To: Honorable Mayor and Members of Town Council
From: Fritz Sprague, Deputy Town Manager
Title
Resolution Adopting and Entering into the Trust Agreement for the Colorado Firefighter Heart and Cancer Benefits Trust and Taking Other Actions Connected Therewith
Body
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Executive Summary
On April 28, 2017, the Colorado General Assembly passed Senate Bill 17-214, which allows employers to participate in a voluntary firefighter cancer benefits program, as a multiple employer health trust to provide additional benefits to firefighters by paying contributions into the established trust. The bill requires the trust to provide benefits to each firefighter based on the cancer diagnosis and award level. The bill was signed into law by Governor Hickenlooper on May 3, 2017.
Generally, work-related cancer claims, when submitted under the Workers’ Compensation Act of Colorado, are placed on a Tentative Notice of Contest (TNOC) due to the 2007 Presumption of Cancer statute, Section 8-41-209, C.R.S. The result of this action was that firefighters were being denied workers’ compensation benefits or experiencing considerable delays in the receipt of their benefits for as long as two years or more.
That is why the state of Colorado created the Voluntary Cancer Award Program (VCAP) it was designed to provide immediate payment upon diagnosis of any of the following five (5) currently covered cancers: brain, skin, digestive, hematological, or genitourinary.
Discussion
In order to cover the fire agencies’ liability in providing these voluntary benefits to the state’s firefighters under Part 4, Article 5 of Title 29 Colorado Revised Statutes, the Colorado Firefighter Heart and Circulatory Benefits Trust (CFH Trust) has added the Voluntary Cancer Award Program, renaming the Trust to the Colorado Firefighter Heart and Cancer Benefits Trust (CFHC Trust). The benefits provided by the Trust work alongside employer-provided health insurance coverage to help firefighters cope with the financial toll of a cancer event.
For the Town to join the VCAP through the CFHC Trust, the Town would adopt the attached enabling resolution, and make payment to the trust.
Budget Impact
Coverage under this plan for full-time eligible firefighters is $265.00 per year. The Town currently has 59 employees who meet the definition of full time firefighter under the SB 17-214. (Coverage for part-time and volunteer firefighters is available at a cost of $86.00 per individual and the Fire Department will absorb this cost for our 1 current volunteer.) Funds will be disbursed from the Employee Benefits Trust fund in an amount of $15,721 for participation in the CFHC Trust for 2017.
Staff Recommendation
It is recommended that Council authorize staff to enter into an agreement with the Colorado Firefighter Heart and Cancer Benefits Trust to include the Voluntary Cancer Award Program (VCAP) for the Town’s eligible firefighters.
Proposed Motion
“I move to approve a Resolution adopting and entering into the Trust Agreement for the Colorado Firefighter Heart and Cancer Benefits Trust and taking other actions in connection therewith.”
Attachments
Attachment A: Resolution
Exhibit A: Trust Agreement