Review Agenda Item
Meeting Date: 6/19/2019 - 3:30 PM
Category: Consent Calendar
Type: Action
Subject: 11.72 BUSINESS: Sales and Service Agreement With Sanorbix, LLC for Affordable Care Act Management and Healthcare Reform Services (funded through the General Fund in the amount of $27,324.70)
Strategic Plan:
Enclosure
File Attachment:
Incl Sched B Cyberliability - Perris Union High School 2019.5.16.pdf
Summary: The Affordable Care Act (ACA) requires that employers offer medical benefits to all employees who have worked an average of thirty (30) hours or more, each week, during the previous twelve (12) months (look back period). Under the law, this includes substitutes, walk-on coaches, tutors, etc. The penalty for not offering a medical plan that covers the Minimum Essential Coverage to ninety-five (95) percent of eligible employees is substantial. In addition, there are tax reporting requirements.

To comply with the multifaceted ACA, the District has been working with Sanorbix (previously Five Points), for the last four (4) years. Sanorbix has provided a system to track eligibility of employees as well as the individual coding and reporting required by the Internal Revenue Service (IRS) called MyBenefitsChannel (MBC). These labor intensive, Health Care Reform (HCR) services, includes completing and mailing the mandatory IRS Form 1095-C (Parts I, II, & III) and completing and filing the IRS Form 1094-C (Parts I, II, III & IV) for each employee.

This agreement would allow the continuous use of the Sanorbix System for tracking employee eligibility, individual IRS coding, and reporting as well as the completion and mailing of the mandatory IRS forms for each employee.

The total estimated cost of this Agreement is $27,324.70, which will be adjusted on the actual number of employees and mailings.

The term of this Agreement shall be from July 1, 2019 through June 30, 2020.
Funding: The cost for this item will be included in the 2019-20 operating budget funded through the General Fund.
Recommendation: It is recommended that the Board of Trustees approve the Sales and Service Agreement with Sanorbix, LLC for Affordable Care Act Management and Healthcare Reform Services.
Approvals:
Recommended By:
Signed By:
Judy Miller - Director - Risk Management and Environmental Safety
Signed By:
Candace Reines - Deputy Superintendent
Signed By:
Grant Bennett - Superintendent
Vote Results:

Original Motion
Member David Nelissen Moved, Member Dr. Jose Luis Araux seconded to approve the Original motion 'It is recommended that the Board of Trustees approve the Sales and Service Agreement with Sanorbix, LLC for Affordable Care Act Management and Healthcare Reform Services.'. Upon a Roll-Call Vote being taken, the vote was: Aye: 4 Nay: 0.
The motion Carried 4 - 0
   
Edward Garcia, Jr.     Yes
Anthony T. Stafford, Sr.     Yes
Dr. Jose Luis Araux     Yes
David Nelissen     Yes