2006-041-RES-Health Reimbursement

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SERVICE AGREEMENT FOR PLAN SUPERVISOR This SERVICE AGREEMENT between the Member, (plan Sponsor), and TML Intergovernmental Employee Benefits Pool, (Plan Supervisor) ,^~ll be effective on Mav t 2006. WITNE SSE TH: SECTION I THE PLAN 1.1 The Plan Sponsor has adopted an Employee Flexible Benefits Plan under Section 125 of the Internal Revenue Code. This Plan is offered to all eligible employees who are qualified by employment status. 1.2 The Plan Participants are the employees enrolled in the Plan. 1.3 All contributions to the Plan shall be deposited in the name of the Plan with a Bank designated by the Plan Supervisor subject to approval of the Plan Sponsor if requested by the Plan Sponsor. 1.4 The Plan Sponsor agrees that a health care expense reimbursement account is a health plan under Title II of the Health Insurance Portability and Accountability Act of 1996 (HIP AA). The Plan Sponsor agrees that it is the Plan Sponsor's, and not the Plan Supervisor's, responsibility to ensure that its health care expense reimbursement account plan, if any, is compliant with all relevant sections of HIP AA Title II. SECTION II THE PLAN SUPERVISOR 2.1 The Plan Supervisor shall provide consulting services, and shall assist the Member and the Plan Sponsor in the administration of the Flexible Benefits Plan. 2.2 The Plan Supervisor shall have the full responsibility for maintaining accounts for each eligible person electing to participate in the Plan. The Plan Supervisor shall arrange for eligible claims payments from funds deposited by the Member as directed by their participating employees. The claims payments shall be made by the Plan Supervisor by issuing a check or draft to the participant upon the Plan Bank Account, if such account is provided for this purpose, in an amount equal to the qualified charges from the submitted claim. The claims submitted by the Plan Participants shall be paid within ten days of receipt by the Plan Supervisor. Claim submissions on behalf of the Participant must equal or exceed $25.00 per submission, except in the final month of the Plan Year. 2.3 To the extent that information is available to the Plan Supervisor, the Plan Supervisor shall assist the Member as the Plan Sponsor in the preparation of any report, tax return or similar papers required by state or the Federal Government pertaining to the operation or management of the Flexible Benefits Plan; however, the ultimate responsibility for filing any governmental document shall be with the Plan Sponsor. Page 2