TO: Mayor and City Councilmembers
FROM: Scott Garrison, H.R. Administrator
SUBJECT:
title
CalPERS Health Resolutions Update
end
RECOMMENDED COUNCIL ACTION:
recommendation
Adopt the attached four Resolutions fixing the employer contribution under the Public Employees’ Medical and Hospital Care Act (PEMHCA) for the following units:
1. Resolution 25-2026: Management/Mid-Management Unit (002).
2. Resolution 25-2026-1: Fire Mid-Management Unit (004).
3. Resolution 25-2026-2: Fire Unit (005).
4. Resolution 25-2026-3: Miscellaneous Unit (006).
body
SUMMARY:
CalPERS Health requires the adoption of these Resolutions to fix the contribution amount from $162 a month to $200 a month as adopted in the MOU’s and Agreements between the four Units that participate in CalPERS health plans and the City of Red Bluff that went into effect on July 1, 2026.
PREVIOUS COUNCIL ACTION:
City Council approved the MOU between the Miscellaneous Unit and the City of Red Bluff on May 5, 2026.
City Council approved the Agreement between the Management/Mid-Management Unit and the City of Red Bluff on June 2, 2026.
City Council approved the Agreement between the Fire Mid-management Unit and the City of Red Bluff on June 16, 2026.
City Council approved the MOU between the Fire Unit and the City of Red Bluff on June 16, 2026.
DISCUSSION:
Each agency that participates in CalPERS health plans has a contract that is governed by the Public Employees’ Medical and Hospital Care Act (PEMHCA). This contract stipulates the amount that the agency contributes towards a retired annuitant’s health plan after they retire. The City Council approved updating the retired health contribution amount from $162 to $200 effective July 1, 2026. Staff were unaware that separate resolutions were required to update the contract with CalPERS.
This contract also stipulates that active employees receive at least an equal amount. Active employees in this unit receive well over the new $200 monthly amount; therefore, this will have no change for active employees. CalPERS requires a separate Resolution for each unit to be passed by City Council updating the contract. This update will take effect on November 1, 2026. The update cannot take place sooner than the beginning of the second month after it is filed and received by CalPERS.
Once approved, staff will complete the attached Resolutions as provided by CalPERS and send them to the applicable office.
CITY FISCAL IMPACT:
The increase in retiree health contribution amounts was already approved in the Agreements and MOU’s and is incorporated in the current budget.
ATTACHMENTS:
1. Resolution Template Packet Change
CITY COUNCIL RESOLUTION NO. 25-2026
A RESOLUTION OF THE RED BLUFF CITY COUNCIL FIXING THE EMPLOYER CONTRIBUTION UNDER THE PUBLIC EMPLOYEES MEDICAL AND HOSPITAL CARE ACT (PEMHCA)
WHEREAS, the City of Red Bluff is a contracting agency under Government Code 22920 and subject to the Public Employees’ Medical and Hospital Care Act (the “Act”) for participation by members of 002 Management/Mid-Management Unit; and
WHEREAS, Government Code Section 22892(a) provides that a contracting agency subject to the Act shall fix the amount of the employer contribution by resolution; and
WHEREAS, Government Code Section 22892(b) provides that the employer contribution shall be an equal amount for both employees and annuitants, but may not be less than the amount prescribed by Section 22892(b) of the Act; now therefore be it
RESOLVED, That the employer contribution for each employee or annuitant shall be the amount necessary to pay the full cost of his/her enrollment, including the enrollment of family members, in a health benefits plan up to a maximum of $200 per month, plus administrative fees and Contingency Reserve Fund assessments; and be it further
RESOLVED, the City of Red Bluff has fully complied with any and all applicable provisions of Government Code Section 7507 in electing the benefits set forth above: and be it further
RESOLVED, That the participation of the employees and annuitants of City of Red Bluff shall be subject to determination of its status as an “agency or instrumentality of the state or political subdivision of a State” that is eligible to participate in a governmental plan within the meaning of Section 414(d) of the Internal Revenue Code, upon publication of final Regulations pursuant to such Section. If it is determined that City of Red Bluff would not qualify as an agency or instrumentality of the state or political subdivision of a State under such final Regulation, CalPERS may be obligated, and reserves the right to terminate the health coverage of all participants of the employer; and be it further
RESOLVED, That the executive body appoint and direct, and it does hereby appoint and direct, the H.R. Administrator to file with the Board a verified copy of this Resolution, and to perform on behalf of the City of Red Bluff all functions required of it under the Act; and be it further
RESOLVED, That coverage under the Act be effective November 1, 2026.
NOW THEREFORE, BE IT RESOLVED ON SEPTEMBER 1, 2026, BY THE CITY COUNCIL OF THE CITY OF RED BLUFF:
AYES:
NOES:
ABSENT OR NOT VOTING:
ATTEST: ___________________________
Mayor’s Signature
___________________________
Deputy City Clerk
CITY COUNCIL RESOLUTION NO. 25-2026-1
A RESOLUTION OF THE RED BLUFF CITY COUNCIL FIXING THE EMPLOYER CONTRIBUTION UNDER THE PUBLIC EMPLOYEES MEDICAL AND HOSPITAL CARE ACT (PEMHCA)
WHEREAS, the City of Red Bluff is a contracting agency under Government Code 22920 and subject to the Public Employees’ Medical and Hospital Care Act (the “Act”) for participation by members of 004 Fire Mid-Management Unit; and
WHEREAS, Government Code Section 22892(a) provides that a contracting agency subject to the Act shall fix the amount of the employer contribution by resolution; and
WHEREAS, Government Code Section 22892(b) provides that the employer contribution shall be an equal amount for both employees and annuitants, but may not be less than the amount prescribed by Section 22892(b) of the Act; now therefore be it
RESOLVED, That the employer contribution for each employee or annuitant shall be the amount necessary to pay the full cost of his/her enrollment, including the enrollment of family members, in a health benefits plan up to a maximum of $200 per month, plus administrative fees and Contingency Reserve Fund assessments; and be it further
RESOLVED, the City of Red Bluff has fully complied with any and all applicable provisions of Government Code Section 7507 in electing the benefits set forth above: and be it further
RESOLVED, That the participation of the employees and annuitants of City of Red Bluff shall be subject to determination of its status as an “agency or instrumentality of the state or political subdivision of a State” that is eligible to participate in a governmental plan within the meaning of Section 414(d) of the Internal Revenue Code, upon publication of final Regulations pursuant to such Section. If it is determined that City of Red Bluff would not qualify as an agency or instrumentality of the state or political subdivision of a State under such final Regulation, CalPERS may be obligated, and reserves the right to terminate the health coverage of all participants of the employer; and be it further
RESOLVED, That the executive body appoint and direct, and it does hereby appoint and direct, the H.R. Administrator to file with the Board a verified copy of this Resolution, and to perform on behalf of the City of Red Bluff all functions required of it under the Act; and be it further
RESOLVED, That coverage under the Act be effective November 1, 2026.
NOW THEREFORE, BE IT RESOLVED ON SEPTEMBER 1, 2026, BY THE CITY COUNCIL OF THE CITY OF RED BLUFF:
AYES:
NOES:
ABSENT OR NOT VOTING:
ATTEST: ___________________________
Mayor’s Signature
___________________________
Deputy City Clerk
CITY COUNCIL RESOLUTION NO. 25-2026-2
A RESOLUTION OF THE RED BLUFF CITY COUNCIL FIXING THE EMPLOYER CONTRIBUTION UNDER THE PUBLIC EMPLOYEES MEDICAL AND HOSPITAL CARE ACT (PEMHCA)
WHEREAS, the City of Red Bluff is a contracting agency under Government Code 22920 and subject to the Public Employees’ Medical and Hospital Care Act (the “Act”) for participation by members of 005 Fire Unit; and
WHEREAS, Government Code Section 22892(a) provides that a contracting agency subject to the Act shall fix the amount of the employer contribution by resolution; and
WHEREAS, Government Code Section 22892(b) provides that the employer contribution shall be an equal amount for both employees and annuitants, but may not be less than the amount prescribed by Section 22892(b) of the Act; now therefore be it
RESOLVED, That the employer contribution for each employee or annuitant shall be the amount necessary to pay the full cost of his/her enrollment, including the enrollment of family members, in a health benefits plan up to a maximum of $200 per month, plus administrative fees and Contingency Reserve Fund assessments; and be it further
RESOLVED, the City of Red Bluff has fully complied with any and all applicable provisions of Government Code Section 7507 in electing the benefits set forth above: and be it further
RESOLVED, That the participation of the employees and annuitants of City of Red Bluff shall be subject to determination of its status as an “agency or instrumentality of the state or political subdivision of a State” that is eligible to participate in a governmental plan within the meaning of Section 414(d) of the Internal Revenue Code, upon publication of final Regulations pursuant to such Section. If it is determined that City of Red Bluff would not qualify as an agency or instrumentality of the state or political subdivision of a State under such final Regulation, CalPERS may be obligated, and reserves the right to terminate the health coverage of all participants of the employer; and be it further
RESOLVED, That the executive body appoint and direct, and it does hereby appoint and direct, the H.R. Administrator to file with the Board a verified copy of this Resolution, and to perform on behalf of the City of Red Bluff all functions required of it under the Act; and be it further
RESOLVED, That coverage under the Act be effective November 1, 2026.
NOW THEREFORE, BE IT RESOLVED ON SEPTEMBER 1, 2026, BY THE CITY COUNCIL OF THE CITY OF RED BLUFF:
AYES:
NOES:
ABSENT OR NOT VOTING:
ATTEST: ___________________________
Mayor’s Signature
___________________________
Deputy City Clerk
CITY COUNCIL RESOLUTION NO. 25-2026-3
A RESOLUTION OF THE RED BLUFF CITY COUNCIL FIXING THE EMPLOYER CONTRIBUTION UNDER THE PUBLIC EMPLOYEES MEDICAL AND HOSPITAL CARE ACT (PEMHCA)
WHEREAS, the City of Red Bluff is a contracting agency under Government Code 22920 and subject to the Public Employees’ Medical and Hospital Care Act (the “Act”) for participation by members of 006 Miscellaneous Unit; and
WHEREAS, Government Code Section 22892(a) provides that a contracting agency subject to the Act shall fix the amount of the employer contribution by resolution; and
WHEREAS, Government Code Section 22892(b) provides that the employer contribution shall be an equal amount for both employees and annuitants, but may not be less than the amount prescribed by Section 22892(b) of the Act; now therefore be it
RESOLVED, That the employer contribution for each employee or annuitant shall be the amount necessary to pay the full cost of his/her enrollment, including the enrollment of family members, in a health benefits plan up to a maximum of $200 per month, plus administrative fees and Contingency Reserve Fund assessments; and be it further
RESOLVED, the City of Red Bluff has fully complied with any and all applicable provisions of Government Code Section 7507 in electing the benefits set forth above: and be it further
RESOLVED, That the participation of the employees and annuitants of City of Red Bluff shall be subject to determination of its status as an “agency or instrumentality of the state or political subdivision of a State” that is eligible to participate in a governmental plan within the meaning of Section 414(d) of the Internal Revenue Code, upon publication of final Regulations pursuant to such Section. If it is determined that City of Red Bluff would not qualify as an agency or instrumentality of the state or political subdivision of a State under such final Regulation, CalPERS may be obligated, and reserves the right to terminate the health coverage of all participants of the employer; and be it further
RESOLVED, That the executive body appoint and direct, and it does hereby appoint and direct, the H.R. Administrator to file with the Board a verified copy of this Resolution, and to perform on behalf of the City of Red Bluff all functions required of it under the Act; and be it further
RESOLVED, That coverage under the Act be effective November 1, 2026.
NOW THEREFORE, BE IT RESOLVED ON SEPTEMBER 1, 2026, BY THE CITY COUNCIL OF THE CITY OF RED BLUFF:
AYES:
NOES:
ABSENT OR NOT VOTING:
ATTEST: ___________________________
Mayor’s Signature
___________________________
Deputy City Clerk