2005-169RESOLUTION N0.2005- 1. 6~
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM
AMENDING RESOLUTION N0.92R-17 WHICH ESTABLISHED
PERSONNEL RULES FOR MANAGEMENT, CONFIDENTIAL AND
NON-REPRESENTED PART-TIME CLASSIFICATIONS
WHEREAS, the Human Resources Director has recommended in a staff report
dated August 23, 2005, that Resolution No. 92R-17 be amended in the manner hereinafter set
forth, and
WHEREAS, the City Council of the City of Anaheim does find that amending
Resolution No. 92R-17 is in the best interest of the City of Anaheim; and
WHEREAS, as a result thereof, the need exists to amend Resolution No. 92R-17
which established Personnel Rules for Management, Confidential and Part-Time Non-
Represented classifications.
NOW, THEREFORE BE IT RESOLVED by the City Council of the City of
Anaheim as follows:
1. That, Section 23.61 of Personnel Rule 23 be revised to read as follows:
23.61.1 "The City vyill implement Govemment Code §21345.5 benefits ("2.7 an.
55") to be effective on or before December 29, 2005, contingent upon
agreement being reached with all miscellaneous bargaining units. The
incremental cost of 6.4% of employee compensation to implement
Government Code X21354.5 ("2.7 ~ 55") retirement benefits shall be
paid by employees through a reduction in the City's contribution to post-
retirementmedical benefit reserving costs of approximately 4.0% of
~~ employee compensation, and a reduction in general salary adjustments of
2.5% through fiscal near 2008109.
23.61.2 The following special conditions shall apply with respect to the
implementation of Government Code §21345.5 benefits ("2.7 ~a 55).
i. The incremental cost to implement Government Code §21345.5
retirement benefits of fi.4% of employee compensation shall be the
ongo nc~defined contribution by the City.
Anv variances in the employer .rate attributable to the implementation of
Government Code X21345.5 ("2.7 an. 55") retirement benefits shall
accrue tq the employee. All proportional costs above the 2005106
employer rate of 15.063% shall be paid by the employee. All
proportional reductions below the 2005106 employer rte of 15.063% to
the floor of 8.626% shall be paid to the employee. "Proportional costs"
and "proportional reductions" mean the ratio between the unmodified
2005106 PERS employer rate of 8.626%, and the modified PERS
employer rate of 15.063%; such that 42.6% of any variance from the
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2005106 PERS employer rate of 15.063% shall accrue to the employee.
iii. A rate variance shall be calculated for a fiscal year based upon the
CaIPERS employer rate assessed for the PERS Miscellaneous Plan for
Anaheim City, Employer Number 303. If the rate exceeds 15.063%,
employees shall pay the proportional difference in the form of a
biweekly payroll deduction. If the rate is less than 15.063% (to the floor
of 8.626°r6). employees shall receive a proportional difference in the
form of an addition to the employee's biweekly pay check. Adiustments
to pay under the provisions of this Section shall be based upon biweekly
PERS reportable compensation.
iv. The City shall continue to contribute a portion of the statutorily required
employes retirement contribution for full-time Confidential and
Management employee=part-time unrepresented employ_
..~ enrolled in CaIPERS who are infull-time equivalent classification, in the
amount of seven percent (7%) of the employee's reportable
compensation to CaIPERS. Employees shall be responsible for the
additional statutorily required employee retirement contribution of one
percent (1%) of the employee's reportable compensation."
v. The City shall continue to contribute a portion of the statutorily required
em_ ployee, retirement contribution for part-time employees enrolled in
CaIPERS who are in classifications that do not have afull-time equivalent
classification, in the amount of 3.25% of the employee's reportable
compensation to CaIPERS. Employees shall be responsible for the
additional statutorily required employee retirement contribution of 4.75% of
the=gee's reportable compensation."
2. That, Sections 33.0, 33.1, 33.2, 33.3, 33.4, 33.5, 33.6, 33.7 and 33.8 of
Personnel Rule 33, be revised to read as follows:
"Section 33.0 Retired employees (Miscellaneous and Safety) who are receiving a
post-retirement medical benefit from ANAHEIM on the date the City Council
approves this RULE revision, shall continue to receive such benefits in
accordance with the provisions of Personnel Rule 33 that was in effect at the
time of their retirement.
33.1 Regular, full-time employees (Miscellaneous and Safety) covered by this
RULE who are enrolled as asubscriber in aCity-sponsored health plan at
the time of separation from ANAHEIM service shall be eligible to participate
in any ANAHEIM sponsored health plan (medical and dental) as a retiree
subject to the following terms and conditions:
33.1.1 The employee must be credited with at least ten (10) years of
continuous, full-time ANAHEIM service on the date of retirement, and
33.1.2 The employee must have been awarded a retirement from the
Public Employees' Retirement System ("PERS) as the reason for
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separation from ANAHEIM service, and
33.1, 3 PERS retirement benefits must commence no later than the first
day of the month following the date of separation from ANAHEIM
service, or
33.1_4 The employee must have been awarded a disability retirement
~Ordinary or Industrial) from PERS as the reason for separation
from ANAHEIM service.
33.2 The City shall provide separate contributions towards the premium costs of
the ANAHEIM sponsored medical andlor dental plans elected by the
employee according to the followin schedule:
33.2.1 For Service Retirements, the contributions shall be a percentage of
the annual contributions made by ANAHEIM on behalf of active
employees, the percentage equal to one and one-half (15) times
the miscellaneous 2% al. fi0 PERS retirement schedule to a
maximum contribution of 95% based on the employee_'s age and
consecutive nears of City service at the time of retirement.
ANAHEIM service and the retiree's age shall be calculated to the
nearest complete one-quarter (114) near.
33.2.2 The percentage shall be one and two-tenths (1.2) times the 2%
50 Local Public AQpncv Safety PERS retirement schedule for
employees in classifications assigned to the Safety retirement
group. Such percentage shall not exceed ninety-fve percent (95%)
and shall be based on the employee's age and consecutive nears
of Anaheim service at the time of retirement. Anaheim service and
the retiree's age shall be calculated to the nearest complete one
quarter (114) year.
33.2.3 For Disability Retirements, the contribution shall be a aercentage of
the annual contributions made by ANAHEIM on behalf of active
employees, the percentage equal to 2% for each near of service to
a maximum contribution of 95% based on the employee's
conser~utive years of City service shall be calculated to the nearest
complete one quarter (114) year;
33.2.4 In the event an employee is eligible for both a Service and a
Disability Retirement benefit under this RULE, the employee shall
receive the Service Retirement benefit.
33.2.5 The ANAHEIM contribution shall be based on the Two Party or
Family rate only for those employees who properly enroll a
dependent spouse or registered domestic partner and/or other
family members prior to retirement, and shall continue only as long
as the retiree maintains coverage for such dependents in City
sponsored health plans. Nothing in this RULE shall prevent a
retiree from properly enrolling new dependents at the retiree's cost
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33.2.6 The full value of any Medicare credits provided to ANAHEIM or
Medic~lre surcharges imposed on ANAHEIM by virtue of a retiree's
participation ornon-participation in Medicare shall be passed onto
the retiree in the form of reduced or increased premium costs.
33.2.7 The surviving spouse or registered domestic partner of the retiree
may continue coverage under the same terms and conditions
provided that the surviving spouse or registered domestic partner
was properly enrolled at the time of the employee's retirement and
that dependent coverage was continuously maintained during the
e=gee's retirement.
33.3 Employees covered under this RULE who are in the PERS Miscellaneous
Group and retire on or after January 1, 200fi, shall be credited with City
service accrued through December 31, 2005, for the purpose of
de#ermininq eligibility and benefit levels under the provisions of Sections
33.1 and 33.2 above.
33.4 The following provisions shall apply to=gees covered under this RULE
who are in the PERS Miscellaneous Group and retire on or after January 1,
2006, and who are receiving post-retirement medical benefits under the
provisions of Sections 33.1 and 33.2.
33.4.1 Only ANAHEIM service accrued through December 31, 2005, shall
be credited to the employee in detem~ining the City's percentage
contribution towards the premium costs of the plan(s~ elected by the
retiree.
33.4.2 Retirees shall be required to enroll in Medicare Parts A and B upon
establishing eligibili#y. Failure to enroll when eligible will result in
cancellation of coverage.
33.4.3 Under no circumstances shall the City contribute towards the costs
o=y,dependents, except a spouse, registered domestic partner or
Totally Disabled Child (as described in the medical provider
contract) who was properly enrolled at the time of the employee's
retirement.
33.5 The following conditions shall apply to all retirees (Miscellaneous and Safety)
who have post retirement medical benefit coverage under this RULE:
33.5.1 Once cancelled for any reason, coverage shall not be reinstated.
33.5.2 Coverage shall be cancelled for non-payment of fees after three
months in arrears.
33.5.3 There shall be Coordination of Benefits where other insurance exists.
33.5.4 Retirees may change plans and add dependents only during the
annual open enrollment period, except that the surviving spouse or
registered domestic partner of a retiree may not enroll a new spouse
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or registered domestic partner.
33.6 Regular, full-time employees in the PERS Miscellaneous Group who are
covered by this RULE and were hired on or after January 1,1996 and before
January 1, 2002, are not covered under the provisions of Sections 33.0,
33.1, 33.2, 33.3, 33.4 and 33.5 of this RULE. Such employee_
participate in an Integral Part Trust ("RHS clan") designed to arovide
reimbursement of qualified medical expenses upon retirement or separation
from City service. "Qualified medical expenses" are those expenses
authorized under the provisions of Internal Revenue Code Section 213.
33.6.1 The City shall make cone-time employer contribution to the RHS
Account of each full-time PERS Miscellaneous employee covered
under this RULE who was hired on or after January 1,1996 and prior
to January 1, 2002 and who is an active employee on January 13,
2006. The contribution shall be deposited to each eligible employee's
RHS account no later than January 20, 2006. The contribution shall be
seventy dollars ($70.00) for each comple#e month of full-time serrrice
calculated from the employee's date of hire to December 31, 2005;
except that under no circumstances shall the contribution be less than
three thousand dollars ($3,000.00).
33.6.2 Employees shall be fully vested in all ANAHEIM contributions made
on their behalf after five (5) years of continuous ANAHEIM service.
33.6,3 PERS Miscellaneous employees covered by this RULE who were
hired on or after January 1,1996 and before January 1, 2002, shall
make an employee contribution to their individual RHS Account
accordin_g to the following schedule:
33.6.3.1 Effective January 13, 2006, such employees shall
contribute one percent (1.0%) of their gross biweekly pa_y
to their individual RHS Account.
33.6.3.2 Effective January 12, 2007, such employees shall
contribute two percent (2.0%) of their biweekly pay to their
individual RHS Account.
33.6.3.3 Effective February 8.2008. such employees shall
contribute three percent (3.0%) of their gross biweekly pay
to their individual RHS Account.
33.6.4 Employees required to participate in the RHS Plan as defined in
Section _33.6 of this RULE shall be given an opportunity each year to
elect (during the November open-enrollment process) to contribute
(in increments of % hour) sick leave hours to be eamed
prospectively in the upcoming calendar near. Employees shall be
required to accrue a minimum of one (1) hour of earned Sick Leave
time per pay period. The remaining balance earned per pay period
shall be available for deferral to the individual employee's RHS
Account as designed by the employee. Such deferrals shall be
I:IHRDSharadlVKILMUR10T4025VK.DOC
converted to cash at the employee's regular hourly rate of pay_d
deposited to the employee's individual RHS Account as they,_
earned. Contributions under the provisions of this Section shall be
designated as pre-tax contributions.
33.6.5 Employees required to participate in the RHS Plan as defined in
Section 33.fi of this RULE shall be given an opportunity each year to
elect (during the November open-enrollment process) to contribute
(in increments of % hour) vacation leave hours to be earned
prospectively in the upcoming calendar year. Employees shall be
required to accrue a minimum of three (3) hours of earned Vacation
Leave time per pay period. The remaining balance earned per pay
period shall be available for deferral to~ the individual employee's
RHS Account as designed by the employee. Such deferrals shall
be converted to cash at the employee's re ular hourly rate of pay,
and deposited to the employee's individual RHS Account as then
are earned. Contributions under the provisions of this Section shall
be designated as pre-tax contributions.
33.6.6 Any employee who separates City service for any reason will be
eligible to withdraw vested funds for reimbursement of eligible
medical expenses without regard to the employee's age or nears of
service. Employee premium contributions for employer-provided
group health insurance provided by other employers are not an
eligible medical expense.
33.6.7 E_mplo}(ees hired on or after January 1,1996 who have completed
ten (10) nears of consecutive ANAHEIM service, and who are
awarded a retirement from PERS as the reason for separation from
ANAHEIM service shall be allowed access to ANAHEIM sponsored
group health plans as a retiree.
33.7 On December 26, 2008, and annually thereafter. the City shall make a
contribution to the individual account of each employee in full-time
classifications covered by this RULE who are in the PERS Miscellaneous
Group and hage an established RHS account (Mandatory or Voluntary
Plans, regardless of hire date). The contribution shall be equal to one
percent (1 %1 of the average annual base compensation of all full-time
emgloyees in the miscellaneous service, excepting e_love_
classifications represented by the IBEW. The average annual base
compensation shall be calculated by annualizing the includable biweekly
payroll for the pay period that includes the first of December each year, and
dividing by the number of includable employees.
33.8 Employees hired prior to January 1,1996, may el,_ ect to participate in a
voluntary Retirement Health Savings Plan as defined under Section 23.8 of
Personnel Rule 23 (Insurance, Pensions and Perguisitesl.~
BE IT FURTHER RESOLVED that the effective date of this Resolution shall be
upon adoption by adoption by City Council.
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AND, BE IT FURTHER RESOLVED that except as amended herein, Resolution
No. 92R-17 shall remain I full force and effect.
THE FOREGOING RESOLUTION is approved and adopted by the City Council
of the City of Anaheim this rd day of august , 2005, by the following roll call vote:
AYES: Mayor Pringle, Council Members Sidhu, Hernandez, Galloway, Chavez
NOES: None
ABSENT; None
ABSTAIN: None
ATTE,S~
lY CLER OFT E CITY OF ANAHEIM
APPROVEJY~S TO Ff~M:
JACK L. KHIT , CIS( A~OR ~
MAYO OF THE C F ANAHEIM
~~
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RULE 23. INSURANCE, PENSIONS, AND PERQUISITES
Section 23.0 The following shall be provided for all active full-time confidential and management employees:
23.1 Health Insurance
23.11 The City shall offer the Kaiser Foundation Health Plan, and other prepaid andlor insured health
plans recommended by the Joint Committee on Medical Programs and approved by the City
Council. Health Maintenance Organization (HMO) benefit schedules shall require a $10 00-
paymentfor autpatientand physician services.
23.12 City and Employee Contributions
23.12.1 The City shall contribute towards the monthly cost of health coverage to the various
medical plans through 2002 as follows:
^ Approved HMO Plans 100% of the monthly rate
^ All Other Health Plans 130% of the Kaiser monthly rate
23.12.10 Effective 2003, the City shall increase its contribution to the premiums
for the various health plans each January. This contribution shall be
based on the Consumer Price Index, All Items Index -Urban Wage
Earners and Clerical Employees (CPI-W), for the area identified as
Las Angeles -Riverside -Orange County. The increase in the City's
contribution shall be equal to the percent change for the year ending
July of the prior calendar year plusseventy-five percent (75%) of any
amount above the CPI-W. (For example, the City's increase in
contribution for calendar year 2003 shall equal the percent change in
the CPI-W for the year ending May 2004, plus 75% of the amount of
the health premium increase that exceeds the percent change in the
CPI-W for the year ending May 2004).
23.12.2 Employee Contributions
23.12.21 Employees shall be required to contribute an amount equal to
100% of the excess amount over what is allowed under Section
23.12.10 of this RULE.
23.12.22 Employees, who are covered by another health plan, including
the dependent spouse of monied City employee couples, may
present proof of such coverage in order to receive $125 per
month in lieu of City provided health benefits. In the event an
employee who has elected this option loses health coverage for
any reason, and notifies the Csty of such loss within five (5}
working days, helshe may enroll immediately in any City plan.
Employees may re-elect this option annually during open
enrollment, or may enroll in a City plan.
23.12.3 For all medical plans, City employee couples shall be allowed only one medical plan
and only one dental plan to cover all family members and married City employee
couples covered by a single enrollment pay no health insurance premium while both
spouses are employed by the City. Or, may alternatively elect the "opt-out" payment
provided in Section 23.12.22.
23.12.3.1 Effective July 1, 2005, the City shall provide health cove rage to couples
who have filed a Declaration of Domestic Partnership with the California
Secretary of State ("Registered Domestic Partner").
23.12.4 Proof of marriage will be required of all employees enrolled in any City medical plan
to enroll a dependent spouse.
Personnel Rule 23 -Insurance, Pensions and Perquisites
Page 2
23.12.5 The Master contract between the City and the plan administrator shall govern in the
event of any disputes over any matter within the provisions of the contract.
23.13 Regular part-time employees in job classifications listed below, who are hired to work up to thirty
(30) hours per week on an ongoing basis (maximum 1,5fi0 hours in any fiscal year) shall be
provided health and welfare benef~s as long as they remain employed and available to work up to
1,560 hours per year. Job classifications eligible under the provisions of this Section 23.13 are as
follows:
Crowd Control Supervisor
Head Parking lot Attendant
Head Parking Lot Cashier
Head Usher
23.13.1 The City shall pay a monthly premium not to exceed 88% of monthly premium, to
maintain coverage in the single party Kaiser Plan for eligible employees enrolled in the
plan pllor to November 24, 2000. All additional premiums shall be the responsibility of
the eligible employee.
23.13.2 For employees who enroll in the Kaiser Plan on or after November 24, 2000, the City's
maximum contribution towards an employee's purchase of the Kaiser Plan shall be:
First 2 years of coverage 50% of the single party rate
More than 2 years of coverage 75% of the single party rate
All additional premiums shall be the responsibility of the eligible employee.
23.13.3 Employees become eligible for coverage on the first day of the month following one
complete calendar month after appointment to regular part-time status in accordance
with Section 23.13 above.
23.2 Life Insurance
23.21 The City shall make available $50,000 of Basic Group Term Life Insurance tofull-time_employees
covered by this RULE.
23.22 The City shall contribute one-half (1l2) the cost of the premium for Basic group_life insurance and
dependent coverage. The employee shall contribute the difference between the City contribution
and the total premium costs, but in no event shall the employee's contribution exceed the
contributions established for employees in the General City Employees Unit of Representation.
23.22.1 Dependent coverage with an insurance value up th $10,000 per dependent may be added
to the Basic Life Insurance coverage at the option of the employee.
23.23 The City shall make available supplemental term life insurance to Confidential employees of up to
$450,000 in increments of $50,OOO.One hundred percent (100%) of the cost of the supplemental
term life insurance shall be paid by the employee.
23.24 The City shall make available Supplemental Term Life Insurance to management employees as
follows:
23.24.1 The employee's allowable coverage under this component shall be limited so that
the Basic Life coverage and the Supplemental Life coverage together do not exceed
two (2) times the employee's base annual salary rounded up to the nearest $50,000.
The Supplemental Life coverage shall be adjusted each January.
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Personnel Rule 23 -Insurance, Pensions and Perquisites
Page 3
23.24.2 The City shall contribute the full cost of the premium for the Supplemental Life
coverage for Executive and Administrative managers.
23.24.3 The City shall contribute one-half (112) the cost of the premium for the Supplemental
Life coverage for all other management employees. The employee shall contribute
the difference between the City contribution and the full cost of the premium.
23.24.4 Management and Confidential employees and City Council members may also elect
Supplemental Life "Level 2" coverage. This coverage is fully paid by the employee
with no City Contribution. Management and Confidential employees may select
"Level 2" insurance of $50,000 - $550,000 in increments of $50,000. Benefit
amounts are subject to a combined basic and supplemental life maximum of the
lesser of seven (7) times base annual salary or $700,000. To qualify for °Level 2"
Supplemental Life, eligible Management and Confidential employees must enroll in
Basic Life and Supplemental Life coverage. City Council members are eligible for
$50,000 of Supplemental Life "Level 2" coverage at 100°~ City Council member paid
with no City Contribution.
If a Management and Confidential employee or City Council member elects "Level 2"
coverage, then they may elect Supplemental spouse/registered domestic partner (as
defined by California iaw) andlor dependent life coverage. Employees and City
Council members will pay 100 °~ of these costs with no City contribution.
Spauselregistered domestic partner amounts are $25,000 to $275,000 in increments
of $25,000, provided that the spouselregistered domestic partner amount of
insurance does not exceed 50% of the employee's amount. Dependent child
coverage is $10,000.
23.25 Any employee who retires shall receive apaid-up life insurance policy, paid for wholly by the City,
with a face value of $100.00 for each complete year of service and $50.00 for more than six months,
but less than a complete year of service up to a ma~amum of $2,000.
23.26 Employees who are permanently and totally disabled shall receive Permanent and Total Disability
Life Insurance under the following conditions;
23.26.1 Employees eligible to retire shall receive the following Life Insurance benefit:
(a) $100 paid up life insurance for each year of service as provided under the
Retired Life Insurance Program.
(b) Decreasing term life insurance in the amount of the employee's Basic Life
Insurance less the paid up life insurance described above. Such term life
insurance shall decrease by 1160 of the adjusted value each month until the
face value of such insurance reaches zero (5 years).
(c) The permanently and totally disabled employee will pay no premium during
the term of this benefit.
23.26.2 Employees not eligible to retire shall receive the following Life Insurance benefit:
(a) Decreasing term life insurance in the amount of the employee's Basic Life
Insurance. Such term insurance shall decrease by 1160 of the original
amount each monthly until the face value reaches zero (5 years).
(b) The permanently and totally disabled employee shall pay no premium during
the term of this benefit.
23.3 Lang Term Disability Benefits
23.31 The City shall provide long term disability insurance for all employees covered by this RULE.
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Personnel Rule 23 -Insurance, Pensions and Perquisites
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23.32 The City shall pay the premium for employee group long term disability insurance coverage in
accordance with the provisions of any contract between the City and any company or companies
providing such coverage.
23.4 Dental Plans
23.41 The City shall sponsor the Delta Dental Plan, the Safeguard Dental Plan, and other prepaid andlor
insured dental plans recommended by the Joint Committee on Medical Programs and approved by
the City Council.
23.42 Employees who select a dental plan other than Safeguard will be required to contribute an amount
equal to 100% of the excess amount over the Safeguard monthly rate.
23.5 Short Term Disability
23.51 The City shall provide the existing Short Term Disability plan in accordance with RULE 17. The
City shall pay the City's portion of medical, dental, life and optical insurance while the employee
collects short term disability benefits.
23.6 Pensions
0
. ..
.
~•
23.61 The City will implement Govemment Code X21345.5 benefits (°2.7 Caa 55") to be effective on or before
December 29.2005. contingent upon agreement being reached with all miscellaneous bargaining units.
The incremental cost of 6.4% of employee compensation to implement Govemment Code §21354.5
("2.7 C~ 55"l refirement benefits shall be paid by emaloyees through a reduction in the City's
contribution to post-retirement medical benefit reserving costs of approximately 4.0% of employee
compensation, and a reduction in general salary adjustments of 2.5% through fiscal year 2008109
23.61.1 The following special conditions shall apply with respect to the implementation of
Government Code §21345.5 benefits ("2.7 (~ 551
i. The incremental cost to implement Govemment Code §21345.5 retirement benefits of
6.4% of employee compensation shall be the ongoing defined contribution by the City.
Anv variances in the employer rate_attributable to the implementation of Government
Code §21345.5 ("2.7 ~ 55") refirement benefits shall accrue to the employee. All
proportional costs above the 2005/06 employer rate of 15.063% shall be paid by the
employee. All proportional reductions below the 2005106 employer rate of 15.063% to
the floor of 8.626% shall be paid to the employee. "Proportional costs" and "proportional
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Personnel Rule 23 -Insurance, Pensions and Perquisites
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reductions" mean the ratio between the unmodified 2005106 PERS employer rate of
8.626%. and the modified PERS employer rate of 15 063%: such that 42 6°~ of any
variance from the 2005106 PERS employer rate of 15 063°~ shall accrue to the
em to ee.
iii. A rate variance shall be calculated far a fiscal year based upon the CaIPERS employer
rate assessed for the PERS Miscellaneous Plan for Anaheim City. Employer Number
303. If the rete exceeds 15.063%. employees shall pay the proportional difference in the
from of a biweekly payroll deduction. If the rate is less than 15 063% (to the floor of
8.626°~ em to ees shall receive a ro r6onal difference in the from of an addition to
the employee's biweekly pay check. Adjustments to pay under the provisions of this
Section shall be based upon biweek~ PERS reportable compensation
iv. The City shall continue to contribute a portion of the statutorily required employee
retirement contribution for full-time Confidential and Manaaement employees and part-
time unrepresented employees enrolled in CaIPERS who are in full-time equivalent
classifications, inthe amoun# ofseven percent (7%) of the employee's reportable
compensation to CaIPERS. Employees shall be responsible for the additional statutorily
required employee retirement contribution of one percent (1 °~) of the employee's
reportab__le compensation.
v. The City shall continue to contribute a portion of the statutorily required employee
retirement contribution for unrepresented part time employees enrolled in CaIPERS who
are in classifccatians that do not have afull-time equivalent classification, in the amount
of 3.25% of the employee's reportable compensation to CaIPERS Employees shall be
responsible for the additional statutorily required employee retirement contribution of
4.75% of the employee's reportable compensation.
23.62 For Safety Plan Employees in the Public Employees Retirement System assigned to the Fire Safety
Management Unit, each employee shall pay the statutorily required employee PERS pension contributions.
However, pursuant to Section 414(h){2} of the Internal Revenue Code, those employee payments shall be
°Picked up" by the City and, thus, regarded as employer contributions.
23.G2.1 Effective November 11, 2001, the City's contract with the Public Employees Retirement
System, Fire Safety Plan, shall be amended to provide Govemment Code §21362.2
benefits t"3% (~ 50").
23.62.2 Effective June 18, 2004, employees covered under this Section 23.62 shall also be
required to pay 2.5~° of the employer PERS rate as a result of the "3% ~ 50" retirement
benefit.
23.63 For Safety Plan Employees in the Pubic Employees Retirement System assigned to the Police
Safety Management Unit, each employee shall pay the statutorily required employee PERS
pension contributions. However, pursuant to Section 414(h}(2) of the Intemal Revenue Code, those
employee payments shall be "picked up" by the City and, thus, regarded as employer contributions.
23.63.1 Effective July 6, 2001, the City's contract with the Public Employees Retirement System,
Police Safety Plan, shall be amended to provide Government Code §21362.2 benefits
23.63.2 Effective October 28, 2003, employees covered under this Section 23.63 shall also be
required to pay 2.5% of the employer PERS rate as a result of the "39~° ~ 50"
retirement benefit.
23.64 Upon amendment of the City's contract with the Public Employees Retirement Systems,
Miscellaneous Plan employees shall be eligible for 1} APre-Retirement Optional Settlement 2
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Personnel Ruie 23 -Insurance, Pensions and Perquisites
Page 6
Death Benefit and 2) The current $500 Retiree Death Benefit will be replaced with a $5,000 Retiree
Death Benefit.
23.64.1 Effective July 4, 2003, the City's contract with the Public Employees Retirement
System Police Safely Plan shall be amended to provide the Pre-Retirement Optional
Settlement 2 Death Benefit (Govemment Code §21548), and replace the current five
hundred dollar {$500) Retiree Death Benefit with a five thousand dollar {$5,000)
Retiree Death Benefit (Govemment Code §21623.5).
23.7 Retirement Health Savings Plan:
23.71 Full-time employees covered by this RULE, including City Attorney, City Clerk, City Manager and
City Treasurer, who is hiredlappointed on orafter January 1, 2002, shall participate in the Retirement Health
Savings Plan.
23.71.1 The City shall establish an Integral Part Trust for reimbursement of qualified medical
expenses. Qualified medical expenses are those expenses authorized in the Plan
document.
23.71.2 Each employee shall be required to contribute 1.5% of his or her gross biweekly pay to
the employee's individual member account.
23.71.3 The City shall make aone-time lump sum employer contribution of three thousand
dollars {$3,000) into an employee's individual member account upon the employee's
hire with the City. This amount is designated as a City contribution.
23.71.4 The Plan shall require a 5 year vesting period (cliff vesting) for any City provided
contributions.
23.71.4.1 If an employee terminates employment with the City prior to
completion of the 5 year vesting period, the initial $3,000 City
contribution plus earnings on the $3,000 shall revert back to the Plan
to offset future employer contributions as specified in the Plan
Document.
23.72 Employees covered under this Section 23.7 may elect to contribute, in one-half hour increments,
sick leave hours, vacation hours andlor paid leave hours under the following conditions:
Sick Leave -Employees shall be required to bank a minimum of one (1) hour of eamed sick leave
per pay period to their individual sick leave accrual account. The remaining balance earned per
pay period shall be available for deferral to the Retirement Health Savings Plan as designated by
the employee.
Vacation -Employees shall be required to bank a minimum of three (3) hours of eamed vacation
per pay period to their individual vacation accrual account. The remaining balance eamed per pay
period shall be available for deferral to the Retirement Health Savings Plan as designated by the
employee.
Paid Leave -Employees shall be required to bank a minimum of six (6) hours of eamed paid leave
per pay period to their individual paid leave accrual account. The remaining balance eamed per
pay period shall be available for deferral to the Retirement Health Savings Plan as designated by
the employee.
23.71.1 Such hours shall be designated prospectively and eamed in the following calendar
year. This election must be done by November 30th for the following year's
contributions.
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Personnel Rule 23 -Insurance, Pensions and Perquisites
Page 7
23.72.2 The cash conversion of such hours shall be at the employee's base hourly rate and shall be
deposited into the employee's individual member account at the close of each biweekly pay
period.
23.73 Employees are eligible to withdraw funds for reimbursement of qualified medical expenses
including the employee's share of medical insurance premiums for plans provided by the City at
age 50 and after five years of service with the City.
23.74 Employees who separate City service for any reason will be eligible to withdraw vested funds for
reimbursemen# of eligible medical expenses without regard to the empoyee's age or years of
service. Employee contributions for employer-provided group health insurance provided by other
employers are not an eligible medical expense for the purpose of this plan.
23.75 Employees covered under this Section 23.7, who have completed at least ten {10) years of
consecutive City service, and who are awarded a retirement from PERS as their reason for
separation from City service shall be allowed access to City sponsored group health plans as one
of their coverage options.
23.76 Upon the death of an employee, the surviving spouse andlor eligible dependents are immediately
eligible to maintain the individual member account and to utilize any vested portion to fund eligible
medical benefits.
23.77 If any provision of Section 23.7 of this Rule is at any time or in any way held to be contrary to any
law by any court of proper jurisdiction or expressly prohibited by a Private Letter Ruling by the
Internal Revenue Service, the remaining provisions shall not be effected thereby, and shall remain
in full farce and effect.
23.78 Members of the City Council and Redevelopment Agency are not eligible under the provisions of
Section 23.7 of this RULE.
23.8 Full-time employees covered under this Rule including City Attorney, City Clerk, City Manager, and City
Treasurer, hiredlappointed prior to January 1, 2002, are eligible to participate in the Retirement Health
Savings Plan as defined in Sections 23.81 through 23.91 of this Rule.
23.81 Employees hired prior to January 1, 2002, shall be allowed the opportunity to elect to participate in
the Plan. Once made, this election shall be irrevocable. Such election may be made at any time.
Mandatory compensation contributions shall begin the pay period following sign-up as defined
under Section 23.82 of this Rule. Contributions from sick leave hours, vacation hours, andlor paid
leave hours shall be in accordance with Section 23.85 of this Rule.
23.82 Employees in the Plan shall be required to con#ribute 1 % of his or her gross biweekly pay to the
employee's individual member account.
23.83 NO lump-sum City contribution is provided.
23.84 Employees are immediately vested since all funds are from employee contributions.
23.85 Employees covered under this Section 23.8 may elect to contribute, in one-half hour increments,
sick leave hours, vacation hours andlor paid leave hours under the following conditions:
Sick Leave -Employees shall be required to bank a minimum of one (1) hour of eamed sick leave
per pay period to their individual side leave accrual account. The remaining balance earned per
pay period shall be available for deferral to the Retirement Health Savings Plan as designated by
the employee.
Vacation -Employees shall be required to bank a minimum of three (3) hours of eamed vacation
per pay period to their individual vacation accrual account. The remaining balance eamed per pay
vkilmurraylHRDsharedlllRule23F
Personnel Rule 23 -Insurance, Pensions and Perquisites
Page 8
period shall be available for deferral to the Retirement Health Savings Plan as designated by the
employee.
Paid Leave -Employees shall be required to bank a minimum of six (6} hours of earned paid leave
per pay period to their individual paid leave accrual account. The remaining balance eamed per
pay period shall be available for deferral to the Retirement Health Savings Plan as designated by
the employee.
23.85.1 Such hours shall be designated prospectively and eamed in the following calendar year.
This election must be done by November 30 for the following year's contributions.
23.85.2 The cash conversion of such hours shall be at the employee's base hourly rate and shall be
deposited into the employee's individual member account at the close of each biweekly pay
period.
23.86 Employees are eligible to withdraw funds for reimbursement of qualified medical expenses
including the employee's share of medical insurance premiums for plans provided by the City at
age 50 and after five years of service with the City.
23.87 Employees who separate City service for any reason will be eligible to withdraw vested funds for
reimbursement of eligible medical expenses without regard to the employee's age or years of
service. Employee contributions for employer-provided group health insurance provided by other
employers are not an eligible medical expense for the purpose of this plan.
23.88 Employees covered under this Section 23.8, who have completed at least ten (10}years of
consecutive City service, and who are awarded a retirement from PERS as their reason for
separation from City service shall be allowed access to City sponsored group health plans as one
of their coverage options.
23.89 Upon the death of an employee, the surviving spouse andlor eligible dependent are immediately
eligible to maintain the individual member account and to ufilize any vested por~on to fund eligible
medical benefits.
23.90 If any provision of Section 23.8 of this Rule is at any time or in any way held to be contrary to any
law by any court of proper jurisdiction or expressly prohibited by a Private Letter Ruling by the
Internal Revenue Service, the remaining provisions shall not be effected thereby, and shall remain
in full force and effec#.
23.91 Members of the City Council and Redevelopment Agency are not eligible under the provisions of
Section 23.8 of this RULE.
23.9 Uniformed personnel of the Police and Fire Departments and certain other designated personnel shall be
furnished uniforms in accordance with regulations established by the City Manager.
23.10 The City shall provide afull-time confidential employee in the classified service adequate meals under the
following conditions:
23.10.1 An employee shall be provided with fiNO adequate meals if he is called out on emergency
overtime work within one (1 }hour before a scheduled work day. If a meal has been eamed
under another section of this RULE within two (2) hours of the scheduled work day, only one
meal shall be provided under this section.
23.10.2 An employee will be provided one meal if he is called back th emergency overtime work
within one and one-half 1 %z) hours after normal quitting time and works beyond two and
one-half (1 1 % hours after normal quitting time.
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Personnel Rule 23 -Insurance, Pensions and Perquisites
Page 9
23.10.3 An employee shall be provided an adequate meal if he works two (2) hours overtime beyond
the normal quitting time.
23.10.4 An employee shall receive one meal if he is scheduled to work overtime two {2) hours before
a regular day.
23.10.5 An employee shall be provided an adequate meal at four (4) hour intervals during the
performance of emergency overtime work.
23.10.6 Meal time shall be compensated at the appropriate over~me rate and shall normally be
limited tonne-half {112) hour with a maximum limit offorty-five minutes paid meal time.
23.10.7 An employee may, at his request, be compensated far meals at the rate of one-half (112)
hour of overtime pay per meal.
23.11 The City Mileage Reimbursement rate will be the standard mileage rate established by the Internal Revenue
Service.
23.11.1 Any increase or decrease shall be effective the first day of the second month after the date
of publication by the Internal Revenue Service.
23.12 Management classifications as designated in the Resolution are eligible to receive either aCity-owned
vehicle or an automobile allowance in an amount approved by City Council.
23.13 The City Manager, City Attorney, City Clerk and City Treasurer shall also be subject to the provisions of this
RULE except that the City Council may from time to time authorize exceptions.
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Revised 04114/1988 -Resolution No. 88R-1 fib
Revised 211992
Revised 711994
Revised 811994
Revised 212001
Revised 712002
Revised 10!2403
Revised 6/18/2004
Revised 611712005
Revised 8!2005
vkilmurray/HRDsharedlURule23F
RULE 33. PAST RETIREMENT MEDICAL BENEFITS
Section 33.0 Retired employees (Miscellan eous and Safe tva who are receiving a post-retirement medical benefit
from ANAHEIM on the d to the ~ i i rov thi R LE nisi n h II ntinu ive such en fits in
accordance with the visions f P r n Rule th t in effect at ti of their reti m n#.
33.1 Regular, full-time employees ~Miscel~a neous and Safety} covered by this RU LE who are enrolled as a
subscriber in a Ci -s nsored health Ian the tim of (ion from ANAHEIM rvice shall be ell able th
participate in anv ANAHEIM sponsore d health plan ( medical and dental as a retiree subject to the followir~a
terms and conditions:
33.1.1 The m I ee must b itt~i with at least n 10 e m of continu f li-time ANAHEIM service
an the date of re~r~ment, and
33.1.2 The employee must have been awarded a retirement from the Public Employees' Retirement System
t"PERS"t as the reason far separation from ANAHEIM serr~co. and
33.1.3 PERS retirement benefits mist commence no later than the first day o, f the month followir~ the date of
separation from ANAHEIM service. QR
33.1.4 The em I must have n award i il' r ti m nt in or Ind trial m PER as
the reason for separation frpm ANAHEIM service.
33.2 Th C' hall rovid a ra caont ' i n t ward the remium f th ANAHEIM n r m I
an or d t l Ian I b th m l co i to th foll wi schedule:
33.2.1 For Service Retirements. the contributions shall be a oercentaae of the annual contributions made b
ANAHEIM on behalf of em t n I to n n h If 1. tim the
miscellan us 2 P R nt h m `m m ntrl n n
em ee' a e and ns 've ears of C' service at the ti e of retirement. ANAHEI
and the retiree's age shall b e calculated to the nearest complete one-quarter (114}year.
33.2.2 The,~~ntape shall be Qn e and two-tenth,~ t1.2~times the 250 Local Public Agency Safeiv
PERS retirementschedule,~or employees in classifs:ations ass~ned #o the Safety retirem, e~roup.
Such ~ercentac,~ shall not exceed ninety-flrre percent ~95~Ot and shall be based on the employee's
a e and n uti ears f An h im rvi t t ti f tir m nt. An helm servi and the
tir hall I u d tQ the ne r t com late one uarter 114 r.
33.2,3 For Disability Retirements, the contribution shall be a percentage of the annual contributions made by
ANAHEIM on behalf of acti ve emplovees. the percentage equal th 2~ for h year of service th ~
m 'mum ntri ti n f nth m l n tine f rvi h l
calculated to the nearest a Zmglete one quarter t114~ year.
33.2.4 In the event an emnlovee is eligible for both a Service and a Disability R~tirQment benefit under this
RULE the em la ee shall ' e the Serv'c Retirement benefit.
33.2.5 The ANAHEIM contribution shall be based on the Two Party or Family rate only for those employees
who ro nroll a de ndent s use or i m ~ rtner andl r th r i mem
ri r to 'rem nt a h l ntin n la t tir m intains cov r
dependents in City sponso red health plans. Nothirb in this RULE shall prevent a retiree from properly
enrolling new dependents a t the retiree's cost.
3~f2. Th II I f n i AN I M i n
ANAHEIM b virtue of a re e's ' i ' n or non ' ' ti n in Medicare sh 1 be to
the retiree in the form of re duced or increased premium costs.
33.2.7 Th urvivi r i m ti rtn r f th ti ma ntin v n th
same temps and conditions provided that the surviving spouse or registered domestic rtn~was
properly enrolled at the tim e of the employee's retirement and that dependent coverage was
continuously maintained du rir,~ the em I~oyee's retirem~nt<
33.3 Em b ees vend under this R L who are in the PER Mis Ilaneous Grou and retire on or after Manua
1.2006. shall be credited with City s ervice accrued through December 31.25. for the purpose of determining
Personnel Rule 33. Post Retirement N~dical Benefits
Page 2
eli ibil' and ben ~ level nder th vi i n f ,1 n .2
33.4 The following provisions shall apply th employees covered under this RULE who are in the PERS
Miscellaneo G and d on r J n a 1 2 a wh ar r iyi t-retirem t m i t
benefits under the provisions Qf S~,on~3~ 1 ~,~3 2
33.4.1 ~1niY ANAHEIM service accrued through December 31.2005. shall be credited to the emploXee in
determining the Chv's peroent~e contribution towards the ~mi~m cost~,~f the Rl~n.~~~.~
the r~tir~e
33.4.2 Retirees shall be required to enroll in Medicare Parts A and B upon establ~hing elibibility. Failure to
enroll when eligible will resgft in cancellation of ~v~r6„~e.
33.4.3 Ur~ier no circumstances shall the City txjntribute towards the cxyst~ of any dep~ndent~ except a
spouse, registered domest~ partner or Totatlly Disabled Child (as described in the medial provider
cx~ntract who was properly enrolled at the Mme of the e~mpb_yse's retirement.
33.5 The fallowingconditions shall ap Iv to all re~rees (Miscellaneous and Safetyl wl~ have Host retirement
medical benefit coverage under this RULE:
33..1 Qnce can~ll for any rer
33.5.2 Coverage shall be cancell~
Them ~h~il be C~irdinatia
33.5.4 Redress may char,~e plan
except that the sunrirdng s
spouse or reaist~r+~1 ~mE
~$on, coverage ~h~ll notes r~in,~tat .
~ for non-payment of fees after three months in arrears.
~n of Benefits where other in~uraru~ ~xi~ts.
sand add dependents only durirx~ the annual open enrollment period
House or registered domestic partner of a retiree may ~ enroll a n,~
t~~d.~:
33.6 Regular full-time employees in the PERS Miscellaneous Group wt~ are covered by this RULE and were hired
on r a r J nua 1 19 n n 1 2 t v n r th v` i n f n
33.1 3.2 .4 and f thi R LE. m h II rki i in n In I rt T RH
plan"1 designed to provide reimburs~,ent of c~ual'fi~ medical expenses uR4n retirement or separat~n from
City service. "Qualified medical exp~rses"are those expenses autlrorized under the provisions of Internal
Revenue Code Section 213.
33..1 The City shall make cone-time empbyer con~~~~on to the R ~S, c~OUnt of eac dill-time PERS
Miscellaneous employee covered under this RULE who was hired on or after January 1.1996 and
prior to Janparv 1, 2002 and who is an active employes on January 13.2006. Thq contribution shall
contribution be less than three thousand dollars C$-3.000,~0~.
33.6.2 Employees shall be fully vested in all ANAHEIM co~tions made on their behalf after five (51 dears
of continuous ANAHEIM service.
3~, PER Mi Ilan pus m s this R LE wh hi n r ran 1 1
and before Januar~,1.200~, shall make an employee contribution fig their individual RHS Account
according to the follovrinq schedule:
33.6.3.1 Eff 've Janua 1 2 uch m hall ntri ute one nt 1, of their
gross biweekly pay to their individual RHS Account.
33.6.3.2 Effective January 12.2007, such empbvses shall contribute two 0eresnt (2.Q°~~ of their
biw~kly pay to tapir individual RHS Account.
33.6.3.3 Effective February 8.2008. such empbyess shall contribute three percent ~3.0°b~ of their
gross biweekly pay to their individual RHS Acc~~rnt.
33.6.4 Em es re ui d to ' ' ate in RHS Plan s defin d in Section 33.6 this RULE I e
given an opportuni~ each near to elect ~durinrq the November open-enrollment process to conbibute
Personnei Rule 33. Post Retirement Medical Benefit
Page 3
in in m n f a h r i k l y m in th in I n r ar.
Emplove_ shall be re uir~ to accrue a minimum of one ~1 ~ hour of eamed_ ve time per„pav
Qeriod. The remaining balance eamed per pay period shag be available for deferral th the individual
em I RH A nt ' n m l h I h II hat
the m I ular h f i t the m `sin ivid al RH A unt as
they are eamed. Contributions under the provisions of this Section shall be designated as are-tax
contributions.
33,,,6.5 Em I ire rti ' to in th RH. Plan in in Se ' n f th' R LE hall e
Qiven an Qp~~~ each y ear tQ elect (durinfl the November o ripe -enrollment proc~ss~ to oantribute
fin increments of %: hours va cation leave hogs tQ be eamed prospectively in the incoming calendar
ear. Em to hall be ired to rue a minimum of thr hours f m V t n Leave
ti i. Th r ini I n m h II v it I I
the indivi I em to S Acco nt as esi n b the em to . Such d ferrals shall be
converted to cash at the errl ploXee's reQula, r hourly rate of pay, and deposited to the employee's
individual RHS Account as t hen are eamed. Contributions under the provisiQn~ of this Section shall
be designated es pry-tax ~ ntributions.
33.6.6 Am employee who separate s City service fQr any mason will be eligible to withdraw vested funds for
reim u m nt f I` i t i t n with t r th m to r rvi .
Em to ee mium tri ~ ns r m to r- ro ' ro h Ith insu yid then
employers are not an eligibl e medical expense.
33..7 Em I hir on or ft r n a 1 1 h ve m l ten 1 f n iv
ANAHEIM servi n who ed a ti m t m PER the n r s tin m
ANAHEIM service shall be a llowed access to ANAHEIM sponsored group health plans as a retiree.
33.7 On Decemb 26 2008 and ann all th r the G` hall make ntributi n th indivl al nt of
each em I in ll-t! I ifl v thi R L.E in th PER MI II n n
have an established RHS account ( ~, n~ datory or Volute Pal ns~ r~~rdless of hire ~~~, The contribution
shall be equal to one percent (196 of the averege annual base compensation of all full-time employees in the
mi ligneous service exce tin es in cl Ifications r re n the IBEVIf. T e annual
ba m n ti n sh II I b ann lizi in I I II f r th t
includes the first of December each
y a
e r. and dividing by the number of includable emplQy~es.
33.8 Employees hired prior tQ January 1.199fi. may elect to participate in ~ voluntary Retirement Health Savings
Pia asdfin n r `n2. fP nnlRl 2 In Pnin a P ii
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33.01.1 ,
Personnel Rule 33. Rost Retirement Medical Benefits
Pale 4
33.03.1 '
33.03.2 ~ '
33.03.3
,
33.03.4 , . '
~ ! . . ,
33.03.5 '
Personnel Ruls 33. Post Retirement Medial benefits
Page 5
33.03.fi
. .
. ,
33,03.7
. 4 ~ ,
33.09 The City Manager, City Attorney, City Treasurer aid City Clerk who are eligible under the provis~ns of this
RULE shall receive a minimum benefit of seventhfive percent (7fi9b~. Any Employee (as defined in this
RULE) who serves in one or more additional positions also eligible for benefits under this RULE, shall be
entitled to a single benefit hereunder.
33.10 Employees ar City Council and Redvelopment Agency Members hiredfappointed~elected on or after
January 1, 2002, shall not be eligible far any posfi retirement medical benefit under this Personnel Rule 33.
Doc: I :IHRDsharedlvkilmurlpersonnelruleslRule33Frevised
Persann~ Rule 33. Past Retirement Medical Benefits
Page 6
Created 511990 (Resolefiion No. 90R-153)
Revieuved 112992 - Na Change
Revised 811994
Revised 6!2000
Revised 2!2001
Revised 6!2001
Revised 10!2001
Revised 7!2002
Revised 12!2004
Revised 112005
Revised 6!2005
Revised 8!2005