Chapter 2.04
GROUP INSURANCE

Sections:

2.04.010    Health care plan.

2.04.020    Definitions.

2.04.030    City contributions.

2.04.040    Hospital and medical insurance—Retired employee and dependent coverage.

2.04.050    Dental insurance plan—Retired employee coverage.

2.04.100    Welfare benefit program.

2.04.010 Health care plan.

The city is self-insured for its medical and dental insurance plans (hereafter referred to as the “health care plan”). The health care plan includes medical, dental and vision coverage for city employees as defined in the health care plan and for members of the city council. The medical and dental insurance plans are administered for the city by third party administrators. The city manager of the city of Yakima is authorized to enter into a contract or contracts with third party administrators to administer the medical and dental insurance plans. The health care plan shall be on file in the human resources department of the city. (Ord. 2014-023 § 1 (part), 2014: Ord. 2012-14 (part), 2012: Ord. 2008-57 § 1, 2008: Ord. 1757 § 1, 1975; Ord. 1750 § 1, 1975; Ord. 1744 § 1, 1975; Ord. 758, 1965: Ord. 149 § 1, 1960).

2.04.020 Definitions.

“Cost of coverage” means the average monthly cost of coverage for the health care plan as determined from time to time by the city’s health care administrator, the city’s employee benefits broker, and/or the city manager. The final decision on the cost of coverage shall be made by the city manager. Such determination shall be final and binding. For the purposes of Title 2, “management employee” means any nontemporary employee who is not a member of any collective bargaining unit recognized by the city. “Management employee” shall not include members of the city council or a city manager that is governed by an employment contract. (Ord. 2014-023 § 1 (part), 2014: Ord. 2012-14 (part), 2012: Ord. 2008-57 § 2, 2008).

2.04.030 City contributions.

A.    Life Insurance Plan.

1.    The city shall provide a fully paid life insurance policy in an amount equal to the annual salary for all management employees.

2.    For all employees covered by a collective bargaining agreement, the city shall provide a life insurance policy in the amount required in the applicable collective bargaining agreement.

B.    Health Care Plan. The city shall contribute toward the payment of the monthly cost of coverage of the health care plan in the following manner for each group of employees or positions, respectively:

1.    Represented Employee Contributions. For all employees covered by a collective bargaining agreement, the city shall pay its portion of the total monthly cost of coverage under the health care plan as provided in the applicable collective bargaining agreement, and the employee shall pay his or her portion of the total monthly cost of coverage under the health care plan as provided in the applicable collective bargaining agreement.

2.    Other Employee Contributions.

a.    “Member of the city council” means any person holding the office of city of Yakima council member, who elects to pay the entire cost of coverage of the city of Yakima health care plan.

b.    From January 1, 2009, on, except for management employees in the fire department and management employees in the police department, or unless otherwise provided in the applicable collective bargaining agreement, the following provisions apply: All management employees shall pay the first fifty dollars of the total monthly cost of coverage under the health care plan for the employee through a monthly payroll deduction. If an employee only is covered in the health care plan and the employee has no spouse or dependents in the health care plan, then the city shall pay the balance of the employee-only unit cost in excess of the first fifty dollars that the employee pays. For a management employee with a spouse and/or dependents in the health care plan, any cost of coverage for the management employee with a spouse and/or dependents in the plan in excess of the first fifty dollars that the employee pays shall be paid by the management employee through a monthly payroll deduction based on the following percentages on the remaining balance above the first fifty dollars: the employee shall pay at the rate of twenty-five percent of the balance of the remaining total monthly cost of coverage, and the city shall contribute the remaining seventy-five percent of the balance of the total monthly cost of coverage.

c.    For the management employees in the fire and police departments, unless otherwise provided in an applicable collective bargaining agreement, the city shall pay the total monthly cost of coverage under the health care plan for the employee. If the employee has a spouse and/or dependents in the health care plan, then the employee shall pay through a monthly payroll deduction at the rate of fifty percent of the monthly dependent unit cost of coverage for the employee’s spouse and/or dependents, and the city shall contribute the remaining fifty percent of the total monthly dependent unit cost of coverage for the employee’s spouse and/or dependents, unless otherwise provided in an applicable collective bargaining agreement.

C.    Authority to Exempt Certain Positions from Health Care Plan. Pursuant to YMC Chapter 2.04, the city manager and the heads of the city departments are entitled to be covered by the city’s employee health care plan. This subsection C is limited to and for the purpose of recruitment only for the specific positions of department director, when the person to whom an offer of employment is made has an existing health care plan from his or her former employment that he or she desires to maintain upon employment with the city. In that event, then the city council for the city manager position, and the city manager for the department head positions, have the authority to agree in writing to compensate that person for the cost to him or her to maintain his or her present health care plan, up to but not to exceed the amount the city’s health care plan would otherwise have contributed to his or her health care costs for similar coverage under the city’s health care plan. This health care cost payment shall be included with the employee’s monthly compensation amount as a separate item and shall be treated as a taxable benefit subject to normal withholding taxes. The city’s contribution for the health care allowance shall not be included in any calculations as base pay. If, and at such time as, the city employee’s prior health care plan becomes fully paid and no longer requires financial contributions from him or her to maintain his or her health care coverage, the city’s obligation to contribute toward that health care coverage shall cease. In no event shall the city’s contribution for the health care allowance be more than the city would have contributed if the employee had similar coverage under the city health care plan. In addition, in the event that the employee’s prior health care coverage ends and the employee desires to enroll in the city health care plan, that employee may do so provided the employee complies with the enrollment requirements for the city health care plan. (Ord. 2014-023 § 1 (part), 2014: Ord. 2012-14 (part), 2012: Ord. 2008-57 § 3, 2008: Ord. 97-28 § 1, 1997; Ord. 96-66 § 1, 1996; Ord. 93-84 § 1, 1993: Ord. 3403 § 1, 1991; Ord. 3325 § 1, 1990; Ord. 3252 § 1, 1990; Ord. 2688 § 1, 1983; Ord. 2266 § 1, 1979; Ord. 2265 § 1, 1979; Ord. 2153 § 1, 1978; Ord. 1750 §§ 2, 3, 1975; Ord. 1744 §§ 2, 3, 1975; Ord. 1614 § 1, 1974: Ord. 1474 § 1, 1972: Ord. 1081 § 1, 1968: Ord. 758, 1965: Ord. 319 § 1, 1962: Ord. 149 § 3, 1960).

2.04.040 Hospital and medical insurance—Retired employee and dependent coverage.

A.    Retired Employees. Retired city employees shall be eligible to remain enrolled in the group hospital and medical insurance plan and to obtain coverage for their eligible dependents until the retired employee reaches sixty-five years of age by paying a premium (including the premium for dependents, if enrolled) equal to the actual group rate for coverage of active city employees and enrolled dependents.

B.    Spouses of Retired Employees. Spouses of eligible retired city employees shall be eligible to remain enrolled in the group hospital and medical insurance plan until those spouses reach the age of sixty-five years (or in the case of spouses of deceased retirees, until the spouse remarries) by paying a premium equal to the actual group rate for enrolled dependents. (Ord. 2014-023 § 1 (part), 2014: Ord. 2012-14 (part), 2012: Ord. 2835 § 1, 1985: Ord. 2749 § 1, 1984: Ord. 2686 § 2, 1983).

2.04.050 Dental insurance plan—Retired employee coverage.

A.    Retired Employees. Retired city employees who retire on or after January 1, 1983, shall be eligible to remain enrolled in the group dental insurance plan and to obtain coverage for their eligible dependents until the retired employee reaches sixty-five years of age by paying a premium (including the premium for dependents, if enrolled) equal to the actual group rate for coverage of active city employees and enrolled dependents.

B.    Spouses of eligible retired city employees, which spouses are otherwise eligible for coverage under provisions of the insurance policy, shall be eligible to remain enrolled in the group dental insurance plan until those spouses reach the age of sixty-five years (or in the case of spouses of deceased retirees, until the spouse remarries) by paying a premium equal to the actual group rate for enrolled dependents. (Ord. 2014-023 § 1 (part), 2014: Ord. 2012-14 (part), 2012: Ord. 2835 § 2, 1986).

2.04.100 Welfare benefit program.

A.    The city of Yakima employees’ welfare benefit program codified in this section and incorporated herein by reference is adopted and approved. The employees’ welfare benefit program shall be on file in the human resources department of the city.

B.    The city manager, or his designee, shall be authorized and directed to perform all management, administration and other responsibilities of the city under the city of Yakima’s employees’ welfare benefit program, except as expressly provided by such program or as required by law.

C.    The participation agreements between the city and the Washington State Council of County and Municipal Employees, Washington State Council of County and City Employees, AFSCME, Local 1122, AFL-CIO (“AFSCME”); Yakima Police Patrolmans Association (“YPPA”), Local 469, International Association of Firefighters, AFL-CIO and Teamsters, Local 760, incorporated herein by reference, are approved, and the city manager is authorized and directed to execute said participation agreement. The participation agreements shall be on file in the human resources department of the city.

D.    In the event that there is a conflict between any provision of this section or any provision of the employee welfare benefit program and any other section of this chapter, this section and the employee welfare benefit program shall take precedence. (Ord. 2014-023 § 1 (part), 2014: Ord. 2012-14 (part), 2012: Ord. 94-9 § 3, 1994).