AGENDA ITEM NO. F-3
SMP NO. 5.b
DATE: June 13, 2006
TO: The Board of Supervisors
FROM: Carol M. Luckam, Human Resource Manager
SUBJECT: Adoption of VRS Retiree Health Insurance Credit Program and the Deferred Compensation
In the FY 2007 Budget, the Board adopted funding for two new benefits, the VRS Retiree Health Insurance
Credit Program and the Deferred Compensation Match Plan. The benefits will help offset the high cost of
retiree health insurance and promote employee savings for retirement. Adoption of the attached resolutions
are necessary to enact the plans.
The VRS Retiree Health Insurance Credit Program will provide employees retiring with 15 or more years of
VRS service $1.50 a month per year of service to be used toward the purchase of health insurance. The
program will be administrated by the VRS and will cost approximately $90,400 in FY 2007.
The Deferred Compensation Match Plan will provide employees a County Match of 50 percent of the
employee contribution up to a County contribution of $10 a pay period for full-time employees and $5 a pay
period for part-time employees. The cost will be determined by participation but is expected to be no more
than $115,308 in FY 2007.
Both Plans are desirable additions and will benefit not only the employees but will help the County attract and
retain valuable employees in today’s competitive environment. Many local employers already offer these
Staff recommends the adoption of the two attached resolutions that are necessary to enact the plans effective
July 1, 2006.