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6.3.E. - Page 47 <br />ARTICLE 19 <br />HEALTH PLANS <br />19.1 Health and Cafeteria Plans <br />19.1.1 The City agrees to contract with the California Public Employee's Retirement System (CaIPERS) <br />for participation under the Public Employees Medical and Hospital Care Act (Government Code <br />Section 22750, et, seq.), for the purpose of providing medical insurance benefits for employees <br />and qualifying annuitants, pursuant specifically to Government Code Section 22825 and 22850. <br />Upon the request of the City, the parties will re -open this Article 19.1.1 to meet and confer on <br />modifying 19.1.1 to provide a different group health plan. <br />19.1.2 The City's maximum contribution for each eligible active employee for a Health Benefits Plan (as <br />referenced in Government Code 22825) shall not exceed the CaIPERS minimum contribution, <br />and shall be adjusted annually by the CaIPERS Board to reflect any change to the medical care <br />component of the Consumer Price Index and shall be rounded to the nearest dollar. <br />19.1.3 In the event there are any costs not charged to the City due to delays by CaIPERS and/or other <br />administrative agencies in calculating or reporting these costs, said costs shall be carried over <br />and charged as administrative costs to the following plan year and deducted from the <br />aforementioned monthly dollar caps accordingly. <br />19.1.4 Cafeteria Plan: <br />Available Benefits: The City shall establish in accordance with Section 125 of the IRS Code a <br />Cafeteria Plan for the purpose of providing employees access to various health and welfare <br />benefits. Benefits available through the Cafeteria Plan include, but are not limited to: <br />A. Group Health Plan Medical Premiums <br />B. Flexible Spending Account for Dependent Care <br />C. Flexible Spending Account for Medical Expenses <br />19.1.5 City Contribution: <br />Effective January 1, 2012, the City's monthly contribution for each eligible'full-time employee for <br />the aforementioned Cafeteria Plan shall be equal to ninety percent (90%) of the premium of the <br />health plan and level of coverage selected by the employee, up to ninety percent (90%) of the <br />CaIPERS Bay Area Kaiser Family Premium per employee, minus any costs incurred by the City <br />to maintain the Health Benefits Plans under Government Code Section 22750, et, seq. (see <br />19.1.2). <br />19.1.6 Effective January 1, 2012, if an employee elects no health coverage and shows evidence of <br />other coverage, $200 per month will be credited to the employee's flexible spending accounts or <br />may be taken as cash. <br />19.1.7 For employees covered by this Memorandum of Understanding, the amounts in this Article 19, <br />shall be prorated for each regular part-time employee working (20) or more hours per week. <br />24 <br />