HomeMy WebLinkAboutBoard Item #12, Attachment 1-1(l) Post Retirement Medical and Dental Benefits:
(1) To be eligible to receive post-retirement health benefits, an employee must have
at least ten (10) years of service with the District. Years of service is defined as
cumulative years of service with the District, which may or may not be consecutive
years. Employees, who retire from the District and meet the service requirement
stated above, will receive a District contribution towards their post-retirement
health benefits premium with the insurance company that is contracted for retiree
benefits with the District at the time of the employee’s retirement, [or to an HRA
Heath Reimbursement Account as indicated below] as follows:
Years of Service
Percent of Premium Paid
by District
10
11
12
13
14
15
16
17
18
19
20
50%
55%
60%
65%
70%
75%
80%
85%
90%
95%
100%
The post-retirement plan is the same as the active employees' medical plan
except for a $500 deductible per person compared to a $400 deductible per
person for employees. Retirees may choose the High Deductible Health Plan
as a lower cost alternative to the PPO plan.
For example, a person retiring at age 55 with 19 years of service would have 95%
of the retiree and dependent caps paid by the District.
(2) The benefit paid by the District is capped as listed below:
Monthly Caps
Individual only
Spouse only
Child(ren) only
Spouse & child(ren) only
Medicare Rate
$ 600
$ 600
$ 600
$ 1,000
$ 500
If the premiums increase above the monthly cap, the retiree will pay the difference
between the new premium and their percent of benefit established upon retirement
multiplied by the cap. Example: A person retiring at age 55 with 19 years of service
would have 95% of the retiree and dependent caps paid by the District. If initially
the premium for individual only was $340, the retiree would pay 340 – (95% x $340)
= $17.00 If the premium increases to $500 while the cap is $475, the retiree would
pay 500 – (95% x $475) = $48.75.
(3) Retiree cannot leave the plan and then come back. Once time is broken on the
plan, the employee or retiree cannot come back on the medical plan.
(4) If the retiree is paying for part of the medical coverage it will be done through an
electronic fund transfer from the retiree's account on a monthly basis.
(5) When the retiree is eligible for Medicare, it is mandatory that the retiree enroll for
Medicare Part B coverage.
(6) Should the District change the insurance plans or coverage through the collective
bargaining process, those will apply to retirees also.
(7) The vision benefit will remain the same without any monthly caps.