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RESOLUTION eliminating eligibility for all non-union employees and retirees currently enrolled in the County’s Traditional Health Benefits Plan effective July 1, 2026, PURSUANT TO N.J.S.A. 40:20-1
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WHEREAS, the County of Passaic (“County”) is a body politic and corporate pursuant to N.J.S.A. 40:18-1 and vested with all rights contained therein; and
WHEREAS, pursuant to N.J.S.A. 40:20-1, the Board of County Commissioners of the County of Passaic (“Board”) is vested with managing the property, finances, and affairs of the County; and
WHEREAS, the Board previously established a self-funded health benefits plan for individuals employed by the County (the “Plan”), which also provides for coverage for their spouses and dependent children; and
WHEREAS, the Board is committed to containing the cost of its self-funded employee benefits programs to the maximum extent practicable; and
WHEREAS, pursuant to P.L. 2011, c. 78, sec. 39 (N.J.S.A. 52:14-16.28(c)), all employees of public entities in New Jersey are required to pay for their health care benefits coverage predicated upon their base salary as set forth in the above-referenced statute; and
WHEREAS, in recognition of the circumstances outlined above, the Board previously amended the Plan to provide for three lower-cost plans that covered employees could elect to participate in as an alternative to the “traditional” plan, thereby reducing the growth in their required contributions; and
WHEREAS, prior to the development of these lower-cost alternatives, all employees covered by the Plan were enrolled in a “traditional” plan, which did not contain any financial incentive or benefit for participants to utilize in-network providers, resulting in substantially higher costs to the County and its taxpayers; and
WHEREAS, on February 1, 2014, Board adopted Resolution No. R20140064, requiring that all non-union employees hired on or after February 1, 2014 utilize one of the three lower-cost alternatives offered to all County employees, resulting in reduced costs to both the County and the participant; and
WHEREAS, pursuant to said resolution, non-union employees of the County hired prior to February 1, 2014 retained the ability to remain in the “traditional” plan, subject to all required contributions; and
WHEREAS, the County wishes to eliminate the eligibility for all non-union employees and retirees to remain in the “traditional” plan, effective July 1, 2026, and instead work to move these employees and retirees into one of the three lower-cost plans offered by the County; and
WHEREAS, this matter was presented to the Administration & Finance Committee, and is being recommended to the Board for approval.
NOW, THEREFORE, LET IT BE RESOLVED, pursuant to N.J.S.A. 40:20-1, the Board of County Commissioners of County Commissioners hereby eliminates the eligibility for all non-union employees and retirees to remain in the County’s Traditional Health Benefits Plan, effective July 1, 2026.
LET IT BE FURTHER RESOLVED, that the Clerk of the Board, County Counsel, County Administrator, and Director of the Board shall take any action necessary to carry out the purpose of this Resolution.
NB March 24, 2026