San Francisco HCSO: 2014 Employer Annual Reporting Form due April 30th and HCSO Amendment Reminders

As a follow-up to our February Benefit Beat article (San Francisco’s HCSO Annual Reporting Updates), the 2014 Employer Annual Reporting Form and related instructions are now available on the Office of Labor Standards Enforcement (OLSE) website.  This Form is to be completed by employers subject to San Francisco’s Health Care Security Ordinance (HCSO) who are required to annually report their health care expenditures. A business is covered by the HCSO if it engages in business within the City and employs 20 or more employees per week. Nonprofit employers with fewer than 50 employees, and small employers with fewer than 20 employees, are exempt from the HCSO.  The 2014 reporting form has been updated to reflect the requirements for excepted benefits health reimbursement arrangements (HRAs).

The deadline for submitting the Annual Reporting Form is April 30, 2015. Employers who fail to submit an annual report on time may be subject to penalties of $500 for each quarter that the violation occurs. 

In addition, for 2015, at least 60% of the required health care expenditures for each covered employee must be irrevocable. These irrevocable expenditures must be made within 30 days of the end of the calendar quarter. Expenditures for the first quarter of 2015 are due by April 30, 2015. 

 The information contained in this article is provided as general guidance and may be affected by changes in law or regulation. This article is not intended to replace or substitute for accounting or other professional advice. Please consult a CBIZ professional. This information is provided as-is with no warranties of any kind. CBIZ shall not be liable for any damages whatsoever in connection with its use and assumes no obligation to inform the reader of any changes in laws or other factors that could affect the information contained herein.