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<br /> <br />00059814-1 <br /> 36 <br />Effective January 1, 2012, for each active, full-time employee enrolled in a City-provided medical <br />plan, the City will provide on a monthly basis, for the purpose of providing minimum essential <br />coverage to employees and dependents, a Cafeteria Plan Allowance equal to ninety percent <br />(90%) of the premium of the health plan and level of coverage selected by the employee, up to <br />ninety percent (90%) of the CalPERS Bay Area Kaiser Family Premium per employee, minus <br />any costs incurred by the City to maintain the Health Benefits Plans under Government Code <br />Section 22750, et. seq. (see 19.1.2). <br /> <br />19.1.6 Effective January 1, 2012 and until December 31, 2021, if an employee elects no City-offered <br />health insurance coverage and provides attestation of alternate “minimum essential coverage for <br />the employee and all individuals in his or her tax family, two hundred dollars ($200) per month <br />will be credited to the employee’s flexible spending accounts or may be taken as cash. Effective <br />January 1, 2022, if an employee elects no City-offered health insurance coverage and provides <br />attestation of alternate “minimum essential coverage for the employee and all individuals in their <br />tax family, two hundred and six dollars and forty-six cents ($206.46) per month will be paid in <br />cash. The increase is intended to offset the reduction in the regular rate multiplier for cash in lieu <br />for non-exempt employees, effective January 1, 2022. <br /> <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 /> <br />19.1.8 Any funds remaining at the end of the fiscal year in each individual Cafeteria Plan account shall <br />be returned to the general fund for use consistent with IRS Code Section 125. <br /> <br />19.2 Retiree Health <br /> <br />For RCMEA members employed by the City who have ten (10) or more years of service and retire <br />under the City’s retirement plan within one hundred twenty (120) days of separation from City <br />employment, the maximum City contribution toward health plan coverage shall be: <br /> <br />19.2.1 Retiree Health Tier 1: For retirees hired by the City before October 1, 2018, the City’s <br />contribution shall be the amount of the premium for single party coverage in the plan <br />selected by the retiree, not to exceed the amount of the CalPERS Bay Area Kaiser <br />Premium for family-level coverage. The City will pay the PEMHCA minimum employer <br />contribution to CalPERS and reimburse the retiree for the remaining difference in <br />premium amount. <br /> <br /> For Retiree Health Tier 1 Retirees hired by the City before October 1, 2018 who reside in <br />other higher priced regions, the City’s contribution shall not exceed the amount of the <br />premium for single party coverage in the plan selected by the retiree, not to exceed the <br />amount of the CalPERS Bay Area Kaiser Premium for family coverage based on the Bay <br />Area Regional pricing schedule. The retiree will be required to pay the additional premium <br />amount that is in excess of the Bay Area rates. The City will pay the PEMHCA minimum <br />employer contribution to CalPERS and reimburse the retiree for the remaining difference <br />in the premium amount. When the retiree becomes eligible for Medicare, the City will not <br />reimburse the retiree for Medicare Parts A and B. <br /> <br />19.2.2 Retiree Health Tier 2: For retirees hired by the City on or after October 1, 2018, the City’s <br />contribution shall not exceed ninety percent (90%) of the CalPERS Bay Area Kaiser <br />Premium for employee only coverage. The City will pay the PEMHCA minimum employer <br />6.I. - Page 50 of 119 <br />464