Agmt 2005 San Leandro Management Organization SLMO

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Each January, these amounts will be adjusted by an amount equal to the change (increase or decrease) in the Kaiser N Premium. Employees electing to enroll in the PERS Medical Plans will be required to contribute the difference between the applicable Kaiser North rate and the actual cost of their particular medical plan premium. Such employee contribution will be on a pre-tax basis as specified above. Employees electing not to enroll in the core medical plan (i.e. non-enrollment in the medical and dental plan) and demonstrate to the satisfaction of the City their enrollment in another medical plan, shall receive one hundred and fifty dollars ($150.00) per month for their non-election of medical and dental benefits. In the event both spouses are employed by the City and eligible to enroll in the City's medical benefits plan, one employee may elect not to enroll in the medical plan and will receive the one hundred and fifty dollars ($150.00) per month payment, if enrolled under spouse's coverage. An employee may elect non-enrollment in the medical plan and enrollment in the dental plan and receive one hundred dollars ($100.00) per month for their non-election. Re-enrollment in the medical and/or dental plan shall be allowed only based upon a qualifying event as defined by the IRS codes or during an open enrollment period. 2.2. Medical (Retiree) Under Ca1PERS rules, the City will directly contribute sixteen dollars ($16.00) towards retiree health coverage. Additional retiree health contributions will be made on a reimbursement basis as set forth below. The amounts listed below are inclusive of the sixteen dollar ($16.00) contribution. The City shall pay the contributions required by health plan two-party rate for retired City employees who were assigned to classifications represented by the San Leandro Management Grganization and who are currently members of one of the City's health plans. The City shall contribute to the health plan two-party rate costs until the employee is eligible for Medicare coverage. The maximum amount to be contributed by the City may not exceed three hundred and sixty dollars ($360.00). Management Safety Employees who retire on or after January 1, 2002 and are not eligible for Medicare may have the City retiree contribution extended until they reach seventy (70) years of age. In the event the amounts required by the health plans exceed the maximum City contribution, such excess amounts shall be paid by the retiree, except as pxovided herein. Coverage under this section shall continue until the employee's 65th birthday; except for the sixteen dollar ($16.00) retiree health contribution, which shall continue for life. Retired employee dependent eligibility for City health plan contribution is conditional upon the active enrollment of the retired employee. If a retired employee moves outside the service area of their medical plan the retiree will be allowed an opportunity within thirty (30) days of such move to change medical insurance coverage. If a retired employee remarries, the retiree may add the retiree's spouse to the medical insurance coverage at the City's expense. The City shall have no obligation to obtain medical 2