Res92 11855 - Laserfiche WebLink

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For the period October 1, 1992 through July 31, 1993, the City' s maximum contribution for each active employee for a Health Benefit Plan (as referenced in Government Code 22825) shall not exceed sixteen dollars ($16.00) per month. The City shall establish in accordance with Section 125 of the IRS Code a Cafeteria Plan establishing the following individual accounts for each active employee A. Premium conversion B. Dependent Care C. Health Care Spending Arrangements D. Health Savings/Cash Option (not to exceed $102.50 per month) If an employee elects no City health plan coverage or coverage which costs less than $450.00 per month, the City and the employee shall share equally the difference between their elected coverage/noncoverage and $450.00 to a maximum total shared savings of $205.00 per month. For example, the maximum an employee could receive under this provision is 50% of $205.00 or $102.50 per month. An employee's savings under this provision shall be at least five dollars ($5.00) . An annual open enrollment period shall be provided to each employee to determine which plan these savings are to be allocated. For the period August 1, 1992 through July 31, 1993, the City' s maximum monthly contribution for each active employee for the aforementioned Cafeteria Plan shall be four hundred fifty dollars ($450.00) per month per employee minus any costs incurred by the City to maintain said Cafeteria Plan in compliance with IRS Code Section 125, and minus any costs incurred by the City to maintain the PERS Health Benefits Plans in compliance with Government code Section 22751, et. seq. Such costs include, but are not limited to surcharges, and/or administrative fees. The actual maximum monthly contribution per active employee, once these charges have been deducted, is estimated to be $424.00. All costs incurred by the City to maintain the PERS Health Benefits Plan in compliance with Government Code Section 22751, et. seq. , and all costs incurred by the City to maintain the Cafeteria Plan in compliance with IRS Code Section 125, shall be paid from the aforementioned monthly dollar caps identified above. Such costs include, but are not limited to, premiums, surcharges, and/or administrative fees. In the event there are any costs not charged to the City due to delays by PERS and/or other administrative agencies in calculating or reporting these costs, said costs shall be carried over and charged as adminstrative costs to the following plan year and deducted from the aforementioned monthly dollar caps accordingly. For employees covered by this Plan, this amount shall be prorated for each permanent part-time employee working (20) or more hours per week. The health plans offered shall be those of the California Public 13