HomeMy WebLinkAboutR-2282 - Amending Resolution No. 2260, and adopting revisions to the Personnel rules of the City of Marysville, health and welfare benefits- overview and emploCITY OF MARYSVILLE
Marysville,Washington
RESOLUTION NO.'#-2-~L..
A RESOLUTION OF THE CITY OF MARYVILLE AMENDING
RESOLUTION NUMBER 2260, AND ADOPTING REVISIONS TO THE
PERSONNEL RULES OF THE CITY OF MARYSVILLE,HEALTH AND
WELFARE BENEFITS -OVERVIEW AND EMPLOYEE LEAVES - SICK
LEAVE.
WHEREAS, the City Council adopted Resolution No. 2260 on March 8,
2010 revising the Personnel Rules of the City of Marysville;
WHEREAS,the City Council adopted Resolution No. 2268 on September 28,
2009,authorizing the establishment of a Health Reimbursement ArrangemenWoluntary
Employees'Beneficiary Association ("HRA VEBA) Plan.
WHEREAS,on January 17, 2010, following discussion with City Council, a vote
was put before the non-represented employees to establish a Health Reimbursement
Arrangement (HRANEBA)plan that will be funded to payor reimburse eligible out-of-
pocket healthcare costs and premiums for the employee, spouse, and qualified
dependents.
WHEREAS, on February 1, 2010, the non-represented employees voted to fund
the HRANEBA through sick leave conversion cash out and mandatory deductions from
employee's wages.
WHEREAS,the Personnel Rules, Health and Welfare Benefits Overview Section
and Employee Leaves - Sick Leave Section, attached hereto as Exhibit A, should be
updated to reflect funding the HRANEBA through sick leave cash out and mandatory
deductions from each eligible employees wages to be deposited into a Health
Reimbursement Arrangement plan;
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF MARYSVILLE AS
FOLLOWS:
1. Resolution No. 2260 is hereby amended as follows:
2.That the Health and Welfare Benefits Overview section and the Employee Leaves
- Sick Leave section in the Personnel Rules of the City of Marysville is hereby adopted
as set forth in attached Exhibit A and is incorporated by this reference.
PASSED by the City Council and APROVED by the Mayor the 8f:A.day of
March, 2010.
MAYOR
ATTEST ~fk:t;--
CITY OF MARYSVILLE PERSONNEL POLICIES PAGE 25
HEALTH AND WELFARE BENEFITS
OVERVIEW OF HEALTH AND WELFARE BENEFITS
The City of Marysville offers various health and welfare benefits for its regular full- and part-
time employees. Many benefits are prorated for part-time employees and/or they are required
to share more of the cost. There may be other benefits provided that are required by state or
federal statute, including workers’ compensation and unemployment compensation, which are
not described below; these benefits may be provided to temporary employees as well as
regular employees. Contact the Human Resources staff for information about these benefits.
Benefits available to eligible employees may include health insurance, retirement plan ,
deferred compensation, employee assistance program, flexible spending accounts, and optional
employee-paid supplemental insurance. Many of these benefits are provided at the City’s
discretion, and the City reserves the right to make changes to or discontinue them at any time.
Detailed plan documents describing these benefits are distributed to employees at orientation,
when plans change, in response to employees’ questions, and as otherwise required by law.
Employees are responsible for notifying the Human Resources office of status changes that
might affect their eligibility for benefits, or that of their spouse or dependents, including births,
adoptions, marriages, legal separations, divorces, and dependents’ 19th birthdays.
Some insurance and retirement plans require employees to designate a beneficiary(ies) for
employees’ death benefits. This designation must be made in writing in a form acceptable to
the insurance company or retirement plan. Employees are responsible for maintaining the
proper beneficiary designation and notifying, in writing, the Human Resources office of any
changes in status affecting eligibility or designations.
Following is a summary of some of these health and welfare benefits. This is only an overview
of the plans; contact the Human Resources staff for detailed information. Official benefits
plans’ documents take precedence over all other sources of information, written or verbal.
CITY OF MARYSVILLE PERSONNEL POLICIES PAGE 26
Health Insurance
Regular full-time employees may have a choice of health insurance plans offered; typically,
health insurance includes medical, dental, and vision coverage. There may be an annual op en
enrollment period when a different health insurance plan may be selected or a spouse or
dependents may be added to employees’ health insurance coverage. If an employee’s spouse
and/or dependents have medical insurance coverage through another employer’s insurance
plan, the employee may be eligible for the City’s dual coverage medical insurance incentive
program.
Regular part-time employees may be eligible for medical and dental coverage; however, they
are not eligible for vision coverage. Their spouses and dependents are not eligible for health
insurance coverage.
Retirement Plan
Regular full- and part-time employees participate in a Washington State-sponsored retirement
plan; part-time employees receive prorated service credit based on usual hours worked. Casual
and temporary employees are typically ineligible to participate in Washington State retirement
plans unless they meet the eligibility requirements of the plans.
Deferred Compensation Plans
The City may offer a choice of deferred compensation plans. Employees may enroll in a plan at
any time during the year, and change their monthly contributions per plan regulations.
Employee Assistance Program
The employee assistance program provides short-term, confidential counseling specifically
designed to assist employees and their families in handling personal and work-related
problems. The City’s program, provided by the Association of Washington Cities, makes seeking
assistance very easy.
Flexible Spending Accounts
Employees may pay for qualified dependent care and/or medical expenses with pretax dollars
through flexible spending accounts. Employees forfeit any unused balance in the flexible
spending account at the end of the plan year.
Consolidated Omnibus Budget Reconciliation Act (COBRA)
COBRA provides certain former employees, retirees, spouses, former spouses, and dependent
children the right to temporary continuation of health insurance coverage at group rates. This
coverage is only available when it is lost due to a qualifying event, such as reduction in working
hours, termination of employment, divorce, or death. Employees, spouses, and dependents
covered by the City’s health insurance plans will be notified, when applicable, of the
opportunity to continue their health care coverage under COBRA.
CITY OF MARYSVILLE PERSONNEL POLICIES PAGE 27
Other Insurance Benefits
Employees may be able to purchase disability insurance through a vendor at group rates. They
may also be able to purchase optional insurance plans such as life, accident, or cancer
insurance.
Employees of the Police Department, excluding the Records Division, may be eligible for
employer-paid long-term disability insurance.
DUAL COVERAGE MEDICAL INSURANCE INCENTIVE
The City recognizes the need for innovative cost sharing between itself and its employees for
medical insurance benefits. The dual coverage medical insurance incentive program is a
voluntary incentive program in which employees remove spouses and dependents who have
health insurance coverage under another employer’s group policy from the City’s medical
insurance plan.
Under this program, the medical insurance premium that the City would have paid on the
employee’s behalf for the eligible dependents will be split between the City and the employee.
The City benefits from a 50% cost savings. The employee receives the other 50% cost savings in
his or her paycheck as taxable wages. The incentive amount is capped at one spouse and two
children. When both husband and wife are regular City employees, only one spouse may
receive the dual insurance coverage incentive benefit. All employees are required to retain
their own health insurance coverage through the City’s plans.
Employees may chose to remove dependents with dual coverage from the City’s medical
insurance plan at any time. Employees must sign a waiver certifying that removed dependents
have other medical insurance coverage prior to removal from the City’s insurance plan. This
waiver includes acknowledgement that proof of continuous, comprehensive medical coverage
is required to re-enroll eligible dependents in the City’s medical insurance plan. Eligible
dependents can be re-enrolled in the City’s plan only during the annual open enrollment
period, except that an otherwise eligible dependent who loses his or her non-City medical
coverage during the year may re-enroll in the City’s medical plan on the 1st day of the month
following his or her loss of medical insurance coverage.
The dual insurance incentive benefit is limited to medical coverage onl y. Dental and vision
coverage will remain in effect for all eligible employees and dependents.
The City of Marysville retains the right to revoke, modify, or cancel this policy at any time.
CITY OF MARYSVILLE PERSONNEL POLICIES PAGE 31
Employees with a perfect attendance record from January through December, which includes
using up to eight hours of sick leave, will receive eight additional hours of vacation leave to be
used during the next calendar year.
Vacation will not accrue when an employee is on unpaid leave.
Employees are responsible for monitoring their accrued vacation leave balance. The maximum
allowable accumulation of unused vacation leave is the number of vacation leave hours which
the employee would have earned over a period of two years. Vacation leave accrued as of
December 31st of each year which exceeds the maximum allowed shall be forfeited, unless
employees receive prior approval from the CAO to use vacation hours which would otherwise
be forfeited due to excess accumulation.
Vacation leave cannot be taken until the leave hours are accrued. Vacation leave may not be
taken during the first six months of City employment; employees who have transferred or been
promoted may use accrued vacation leave during their orientation period.
Vacation leaves shall be scheduled considering the wishes of employees and the operating
requirements of departments. Supervisors must ensure adequate staffing levels, and
management reserves the right to approve scheduling of vacation leaves.
A maximum of 240 hours of the employee’s accumulated vacation will be paid as severance pay
upon voluntary termination or permanent reduction in force after one year of continuous
service with the City, provided that the employee gives the City two weeks’ written notice of
resignation prior to his or her voluntary termination of employment.
SICK LEAVE
Regular full-time employees accrue paid sick leave at the rate of eight hours for each month of
continuous full-time service; regular part-time employees accrue paid sick leave on a prorated
basis. Employees do not accrue sick leave in any calendar month during which they are on an
unpaid leave of absence or suspension for a minimum of five days in a calendar month.
Sick leave may be used for the following reasons:
1. Employee’s own health condition, illness, injury, or physical incapacity including
disability due to pregnancy or childbirth.
2. Care for a child with a health condition requiring treatment or supervision or to treat
the disability of an adult child.
3. Provide preventive care for a child.
4. Care for a spouse, parent, parent-in-law, or grandparent with a serious health
condition, including short-term care of a pregnant spouse during or after childbirth
while she is unable to attend to regular daily activities.
CITY OF MARYSVILLE PERSONNEL POLICIES PAGE 32
5. Attend one’s own medical or dental appointments or those of relations named above.
6. Arrange for emergency care or attend to a member of the immediate family-- defined
as spouse, child, parent, grandparent, parent-in-law—and in other situations as may
be approved by the CAO on a case-by-case basis.
Employees must notify supervisors as soon as the need for sick leave is known. Failure to do so
may result in denial of sick leave pay.
The City may request reasonable proof of the need for sick leave. When absences extend
beyond three consecutive working days, employees may be required to submit a medical
certificate by a health care professional to justify the absence. In the case of an extended leave,
such as serious injury or illness, the City may require a return to work authorization from
employees’ health care providers.
Holidays and other regular days off shall not be charged against sick leave. Sick leave can be
used in minimum increments of one-half hour for nonexempt employees. Exempt employees
may use sick leave in eight hour increments only; deductions from sick leave banks will not be
made as long as they work part of the day.
Newly-hired employees may use sick leave only after successfully completing their first six
months of employment, unless the CAO approves its use in extraordinary circumstances.
If an employee is absent due to illness or injury for which he or she is receiving payment from
the state’s industrial insurance program, LEOFF, or other state-mandated plan, the City will pay
employees the difference between their regular wages and the amount received from the state
up to the amount of accrued leave in employees’ sick, vacation, compensatory, or
administrative leave banks.
Employees may accumulate up to a maximum of 1,440 hours of sick leave. Within the last two
years prior to employees’ retirement from the City, employees may convert accumulated sick
leave in excess of 480 hours into vacation leave. The conversion shall be at a ratio of eight
hours vacation leave for each 32 hours of sick leave. This time may be taken as regular vacation
leave or paid out upon retirement.
DISABILITY LEAVE
Employees who suffer on-the-job injuries or occupational diseases during the course of their
City employment may be eligible for worker’s compensation benefits administered by the
Washington State Department of Labor and Industries. Employees must use available sick,
vacation, compensatory, and administrative leave time (in this order) during the period of
disability; the period of disability leave shall run concurrently with designated Family and
Medical Leave Act leave to the extent permitted by law.