94-265 RESOLUTION NO. 94R- 265
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
ANAHEIM APPROVING A LETTER OF UNDERSTANDING
BETWEEN THE CITY OF ANAHEIM AND THE INTERNATIONAL
BROTHERHOOD OF ELECTRICAL WORKERS, LOCAL 47
WHEREAS, the Human Resources Director met and conferred with officials and
employee representatives of the International Brotherhood of Electrical Workers, Local 47,
to discuss specific concerns relative to Amending Article 63, Insurance, of the current
Memorandum of Understanding; and
WHEREAS, a Letter of Understanding between the parties dated November 10,
1994, has been prepared and signed, amending Article 63, Insurance, of the current
Memorandum of Understanding; and
WHEREAS, the City Council of the City of Anaheim does find that it is in the best
interests of the City of Anaheim to approve said Letter of Understanding.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of
Anaheim that the Letter of Understanding, between the City of Anaheim and the
International Brotherhood of Electrical Workers, Local 47, dated November 10, 1994, a copy
of which is attached hereto and incorporated by reference herein, is approved and said
Memorandum of Understanding is hereby amended in accordance with the terms of said
Letter of Understanding.
THE FOREGOING RESOLUTION is approved and adopted by the City Council
of the City of Anaheim this 15th day of November, 1994.
MAYOR OF THE CITY OF AI~EIM
ATTEST:
CITY CLERK OF THE CITY OF ANAHEIM
APPROVED AS TO FORM:
CITY ATTORI~E~ OF~'~E ~iTY OF ~EIM
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STATE OF CALIFORNI, )
COUNTY OF ORANGE ) ss.
CiTY OF ANAHEIM )
I, LEONORA N. SOHL, ICity Clerk of the City of Anaheim, do hereby certify that the foregoing Resolution
No. 94R-265 was IntrodUced and adopted at a regular meeting provided by law, of the Anaheim City Council
held on the 15th day o~ November, 1994, by the following vote of the members thereof:
AYES: COUNCIL MEMBERS: Feldhaus, Simpson, Pickler, Daly
NOES: COUI ICIL MEMBERS: None
ABSENT: COUI ~CIL MEMBERS: Hunter
AND I FURTHER CER'i' :FY that the Mayor of the City of Anaheim signed said Resolution No. 94R-265 on
the 16th day of Novera )er, 1994.
IN WITNESS WHEREO~=, I have hereunto set my hand and affixed the official seal of the City of Anaheim
this 16th day of November, 1994.
(SEAL)
I, LEONORA N. SOHL, City Clerk of the City of Anaheim, do hereby certify that the foregoing is the original
of Resolution No. 94R-265 was duly passed and adopted by the City Council of the City of Anaheim on
November 15, 1994.
CITY CLERK OF THE CITY OF ANAHEIM
LETTER of UNDERSTANDING BETWEEN
the CITY of ANAHEIM and
the INTERNATIONAL BROTHERHOOD OF ELECTRICAL WORKERS
LOCAL 47
The City of Anaheim (ANAHEIM) and the International Brotherhood of Electrical
Workers, Local 47 (IBEW) have met and conferred on health benefits and have agreed to
the following changes, to be effective January 1, 1995 through December 31, 1997.
1 IBEW agrees to conduct a ratification vote on this Letter of Understanding by
November 9, 1994,
2 ANAHEIM and IBEW agree that Article 63 Insurance is amended as attached
effective January 1, 1995.
3 ANAHEIM agrees to sponsor effective January 1, 1995 the Kaiser Foundation
Health Plan, PacifiCare and Health Net (Health Maintenance Organization) plans
as currently recommended by the Health Council, and the self-funded Employee/City
Medical Plan.
4 ANAHEIM and IBEW agree that the Employee/City Medical Plan shall be replaced
by a mutually acceptable alternatix, e plan on or before January 1, 1997.
5 IBEW shall appoint one (1) Health Council representative to serve on a Health
Council task force to identify appropriate alternative plans that can provide adequate
benefits at reasonable cost to both ANAHEIM and enrollees. The Health Council
task force shall submit their recommendations to the Health Council for transmittal
to the City Manager or referral back to the task force for further action. If a
recommendation has not been approved by the City Manager by April 1, 1996, the
Health Council task force may use mediation services to mediate differences among
members of the task force, and if so shall submit the results of the mediation to the
City Manager and all recognized employee organizations by May 1, 1996.
6 The service of the Health Council task force representative shall be considered a part
of the ongoing duties and responsibilities of each employee in their respective job
class. Each employee shall receive their regular compensation for any regularly
scheduled working hours spent in actual performance of such service.
7 ANAHEIM and IBEW agree to submit any agreement reached on alternative plans
to the City Council for determination no later than July l, 1996.
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ANAHEIM and IBEW agree that any alternative plan approved by the City Council
shall include Vision coverage for all retirees.
ANAHEIM shall forgive the contributions required under Section 63.087 for a
minimum of five (5) consecutive pay periods beginning the first pay period following
City Council approval of the Letter of Understanding. ANAHEIM shall immediately
conduct a special actuarial valuation of ANAHEIM's Post-Retirement IVledical
Liabilities for the sole purpose of establishing contributions required under Section
63.087. For the purpose of this immediate special valuation only, the active IBEW
payroll shall be increased by three percent (3%). Upon completion of this special
valuation and all subsequent special valuations (first pay period November 1996, and
every two years thereafter), the contributions required under Section 63.087 shall be
set equal to the difference between the estimated percentage of payroll cost for the
IBEW and the estimated percentage of payroll cost for all other employee groups
effective the first pay period of the next payroll year. The contribution requirement
calculated herein shall be rounded to the nearest 1/10th percent (0.1%), and shall
in no event exceed three percent (3%).
STAFF OFFICIALS OF THE IBEW Local 47
CITY of ANAHEIM, a
Municipal Corporation
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ARTICLE 63
INSURANCE
63.0 Active Employees
63.01 Health Insurance
63.01l ANAHEIM agrees to SP0~P[' offer the City Employce
Emp!oy~/(C!!~ Medical Plan, Kaiser Foundation Health Plan
and other prepaid and/or insured health plans recommended
by the Joint Committee on Medical Programs and approved by
::'c .\..,,.~ ..... C:r'. (.,)t.:.,,~,. L .... '-. %r,.' ........ Ot~,~ ....... o.,
63.012 The City Employee [..:~.:9~i~:.~7.'~}~.) Medical Plan shall be
described in a booklet which shall become a part of this
Memorandum by reference. Changes recommended by the
Joint Committee on medical Programs and approved by the
Anaheim City Council shall also, become a part of this
.. ..... ,) ..... ~ ~...~ by. ,.,;r~..~ ...... IBEW ,t~
· ' E .... M" ' P~ ' "
63.015 Eor all medical plans, married ANAHEIM employee couples
shall be allowed only one medical plan and only one dental
plan to cover all family members, and married ANAHEIM
employee couples covered by ~ single e~rollment shall pay no
health insurance premium while both spouses are employed by
ANAHEIM.
63.014 Proof of marriage will be required of all employees when
adding a new spouse to any current medical plan.
63.015 The Master contract is between ANAHEIM and the plan
administrator shall govern in the event of any disputes over any
matter within the provisions of the contract.
63.016 The benefit schedules for the prepaid HMO health plans will
not be modified unilaterally by ANAHEIM, except that each
company may, from time to time, make revisions to master
contract language or impose minor benefit modifications. If an
imposed benefit modification results in a monthly fee increase,
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the cost-sharing provisions of this Memorandum in effect on the
date the fee increase is effective shall be applied to the new
fees.
63.017 The patient/employee responsibility under the hospital
pre-authorization review process is limited to assuring proper
notification has been made according to the published employer
kit supplied by ANAHEIM to each employee.
63.02 ANAHEIM and Employee Contributions
63.020 ANAHEIM Contributions s~.~::'. ,:'.~'::::'i!~ure :ow:'.'rd~ ti';e r:onthly
63.0201 For all pre paid and/or insured plans sponsored by
ANAI-.IEIM, shall pay a monthly amount equal to 100%
of the Kaiser monthly rate during the term of this
Memorandum. Vision Care bcncfits shall be considered
part of the amount to bc paid by the City.
l-'.'~::[:h,,z, oe:'Ci.:i, Medical PlanII0C'? of the Kaiser
[::c).ntt:iy ra.'.e when
the mon.:i:ly rare
eq:.'als or excee~[s
Kaiser monthly rate
or '100c.;, of the
mow:hl5 r,';te when
the monthly ra:e is
below tl'te Kaiser
m(mti~[v rate.
63.0202 For thc self funded City Medical Plan during the term of
this Mcmorandum, A/x~'AHEIM shall contribute 110% of
the monthly Kaiser Plan rate.
:A!!.j()ther I [ealr~ Plans'100~';i o~ th<: K~*-iser :mmthl.~
:;'.:e, fi~r ;:nv heal.:h pl.'m ,~itir
a :r;o:]rh!y rm.e that eq::als
or exceeds ,he Kaiser
::.to::lhiy ra:e or h2,)C~ for
;my itcai:b pisa ;:it!:
K~iser: mOptl~lyl ra[ei
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63.0203 For the various Dental Plans, ANAHEIM shall during
the term of this Memorandum pay an amount equal to
100% of the current monthly Safeguard rate or the 1984
rate whichever is greater.
63.02 I. Employee Contributions
63.02l,I Employees who sclcct an insured and/or prc paid plan
other than Kaiser shall be required to contribute a-,a-
amount equal to 100% of the excess amount over the
K,:ise~'-~:~,)f::i:',2.--ri::e t!:¢ di.:."ercnce be:wem~ rl~,: tor::l cos:
(,/:.' - . '.:.. · ,. . · .....
t!.¢ ..'q,L .,.,2.ec.,.:'d :inc .'.[m :k."4.kl.[ElM c~;;irrtD,'r~m;
met!ca; plyns set flu':!: in Seer!OhS 63.02~.}3 m:d 63.02~}2.
during the term of this Memorandum.
63.0212 Employees ~vho select a Dental Plan other than
¢,c ....... a shall be required to contribute an amount
equal. to 100% of the exce.% amount over the Safe,renard
f!lOr~l~'~-~:}-~: t.lle ' '"'~"= ..... ' ..... ~'" '
pla;1 ...... t~u ,...d [.1~ A. AI ILL ~ ~ort[,. ).z.,o~: ,OL
viar:s ~e~ ~'or:5 ~n See:ion 63.0203.
63.0213 For the self funded City Medical Plan and the Safe~ard
Dental Plan, during the calendar year 1986, employees
shai1 be required to contribute an amount equal to any
increase in ANAHEIM's cost for those plans in this year
but in no event shall the cmployccs contribution exceed
the following:
Single $20.00
Two Party $40.00
Family $55.00
Emplosees who are .... · · ~ by otl:er Leakix plans m..ay
~r~sani pro,d o[ such ,,I.~ ,,a~ in order to receive
per mot'~fl~ in liert (ff .,a,,h bonehis provided
This shall apply to th¢ c.~pundcl,[ spouse of
,I,.i ~(.,,.g CO:Lplc5 who do not dec: tbc
).u,n.,.m waiver provided in Sectran 6,.0.,. In the
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durit~g open enrollmere, or may ¢nro[l in a City
sponsored heat-~h plan.
63.10 ANAI-IEIM and IBEW agree to re open the provisions of Article 63.01 and
63.02 no later than August 15, 1994 with agreed upon changes to be effective
no later than January 1, 1995.
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