EMPLOYEE ASSISTANCE PROGRAM - SUMMARY OF PROVIDER PROPOSALS

This memorandum summarizes the proposals submitted by employee assistance program providers to the Public Employees Retirement System Board. Under legislation enacted in 1997, eligible employees of governmental units, including members of the Legislative Assembly, are covered by an employee assistance program beginning on July 1, 1999.

Section 2 of 1997 Senate Bill No. 2034 (1997 S.L., ch. 467) provides that "[e]ach department, board, or agency shall obtain employee assistance program services through the board for eligible employees and may not enter into any agreement to obtain employee assistance program services with a third-party provider except that a department, board, or agency may use its own employee assistance program services to the extent such services are provided by personnel of that department, board, or agency. As used in this section, "employee assistance program" means an employer-sponsored service for employees under which a professional employee assistance program staff assists employees and their families in finding help for emotional, drug, alcohol, family, health, and other personal or job-related problems that may be affecting their work performance." This section becomes effective July 1, 1999.

To provide a transition period until July 1, 1999, Section 3 of 1997 Senate Bill No. 2034 provided that in order "[t]o provide for a transition employee assistance program, the public employees retirement system board may establish employee assistance program plans for participating employers who have not contracted for employee assistance program services and shall assume contractual authority for those participating state employers who have already contracted for employee assistance program services." The responsibility for administering the employee assistance program was assigned to the Public Employees Retirement System. After the transition, the Public Employees Retirement System Board is directed to establish the program on a permanent basis for all eligible state employers.

The design of the permanent employee assistance program is one that is employer-based. That is, each employer is allowed to select the employee assistance program vendor it believes best suits its needs. In determining which employee assistance program vendors are eligible to provide services, the Public Employees Retirement System Board went through a request for proposal process. The board developed a request for proposal that contains certain minimum specifications for program design as well as costs. Each vendor that met those minimum specifications is an eligible vendor for participating employers to select from. The vendors that have met the specifications are:

1. St. Alexius/Heartview;
2. Medcenter One;
3. VRI; and
4. Village Family Services.

A table of each vendor's employee assistance program is attached as Appendix A. A table showing the location where services are provided and the staff available in the various locations is attached as Appendix B. It should be noted that agencies that have employees located in more than one city or region can select a different vendor for each region based on geographical requirements. However, an agency may have only one provider in a specific city or region.

Concerning characteristics of the vendors that may distinguish one provider from another, St. Alexius/Heartview provides up to eight sessions per individual, per problem incident per year. Should the same plan member return to the employee assistance program based on another incident, this plan member's case file would be "reopened" based on this new problem incident. A second counseling intervention would be provided to the plan member based on this new incident. For each incident, assuming the incidents are different and unrelated from previous incidents, the plan member would be eligible to receive up to eight additional sessions. Medcenter One provides eight annual sessions per individual per incident. VRI provides one to six sessions per incident per individual but will provide an additional session on a case-by-case basis. Village Family Services provides a minimum of eight and an aggregate household total of four times the number of household members.

Concerning management training and consulting, St. Alexius/Heartview provides three management training sessions per year per eight regions and provides management consulting available to all supervisory/management staff. Medcenter One provides management training and management consulting. VRI provides one hour of onsite supervisor training per year for every one hundred employees and unlimited management consulting which is available to supervisory/management staff. Village Family Services has onsite management training seminars and a supervisor helpline available to all supervisory/management staff. Finally, the cost for St. Alexius/Heartview and Medcenter One is $1.25 per employee per month while the cost for VRI and the Village Family Services is $1.35 per employee per month.

Concerning unique features offered by the employee assistance program vendors, Medcenter One provides one free emergency room visit per family member per year. The emergency room visit is for an employee assistance program type problem, not trauma- or accident-related, and covers only the emergency room charge. Medcenter One also provides free sick child day care, free fit for life consultation, and free legal referrals. However, these unique features are only available in the Bismarck-Mandan area. Unique features of Village Family Services include one-stop access, a statewide service network, and accreditation by the Council on Accreditation of Service for Families and Children.

The Legislative Assembly is required to make its vendor selection by June 1, 1999, and if more than one vendor is selected based upon geographical requirements, the selection must be made by May 15, 1999.

ATTACH:2