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Hillsborough County Public Schools, Florida
Tuesday, 06/11/2019
School Board Meeting
Title

B6.21 - Approve the Agreement for Technical Services with DeGroot Management Services, Inc. (DMS) to Perform Unemployment Cost Control Services (Human Resources)

Description

Hillsborough County Public Schools (HCPS) is self insured for Unemployment Compensation Insurance (UCI), a state-mandated program that requires employers to pay either insurance premiums or the actual cost of unemployment claims to the state. In an effort to mitigate the UCI costs, HCPS contracts with DMS services which include verification of the accuracy of unemployment benefit charges assessed against HCPS, representation of HCPS at unemployment hearings, training of staff as needed, and production of management reports. As a result of our working relationship with DeGroot Management Services, HCPS has continued to see a significant decrease in what we pay to the State of Florida (annually) for our Unemployment Compensation. This agreement is for the period of July 1, 2019, to June 30, 2021.

Fiscal Year                  Claims Potential        Total Paid                     HCPS Savings
2014/2015                   $1,213,738.99           $570,676.98                 $   643,062.01
2015/2016                   $   642,890.59           $210,285.00                 $   432,605.59
2016/2017                   $   784,440.00           $252,411.15                 $   532,028.85
2017/2018                   $1,178,222.90           $151,456.04                 $1,026,766.86
2018/5-2019                $   277,234.29           $  89,224.65                 $   188,009.64

Total Savings                                                                                      $2,822,472.95

Gap Analysis

Previous Outcomes

Expected Outcomes

Strategic Plan Goal

* Continuously improve processes and systems, * Establish a strong foundation of financial stewardship, * Demonstrate "best practices" in all aspects of safety: student, employee, visitor, facility, transportation, and health

Recommendation

Contact

Tracy Schatzberg, Ed.D., SHRM-CP

Financial Impact

Review Comments

Quarterly reviews are conducted by the Department of Employee Benefits and Insurance to evaluate Claims Potential and HCPS Savings reports.

Gretchen Saunders, Chief Business Officer (813) 272-4270