Agmt19 MOU Service Employes International Union Local 521

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will be required to pay the additional premium amount that is in excess of the Bay Area rates. The City will pay the PEMHCA minimum employer contribution to CalPERS and reimburse the retiree for the remaining difference in the premium amount. 22.2.2 Retiree Health Tier 2: For retirees hired by the City on or after February 1, 2019, the City's contribution shall not exceed ninety percent (90%) of the CalPERS Bay Area Kaiser Premium for single party coverage. The City will pay the PEMHCA minimum employer contribution to CaIPERS and reimburse the retiree for the remaining difference in the City's contribution amount. For Retiree Health Tier 2 retirees hired by the City on or after February 1, 2019, who reside in other higher priced regions, the City's contribution shall not exceed ninety percent (90%) of the CaIPERS Bay Area Kaiser Premium for single party coverage. The retiree will be required to pay the additional premium amount that is in excess of the Bay Area rates. The City will pay the PEMHCA minimum employer contribution to CalPERS and reimburse the retiree for the remaining difference in the premium amount. 22.2.3 For Retiree Health Tier 2 retirees who separate employment via a service retirement during the term of this MOU, this benefit shall continue until a member becomes eligible for Medicare. Once a member becomes eligible for Medicare, the City will pay the member a stipend that shall not exceed the single party cost of the "Kaiser Permanente SR Advantage Plan." Should that plan be abolished, the City will pay members a stipend not to exceed the single party cost of the next most comparable plan. The City will pay the PEMHCA minimum employer contribution to CaIPERS and reimburse the retiree for the remaining difference in premium amount. Term -funded employees shall not be eligible for retiree health coverage. 22.3 Dental Insurance The City shall continue to provide to eligible employees and dependents dental insurance through the Delta Dental Plan effective October 1, 2003 through the term of this agreement to include coverage's as follows: $2,000.00 annual cap for basic coverage and $2,000.00 lifetime cap for orthodonture, provided however, that upon the request of the City, the parties will re -open this Article 22.3 to meet and confer on modifying 22.3 to provide a different dental insurance plan. In the event the City exercises this option to re -open, the provisions of Article 30, No Strike, will not be in effect during the period of such re -opener discussions. 22.4 Savings Clause A 22.4 ,1 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/medical/surgical, dental care, prescription drug or other health benefits to be provided its employees under such federal or state act, the City's obligation to furnish the same benefits under the hospital/medical/surgical, dental care and major medical programs shall be suspended and the contributions agreed to be paid monthly hereunder by the City shall be reduced each month by the amounts which the City is required to expend during any such month in the form of contributions or taxes to support said federal or state health plan. 22.4.2 If, as a result of such law, the level of benefits provided by such law for any group of employees, or their dependents, is lower in certain categories of services than that provided under the existing major medical plan, the City shall, to the extent practical, provide a plan of benefits supplementary to the federal or state benefits so as to make benefits in each category of coverage as nearly 43