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Res 2016-077/approving an administrative services agreement with United Healthcare Services, Inc. for the provision of medical, pharmacy, dental, flexible spending accounts (fsa), retiree, online enrollment tool and cobra benefits administration in a tot
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Res 2016-077/approving an administrative services agreement with United Healthcare Services, Inc. for the provision of medical, pharmacy, dental, flexible spending accounts (fsa), retiree, online enrollment tool and cobra benefits administration in a tot
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Resolutions
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Approving
Number
2016-77
Date
6/21/2016
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Rebates: All rebates, discounts or other financial incentives (whether access, base, Prescription Drug List (PDL), <br />incentive, market share, volume, or other), and administrative fees which United receives directly or indirectly from <br />a pharmaceutical manufacturer and which are obtained in connection with prescription drug products dispensed to <br />Participants under the Plan's pharmacy benefit or the medical benefit. Rebates do not include any purchasing <br />discounts, provided that United obtains the same Rebates for prescription drugs regardless of where the prescription <br />is dispensed. Rebates to customers are administered and paid under the medical benefit plan or pharmacy benefit plan <br />as outlined in this Agreement. <br />Run -out Administration: Means the processing by United of claims, incurred prior to the termination date, during <br />the period of time immediately following termination. All terms of this Agreement apply to the post - termination <br />processing period. <br />Self -Fund or Self- Funded: Means that the Customer, on behalf of the Plan, has the sole responsibility to pay, and <br />provide funds, to pay for all Plan benefits. United has no liability or responsibility to provide these funds. <br />Summary Plan Description or SPD: The document(s) Customer provides to Plan Participants describing the terms <br />and conditions of coverage offered under the Plan. <br />Systems: Means the systems United owns or makes available to Customer to facilitate the transfer of information in <br />connection with this Agreement. <br />Tax or Taxes: A charge imposed, assessed or levied by any federal, state, local or other governmental entity assessed <br />against United as a claim administrator in connection with United's services under this Agreement, relating solely to: <br />(1) the Plan; (2) benefit payments under the Plan; or (3) United's service fees when assessed as a premium type <br />payment (but not taxes on United income, franchise or other tax based on United income, capital or net worth). <br />Treasury Department: The United States Department of the Treasury. <br />Term or Term of the Agreement: The period of twelve (12) months commencing on the Effective Date and <br />automatically continuing for additional 12 -month periods until the Agreement is terminated. (The guaranteed fee <br />period is included in Exhibit B). <br />Section 2 — Customer Responsibilities <br />Section 2.1 Responsibility for the Plan. United is not the Plan Administrator of the Plan. Any references in this <br />Agreement to United "administering the Plan" are descriptive only and do not confer upon United anything beyond <br />certain agreed upon claim administration duties. Except to the extent this Agreement specifically requires United to <br />have the fiduciary responsibility for a Plan administrative function, Customer accepts total responsibility for the <br />development and administration of the Plan for purposes of this Agreement including its benefit design, the legal <br />sufficiency and distribution of SPDs, and compliance with any laws that apply to the Customer or the Plan, whether <br />or not Customer or someone Customer designates is the Plan Administrator. The Customer represents and warrants <br />that the Plan has the authority to pay fees due under this Agreement from Plan assets, in accordance with Section <br />10.13. <br />Section 2.2 Plan Consistent with the Agreement. Customer represents that Plan documents, including the Summary <br />Plan Description as described in Exhibit A — Statement of Work, are consistent with this Agreement. Nevertheless, <br />before distributing any communications describing Plan benefits or provisions to Participants or third parties, <br />Customer will provide United with copies of the Summary Plan Description and Employee communications which <br />refer to United or United's services for review prior to distributing these materials to Employees or third parties. <br />Customer will amend them if United reasonably determines that references to United are not accurate, or any Plan <br />provision is not consistent with this Agreement or the services that United is providing, as mutually agreed by the <br />parties. <br />Section 2.3 Plan Changes. Customer will provide United with notice of any changes to the Plan and/or Summary <br />Plan Description within a reasonable period of time but no later than thirty (30) calendar days prior to the effective <br />date of the change to allow United to determine if such change will alter the services United provides under this <br />Agreement. Any change in the services to be provided by United under this Agreement which would be caused by <br />any aforementioned changes must be mutually agreed to in writing prior to implementation of such change. United <br />will notify Customer if (i) the change increases United's cost of providing services under this Agreement or (ii) United <br />is reasonably unable to implement or administer the change. If the parties cannot agree to a new fee within (30) thirty <br />
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