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<br /> <br /> <br />At the option of the Union, the parties will reopen negotiations on a possible increase in <br />the amount of the City’s contribution towards medical insurance for the period <br />commencing January 2019. <br /> <br />Employees electing not to enroll in the core flex benefit plan (i.e., who wish to waive <br />enrollment in the medical and dental plans) and demonstrate to the satisfaction of the City their <br />enrollment in another medical and dental plan, shall receive opt out premiums as set forth <br />below. In the event both spouses are employed by the City and eligible to enroll in the City’s <br />flex benefits plan, one employee may elect not to enroll in the medical and dental plans and will <br />receive the employee opt-out rate if enrolled under spouse’s medical and dental coverage. <br /> <br /> Employees may elect to opt out of the medical plan only, the dental plan only, or both. <br /> <br /> Re-enrollment in the medical and/or dental plan shall be allowed only based upon a qualifying <br />event as defined by the IRS codes or during an open enrollment period. <br /> <br /> Opt-out premiums will be as follows, based on the employee’s status and eligibility during the <br />active benefit year, in accordance with Internal Revenue Code (IRC) timelines and qualifying <br />events: <br /> <br /> Employee rate: Medical $200 +/or dental $50 = $250/month maximum <br /> Two-party rate: Medical $350 +/or dental $50 = $400/month maximum <br /> Family rate: Medical $500 +/or dental $50 = $550/month maximum <br /> <br /> The parties agree that during the term of this agreement, they will jointly explore various <br />instruments enabling employee savings for retiree medical costs and related purposes. <br /> <br />29.2 Under CalPERS rules, the City will directly contribute the “employer minimum share” towards <br />retiree health coverage. Additional retiree health contributions will be made on a <br />reimbursement basis as set forth below as long as the retiree remains enrolled in a CalPERS <br />health plan. The amounts listed below are inclusive of the PERS Medical Plan “employer <br />minimum share”. <br /> <br />29.3 The City shall pay the contributions required by health plan two-party rate for retired City <br />employees who were assigned to classifications represented by the San Leandro City <br />Employees Union and who are currently members of one of the City’s health plans. The City <br />shall contribute to the health plan’s two-party rate costs, but the maximum amount to be <br />contributed by the City shall not exceed three hundred and sixty dollars ($360.00). In the event <br />the amounts required by the health plans exceed the maximum City contribution, such excess <br />amounts shall be paid by the retiree. Coverage under this section shall continue until the <br />employees 65th birthday; except for the PERS Medical Plan “employer minimum share” retiree <br />health contribution, which shall continue for life. <br /> <br />29.4 Retired employee dependent eligibility for City health plan contribution is conditional upon the <br />active enrollment of the retired employee. If a retired employee moves outside the service area <br />of their medical plan, the retiree will be allowed an opportunity within thirty (30) days of such <br />move to change medical insurance coverage. If a retired employee remarries, the retiree may <br />add the retiree's spouse to the medical insurance coverage at the City's expense. The City shall <br />have no obligation to obtain medical insurance for a retiree living outside the service area of its <br />27