NO.

3232

P. 4

California Hospital Assoeiatioa and SEIU - UHW

Side Letter to the Code of Conduct Agreement
Mays, 2014
Califomia Hospital Association ("GHA'*) and SEIU - UHW hereby agree to fhis Side Letter to the Code
of Conduct Agreement, dated May 5,2014, being entered into hy CHA, the Union, and various
sigtiatory hospitals and health systems.
1. As provided by the Code of Conduct Agreement, in recognirion of SElU-UHWs commhment
lhat fhe $6 billion Medi-Cal hospital payment shortfall shall be eliminated by December 31,
2016 without ieliance on a hospital fee, tax, or assessment program, CHA and SEIU-UHW shall
pursue that goal and periodically evaluate progress towards the goal, and may, by munial consent
adjust the goal, strategies and tactics.
2. CHA and SEIU-Ul-IW agree to fund die Labor Management Cooperation Committee (the
"Committee"), as estabUshed by the Code of Condtact, through a tolal contribution of fifty
million dollars ($50,000,000.00) by December 31.2014, with CHA responsible for 80% of the
contribution and SEIU-UHW responsible for 20% ofthe contribution to the Commitice.
3. CHA and SEIU-UHW agree to additionally fund the Committee through a total contribution of
fifty million dollars ($50,000,000.00) by June \, 2016, with CHA responsible for gO% oflhe
contribution and SEIU-UHW re^nsible for 20% of tlie contribution to the Committee.
4. The terms of the Code of Conduct are hereby incorporated byreferenceinto this Side L^ter.
5. Nothing in this Side Letter is intended lo, and does not create aoy third-party beneficiaries to its
terras and neither employees nor any other person, or entity of any type is vested with any right
underfcisSide Letter. Therefore, no party other dian the party represented by the signatories
hereto shall have any right to bring any action under this Side Letter or enforce any provision
under this Side Letter.
6. Any dispute over the fvinding ofthe Committee under this Side Letter shall be resolved under the
Arbitration provisions ofthe Code of Conduct
7. This Side Letter may be siped in counterpart. Copies of signatures sent via facsimile or email
shall binding upon the parties.
SEIU UHW

CHA