HomeMy WebLinkAbout94-057 - Amend Resolution No. 91-066261
RESOLUTION NO. 94-057
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF SANTA ANA TO AMEND RESOLUTION NO. 91-066
TO EFFECT CERTAIN CHANGES IN MEDICAL INSURANCE
PREMIUM PAYMENTS FOR EXECUTIVE AND MIDDLE
MANAGEMENT EMPLOYEES
WHEREAS, Section 1004, Article X of the City Charter of the
City of Santa Aha requires the City Manager to prepare, install and
maintain a position classification and pay plan subject to civil
service rules and regulations and the approval of the City Council;
and
WHEREAS, on July 1, 1991, the City Council passed and adopted
Resolution No. 91-066, re-establishing the Basic Compensation Plan
for classes of employment designated as unrepresented Executive and
Middle Management; and
WHEREAS, Resolution No. 91-066 sets forth certain levels of
health insurance benefits and employer paid premium contributions
for Executive and Middle Management employees as are provided to
employees in the represented units; and
WHEREAS, although Resolution No. 91-066 does provide for a
process to deal with increases in health insurance premium costs,
it does not provide for a formula to deal with decreases in health
insurance premiums; and
WHEREAS, it is now desired to amend Resolution No. 91-066 to
provide the formula provided to represented employee units,
implementing 50-50 (fifty-fifty) sharing of health insurance
premium decreases between the City and the employees.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF SANTA ANA:
1. That Resolution No. 91-066, Section 6.3 Health Insurance,
Subsection "B," is hereby amended to read as follows:
"B. Effective October 1, 1991, with respect to employees
who do not have dependents included under the programs, the City
will contribute one hundred percent of the monthly premium cost for
"employee-only" coverage, not to exceed the amount equal to 100% of
the most expensive "employee-only" coverage among the City's HMO
plans. If, on or after October 1, 1992, the total monthly premium
for said most expensive "employee-only" coverage exceeds the
October 1, 1991, premium rate, the City will increase its
contribution up to an amount equal to fifty percent (50%) of the
amount of said increase in the premium. If, on or after October 1,
1993, the total monthly premium for said most expensive "employee-
only" coverage exceeds the October 1, 1992 rate, the City will
RESOLUTION NO. 94- 057
Page 2 of 3
increase its contribution up to an amount equal to fifty percent
(50%) of the amount of said increase in the premium.
If, effective October 1, 1994, the total monthly
premium rate for any of the City's "employee-only" health insurance
HMO plans increases, the City will share equally with employees and
will pay fifty percent (50%) of said increase in premium.
Alternatively, if, effective October 1, 1994, the total monthly
premium rate for any of the City's "employee-only" health insurance
HMO plans decreases, the City will share the benefit of this
decrease equally with the employees who are members of that
particular health plan and who are contributing toward their health
insurance premiums and will reduce the City's premium contribution
by fifty percent (50%) of the total amount of said decrease in
premium rate.
For each employee who is covered under a spouse's
non-City-sponsored health plan, the City will pay employee a cash
payment each month in an amount equal to fifty percent (50%) of the
monthly premium amount for the City's lowest "employee-only"
coverage, if said employee waives, in writing, City-paid coverage.
Said waiver shall include a provision warning such employee that
reentry into any of the City-sponsored plans shall require proof of
insurability for such employee and/or family."
2. That Resolution No. 91-066, Section 6.3 Health Insurance,
Subsection "C," is hereby amended to read as follows:
"C. Effective October 1, 1991, with respect to employees
who do have dependents included under the program, the City will
contribute up to four hundred dollars ($400) per month. If, on or
after October 1, 1992, the total monthly premium for the most
expensive "family" coverage among the City's HMO plans exceeds $400
per month, the City will increase its contribution up to an amount
equal to $400 plus fifty percent (50%) of the amount of said
premium in excess of $400 per month. If, on or after October 1,
1993, the total monthly premium for the most expensive "family"
coverage among the City's HMO plans exceeds the amount of the
City's 1992 contribution, the City will increase its contribution
up to an amount equal to the 1992 contribution amount plus fifty
percent (50%) of the increase above the 1992 amount.
If, effective October 1, 1994, the total monthly
premium rate for any of the City's "family" coverage health
insurance HMO plans increases, the City will share equally with
employees and will pay fifty percent (50%) of said increase in
premium. Alternatively, if, effective October 1, 1994, the total
monthly premium rate for.any of the City's "family" coverage health
insurance HMO plans decreases, the City will share the benefit of
263
RESOLUTION NO. 94-057
Page 3 of 3
this decrease equally with the employees who are members of that
particular health plan and who are contributing toward their health
insurance premiums and will reduce the City's premium contribution
by fifty percent (50%) of the total amount of said decrease in
premium rate."
3. That, except as amended by this Resolution, all other
provisions of Resolution No. 91-066 shall remain in full force and
effect.
4. That this Resolution shall be operative from and after
A~g~ 15~ , 1994.
ADOPTED this 15th day of
ATTEST:
~rc~. c. G~- / /7
Clerk of the Co.uncil~ /
COUNCILMEMBERS:
LUTZ Aye
McGUIGAN ~ye
MILLS Ave
MORENO Aye
PULIDO ~ye
RICHARDSON Aye
YOUNG Aye
August , 1994
I ¥~UNG kl
Mayor '~ !
APPROVED AS TO FORM:
City AttorneY7-
2..64
CERTIFICATE OF ORIGINALITY & PUBLICATION
State of California
County of Orange
I, JANICE C. GUY, Clerk of the Council, do hereby certify the attached Resolution
to be the original resolution adopted by the City Council of the
City of Santa Ana on
Date: ~//7,/~ '~
/
Clerk of the Counoil ~
City of Santa Ana