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Jul/11

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Urgent Legislative Update Regarding Healthy San Francisco – Flawed Amendments Rushed to Full Board of Supervisors


Supervisor Campos Healthy San Francisco Amendments

The legislation introduced by Supervisor David Campos to rewrite Healthy San Francisco was pulled from committee after just one hearing to be acted on by the full board of Supervisors.

This legislation will hurt businesses in San Francisco and cost the City jobs.

Campos Amendment will triple health care compliance costs for many local businesses. Employers that use Health Reimbursement Accounts as the primary means of complying with Healthy San Francisco would see a significant increase in costs. An additional 10% – 15% would be added to their labor costs, and their health care compliance costs would more than triple.

The proposed amendment would have such a high price tag for employers that it would force them to reduce their workforce, cut hours and potentially close operations all together.

Campos Amendment rewrites Healthy San Francisco with one hearing in six weeks. The original legislation was written over the course of a year with input from dozens of individuals and organizations. Healthy San Francisco has worked because of this broad range of input into the original legislation.

Creates a system that is not flexible for employees or employers. Supervisor Campos’ amendment to Healthy San Francisco would effectively eliminate the use of Health Reimbursement Arrangements (HRA) and Flexible Spending Accounts (FSA), creating a “one size fits all” health system. Many employees will see their quality of care and benefits decrease.

Campos Amendment would place massive new administrative burdens on local businesses. The proposal would require businesses to manage health accounts for their former employees indefinitely.

These additional costs will put local businesses at a further economic and competitive disadvantage to businesses in neighboring counties. This legislation will drive businesses to choose other counties when starting or when expanding.

Businesses are willing to work with the City to improve Healthy San Francisco. For example, we support adding a notification requirement that directs an employer to inform employees quarterly of their benefits and how they can access these benefits, which this proposal does not do.

Please contact the supervisors below and ask them to oppose the Campus amendment to Healthy San Francisco:

Supervisor David Chiu Supervisor Scott Wiener
David.Chiu@sfgov.org Scott.Wiener@sfgov.org

Supervisor Malia Cohen Supervisor Jane Kim
Malia.Cohen@sfgov.org Jane.Kim@sfgov.org

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