1. Lodi Unified School District Health Benefits Journey Board Meeting January 12, 2010 Prepared by: Dr. Cathy Washer Dr. Cathy Washer Mr. Douglas Barge Mr. Douglas Barge Y:\Business Services\BoardAgend\2009-10\B01-12-10\CalPERS B01-12-10

2. Table of Contents DESCRIPTION PAGE # A. Benefits Journey B. Destination C. Acquiring a Viable Option D. Desired Outcomes E. End of the Journey 1234512345 i

3. Benefits Journey The LUSD Benefits Travelers The travelers serving on the District Benefits Journey were representatives from: Confidential Group CSEA LEA LPPA LUSDAA Supervisory Group Administration; Superintendent, CBO, Controller, Payroll Mgr. & Director of Purchasing 1

4. Acquiring a Viable Option We knew we wanted change, but where to start? Use of a Broker and their expertise or pick another path for acquiring health benefit services? Change in plan options and carriers? Change in rates? 2

5. Desired Outcomes Move away from current broker Address the arguments presented to the District each year High usage Employees with expensive treatment requirements Provide as many options as possible If at all possible lower rates for our employees Have our health program handled by professionals with good experience 3

6. Decided on a Destination Cal PERS CalPERS offers a statewide health benefits insurance program that works for Lodi as a large group Open enrollment for the upcoming year LUSD will hold an open enrollment in the Spring and a second one in the Fall Lodi would start with CalPERS effective July 1, 2010 Rates are a better than with a broker Programs offered Kaiser Blue Shield Access HMO Blue Shield Net Value HMO Blue Shield Choice & Select PERSCare PPOs A complete description of all plans is available at www.calpers.ca.gov/index.jsp?bc=/member/health/home.xml www.calpers.ca.gov/index.jsp?bc=/member/health/home.xml 4

7. End of the Journey There will be a more detailed CalPERS information document distributed to all the employees of the Lodi Unified School District The LUSD Health Benefits Travelers recommend, to the Board of Education, using CalPERS for 2010/11. 5 CalPERS Health Benefits