EXP PUMPS WTLN, AL TAHOE WTRLN, TATA LN Acct# / Proi Code 1021 - 4830 2021 - 4830 Check Total: 1027 - 6620 - PREEXT 2027 - 6620 - PREEXT Check Total: 1000 - 6350 2000 - 6350 Check Total: 1029 - 8676 - EFFLEV 1029 - 8725 - DVREIR 2029 - 7065 - GMWL07 2029 - 8355 - H5OWWY 2029 - 8714 - GLENWL Check Total: 1001 - 4405 1006 - 4405 1027 - 4405 2027 - 4405 1037 - 6200 2037 - 6200 2001-6052 Check Total: Check Total: Check Total: Check Total: 1029 - 8676 - EFFLEV 2029 - 8811 - ATWLO8 2029 - 8866 - TATAWL Check Total: Page: 13 Current Date: 11/29/2007 Current Time: 12:03:12 Amount Check Num "mg 54.63 54.63 109.26 AP - 00068254 MW 162.50 162.50 325.00 AP -00068255 MW 114.07 64.40 178.47 AP -00068256 MW 845.50 24,920.09 420.37 5,687.50 48,419.92 80,293.38 AP- 00068257 MW 1,932.00 2,838.00 4,770.00 AP -00068258 MW 1,225.00 1,225.00 2,450.00 AP -00068259 MW 239.56 239.56 479.12 AP -00068260 MW 735.00 735.00 AP -00068261 MW 11,264.73 374.97 445.16 12,084.86 AP -00068262 MW Vendor Name Tahoe Daily Tribune Tahoe Daily Tribune Tahoe Daily Tribune Tahoe Daily Tribune TAHOE MOUNTAIN NEWS TAHOE PRINTING TAHOE PRINTING TAHOE SAND & GRAVEL TAHOE VALLEY ELECTRIC SUPPLY TAHOE YOUTH & FAMILY SERV TUSTIN LOCK AND SAFE TUSTIN LOCK AND SAFE UNITED RENTALS INC USA BLUE BOOK USA BLUE BOOK VANGUARD VAULTS VANGUARD VAULTS VERIZON VWR CORPORATION Department / Proi Name ADMINISTRATION ADMINISTRATION DIO - PR EXP- EXTERNAL DIO - WTR CONS PROG DIO - WTR CONS PROG ADMINISTRATION ADMINISTRATION UNDERGROUND REP PUMPS DIO - WTR CONS PROG INFORMATION SYS INFORMATION SYS UNDERGROUND REP PUMPS PUMPS ADMINISTRATION ADMINISTRATION DIAMOND VLY RNCH LABORATORY PAYMENT OF CLAIMS PRINTING PRINTING User: LAVERNE Page: 14 Report: OH_PMT_CLAIMS_V2 Description SUBSCRIPTIONS SUBSCRIPTIONS PUB RELATIONS WTR CONS EXPENSE WTR CONS EXPENSE PIPE /CVRS /MHLS PUMP STATIONS WTR CONS EXPENSE DIST.COMP SPPLIS DIST.COMP SPPLIS SMALL TOOLS BEECHER PS UPGR WELLS OFFICE SUPPLIES OFFICE SUPPLIES TELEPHONE LAB SUPPLIES Acct# I Proi Code 1021 - 4830 2021 - 4830 2027 - 6620 - PREEXT 2027 - 6660 - WCPROG Check Total: 2027 - 6660 - WCPROG Check Total: 1021 - 4920 2021 - 4920 2001-6052 1002 - 6051 2027 - 6660 - WCPROG Check Total: 1037 - 4840 2037 - 4840 2001-6073 1002 - 8630 2002 - 6050 1021 - 4820 2021 - 4820 1028-6310 1007-4760 Check Total: Check Total: Check Total: Check Total: Check Total: Check Total: Check Total: Check Total: Current Date: 11/29/2007 Current Time: 12:03:12 Amount Check Num I Re 61.75 61.75 1,722.00 2,995.00 4,840.50 AP -00068263 MW 325.00 325.00 AP -00068264 MW 42.66 42.65 85.31 AP -00068265 MW 1,728.48 1,728.48 AP -00068266 MW 14.55 14 AP -00068267 MW 500.00 500.00 AP -00068268 MW 387.82 383.82 771.64 AP- 00068269 MW 1,488.25 1,488.25 AP -00068270 MW 249.15 1,134.87 1,384.02 AP -00068271 MW 231.00 231.00 462.00 AP 00068272 MW 194.90 194.90 AP- 00068273 MW 55.57 Vendor Name VWR CORPORATION WEDCO INC WESTERN ENVIRONMENTAL WESTERN EXTERMINATOR COMPANY WESTERN NEVADA SUPPLY WESTERN NEVADA SUPPLY WESTERN NEVADA SUPPLY WESTERN NEVADA SUPPLY WESTERN NEVADA SUPPLY WESTERN NEVADA SUPPLY WE §TERN NEVADA SUPPLY co WINZLER & KELLY CONSULT ENGRS WINZLER & KELLY CONSULT ENGRS ZEE MEDICAL INC Department / Prol Name LABORATORY ELECTRICAL SHOP LABORATORY HEAVY MAINT UNDERGROUND REP PUMPS HEAVY MAINT HEAVY MAINT HEAVY MAINT UNDERGROUND REP CUSTOMER SERVICE ENGINEERING - EFFLUENT EVAL ENGINEERING - LPPS SEISMIC UPG OPERATIONS PAYMENT OF CLAIMS User: LAVERNE Page: 15 Report: OH_PMT_CLAIMS_V2 Description LAB SUPPLIES SECONDARY EQUIP MONITORING BUILDINGS PIPE/CVRS/MHLS PUMP STATIONS PRIMARY EQUIP BUILDINGS SHOP SUPPLIES PIPE /CVRS /MHLS WATER METERS REP EXP PUMPS LPPS IMPRVMNTS SAFETY/EQUIP/PHY Acct# / Proi Code 2007 - 4760 1003 - 6022 1007 - 6110 1004 - 6041 1001 - 6052 1002 - 6051 1004 - 6021 1004 - 6041 1004 - 6071 2001 - 6052 2038 - 6045 1006-6075 Check Total: Check Total: Check Total: Check Total: Check Total: 1029 - 8676 - EFFLEV 1029 - 8720 - LPSEIS Check Total: Check Total: Grand Total: Current Date: 11/29/2007 Current Time: 12:03:12 Amount Check Num I 13.67 69.24 AP- 00068274 MW 25.59 25.59 AP- 00068275 MW 120.00 120.00 AP -00068276 MW 370.00 370.00 AP -00068277 MW 2,626.41 887.93 26.70 8.49 23.64 4,537.95 13,071.55 21,182.67 AP -00068278 MW 28,709.00 1,372.00 30,081.00 AP -00068279 MW 64.86 64.86 AP -00068280 MW 822,406.85 ~..., ~,... .....tt...... South Tahoe Public Utility District I:llroerore ~ FIImlI .hlmM It.~ Mal)'Lou ~ 0wIN ~ EI1c Sdu6r 127!5.~en.t Drtve..Sot.rth1*~.CA 9615()..'1401 ~680544-6414.Fax5!O!541-0014.www.s.udlfS BOARD AGENDA ITEM 14a TO: FROM: Board of Directors Richard H. SOlbrig, General Manager MEETING DATE: December 6, 2007 ITEM - PROJECT: Conference with Legal Counsel - Existing Litigation REQUESTED BOARD ACTION: Direct staff. DISCUSSION: Pursuant to Section 54956.9(a) of the California Government Code, Closed Session may be held for conference with legal counsel regarding existing litigation: Meyers Landfill Site - United States of America vs. EI Dorado County and City of South Lake Tahoe and Third Party Defendants, Civil Action No. S-01-1520 LKK GGH, United States District Court for the Eastern District of California. SCHEDULE: COSTS: ACCOUNT NO: BUDGETED AMOUNT REMAINING: ATTACHMENTS: CONCURRENCE WITH REQUESTED ACTION: GENERAL MANAGER: YES ACH) NO CHIEF FINANCIAL OFFICER: YES~NO CATEGORY: Sewer -79- INDIAN CREEK RESERVOIR DL OXYGENATION PROJECT NEGATIVE D O ENVIRONMENTAL IMPACT • Mid 1980s: ICR identified as an impaired waterbody. • 2000: Draft amendments to Water Quality Control Plan - Includes ICR TMDL and TMDL implementation plan • 2001: TMDL Tech Support Document Developed - http: / /www.swrcb.ca.gov /rwgcb6 /tmdl /indianckresindex.htm • 2002: Water Quality Control Plan Amendments Indicator Interim Target (2013) Final Target (2024) Total Phosphorus (P) <0.04 mg /L, annual mean <0.02 mg /L, annual mean Dissolved Oxygen (DO) 30 -day avg.— 6.5 mg /L 7 -day min. — 5.0 mg /L 1 -day min. —4.0 mg /L >7.0 mg /L Secchi Depth Summer mean > 2 meters Chlorophyll a Summer mean < 10 mg /cu meter Trophic State Index Composite index < 45 units • Early 1970s — Present: C✓fWater - Quality Monitoring • 2004 Olnternal Phosphorus Control Plan • 2005 Q ICR Sediment Studies QConceptual Design • 2006 -07: 0319(h) Grant Funding — Planning & Design — CEQA/NEPA Documentation • July - August 2007 11Perform environmental review [Prepare draft Initial Study /Negative Declaration (IS /ND) • October 12, 2007 I IS /ND — COMPLETED • October 15 — November 19, 2007 [Public Notice of Availability I1Public Review • December 6, 2007 I?lPublic Meeting ❑ Consideration of Negative Declaration INDIAN CREEK RESERVOIR South Tahoe Public Utility District Site Area •Alpine County, southeast Diamond Valley; • BLM Lands; • E 1/2 Sect. 4, TION, R20E; • LP Land Preserve Zone • Equipment Building • 0 Generation System • Underwater 0 Delivery Skid • Submerged 4 -inch power and 0 conveyance lines 1.7 P i r, NOM 0111•30MINI/OR • Less Than Significant — Mitigation Incorporated — AESTHETICS • Visual Impact • CA DIVISION OF SAFETY OF DAMS "Based on the information provided, we find the proposed project may require excavation into the upstream portion of the embankment dam to instal! pipelines and conduits. As long as the trench excavations are shallow and are backfilled properly, this work should not significantly affect the dam or its appurtenances." • CALTRANS "The Washoe Tribe of California and Nevada is a federally recognized tribe located within the area, please ensure that early consultation takes place with the Tribe and input from the Native American community occurs for any potential impacts of this proposed project." Accept the ICR TMDL Oxygenation Project Initial Study DCertify Negative Declaration of Environmental Impact with written comments and responses to comments ElFile Notice of Determination ~ ~ ~OL.J 10/b/6l (Pc Adult WeUness Proe:ram Guidelines Effective January 1,2007: PPO Paid at 100% (Non-PPO paid @ 80%) no deductible or co-pay. Treating MD's medical opinion supersedes these Guidelines. MD may determine that certain procedures are not medicallv indic Exam, Test or Procedure Frequency 18-25 26-39 40-49 50-64 65+ Comprehensive Physical Exam, including such items as abdomen, breasts, heart, height, weight, neck, pelvic, rectal, testicles & groin, Annually X X X X X vision/color, hearing (forced whisper), blood pressure, rectal exam, prostate rectal exam, hemoccult (stool occult blood), testicles and groin Blo88 PFessure X X X X X Reetal EKam AiHlually X X X Reetal Exam 9f~ostate X X X Hem966t:lk (Stool 866alt blood) X X X Fasting Complete Blood +est Count (CRC), Every 5 years X X Complete Metabolic Panel (CMP) & Chemical Every 2 years X Urinalvsis "'.' . --, Annuallv X X Complete Fasting Lipid Profile Every 3 X X Years Thvroid-Stimulatin~ Ronnone (TSID Everv 3 vears X X TB SkinlQYaRtifeFea Test Every 5 vears X X X X X RestingEKG Baseline Age 30 Resting EKG Every 4 years X Stress EKG Every 3 years X X Colonoscopy Every 10 X X years Bone Mineral Density +est Assessment (Central or Peripheral; CT not cov'd as Every 3 yrs X X Wellness) post Women menopausal Men At least One X Women Only Pap/Pelvic Annually X To 30 Everv 2 vears 31+ X X Mammogram Baseline 35-39 Every 2 years X Annuallv X X HPV immunization series A~es 9-26 X To 26 Men Only PSA Blood Test Annually X X Testi61es & Grein EH:Bl T,. .,., X X X X X ated. Adult Immunization Guidelines an accordanee with Current 2006 CDC Recommendations) Immunization DiptBeria & T etaJ.m5 Toxoid Tetanus (Td) or Tda if indicated or Booster Eve Influenza (flu) Annuall if over M 50 Pneumovax neumonia shot) Once over e 65 ., .. . Child WeUness Guidelines Children through 18 years of age shall receive a minimum of one annual physical exam, and young children may receive more than one well-child exam, up to the Frequency Limits listed below. Benefit is payable at 1000,10 with no deductible or co-pay for PPO Providers and 80% payable for non-PPO providers. Coverage includes the following routine services, as recommended by the physician: Physical Exam, Laboratory blood tests, Urinalysis, X-rays, Immunizations (See Immunization Requirements, below) Limits Fr uen Limit Seven visits Three visits One visit r Calendar Year Child Immunization Reouirements () )er Current 2CJO() CDC Recommendations Immunization 18t Dose 2114 Dose 3n1 Dose 401 Dose/Booster Diptheria, Tetanus, 2 months 4 months 6 months Between 15 and 18 months. Can be given as Pertussis (DTPIDTaP) early as 12 months as long as 6 months have passed since third dose. Fourth dose should be given at the latest between 4-6 years. Tetanus and Diptheria If If previously If previously 11-18 years: One booster dose if the child (Td) previously completed completed has completed the DTPIDTaP series and has completed not yet received a booster for any reason. Hepatitis A 12 months 23 months N/a (Hep A) Given at least 6 months apart HepatitisB Birth 1-2 months 6-18 months 2-18 years: Three dose series given to all (Hep B) children under 18 who didn't get the vaccine as infants H. influenzae type b 2 months 4 months 6 months (Hib) or between 12-15 months MeasleslMumps, Between One month N/a Second dose is typically given between 4-6 Rubella (MMR) 12-15 after fIrSt years, and should be given by 11-12 years at months dose the latest. Pneumococcus 2 months 4 months 6 months 12-15 months (PCV7) Chickenpox 12-24 N/a N/a Can be given up to age 13 in a child who has (Varicella, Var) months not contracted chickenpox Rotavirus (RV) 2-3 4-10 weeks 6-8 months All three doses should be given no later than months after the fust 8 months. dose Polio (IPV) 2 months 4 months Between 6- Between 4-6 years Injectable Polio 18 months Vaccine Menin2ococcal Age 13-15 Age 18 Females - HPV Ages 9-26 immunization series