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Resolution No. 7799r if r 1 RESOLUTION NO. 7799 2 3 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF VERNON APPROVING THE CONTINUED PAYMENT OF PREMIUMS 4 FOR MEDICAL -DENTAL INSURANCE FOR CERTAIN CATEGORIES 5 OF RETIRED EMPLOYEES DURING THE 2001-2002 FISCAL YEAR 6 7 WHEREAS, the City Council of the City of Vernon in prior 8 fiscal years has approved for each fiscal year the City's payment of 9 premiums for medical -dental insurance for service -retired employees who 10 are at least sixty (60) years of age and who have continuously served 11 for twenty (20) years; and 12 WHEREAS, the Finance Committee of the City of Vernon on 13 June 7, 2001, approved a recommendation applicable for the fiscal year 14 2001-2002 only, which provides that (i) all full-time regular employees 15 with at least thirty (30) years of continuous service who retire before 16 the age of sixty (60) will be permitted to pay their health insurance 17 premium for the City's medical -dental insurance program, and, upon 18 their reaching the age of sixty (60), the City will pay the premiums 19 for said medical -dental insurance for said retired employee only and 20 not for dependents, if any, up to the age of sixty-five (65); (ii) the 21 City shall pay the insurance premium for all full-time regular 22 employees who have a minimum of twenty (20) years of continuous service 23 who retire at the age of sixty (60) or later; and (iii) upon retired 24 employees reaching sixty-five (65) years of age, the City will continue 25 to pay the insurance premium to provide for medical -dental insurance as 26 supplemental only to Medicare as the City will not be the primary 27 insurance carrier once the employee reaches the age of sixty-five (65); 28 and 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 WHEREAS, the City Council of the City of Vernon wishes to adopt its policy applicable for the fiscal year 2001-2002 only respecting payment of premiums for the City's medical -dental insurance - for certain categories of retired employees and to declare that such benefits are not vested rights and will expire at the conclusion of the fiscal year unless authorized and approved by the City Council for the next fiscal year. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF VERNON AS FOLLOWS: SECTION 1: The City Council of the City of Vernon does hereby find and determine that the recitals contained hereinabove are true and correct. SECTION 2: The City Council of the City of Vernon hereby adopts the following policy for the 2001-2002 fiscal year and declares that such benefits are not vested rights and are approved for this fiscal year only: A. The City will pay the insurance premium for the City's medical -dental insurance program for all full-time regular employees, with at least twenty (20) years of continuous uninterrupted service who retire at age sixty (60) or later, excluding dependents, if any, and the City shall continue to pay said premium for said retired employee up to the age of sixty-five (65). B. All full-time regular employees with at least thirty (30) years of continuous service who retire before the age of sixty (60) years will be permitted to pay their health insurance premium for the City's medical -dental insurance program, and, upon reaching the age of sixty - 2 - W 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15' 16 17 18 19 20 21 22 23 24 25 26 27 28 (60), the City will pay the insurance premium for said medical -dental insurance for said retired employee only and not for dependents, if any, up to the age of sixty-five (65). C. For retired employees who receive medical -dental insurance benefits pursuant to A and B above and who reach the age of sixty-five (65), the City will pay the premium to provide for medical -dental insurance as supplemental insurance only to Medicare because the City will not be the primary insurance carrier once the employee reaches the age of sixty-five (65). D. All retired employees may pay the premiums for medical -dental insurance up to the age of sixty-five (65) after which Medicare will become the primary insurance carrier and further may purchase supplemental insurance to Medicare thereafter. SECTION 3: The City Clerk of the City of Vernon shall certify to the passage of this resolution and thereupon and thereafter the same shall be in full force and effect. APPROVED AND ADOPTED this 27th day of June, 2001. ATTEST: BRUCE V. MALKENHORST, City Clerk LEONIS C. MAL RG, Mayo - 3 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 STATE OF CALIFORNIA ) )ss COUNTY OF LOS ANGELES ) I, BRUCE V. MALKENHORST, City Clerk of the City of Vernon, do hereby certify that the foregoing Resolution, being Resolution No. 7799, was duly adopted by the City Council of the City of Vernon at an adjournedregular meeting of the City Council duly held on Wednesday, June 27, 2001, and thereafter was duly signed by the Mayor of the City of Vernon. (SEAL) BRUCE V. MALKENHORST, City Clerk - 4 - 0 SUPPORTING DOCUMENTS CITY COUNCIL LEONIS C. MALBURG Mayor THOMAS A. YBARRA Mayor Pro-Tem WM. 'BILL" DAVIS Councilman H. "LARRY" GONZALES Councilman W. MICHAEL MCCORMICK Councilman BRUCE V. MALKENHORST City Administrator / City Clerk FAX (323) 581-7924 CITY HALL 4305 SANTA FE AVENUE, VERNON, CALIFORNIA 90058 TELEPHONE (323) 583-8811 EDUARDO OLIVO City Attorney FAX: (562) 927-8722 KEVIN WILSON Director of Community Services & Water FAX: (323) 588-2761 KENNETH J. DeDARIO Director of Municipal Utilities FAX: (323) 583-1983 STEVEN E. PARKER Fire Chief FAX: (323) 581-1385 BRUCE W. OLSON Police Chief FAX: (323) 583-5236 June 6, 2001 Finance Committee City of Vernon Honorable Members: As part of the proposed budget for the 2001-2002 fiscal year, it is hereby recommended that the City continue to pay the medical/dental and life insurance premium for all full-time regular miscellaneous employees, all management employees including Police Lieutenants, all Fire Department employees, Group II employees of the Police Department, and dependents of said employees. Very truly yours, Bruce V. Malkenhorst Director of Finance BVM/gst