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HomeMy WebLinkAboutF-2b - Contract Reopener - Retiree Health Insurance Plan�J 0 CITY OF NEWPORT BEACH Personnel Office December 10, 1984 BY THE CITY COUNCIL CITY OF NEWPORT BEACH DEC 101984 APPROVED TO: MAYOR AND CITY COUNCIL AGENDA IT�EM" F. 2. (b) FROM: Personnel Director SUBJ: CONTRACT REOPENER - RETIREE HEALTH INSURANCE PLAN Background: During the meet -and -confer process with the Newport Beach Firefighters Association for Fiscal Year 1984/85, the City agreed to reopen the contract for the purpose of meeting -and - conferring on the issues of modifying the current Health Insurance Plan and providing a Retiree Health Insurance Plan. Discussion: Since October 1, 1984, the City Negotiating Team and representatives of the Firefighters Association have met and -conferred on the issues of amending the current health insurance plan and for providing a Retiree Health Insurance Plan. •Both negotiating teams have reached agreement and the agreement was presented to and ratified by the membership of the Firefighters Association. In the opinion of City staff, the agreement is in accordance with City Council direction. RECOMMENDATION It is recommended that the attached signed amendment to the Fiscal Year 1984/85 Memorandum of Understanding with the Firefighters Association be approved by the City Council. Lorenzo Mot&4 Personnel Director i RESOLUTION N0. 8 4- 1 g 9 W A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NEWPORT BEACH IMPLEMENTING BENEFIT INCREASES FOR EMPLOYEES WHO ARE MEMBERS OF THE NEWPORT BEACH FIREFIGHTERS ASSOCIATION (NBFFA) WHEREAS, the City of Newport Beach, through its negotiating team, has reopened the Contract for meet and confer process, has met and conferred with representatives of the Newport Beach Firefighters Association — (NBFFA) concerning the issues of modifying the current health insurance plan and providing a Retiree Health Insurance Plan for fiscal year 1984 — '85; WHEREAS, the City Council is desirous of implementing, effective December 10, 1984, its proposal to the Newport Beach Firefighters Association — (NBFFA) for increasing benefits provided to its members. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Newport Beach that the benefit changes for members of the Newport Beach Firefighters Association — (NBFFA), for fiscal year 1984 — '85, shall be as set forth in Exhibit "A" which is attached hereto and incorporated herein by reference. ADOPTED this day of DEC 1 P ;t 1984, Mayor ATTEST: City Clerk RSB/Employees4 Appendix B The City of Newport Beach and the Newport Beach Firefighters .Association (hereinafter referred to as NBFFA) have mutually agreed upon providing a Retiree Health Insurance Plan. Both parties agree to amend the 1984/85 Memorandum of Understanding in writing and to incorporate this amendment as part of the Memo- randum of Understanding for Fiscal Year 1984/85. • • 1. Effective July 1, 1985, the City and NBFFA agree to provide a Retiree Health Insurance Plan through the City's indemnity health plan carrier. Both parties agree to amend the indemnity health plan contract to include a separate retiree plan. 2. The Retiree Plan will be combined with the Active Employee Plan and claims experience will determine the appropriate monthly premiums for both the Retiree and Active Employee Plans. 3. The Retiree Plan will be the same as the Active Plan except for the following: A. The Major Medical Benefits shall be as follows: 1) Lifetime Maximum Benefits ............ $500,000 2) Deductible (calendar year)..............$200 (Fam:$600) 3) 808 of first $5,000 - 100% thereafter (calendar year) 4) Psychiatric, Inpatient: 60 days per 24 months 5) 1008 coverage, no deductible, for: a) ambulatory surgery, per Exhibit "A" b) second surgical opinion, per Exhibit "B" c) X-ray and laboratory testing on out-patient basis prior to hospitalization for elective surgery. 6) Benefits will be paid on a 'carve -out' basis when combined with other group insurance or Medicare. This means that benefits are paid up to the maximum coverage (808) under this plan including those payments the Retiree receive from any other plan. B. Dental, Life and basic medical coverage will not be provided. 0 • 4. Retiree Plan Monthly Premium: • A. The initial monthly premiums to provide this Plan shall be as follows: 1) Retiree only - $92.00 2) Retiree & Dependent(s) - $184.00 B. The Retiree Contribution shall be fifty (50) percent of the monthly premium. 5. Active Employee/City Contribution: A. Each active employee shall pay $7.33 a month as their contribution to the Retiree Health Plan. This • contribution is equivalent to twenty-five '(25) percent of the total retiree health insurance premiums. B. The City shall pay $7.33 a month for each active employee as the City's contribution to the Retiree Health Plan. This contribution is equivalent to twenty-five (25) percent of the total retiree health insurance premiums. • 3 C. The active employee and city contribution may be adjusted effective July 1, 1985, under the following circumstances: 1) Once the number of participating retirees is determined, and 2) Should the monthly premium for the Retiree and Retiree & Dependent categories be adjusted. D. Effective July 1 of each subsequent fiscal year, the Active employee and City Contribution shall be adjusted when the monthly premium and number of participants are determined. ti 6. Retiree Plan Conditions: A. Applicable to current employees: • 1) Employees who retire on or after May 1, 1985, must meet the following eligibility requirements: a) Must have completed at least ten (10) years of continuous full-time city service on the date of retirement, and b) Must have been awarded a retirement from the Public Employees Retirement System; and C) Retired from the City of Newport Beach. P.E.R.S. retirement benefits must commence no later than of the first day of the month following separation from City service. 2) Employees and enrolled dependents must enroll in the Retirees Health Plan forty-five (45) days prior to the retirement date. B. Applicable to Current Retirees: • Current retired employeesmust meet the following eligibility requirements: 1) Must have completed at least ten (10) years of continuous full-time City service on the date of retirement; and 2) Must have been awarded a retirement from the Public Employees Retirement System; and 3) Must have retired from the City of Newport Beach. P.E.R.S. retirement benefits must have commenced no later than the first day of the month following the date of separation from City service. 4) Must enroll in the Plan by May 1, 1985. Failure to enroll by this date will result in the retiree not being eligible to participate in the Retiree Plan thereafter. y • C. Applicable to both current Employees and Retirees: 1) Upon the death of the Retiree, health insurance coverage for surviving enrolled spouse and/or dependents shall be terminated. Spouses and/or eligible dependents will be eligible for medical conversion coverage. 2) Coverage will be cancelled: a) Upon written request of the Retiree b) When the Retiree is more than 30 days in arrears in payment of monthly premiums, and only after proper notice has been given to the delinquent subscriber. c) Reinstatement of coverage shall not be allowed if the coverage has been cancelled. 3) Retirees and dependents who reach age 65, and are • eligible for Part A Medicare coverage , must enroll in both Part A and Part B Medicare coverage. 4) While the City intends that this Retiree Health Insurance Plan shall be permanent, the City does reserve the right to modify or to terminate this Plan in the future should circumstances require such. In the event the Plan is terminated, enrolled subscriber and dependents shall be eli- gible for medical conversion coverage. 0 • EXECUTED THIS / A -!;1s A4 DAY OF • y 11 NEWPORT BEACH FIR_EF GHTERS ASSOCIATION CITY OF NEWPORT BEACH CITY ATTORNEY CITY OF NEWPORT BEACH 1984 FOCUSED AMBULATORY SURGERY LIST r1 L J EXHIBIT "A" o Arthroscopy - Examination and/or repair of the knee joint via the insertion of a scope. o Breast Biopsy - Removal of a small portion of breast tissue or "lump" for diagnosis. o Cataract Extraction - Removal of the lens from the eye. o Cystoscopy - A bladder examination using a scope. o Dilation 6 Curettage - Expansion of the ostium uterus so that the uterine wall can be scraped. o Hemorrhoidectomy - Removal of dilated veins from the rectal -anal area. o Herniorrhaphy - Repair of weakness in the abdominal wall. • o Meniscectomy - Repair and/or removal of torn knee cartilage. o Tonsillectomy and/or Removal of diseased tonsils and/or Adenoidectomy adenoids. o Tubal Ligation - Female sterilization. • J N r1 L_J • L 5 FOCUSED SECOND SURGICAL OPINION LIST o Hysterectomy o Dilation & Curettage (DEC) o Tonsillectomy and/or Adenoidectomy o Gall Bladder Surgery o Knee Surgery o Back or Disc Surgery o Varicose Vein Surgery o Heart Bypass Surgery o Heart Catheterization o Hernia Surgery o Mastectomy o Prostatectomy EXHIBIT "B"