| To: | Payroll/Personnel representatives |
| Subject: | Processing Info and Timelines for Health/Dental Tier Levels |
| Sent Date: | 10/20/2009 |
As addressed previously in multiple memos from Department of Administration, the Office of Group Insurance will implement a 3-tiered, pro-rata structure for the State’s healthcare contribution for all part-time employees eligible for Health/Dental coverage. The pro-rata structure will begin with the first payroll in November of this year (November 13, 2009 pay date).
To accommodate this change, the State Controller’s Office has added a new field on the employee’s personnel record called ‘Tier Level’ and the Health/Dental deductions will be processed twice a month (half (½) of the premium will be taken on the first payroll and the other half (½) taken on the second payroll). During those months with three (3) pay periods, the Health/Dental premiums will not be taken on the third payroll of the month.
The documentation in the DSP User Manual (IPOPS Help) has been updated with the most recent information from OGI regarding Premium Amounts for all Plan Codes and Tier Levels (including the appropriated employer costs for employees coded ‘E/NW - Eligible/Not Wanted’).
Note: With these changes the automatic Health/Dental deduction adjustments will no longer be processed through payroll. The B-444395 (Payroll Processing Messages) report for the October 30, 2009 pay date will indicate that an adjustment has been created, when in fact it was not. For this payroll, the messages are informational only and are to be used by Office of Group Insurance to identify those employees that would have had an automatic adjustment created. In future payrolls, this report will only show messages indicating that an adjustment may be needed.
Implementation and Processing Timelines
Thursday, October 22, 2009: SCO will programmatically update all employees eligible for Health/Dental coverage with tier level ‘3’ (including those employees coded as Eligible/Not Wanted) and all employees not eligible (NE) for Health/Dental coverage with tier level ‘0’.
A report listing the employees and the updated tier level information will be available via the On-line Reporting application and has been assigned to all ‘Agency Maintain Users’. (Report name: ‘UPD-TIER – Initialize Employee Tier Codes’ – Sysid: AUIS44R)
Friday, October 23, 2009: Additional program modifications will be implemented into the SCO production environment in preparation for agencies to begin updating the employee’s Tier Levels on Monday.
Monday, October 26, 2009 through Tuesday, November 3, 2009: Agencies will update all eligible employees working less than full time (including those coded as Eligible/Not Wanted) to the appropriate ‘Tier Level’ using the IPOPS Employer Deduction action. The effective date for this action is October 18, 2009.
Note: If determining the appropriate tier level and/or eligibility is in question, contact the Office of Group Insurance.
Payroll Reporting:
A-444906 (Deduction Register): Will continue to be published via On-line Reporting after each payroll and will indicate the new bi-monthly premium amounts. No changes were made to the report.
A-444916 (Health Insurance Premium Register): Will be produced once per month (after the second payroll of the month) and will indicate monthly premium amounts. In addition, changes to this report have been made to include the employee’s Plan and Tier information and the ‘agency total’ information will show totals by Plan and Tier.
IBIS Statewide Reporting:
The following statewide IBIS reports were requested by the Department of Administration to assist the Department and individual state agencies with information used for auditing the appropriate Tier Levels:
Part-time Tier Verification Summary
Part-time Tier Verification Detail
The ‘Insurance Tier’ column currently reflects the same Tier Level as calculated in the ‘Tier From Average Hours Worked’ column. Once the agency has updated the employee’s personnel record with the appropriate Tier Level via IPOPS, the Tier information will be included in these new reports under the ‘Insurance Tier’ column.
For more detailed information on these reports, reference the DSPHelp e-mail sent October 6, 2009.
In conclusion, the documentation in the DSP User Manual (IPOPS Help) and information available on the On-line Inquiry Screens (IDH, IGH, ISH) has been updated and reflect these changes.
Questions:
For Processing Questions, contact the DSP Helpdesk at 334-2394 or by e-mail at dsphelp@sco.idaho.gov
For Eligibility, Tier Level, Adjustments, and all other types of questions, contact Office of Group Insurance (Department of Administration) at 332-1860 or by e-mail at ogi@adm.idaho.gov
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