2016-42 RESOLUTION NO. 2016-42
FIXING THE EMPLOYER CONTRIBUTION AT UNEQUAL
AMOUNTS FOR EMPLOYEES AND ANNUITANTS UNDER
THE PUBLIC EMPLOYEES' MEDICAL AND HOSPITAL
CARE ACT WITH RESPECT TO A RECOGNIZED
EMPLOYEE ORGANIZATION
WHEREAS, (1) City of Grand Terrace is a contracting agency under Government
Code Section 22920 and subject to the Public Employees' Medical and Hospital Care Act (the
"Act") for participation by members of(002) General Members and
WHEREAS, (2) Government Code Section 22892(a) provides that a contracting
agency subject the amount of the employer contribution by resolution; and
WHEREAS, (3) Government Code Section 22892(b) provides that the_employer
contribution shall be an equal amount for both employees and annuitants, but m4y_'not bz less
than the amount prescribed by Section 22892(b) of the Act; and
WHEREAS, (4) Government Code Section 22892(c) provides that, notwithstanding
Section 22892(b), a contracting agency may establish a lesser monthly employer contribution-for
annuitants than for employees, provided that the monthly employer contribution for annuitants is
annually increased to equal an amount not less than the number of years the contracting agency
has been subject to this.subdivision multiplied by 5 percent of the current monthly employer
contribution for employees, until such time as the amounts are equal; and
RESOLVED, (a) That the employer contribution for each employee shall be the
amount necessary to pay the full cost of his/her enrollment, including the enrollment of family
members, in a health benefits plan up to a maximum of Kaiser Single Party Los Angeles Region
(Basic/Medicare) per month, plus administrative fees and Contingency Reserve Fund
assessments; and be it further
RESOLVED, (b) City of Grand Terrace has fully complied with any and all
applicable provisions of Government Code Section 7507 in electing the benefits set forth above;
and be it further
RESOLVED, (c) That the participation of the employees and annuitants of City of
Grand Terrace shall be subject to determination of its status as an "agency or instrumentality of
the state or political subdivision of a State" that is eligible to participate in a governmental plan
within the meaning of Section 414(d) of the Internal Revenue Code, upon publication of final
Regulations pursuant-to such Section. If it is determined that City of Grand Terrace would not
qualify as an agency or instrumentality of the state or political subdivision of a State under such
final Regulations, Ca1PERS may be obligated, and reserves the right to terminate the health
coverage of all participants of the employer.
RESOLUTION NO. 2016-42 PAGE 1 OF 3 OCTOBER 25, 2016
RESOLVED, (d) That the executive body appoint and direct, and it does
hereby appoint and direct, the City Clerk to file with the Board a verified copy of this resolution, l
and to perform on behalf of City of Grand Terrace all functions required of it under the Act.
PASSED, APPROVED, AND ADOPTED this 25th day of October, 2016.
l 4
D 'cy Mc6aboe, r
Cit of Gr rrace
ATTEST:
Pat-Jacquez=_- ar C' y Cler
-City of Grand-Terra
I, PAT JACQUEZ-NARES, CITY CLERK of the City of Grand Terrace, do hereby certify that
the foregoing Resolution was introduced and adopted at a regular meeting of the City Council of
the City of Grand Terrace held on the 251h day of October, 2016 by the following vote:
AYES: Council Members Hussey, Wilson, Mitchell, Mayor Pro Tern Robles,
Mayor McNaboe
NOES: None
ABSENT: None
ABSTAIN: None
'Pat ity r
APPROVED AS TO FORM:
/ 21
Richard L. Adams, II, City Attorney
r
RESOLUTION NO. 2016-42 PAGE 2 OF 3 OCTOBER 25, 2016
�- INSTRUCTIONS
This resolution form is the approved form designated by the California Public Employees'
Retirement System (Ca1PERS). It should be used by a contracting agency subject to Public
Employees' Medical and Hospital Care Act (PEMHCA) when the agency desires to change the-
monthly employer health contribution for active employees only in accordance with Government
Code Section 22892..
The resolution is effective on the first day of the second month following the month in which the
resolution is filed (date stamped as received by Ca1PERS; See address below).
WHEREAS, (1) should be completed with full name of the contracting agency and
recognized employee organization.
RESOLVED, (a) should be completed to specify the amount of the employer
contribution toward the cost of enrollment for active employees. The amount specified must be
an amount equal to or greater than that prescribed by Section 22892(b).
Commencing January 1, 2009, the employer contribution shall be adjusted annually by the Board
to reflect any change in the medical component of the Consumer Price Index, and shall be
rounded to the nearest dollar.
RESOLVED, (b) should be completed with full name of the contracting agency.
RESOLVED, (c) should be completed with full name of the contracting agency.
RESOLVED, (d) requests the position title of the individual who handles the
PEMHCA resolution for the contracting agency.
RESOLVED, (d) should be completed with full name of the contracting agency.
,Because resolutions serve as a legally binding document, we require the original resolution,
certified copy with original signatures, or a copy of the resolution with the agency's raised seal.
For resolution.processing, deliver to the following:
Overnight Mail Service Regular Mail
California Public Employees' Retirement California Public Employees' Retirement
System System
Health Contracts Unit, EAMD Health Contracts Unit, EAMD
400 Q Street PO BOX 942714
Sacramento, CA 95811 Sacramento, CA 94229-2714
The certification shown following the resolution is to be completed by those individuals
authorized to sign for the contracting agency in legal actions and is to include the name of the
executive body; i.e. Board of Directors, Board of Trustees, etc., the location and the date of
signing.
RESOLUTION NO. 2016-42 PAGE 3 OF 3 OCTOBER 25, 2016