Health Care Security Ordinance (HCSO) Compliance

Employers may choose The City Option (Healthy San Francisco and Medical Reimbursement Accounts) to comply with San Francisco's Health Care Security Ordinance (HCSO).  Questions about complying with the Health Care Security Ordinance, including how to satisfy reporting requirements, should be directed to the San Francisco Office of Labor Standards Enforcement (OLSE).  Inquiries should be emailed to HCSO@sfgov.org.


Following is an overview of HCSO expenditure rates:

The San Francisco Health Care Security Ordinance (HCSO) requires medium and large-sized employers to spend a minimum amount per hour on healthcare for their employees who work in San Francisco.

The Employer Health Care Expenditure Rate Schedule is as follows:

	Employer Health Care Expenditure Rate Schedule
	Business Size (Company-Wide)	January 1, 2009	January 1, 2010
Large {	100+ Employees	$1.85/hour	$1.96/hour
Medium {	20-99 Employees	$1.23/hour	$1.31/hour
Small {	1-19 Employees	Not Applicable

* Non-profits with less than 50 employees are exempt from the spending requirement.

The employee health service choices employers may elect to satisfy Health Care Security Ordinance requirements include:

1. Medical, dental, and/or vision insurance;
2. Reimbursing employees for their health expenses;
3. Various types of medical spending accounts or
4. The "City Option", which includes Healthy San Francisco and Medical Reimbursement Accounts

Ensuring compliance of the employer minimum spending requirement will be the responsibility of the San Francisco Office of Labor Standards Enforcement (OLSE).

Inquiries regarding Health Care Security Ordinance compliance should be emailed to the Office of Labor Standards Enforcement at HCSO@sfgov.org.

For more information regarding employer obligations under the HCSO, visit www.sfgov.org/olse/hcso or call the HCSO Hotline at (415) 554-7892.