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6.1C Page 28 10.1.10 All costs incurred by the City to maintain the Group 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 in Sections 10.1.4, 10.1.5, and 10.1.6. Such costs include, but are not limited to, premiums, surcharges, and/or administrative fees. 10.1.11 In the event there are any costs not charged to the City due to delays by the Group Hea]th Plan Administrator and/or other administrative agencies in calculating or reporting these costs, said costs shall be carried over and charged as administrative costs to the following plan year and deducted from the aforementioned monthly dollar caps accordingly. 10.1.12 An employee who is receiving a disability retirement due to a work related illness or injury shall receive paid medical benefits provided that the following conditions are met: a) The employee is not eligib]e for benefits under ]0.] .8; and b) The employee is not eligible for similar benefits through a spouse's health plan. Whenever the above eligibility criteria are met, the City will provide medical benefits at the same benefit tier (single, two-party or family) which the employee would have been receiving if he/she had continued as an active employee. This includes adding and/or deleting eligible dependents. 10.1.13 Employees who elect no health plan coverage and provide evidence of other coverage during annual open enrollment, as a health savings/cash option, the City and the employee shall share equally the amount designated in Section 10.1.2, 10.1.4, and 10.1.5 above as the City's maximum combined monthly contributi on , 10.2 Dental The City shall continue to provide to eligible employees and dependents fully paid dental insurance through Delta Dental Fee for Service program through the term of this agreement, or upon the establishment of a mutually agreed upon alternative program, to include coverage's as follows: $1,000 annual cap for basic coverage and $2,000 lifetime cap for orthodonture. Effective January 1, 2007, coverage's will increase to $2,000 annual cap for basic coverage and $2,500 lifetime cap for orthodonture. 10.3 Life Insurance The City shall continue to offer to eligible employees the life insurance program in effect on February 1, 1974. 10.4 Savinl!s Clause If, pursuant to any federal or state law which may become effective subsequent to the effective date of this MOU, the City is required to pay contributions or taxes for hospital- 22