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School Consortia in Ohio. State of Ohio School Consortia. Council of Governments (Chapter 167) v. Section 9.833 v. Co-ops Council of Government organizations pre-date 9.833 and comprise about 1/3 of the entities,

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School Consortia in Ohio

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School Consortia in Ohio


State of Ohio School Consortia

  • Council of Governments (Chapter 167) v. Section 9.833 v. Co-ops

    • Council of Government organizations pre-date 9.833 and comprise about 1/3 of the entities,

    • Section 9.833 enacted later, allowing school districts to pool risks, comprising about 2/3 of the entities,

    • Co-ops may or may not share risks, but purchase services cooperatively,

    • The structural organization of the entities does not seem to dictate bylaws.


State of Ohio School Consortia

  • About half of the consortia were formed in the mid to late 80’s

    • About 1/3 were formed in the mid 90’s

    • The remainder were formed more recently

  • Continue to be formed

    • There are currently underway at least 3 efforts to form new consortia


State of Ohio School Consortia

  • There are 30 to 35 independent consortia now operating in Ohio that include schools

    • Cover over 70,000 employees

    • Include more than half of all school districts in Ohio

  • Range in size from 120 to 12,000 employees

  • The majority are organized around ESC’s with school districts from one or two counties, but at least three extend well beyond county lines


State of Ohio School Consortia

  • The four largest consortia cover approximately 15% of school employees in Ohio with about 30% of school districts represented


State of Ohio School Consortia

  • A few of the consortia include non public schools, such as

    • Municipalities

    • County governments

    • Community Colleges, etc.

  • Most consortia include ESC’s, and some, but not all, include:

    • MRDD’s, and

    • Vocational Schools


State of Ohio School Consortia

  • There are a few non school consortia in Ohio

    • One exclusively for County governments

    • Several for City governments

  • Some of the consortia are better characterized as purchasing cooperatives, obtaining insurance contracts for participating members

  • Most consortia are partially self insured


State of Ohio School Consortia

  • Two general organizational practices characterize the consortia:

    • Common reserving - majority

    • Allocated reserving

  • Plan design philosophies split about evenly

    • Common plan design (no more than 2 plans)

    • Flexible plan design

      • Complete flexibility

      • 3 or more offerings


State of Ohio School Consortia

  • Rating process

    • Uniform rates for all members

    • Uniform rate adjustments for all members

    • Experience rated plans

    • Reserve recovery philosophies

  • Withdrawal provisions

    • Single pool consortiums, with some exceptions, do not pay run out claims

    • Allocated balance consortiums pay run out claims


State of Ohio School Consortia

  • Termination notification requirements

    • Vary from 30 days to 5 years

  • Consortia, generally, do not pay run out claims for departing members

    • No claim reporting information provided to members


State of Ohio School Consortia

  • Reserve positions

    • Total estimated reserves in excess of $150 million

  • Stop Loss deductible variations

    • $30,000 to $350,000

  • Actuarial reporting required

    • No filing of the reports


State of Ohio School Consortia

  • No repository for information about consortiums

  • Most have outside managers


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