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HomeMy WebLinkAboutCity Council - 5904 RESOLUTION NO. 5904 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HUNTINGTON BEACH MODIFYING BENEFITS FOR FISCAL YEAR 1988-89 NON-ASSOCIATED EMPLOYEES WHEREAS, the City Council desires to establish benefit changes for non-associated employees for fiscal year 1988-89 . NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Huntington Beach as follows: SECTION 1 . Benefits for non-associated employees shall be as reflected in Exhibit "A" , effective upon adoption of this resolution. SECTION 2 . Any provision in conflict with the foregoing, whether by minute action or resolution of the City Council heretofore approved, is hereby repealed. PASSED AND ADOPTED by the City Countil of the City of Huntington Beach at a regular meeting thereof held on the 1st day of August , 1988 . ayor ATTEST: APPR ED AS TO FORM: 1 ; City Clerk C orne / REVIEWED AND APPROVED: I E P OVED: C ' c City Administrator Deputy ity Adminis rato 5904 r EXHIBIT A NON-ASSOCIATED EMPLOYEES BENEFIT PROVISIONS SECTION I PUBLIC EMPLOYEES' RETIREMENT SYSTEM A. Non Associated employees shall be entitled to retirement benefits appropriate to his/her class as defined in the contract between the Board of Administration, Public Employees' Retirement System and the City Council of the City of Huntington Beach. B. In the event a Non Associated employee member elects Option #2 (Section 21333) or Option #3 (Section 21334)<of the Public Employees' Retirement law, the CITY shall pay the difference between such elected option and the unmodified allowance which the member would have received for his or her life alone. This payment shall be made only to the member (non-associated employee), shall be payable by the CITY during the life of the member, and upon that member's death, the CITY'S obligation shall cease. C. Non Associated employees shall be reimbursed once every two weeks in an amount equal to 7% of the employee's base salary (9% for safety employees) as a pickup of the employee's contribution or portion of such contribution to the Public Employees' Retirement System. The above PERS pickup is not base salary but is done pursuant to section 414 (h) (2) of the Internal Revenue Code. D. Each employee, eligible for service retirement, may have his/her PERS pickup reported as compensation for all or any part of the twenty-four month period prior to his/her service retirement date upon written request to the Finance Director. Such modified reporting shall be limited to a maximum period of twenty-four months preceding retirement. (Government Code Section 20022). E. Upon written request to the Finance Director, any elected or appointed department head, eligible for retirement, may have his or her optional vehicle allowance reported as compensation for all or any part of the twenty-four month period prior to his or her retirement date. Such modified reporting shall not be retroactive and shall not exceed the twenty-four month period set out herein. SECTION II "INSURANCE A. The CITY shall continue to provide group medical benefits to all non associated employees with coverage and other benefits comparable to the group medical plan currently in effect. The City Administrator is authorized to modify the benefits described in this Section to reflect changes necessary to make benefits comparable to those benefits provided other managers in the CITY. -1- 5904 B. The CITY will assume payment for dependent health insurance effective the first of the month following the month during which the non associated employee completes six (6) months of full time continuous service with the CITY. If the premium for the optional Health Maintenance Organization (HMO) plan is more than the premium for the non-HMO plan, the additional premium will be paid by the employee. For purposes of determining continuous service, there shall be no accrual of hours for the period of time an employee is on a non-pay status for a complete pay period. C. The City's obligation to pay for health insurance premiums shall be limited to Four Hundred Dollars ($400) per month for full family coverage. D. Each non associated employee under age sixty-five (65) shall be provided with $40,000 life insurance and $40,000 accidental death and dismemberment insurance paid for by the CITY. Each employee shall have the option, at his or her own expense, to purchase an additional amount of life insurance in the amount of $25,000 and accidental death and dismemberment insurance in the amount of $25,000, $50,000 or $100,000. E. The CITY shall provide a dental insurance plan comparable to Private Medical Care, Inc. Plan, CXP 201. Said plan to cover the employee and his or her dependents with total cost of plan to be paid by the CITY. F. When a non associated employee is off work without pay for reason of medical disability, the CITY shall maintain the CITY paid Insurance Premiums during the period the employee is in a non-pay status for the length of said leave, not to exceed twenty-four (24) months. G. Upon retirement, whether service or disability connected, each non-associated employee shall be entitled to cause himself or herself, spouse and dependents to participate fully in the city's group health insurance program at the equivalent of the city's group premium rate in accordance with the provisions specified by COBRA (Federal Law). Such participation shall be at employee's expense and upon terms, conditions and restrictions currently in effect. H. As an alternative to the benefit described in paragraph 11. G above, the City will provide a financial contribution towards the cost of retiree medical premiums as described in Section X1I 1. Retired employees exercising either option (per paragraphs 6 or H above) may cause any premiums not paid by the CITY to be paid for retiree medical insurance out of any available funds due and owing them for unused sick leave benefits upon retirement, provided, however, that whenever any such retired employee does not have any such available funds with which to cause the premiums to be paid, he or she shall have the opportunity to provide the CITY with sufficient funds to pay the premiums. At retirement, the sick leave hours remaining may, at the employee's option, be converted to a dollar figure and an estimate shall be provided by the CITY to the retired employee as to the approximate number of months the group insurance can be paid by such sick leave dollars. This benefit shall be effective October 1, 1987 for non-associated employees. -2- 5904 The CITY shall notify any retired employee whose funds available for unused sick leave benefits are about to be exhausted of such fact in writing by certified mail, return receipt requested, at the retired employee's most recent address of record with the CITY no later than three (3) months prior to the date upon which there will not be sufficient funds to pay premiums. It shall be the individual retiree's responsibility either to insure that there are sufficient sick leave dollars available to pay premiums or to make premium payments at least one (1) month in advance to continue the group insurance in effect. If, following exhaustion of sick leave funds, a retired employee fails to provide the CITY with sufficient additional funds to pay premiums, the CITY shall have the right to notify said retired employee in the manner prescribed above that it intends to cause his or her coverage to be terminated for non-payment of premiums, and the further right to terminate such coverage if such default has not been cured within thirty (30) days following receipt of such notice. Any retired employee electing to obtain such medical insurance coverage after retirement shall have the further option to terminate such coverage following the provision of thirty (30) days written notice to the CITY, whereupon any funds due and owing him or her for unused sick leave benefits that have not been exhausted to pay these health insurance premiums shall be paid in an lump sum to the retired employee within thirty (30) days following receipt by the CITY of such notice; provided, however, that once such retired employee elects to terminate such coverage, he or she shall be precluded from securing it at a later date at the group rate. L. Income Protection Plan This program provides, for each incident of illness or injury, a waiting period of sixty 60) calendar days, during which the non associated employee may use accumulated sick leave, vacation pay, or the employee may elect to be in a non-pay status. Subsequent to the sixty (60) day waiting period, the employee will be covered by an insurance plan paid for by the CITY, providing 66-2/3 percent of the first $6,000 of the employee's basic monthly earnings up to a maximum monthly benefit of $4,000. The maximum benefit period for disability due to illness shall be two years if under age 65, reduced to 12 months to age 69. The maximum benefit period for disability due to injury shall be to age 65 or 12 months whichever is longer. Days and months refer to calendar days and months. Benefits under the plan are integrated with sick leave, Worker's Compensation, Social Security and other non-private program benefits to which the employee may be entitled. Disability is defined as: "The inability to perform all of the duties of regular occupation during two years and thereafter the inability to;engage in any employment or occupation for which he is fitted by reason of education, training or experience." Rehabilitation benefits are provided in the event the individual, due to disability, must engage in other occupation. Survivor's benefits continues to plan payment for three months beyond death. A copy of the plan is on file in the Administrative Services Department. SECTION III SICK LEAVE PAY A. Non Associated employees who were on the payroll on November 20, 1978 shall be entitled to the following sick leave payoff plan: At involuntary termination by reason of disability, or by death, or by retirement, employees shall be compensated at their then current rate of pay for _3- 5904 seventy-five percent (75%) of all unused sick leave accumulated as of July 1, 1972, plus fifty percent (50%) of unused sick leave accumulated subsequent to July 1, 1972, up to a maximum of 720 hours of unused, accumulated sick leave, except as provided in paragraph D below. B. Non Associated employees hired after November 20, 1978 shall be entitled to the following sick leave payoff plan: Upon termination, all employees shall be paid, at their then current salary rate, for twenty-five percent (25%) of unused, earned sick leave to 480 hours accrued, and for thirty-five percent (35%) of all unused, earned sick leave in excess of 480 hours, but not to exceed 720 hours, except as provided in paragraph D below. C. Except as provided in paragraph D below, no non associated employee shall be paid at termination for more than 720 hours of unused, accumulated sick leave. However, employees may utilize accumulated sick leave. However, employees may utilize accumulates sick leave on the basis of ''last in, first out," meaning that sick leave accumulated in excess of the maximum for payoff may be utilized first for sick leave, as defined in Personnel Rule 18-8. D. Non Associated employees who had unused, accumulated sick leave in excess of 720 hours as of July 5, 1980, shall be compensated for such excess sick leave remaining on termination under the formulas described in paragraphs A and B above. In no event shall any employee be compensated upon termination for any accumulated sick leave in excess of the "cap" established by this paragraph (i.e., 720 hours plus the amount over 720 hours existing on July 5, 1980). Employees may continue to utilize sick leave accrued after that date in excess of such "cap" on a 'last in, first out" basis. To the extent that any such "capped" amount of excess sick leave over 720 hours is utilized, the maximum eompensable amount shall be correspondingly reduced. (Example: Employee had 1,000 hours accumulated. Six months after July 5, 1980, employee has accumulated another 48 hours. Employee is then sick for 120 hours. Employee's maximum sick leave "cap" for compensation at termination is now reduced by 72 hours to 928 hours.) SECTION IV VACATIONS AND HOLIDAYS 4 A. Vacation leave for non associated employees shall be accrued as follows: Years of Service Vacation Allowance First through Fourth Year 112 hours Fifth through Ninth Year 136 hours Tenth through Fourteenth Year 160 hours Fifteenth Year and Thereafter 192 hours B. Accrued vacation may be taken after six (6) months' service. C. Vacation (and sick leave) accrued time are to be computed from hiring date anniversary. -4- 5904 D. Upon one (1) week written notification to the Chief of Administrative Services, an employee shall be entitled to receive his earned vacation pay, less deductions, in advance, prior to his regularly scheduled annual vacation. Such advancements are limited to one during each employee's anniversary year. E. Once during each fiscal year, each employee shall have the option to convert into a cash payment or deferred compensation up to a total of eighty (80) hours of earned vacation benefits. Such pay may be reported to PERS as salary. The employee shall give two (2) week's advance notice of his/her desire to exercise such option. F. 1. Vacation - When taken: Non Associated employees shall not be permitted to take a vacation in excess of actual time earned. Non Associated employees who have accrued more than 400 hours may not use the additional accrual to advance their separation date on retirement or other separation from employment. 2. Terminal Vacation Pay: An employee shall be paid for unused vacation upon termination of employment at which time such terminating employee shall receive compensation at his/her current salary rate for all unused, earned vacation to which he/she is entitled up to and including the effective date of his/her termination provided, however, that there shall be no compensation for unused vacation hours accrued in excess of 400 hours. G. The following are paid holidays: 1. New Year's Day 2. Martin Luther King Day (third Monday in January) 3. Presidents Day (third Monday in February) 4. Memorial day (last Monday in May) 5. Independence day (July 4) 6. Labor day (first Monday in September) 7. Veteran's Day (November 11) 8. Thanksgiving Day (fourth Thursday in November) 9. The Friday after Thanksgiving 10. Christmas Day (December 25) 11. Any day declared bythe President of the United States to be a national holiday or by the Governor of the State of California to be a state holiday and adopted as an employee holiday by the City Council of the City of Huntington Beach. Holidays which fall on Sunday shall be observed the following Monday and those falling on Saturday shall be observed the preceding Friday. SECTION V. VEHICLE POLICY I. Appointed Department Heads and the City Clerk, City Treasurer and City Attorney shall have the option of an assigned city vehicle or an automobile allowance of $325 per month plus reimbursement for out-of-town travel at the approved mileage rate. 2. Non Associated employees who were Division Heads assigned a city vehicle as of July 2, 1983 shall have the option of an assigned city vehicle or an automobile allowance of $275 per month plus reimbursement for out-of-town travel at the approved mileage rate. -5- 5904 3. Non Associated employees who are regularly required to travel to perform official city business but do not have an assigned vehicle or automobile allowance shall be provided with a safe vehicle for such business. SECTION VI BEREAVEMENT LEAVE AND FAMILY ILLNESS LEAVE Non-Associated employees shall be entitled to bereavement leave not to exceed three (3) working days per calendar year in case of death in the immediate family. "Immediate family" is defined as father, stepfather, mother, stepmother, sisters, brothers, stepsisters, stepbrothers, mother-in-law, father-in-law, spouse, children or stepchildren. Sick leave may be used for an absence due to illness of the employee's spouse or child when the employee's presence is required at home, provided that such absences shall be limited to five (5) days per calendar year. SECTION VII EDUCATION COSTS Education costs shall be paid to non-associated employees on the basis of full refund for tuition, fees, books and supplies if required by CITY, or if related to job, upon approval by the department head for non-department head peronnel, and approval of City Administrator for Department Heads. If related to job, such costs shall be approved. Refund shall be made when the employee presents proof to the Deputy City Administrator/Administrative Services that he or she has paid such costs and received a passing grade. SECTION VIII TIME OFF Non-Associated employees shall not be eligible for overtime compensation. However, time off for such employees may be granted by their respective department heads, or in the case of an appointed department head, by the City Administrator. SECTION IX PHYSICAL EXAMINATIONS Non-Associated employees shall be provided once every two years with a city paid physical examination comparable to the current class physical examination or reimbursed the amount authorized for said physical examination. No more than one-half of the eligible employees shall receive examinations in any one fiscal year. Department Heads shall be required to take the scheduled physical examination. Said exam shall be comprehensive in nature and shall include: -6- 5904 A. A complete medical history, physical exam and review of results by a physician. B. Health testing including vision, hearing, breathing, chest x-ray and stress EKG. C. Laboratory test including standard chemical test, blood count, HDL, urinalysis and stool test for blood. No more than-one half of the eligible employees shall receive examinations in any one fiscal year. SECTION X PERSONNEL RULES City Personnel Rule 8-3 shall be modified for the purpose of computing layoff rights to the last period of continuous service. SECTION XI SHORTHAND COMPENSATION A. Employees in the classification of Administrative Assistant - Department, that have successfully passed the shorthand examination prior to July 1, 1987, shall receive on hundred dollars ($100) per month additional compensation for this shorthand ability. B. Employees in the Classification of Administrative Assistant - Department shall, on July 1, 1987 and thereafter, receive one hundred dollars ($100) per month additional compensation for shorthand ability upon successful examination for such; and, certification of department head that shorthand ability is a requirement of the position. C. Employees in the classification of Executive Assistant, that have successfully passed the shorthand examination prior to July 1, 1988 shall receive on hundred dollars ($100) per month additional compensation for this shorthand ability. D. Employees in he Classification of Executive Assistant shall, on July 1, 1988 and thereafter, receive one hundred dollars ($100) per month additional compensation for shorthand ability upon successful examination for such; and, certification of City Administrator that shorthand ability is a requirement of the position. s SECTION XII ALTERNATIVE RETIREE MEDICAL PLAN A. A Non-associated employee who retired from the City, shall be entitled to participate in the City-sponsored medical insurance plans and the City shall contribute toward monthly premiums for coverage and in an amount as specified in accordance with this Plan, provided: I. At the time of retirement the employee has a minimum of ten (10) years of service or is granted an industrial disability retirement; and 2. At the time of retirement the employee is employed by the City; and 3. Following official separation from the City the employee is granted a retirement allowance by the California Public Employees' Retirement System. -7- 5904 r B. The City's obligation to pay the monthly premium as indicated shall be modifieJ downward or cease during the lifetime of the retiree upon the occurrence of any one c�the following: 1. During any period the retired employee is eligible to receive or receives health insurance coverage at the expense of another employer, the payment will be suspended. "Another employer" as used herein means private employer or public employer or the employer of a spouse. As a condition of being eligible to receive the premium contribution as set forth in this plan, the City shall have the right to require any retiree to annually certify that the retiree is not receiving or eligible to receive any such health insurance benefits from another employer. If it is later discovered that a misrepresentation has occurred, the retiree will be responsible for reimbursement of those amounts inappropriately expended and the retirees' eligibility to receive further benefits will cease. 2. On the first of the month in which a retiree or dependent reaches age 65 or on the date the retiree or dependent can first apply and become eligible, automatically or voluntarily, for medical coverage under Medicare (whether or not such application is made) the City's obligation to pay monthly premiums may be adjusted downward or eliminated. Benefit coverage at such age under City health plans shall be governed by plan documents for such plans. 3. In the event the federal Government or State Government mandates an employer-funded health plan or program for retirees, or mandates that the City make contributions toward a health plan (either private or public) for retirees, the City's contribution rate as set forth in this plan shall first be applied to that mandatory plan. if there is any excess, that excess may be applied toward the City medical plan as supplemental coverage provided the retired employee pays the balance necessary for such coverage, if any. 4. In the event of the death of any employee, whether retired or not, the amount of the retiree medical premium benefit which the deceased employee was receiving at the time of his/her death or would be eligible to receive is he/she were retired based on the schedule below, shall be paid on behalf of the spouse or family for a period not to exceed six (6) months. C. SCHEDULE OF BENEFITS g 1. Minimum Elgibility for Benefits - With the exception of an industrial disability retirement, elgibility for benefits begins after an employee has completed ten (10) years of continuous service with the City of Huntington Beach. Said service must be continuous unless breaks are reinstated at the time of hire or rehire in accordance with the City's Personnel Rules. 2. Disability Retirees - Industrial disability retirees with less than ten (10) years of service shall receive a maximum monthly payment toward the premium for health insurance of $80 after 7/l/88 and $120 after 7/l/89. Payments shall be in accordance with the stipulations and conditions which exist for all other retirees. Payment shall not exceed dollar amount which is equal to the full cost of premium for employee only. -8- 5904 x 3. All retirees including those retired as a result of disability whose number of years of service prior to retirement exceeds ten (1.0), shall be entitled to maximum monthly payment of premiums by the City as follows: Maximum Monthly Payment For Retirements After: Years of Service 7/1/88 7/1/89 10 80 121 11 88 132 12 97 145 13 105 -158 14 113 170 15 122 182 16 130 195 17 138 207 18 146 220 19 155 232 20 163 244 21 171 257 22 179 269 23 188 282 24 196 294 25 204 306 26 213 319 27 221 331 28 229 344 Note: The above payment amounts may be reduced each month as dependent eligibility ceases. However, the amount shall not be reduced if such reduction would cause insufficient funds needed to pay the full premium for the employee and the remaining dependents. In the event no reduction occurs and the remaining benefit payment is not sufficient to pay the premium amount for the employee and the then eligible dependents, said needed excess premium amount shall be paid by the employee. D. Medical Insurance Benefits under the self-administered Employee Health Plan shall be the same as benefits provided to full time employees except for the following: 1. The plan shall pay 80% of covered hospitalization costs after the deductible is met. 2. The annual deductible shall be $200 per person per year with a family maximum of $500 per year. 3. The maximum out of pocket expense for covered costs shall be $1000 per person per year after the deductible is met. 4. Accident related expenses are covered the same as other medical expense Oe: no supplemental coverage. 0608J -9- 5904 Res. No. 5904 STATE OF CALIFORNIA ) COUNTY OF ORANGE ) sst CITY OF HUNTINGTON BEACH ) I, CONNIE BROCKWAY, the duly appointed, qualified City Clerk of the City of Huntington Beach, and ex-officio Clerk of the City Council of said City, do hereby certify that the whole number of members of the City Council of the City of Huntington Beach is seven; that the foregoing resolution was passed and adopted by the affirmative vote of at least a majority of all the members of said City Council at a regular meeting thereof held on the lst day of August 19 88 , by the following vote: AYES: Councilmembers: Kelly, Green, Finley, Erskine, Mays, Winchell NOES: Councilmembers: None ABSENT: Councilmembers: Bannister City Clerk and ex-of cio Clerk of the City Council of the City of Huntington Beach, California 5904