CC RES 2016-051 RESOLUTION NO. 2016-51
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO PALOS VERDES,
INCREASING THE CITY'S MAXIMUM MONTHLY CONTRIBUTION AMOUNTS FOR
EMPLOYEE AND COUNCIL MEMBER HEALTH INSURANCE PREMIUMS FOR
CALENDAR YEAR 2017 AND RESCINDING AND REPLACING RESOLUTION NO. 2015-
94.
WHEREAS, on October 6, 2015, the City Council adopted Resolution No. 2015-94 establishing
maximum City contributions towards employee health insurance premiums for FY 2016; and,
WHEREAS, the City has been advised an increase in employee health insurance premiums
for calendar year 2017 is not anticipated and, as such, the current maximum City contributions
towards employee health insurance premiums established for FY 2016 are adequate for FY
2017; and,
WHEREAS, the City desires to sufficiently contribute to employee health insurance premiums
by providing sufficient maximum City contributions towards same for its active full-time
employees and City Council persons.
NOW, THEREFORE THE CITY COUNCIL OF THE CITY OF RANCHO PALOS VERDES
DOES HEREBY FIND, DETERMINE AND RESOLVE AS FOLLOWS:
Section 1: The City's contribution for each full-time employee or active City Council person
shall have a maximum amount which may be applied toward the full cost of the active full-time
employee's or active council person's medical, dental, vision and mental health benefits, and
pay up to 50% of the cost of medical, dental, vision and mental health benefits for eligible
dependents, subject to the maximum amounts for these insurance coverages as specified
below:
Full-time Employee / Councilmember
Insurance Status Maximum Contribution per Month
HMO PPO HSA
Employee Only $710.92 $1,145.62 $754.83
Two Party $1,060.58 $1,698.33 $1,117.34
Family $1,285.01 $2,067.40 $1,364.01
Section 2: The City will pay towards the participant's deductible in the HSA Plan $3,000 for
Employee Only and $6,000 for Employee + 1 and Family (3 or more).
Section 3: Any amounts remaining between the necessary contributions required and the
maximum amounts specified in Section 1 of this Resolution are not to be paid to the active full-
time employee or active City Council person, as applicable.
Resolution No. 2016-51
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Section 4: If a full-time employee or City Council member can provide proof of group medical
coverage that is generally similar to the City's medical coverage, and declines the medical
coverage offered by the City, the City will make a cash-in-lieu payment to the opting out full-
time employee or City Council member of $346 per month under the City's cafeteria plan as
governed by Section 125 of the Internal Revenue Code.
Section 5: The City shall pay the full cost for each active full-time employee's life insurance
premium, accidental death & dismemberment premium and long term disability premium. The
City shall pay the full cost for each active City Council member's life insurance premium.
Section 6: The Health Savings Account will be funded semi-annually in accordance with
Rancho Palos Verdes Employee Association's Memorandum of Understanding as may be
modified from time to time.
Section 7: The City Manager or his/her designee, is authorized to adopt rules and procedures
for the implementation of this Resolution.
Section 8: Resolution No. 2015-94 is hereby rescinded and replaced by this Resolution.
PASSED, APPROVED and ADOPTED this 1st day of November 2016.
4 . # /
Awe -
Mayr
Attest:
,10 City Clerk
STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) ss
CITY OF RANCHO PALOS VERDES )
I, Teresa Takaoka, Acting City Clerk of the City of Rancho Palos Verdes, hereby
certify that the above Resolution No. 2016-51 was duly and regularly passed and adopted by
the said City Council at a regular meeting thereof held on November 1, 2016.
C4 l
A a .ity Clerk
Resolution No. 2016-51
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