Reso 1394 04/2012RESOLUTION NO. 1394
RESOLUTION OF THE BOARD OF DIRECTORS
OF THE VALLECITOS WATER DISTRICT
CONSENTING TO JOIN THE HEALTH BENEFITS PROGRAM
OF THE ACWA JOINT POWERS INSURANCE AUTHORITY,
RATIFYING THE ACTION OF THE ACWA HEALTH BENEFITS AUTHORITY
BOARD OF DIRECTORS TO TERMINATE THE HEALTH BENEFITS AUTHORITY
JOINT POWERS AGREEMENT, AND AUTHORIZING AND DIRECTING
THE VALLECITOS WATER DISTRICT TO EXECUTE ALL NECESSARY DOCUMENTS
WHEREAS, the Vallecitos Water District entered into a joint exercise of powers
agreement ( "HBA Agreement ") with the Association of California Water Agencies Health
Benefits Authority ( "HBA ") in order to pool its purchasing needs with other public agencies
desiring to provide their employees with comprehensive and economical health and welfare
benefits; and
WHEREAS, the Vallecitos Water District entered into a Health Benefits Memorandum of
Understanding ( "MOU ") to enroll in specific health programs and ancillary programs ( "Existing
Employee Benefits Coverage ") offered by HBA and agreed to abide by: (1) the HBA Agreement;
(2) all rules and procedures established by HBA in the administration of this District's Existing
Employee Benefits Coverage; and (3) all underwriting, eligibility, and contribution requirements
in Appendix A to the MOU; and
WHEREAS, the Vallecitos Water District entered into a joint exercise of powers
agreement ( "JPIA Agreement ") with the Association of California Water Agencies Joint Powers
Insurance Authority ( "JPIA ") in order to pool its purchasing needs with other public agencies
desiring to obtain comprehensive and economical public liability, workers' compensation,
unemployment, health, accident and /or dental, or property coverage; and
WHEREAS, JPIA is both qualified and authorized by the laws of the State of California to
administer the Existing Employee Benefits Coverage to this Agency through JPIA's Employee
Benefits Program; and
WHEREAS, during a noticed special meeting held on February 6, 2012, the HBA Board
of Directors unanimously voted to transfer all HBA operations and administrative functions to
JPIA on or about July 1, 2012, and to pursue a merger of the two public agencies after which
the HBA Agreement would be terminated; and
WHEREAS, pursuant to Article 22 of the HBA Agreement, the HBA Agreement may be
terminated by the HBA Board of Directors subject to ratification by the written consent of three-
fourths of the HBA Member agencies within 90 days of the HBA Board's action, provided,
however, that HBA and the HBA Agreement shall continue to exist for the purpose of concluding
all functions necessary to wind up HBA's affairs; and
WHEREAS, during a noticed regular meeting held on March 28, 2012, the HBA Board of
Directors approved HBA Resolution 12- 03 -02: (1) electing to terminate the HBA Agreement
pursuant to Article 22 of the HBA Agreement and, except as provided in clause 2 below, said
termination shall become effective upon ratification by the written consent of three - fourths of the
HBA member districts and agencies; (2) recognizing that pursuant to Article 22 of the HBA
Agreement, HBA and the HBA Agreement shall continue to exist for the purpose of winding up
and dissolving the business affairs of HBA, and acknowledge that the HBA Board of Directors is
vested with all powers of HBA for doing the same; and (3) declaring that Resolution 12 -03 -02
shall take effect on April 1, 2012, thereby beginning the 90 -day ratification period.
NOW, THEREFORE, BE IT RESOLVED that the
District hereby; Board of Directors of Vallecitos Water
I. Agree that the HBA Memorandum of Understanding referred to in the recitals above is
incorporated in this resolution by reference.
2. Consent to join JPIA's Employee Benefits Program and acknowledge, represent, and
agree that all terms and conditions of the HBA Memorandum of Understanding apply a I to
the provision of this Agency's Existing Employee Benefits Covera th
3. Authorize and d'
9e rough JPIA.
erect the Vallecitos Water District's General Manager to cooperate fully
with HBA and JPIA in the execution of any other documents and in the completion of any
additional actions that may be necessary or appropriate for the purpose of ensuring that
this Agency's Existing Employee Benefits Coverage continues without lapse through
JPIA,
effective as provided in Article 22 of the HBA Agreement. 4. Ratify the action of the HBA Board of Directors to terminate the HBA Agreement, to be
5. Direct the Secretary of the Board of the Vallecitos Water District to immediately send a
certified copy of this resolution to: Association of California Water Agencies Health
Benefits Authority, 4600 Northgate Blvd, Suite 100, Sacramento, California, 95834.
PASSED AND ADOPTED by the Board of Directors of the Vallecitos Water District at a
regular meeting held on this 18th day of April, 2012, by the following roll call vote:
AYES: FERGUSON, HERNANDEZ,
NOES: POLTL, SHELL, GENTRY
ABSTAIN:
ABSENT:
ATTEST:
v/
Dennis L. Lamb, Secretary
Board of Directors
Vallecitos Water District
Darrell Gent
ry, President
Board of Directors
Vallecitos Water District