March 19, 1998

To: All UPS Agencies
From: Ronald S. Mitchell, Director
Subject: Cafeteria Open Enrollment for Plan Year 1998-99

Cafeteria Open Enrollment for plan year 1998-99 will be April 1 - April 30, 1998. State Employee Group Benefits Program (SEGBP) will be distributing enrollment material this year.

We are updating our agency contact lists for cafeteria open enrollment, general cafeteria questions, and payroll deduction miscellaneous vendors. Please complete and fax the attached Agency Contact List Form (UPR/F56) to OSUP's User Services Unit at (504)342-1650 by Thursday, March 26, 1998. This form requests agency personnel names, phone numbers, and fax numbers for each of the following three areas (only one person should be listed in each area):

  1. Cafeteria Open Enrollment - This should be the person who is responsible for receipt and distribution of Cafeteria Open Enrollment material.

  2. General Cafeteria Questions - This should be the person who is responsible for entry of cafeteria information, review of reconciliation and related reports, and handling problems/questions concerning cafeteria.

  3. Payroll Deduction Miscellaneous Vendors - This should be the person who corresponds with the payroll deduction miscellaneous vendors concerning payroll deduction problems.

When this information is received, OSUP will provide the appropriate listings to SEGBP and the coordinators of the payroll deduction miscellaneous vendors.

The Employee Cafeteria Eligibility Report will be produced Tuesday, March 24, 1998 and will be distributed to payroll headquarters that week. This report is generated for Cafeteria eligible employees (Cafe Indicator equals N, D, P, M or F). It lists all semi-monthly deductions that are eligible to be withheld on a tax-free basis as of the pay period ending March 22, 1998. This report is provided to assist employees in making a decision to join or continue participation in the Cafeteria Plan. Be aware that some employee deduction data may be incorrect due to errors in coding on the employee's master record in UPS.

Protective Life Insurance has asked to be taken out of the cafeteria plan because they are unable to follow OSUP's rule regarding rate increases for Section 125 vendors. This change will be effective July 1, 1998. Any employee who had Protective's eligible cancer product (MSH PA/NA) will no longer have that deduction sheltered. These deductions will not appear on the Cafeteria Eligibility Report. A program will be included in July cafeteria maintenance to convert employees with MSH PA/NA to MSH NM.

Other OSUP memoranda will be distributed within the next few weeks outlining any additions and/or changes to product codes and the necessary procedures for setting up cafeteria records for Plan Year 98-99.

If you have any questions, please contact a member of the User Services Unit at (504):



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