TO: AC Transit Board of Directors
FROM: Linda A. Nemeroff, Board Administrative Officer/District Secretary
SUBJECT: Appointment to the ATU Local 192 Retiree MedicaI Trust Board of Trustees
ACTION ITEM
AGENDA PLANNING REQUEST: ☐
RECOMMENDED ACTION(S):
Title
Confirm and ratify the appointment of the District's Chief Financial Officer, Chris Andrichak, as an Employer Trustee on the ATU Local 192 Retiree Medical Trust Board of Trustees.
Staff Contact:
Linda A. Nemeroff, Board Administrative Officer/District Secretary
Body
STRATEGIC IMPORTANCE:
There is no strategic importance associated with this report.
BUDGETARY/FISCAL IMPACT:
Members of the Board of Trustees are not compensated; therefore, there is no budgetary or fiscal impact associated with this report.
BACKGROUND/RATIONALE:
The Trust Agreement for the ATU Local 192 Retiree Health and Welfare Trust was approved by the AC Transit Board of Directors on July 29, 1998, and became effective on July 1, 1998. As part of the agreement, a Board of Trustees, which currently consists of two Union Trustees and two Employer Trustees, was created to administer the trust. The ATU Retiree Health and Welfare Trust administers retiree healthcare and other subsidy programs for ATU members. The Trust also currently administers retiree healthcare benefits for IBEW and AFSCME members.
In 2017, the District’s Chief Financial Officer (CFO) was appointed as one of the two Employer Trustees. At the time, the Board adopted a motion appointing the position of Chief Financial Officer instead of the person holding that position. In 2021, Chris Andrichak assumed the position of CFO and with it the role of Employer Trustee. During a recent review of committee appointments, staff discovered an inconsistency in the record that requires clarification and is now requesting that the Board of Directors confirm and ratify the appointment of Mr. Andrichak to the Board of Trustees to allay any confusion that might arise in the future as a result of the action taken by the Board in 2017.
ADVANTAGES/DISADVANTAGES:
There are no disadvantages associated with this report as it is important to provide clarity with respect to appointments.
ALTERNATIVES ANALYSIS:
This report was prepared to provide clarity regarding the appointment of the District’s current Chief Financial Officer as the Employer Trustee on the Board of Trustees; therefore, there are no practical alternatives to the course of action outlined in this report.
PRIOR RELEVANT BOARD ACTION/POLICIES:
Staff Report 17-168
ATTACHMENTS:
None.
Prepared by:
Linda A. Nemeroff, Board Administrative Officer/District Secretary
Approved/Reviewed by:
Linda A. Nemeroff, Board Administrative Officer/District Secretary
Shayna van Hoften, Interim General Counsel/Chief Legal Officer