Resolution No. 2013-045RESOLUTION NO. 2013-45
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
VERNON AMENDING THE RETIREE MEDICAL/DENTAL BENEFIT
PLAN RELATING TO THE VERNON POLICE MANAGEMENT
ASSOCIATION
WHEREAS, on July 31, 2012, pursuant to the City of Vernon
Employer -Employee Resolution No. 4027, the City recognized the Vernon
Police Management Association ("VPMA") as a recognized employee
organization; and
WHEREAS, pursuant to Resolution No. 2012-115, VPMA employees
shall receive the same retiree medical/dental benefits as set forth in
the Vernon Police Officers Benefit Association's ("VPOBA") Memorandum
of Understanding ("MOU"); and
WHEREAS, the VPOBA and the City of Vernon have agreed to
amend the MOU to amend the VPOBA Retiree Medical/Dental Benefit Plan;
IT811
WHEREAS, the City desires to amend the Retiree Medical/Dental
Benefits relating to the VPMA.
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 hereby
finds and determines that the above recitals are true and correct.
SECTION 2: The City Council of the City of Vernon finds
that this action is exempt under the California Environmental Quality
Act (CEQA), in accordance with Section 15061(b)(3), the general rule
that CEQA only applies to projects that may have an effect on the
environment.
SECTION 3: The City Council of the City of Vernon hereby
amends the Retiree Medical/Dental Benefits relating to the VPMA as
provided in the City of Vernon Proposal to the City of Vernon Police
Management Association, a copy which is attached hereto as Exhibit A.
SECTION 4: The City Council of the City of Vernon hereby
instructs the City Administrator, or his designee, to take whatever
actions are deemed necessary or desirable for the purpose of
implementing and carrying out the purposes of this Resolution and the
transactions herein approved or authorized, including but not limited
to, any nonsubstantive changes to the Proposal attached herein.
SECTION 5: The Interim City Clerk, or Deputy City Clerk of
the City of Vernon shall certify to the passage, approval and adoption
of this resolution, and the Interim City Clerk, or Deputy City Clerk,
of the City of Vernon shall cause this resolution and the Interim City
Clerk's, or Deputy City Clerk's, certification to be entered in the
File of Resolutions of the Council of this City.
APPROVED AND ADOPTED this 16th day of April, 2013.
Name: W. Michael McCormick
Title: Mayor /
Interim City Clerk / Deputy
APPROVED AS TO FORM:
Zayna M ussa, Deputy City Attorney
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STATE OF CALIFORNIA )
) ss
COUNTY OF LOS ANGELES )
I, Dana Reed Interim City Clerk i- / n^r lr Lr - i f
the City of Vernon, do hereby certify that the foregoing Resolution,
being Resolution No. 2013-45, was duly passed, approved and adopted by
the City Council of the City of Vernon at a regular meeting of the City
Council duly held on Tuesday, April 16, 2013, and thereafter was duly
signed by the Mayor or Mayor Pro-Tem of the City of Vernon.
Executed this a day of April, 2013, at Vernon, California.
(SEAL)
Inter
City Clerk
- 3 -
EXHIBIT A
The City of Vernon Proposal to the
City of Vernon Police Management Association
The following is the City of Vernon's Proposal presented on February 28, 2013 in accordance
with the 2012/2014 VPOBA.MOU regarding continuation of negotiations regarding the City's
Retiree Medical after the MOU was ratified and signed by both parties on June 18, 2012. If
approved, the terms of this proposed agreement would be deemed effective as of July 31, 2012.
Retiree Medical/Dental Benefit Plan
Employees must retire from the City of Vernon under a CalPERS Benefit Formula (i.e. Age 50
or 57 Formula) to be eligible for Retiree Medical/Dental Benefits.
The City shall pay up to $1,100 per month towards the employee's option of the City's medical
and dental insurance programs for the employee and his/her eligible spouse in the
classifications represented by the Vernon Police Management Association who have been
employed as sworn Peace Officers for a minimum of twenty (20) years and a minimum of 10
years of that service has been in the employment of the City of Vernon. The maximum $1,100
City contribution shall be applied only toward a city provided medical and dental premium plan
payment and shall have no cash surrender value.
The City's contribution toward the Retiree Medical/Dental Benefit Plan shall continue for said
retired employee and eligible spouse up to the age of sixty-five (65). Upon reaching the age of
sixty-five (65), the retiree and/or eligible spouse shall apply for Medicare coverage, whereupon
the City's insurance shall become supplemental coverage. The City shall pay up to 100% of the
cost to provide any Medicare supplemental medical and dental insurance plan offered by the
City of Vernon, not to exceed $1,100 per month. The City will not be the primary insurance
carrier once the retiree and/or employee reaches the age of sixty-five (65). If the retiree or
eligible spouse fails to timely obtain and maintain Medicare coverage, the City shall not be
required to provide any medical/dental benefits until such Medicare coverage is obtained and
maintained. The maximum $1,100 City contribution shall be applied only towards a City
sponsored Medicare supplemental medical and dental premium plan payment and shall have no
cash surrender value.
All retired employees with a minimum of ten (10) years of continuous uninterrupted service with
the City may pay the City's premium cost for medical and dental insurance up to the age of
sixty-five (65) after which time Medicare will become the primary insurance carrier. The retired
employee may remain on the City's supplemental insurance to Medicare at his/her cost
provided the retiree has timely obtained and maintains Medicare coverage.
Should the retired employee fail to pay his/her required cost of the insurance premium for the
City's medical/dental benefit plan for any three (3) consecutive months or, should the coverage
otherwise lapse for any reason other than City's non-payment, then the City's obligation to
maintain the retiree's medical/dental benefit plan shall automatically terminate without the need
for further notice.
Ratified and Accepted March 12, 2013
Teresa McAllister,
Chief Negotiator/Director of Human Resources
City of Vernon
Jerry Winegar, President
Vernon Police Management Association
CITY CLERK'S OFFICE
INTEROFFICE MEMORANDUM
DATE: April 22, 2013
TO: Teresa McAllister, Chief Negotiator/Director of Human Resources
Jerry Winegar, President — Vernon Police Management Association
FROM: Deborah Juarez, Records Management Assistant P
RE: Resolution No. 2013-45 A Resolution of the City Council of the City of Vernon
Amending the Retiree Medical/Dental Benefit Plan Relating to the Vernon Police
Management Association
Transmitted herewith is an original fully executed proposal and a copy of Resolution No. 2013-45
referenced above, which was approved by City Council on April 16, 2013.
Thank you.
Attachment
c: Mark Whitworth
Resolution No. 2013-45
6; lae -/5
CONTRACT/AMENDMENT SIGNATURE ROUTING FORM
CONTRACT IS: ❑ FEDERAL ❑ PREVAILING WAGE ❑ COMPETIVE SELECTION & NOTICED RFP
❑ COMPETITIVE BID & NOTICED INVITATION TO BID
8-ftXEMPT FROM COMPETITIVE PROCESS (APPROVAL ATTACHED)y-yy'��
❑ SERVICES O M.1Aj�E-RIALS O BUDGETED NOT BUDGETED ,(OZrtrsv
TOTAL CONTRACT VALUE: $ N " ' Charge Aect. No(s) 1)14
Amendment Value $ /`' ❑ Contract is an Amendment to Contract No. - (if Applicable)
RESPONSIBLE DEPARTMENT PEERSON: (` /I HONE:X���
AUTHORIZATION: �'Appr ved
��by Council on
(Check One) Resolution No. (if applicable)
❑ Approved by City Administrator on
Note: Attach supporting documentation
OAmendment Approved by (if applicable)
ROUTING SEQUENCE: (Please Follow In Order - Do not use N/A) Initials Date
(1) Responsible Department Person
Checks substance of contract and assembles two (2) copies of
Contract, required AA, insurance & bond documents, certifies compliance
With Competitive Bidding and Purchasing Ordinance
(2) Liability and Claims
Approves insurance and sureties, if bonds required
(3) Finance (Purchasing)
Checks compliance with Competitive Bidding &Living Wage Ordinances
And reflected in current budget
(4) City Attorney r
Approves contract as to form, verifies bonds and insurance included
(5) City Signatory
Signs all copies on behalf of City
(6) City Clerk
Attests signatures, numbers, files contract, insurance and bonds, and f 1 � J15
transmits duplicate original to contractor)' }
Rev. 2/25/13
The City of Vernon Proposal to the
City of Vernon Police Management Association
The following is the City of Vernon's Proposal presented on February 28, 2013 in accordance
with the 2012/2014 VPOBA MOU regarding continuation of negotiations regarding the City's
Retiree Medical after the MOU was ratified and signed by both parties on June 18, 2012. If
approved, the terms of this proposed agreement would be deemed effective as of July 31, 2012.
Retiree Medical/Dental Benefit Plan
Employees must retire from the City of Vernon under a CalPERS Benefit Formula (i.e. Age 50
or 57 Formula) to be eligible for Retiree Medical/Dental Benefits..
The City shall pay up to $1,100 per month towards the employee's option of the City's medical
and dental insurance programs for the employee and his/her eligible spouse in the
classifications represented by the Vernon Police Management Association who have been
employed as sworn Peace Officers for a minimum of twenty (20) years and a minimum of 10
years of that service has been in the employment of the City of Vernon. The maximum $1,100
City contribution shall be applied only toward a city provided medical and dental premium plan
payment and shall have no cash surrender value.
The City's contribution toward the Retiree Medical/Dental Benefit Plan shall continue for said
retired employee and eligible spouse up to the age of sixty-five (65). Upon reaching the age of
sixty-five (65), the retiree and/or eligible spouse shall apply for Medicare coverage, whereupon
the City's insurance shall become supplemental coverage. The City shall pay up to 100% of the
cost to provide any Medicare supplemental medical and dental insurance plan offered by the
City of Vernon, not to exceed $1,100 per month. The City will not be the primary insurance
carrier once the retiree and/or employee reaches the age of sixty-five (65). If the retiree or
eligible spouse fails to timely obtain and maintain. Medicare coverage, the City shall not be
required to provide any medical/dental benefits until such Medicare coverage is obtained and
maintained. The maximum $1,100 City contribution shall be applied only towards a City
sponsored Medicare supplemental medical and dental premium plan payment and shall have no
cash surrender value.
All retired employees with a minimum of ten (10) years of continuous uninterrupted service with
the City may pay the City's premium cost for medical and dental insurance up to the age of
sixty-five (65) after which time Medicare will become the primary insurance carrier. The retired
employee may remain on the City's supplemental insurance to Medicare at his/her cost
provided the retiree has timely obtained and maintains Medicare coverage. .
Should the retired employee fail to pay his/her required cost of the insurance premium for the
City's medical/dental benefit plan for any three (3) consecutive months or, should the coverage
otherwise lapse for any reason other than City's non-payment, then the City's obligation to
maintain the retiree's medical/dental benefit plan shall automatically terminate without the need
for further notice.
Ratified and Accepted Mar 12, 2013
s
Teresa McAllister,
Chief Negotiator/Director of Human Resources
City of Vernon
tion
MAR 2 1 2015 . STAFF REPORT
CITY CLEWS OFFIUE ADMINISTRATION DEPARTMENT
DATE:
TO:
N M1]u E
April 16, 2013
Honorable Mayor and City Council
Mark C. Whitworth, City Administrator .
RE: A RESOLUTION OF THE CITY
CALIFORNIA, AMENDING
BENEFIT PLAN AS IT RE
MANAGEMENT ASSOCIATION
Recommendation
It is recommended that the City Council:
COUNCIL OF THE CITY OF VERNON,
THE RETIREE MEDICAL/DENTAL
LATES TO THE VERNON POLICE
1) Find that approval of the proposed resolution amending the Retiree Medical/Dental
Benefit Plan as it relates to the Vernon Police Management Association is exempt under
the California Environmental Quality Act (CEQA) in accordance with Section
15061(b)(3), the general rule that CEQA only applies to projects that may have an effect
on the environment.
2) Approve and adopt the attached resolution amending the Vernon Police Management
Association Retiree Medical/Dental Benefit Plan.
Background
On July 31, 2012, pursuant to the City of Vernon Employer -Employee Resolution No. 4027, the
City recognized the Vernon Police Management Association (VPMA) as a recognized employee
organization. In accordance with Resolution No. 2012-115, Police Management employees shall
receive the same retiree medical benefits as set forth in the respective section of the Vernon
Police Officers Benefit Association's (VPOBA) Memorandum of Understanding (MOU).
As a result of the 2012-2014 negotiations between the City and the VPOBA, both parties agreed
to continue negotiations regarding the City's Medical and Retiree Medical after the MOU was
ratified and signed by both parties. The VPOBA and the City agreed to examine all components
of the City's medical and retiree medical insurance programs. If any agreements were ultimately
reached and ratified by both parties relative to these specific sections, those agreements would
then be incorporated into the MOU.
This report recommends City Council approval of changes to Retiree Medical Benefits and
proposes the attached contract language be incorporated into a forthcoming MOU between the
City and the VPMA. Currently, there is no stand-alone MOU in effect between the City and the
VPMA.
Members of city staff, and representatives of the VMPA, met and conferred, and reached
agreement on the proposed contract language, subject to the approval of the City Council.
Key provisions of the proposed agreement, presented for the Council's approval include:
• The City shall pay up to a maximum of $1,100 per month towards the employee's option
of the City's medical and dental insurance programs for the employee and his/her eligible
spouse.
• To qualify, employees must have been employed as sworn Peace Officers for a minimum
of 20 years and a minimum of 10 years of that service has been in the employment of the
City of Vernon.
• The premium plan payment shall have no cash surrender value.
• Upon attaining the age of 65, retirees and their eligible spouses shall apply for Medicare
coverage, whereupon the City's insurance shall become supplemental coverage to
Medicare.
• All retired employees with a minimum of ten years of continuous service may continue
under the City's medical and dental insurance and pay the City's premium cost.
If approved, the terms of the proposed agreement would be deemed effective as of July 31, 2012.
The City and the Association are continuing discussions and will be participating in a city-wide
committee to examine all components of the City's Medical Insurance Programs.
Fiscal Impact
There is no additional fiscal impact to the adoption of the addendum as it relates to the Retiree
Medical/Dental Plan. The fiscal impact remains approximately $26,400 per year and is already
included in the departmental line item budget.