ACA Roll Out for University Budget Officers & HR Facilitators

February 25, 2015

Today’s Agenda

• Review Implementation Timeline• Define Affordable Care Act (ACA) Eligibility• Discuss Eligibility Scenarios• Discuss the Need for Data Clean-up• Discuss Issue Related to Temporary

Faculty• Discuss Budget Impact• Next Steps

Initial Measurement Period Report

(4/1/14-3/31/15)

Communicate ACA Benefit during

Open Enrollment

ACA Compliance decision pointsto EVPFA with

Committee recommendations

Call special University Budget

Officers meeting to review ACA

requirements

Implementation Committee begins

meeting weekly

Identify High Level Decision Points

ACA Implementation Schedule February 25, 2014

University Survey Results Reviewed Implementation

July 1

Plan/Program Development Public VettingJanuary February March April May June

Send departmental list of ACA eligible

employees

Departments adjust FTE based on actual

hours

FTE change communicated to

employees

Send letters to employees regarding

enrollment

Multiple town hall meetings for eligible

employees

Ongoing meetings with University Budget Officers and HR facilitators

Begin data clean-up

REGULAR FT (.75 - 1.0 FTE) + WEPP

*Single Assignment

Full Health Benefits PLUS

OTHER BENEFITS with

Credit

.75 - 1.0 FTE Temporary Single

Assignment or “.75+” Multiple

Assignments

Health Benefits with Credit

.2 - .74 FTESingle or Multiple

Assignments

Health Benefits with NO Credit

Who Gets What Benefits?ACA Compliance Audit

“Full Benefits with Credit”

“Health Benefits with Credit”

“Health Benefits NO Credit”

Health Benefits with Credit (if

evaluated with 30+ hours)

“Health Benefits with Credit”

ACA Benefit

Review Eligibility Scenarios

Cost Distribution• Health Credit follows cost

distribution of the assignmentEmployee has only ONE assignment

• Health Credit follows cost distribution of the main assignment

Employee has multiple

assignments, but is eligible based on MAIN assignment

• Health Credit is prorated across all assignments based on FTE

Employee is eligible based on

MULTIPLE assignments

Data Clean-up

• Additional Assignments• Active Assignments with no pay• FTE Alignment• Seasonal Employees

Temporary Faculty Employees

• Sub-committee appointed to review temporary faculty issues• College representation (Arts & Sciences,

Communication and Information, Business &Economics, Agriculture, Food and Environment)

• Meets weekly to develop standard operating procedure and guidelines for employing temporary faculty

Temporary Faculty Employees

• Current issues being discussed:• Standardized FTEs for Instructional Faculty• Start and end dates for Part-time or temporary

faculty/instructors• Instructional terms• Service gaps

• Standardized process for Visiting Scholars• No pay vs. Pay

• Ongoing issue review and consideration• Email address: ACAFaculty@uky.edu• Contact committee members directly

• Committee to finalize work by the end of March to present to deans and executive leadership

CY 14- ACA Positions

• FCC Breakout (935 positions)– A 1.4% -I 5.5%– C 1.2% -K .1%– E .1% -P .2%– F .1% -R 54.5%– G 13.5% -S 11.8%– H 5.5% -Z .1%

-Other 5.9%

Enrollment Projections

• We surveyed 42 Institutions through the TIAA-CREF HR Leadership Exchange– 62% public, 38% private– Many institutions already offered benefits to

employees working 20 hours or more.– Those offering new coverage indicate:

• Less than 25% enrolled, only two responses out of 22 indicate more (50%, 80%).

– Conservative estimate for UK- 50% participation rate.

Estimated Cost at 50% Enrollment

• FCC Breakout (rounded)

– A $46K -I $182K– C $40K -K $ 4K– E $ 5K -P $ 6K– F $ 4K -R $1.8M– G $446K -S $388K– H $183K -Z $ 4K

-Other $194K

Total- $3.3M

Next Steps

• We will work with the University Budget Officer group to schedule ongoing meetings from March through June to:– Review data clean-up – Answer questions related to eligibility– Discuss special ACA open enrollment for June

• Letters to affected employees• Town Hall Meetings