A. Management will provide a monthly subsidy toward the cost of any one of the following health plans for employees in this Unit:
1. Police Blue Cross/Prudent Buyer
2. Police Kaiser
3. Police Blue Cross/California Care
4. L.A. City-sponsored plans
5. Any other plan submitted by the League and approved by the City for which an employee is eligible.
B. Management’s monthly health subsidy will be as follows:
1. Operative August 1,2019, management will provide a monthly subsidy not to exceed $1,460.00 per month.
2. Operative July 1, 2020, the monthly subsidy provided by Management shall increase by a percentage commensurate with the percentage increase of the Police Blue Cross/Prudent Buyer PPO Family Plan rate not to exceed
5%.
3. Operative July 1,2021, the monthly subsidy provided by Management shall increase by a percentage commensurate with the percentage increase of the Police Blue Cross/Prudent Buyer PPO Family Plan rate not to exceed 5%.
C. The City will apply this sum first to the employee’s coverage. The amount to be applied to the employee-only coverage will be the actual amount required, but not to exceed $985.o0 per month for Fiscal Year 2019-20. For Fiscal Years 2020-2021 and 2021-2022, the monthly amount to be applied to the employee-only coverage shall increase by the equivalent percentage as described in Section B. above.
D. Management will provide continuation of the above medical plan subsidies toward the cost of health plan premiums for the spouse, domestic partner, and any minor dependents of any employee killed in the line of duty or who dies from a duty- related injury after July 1, 1985, while on active payroll status. This coverage shall cease for minor dependents when they reach the age of 26 years. However, coverage will continue for a disabled child of the employee if the child remains unmarried, was dependent on the employee for financial support, and was disabled before age 18.
E. Health plan subsidy provisions not covered in this Article will be administered in accordance with applicable sections of the Los Angeles Administrative Code. Any employee who fails to enroll in a health plan, or select cash-in-lieu, will automatically default into the lowest cost HMO plan under the City’s FLEX benefits program.
F. The City will retain all duties and responsibilities it has had for the administration of the City’s Health Plans.
G. The City will expend the above-noted funds only for those employees who are enrolled in a plan and are on active payroll status with the City. The City retains all rights to any unused funds, which may be allocated for the purpose of implementing this Article.
H. The parties hereby agree that either the City or the League has the option to reopen the MOU at any time upon written notice to the other party to discuss changing the health plan administration and benefits.
I. Any employee who can prove health insurance coverage under a spouse or domestic partner with an adequate plan, may opt out of health insurance coverage as provided by this Article, and receive a sum of $100 monthly which is not be considered wages. To be eligible for this opt-out benefit, the employee must comply with the rules and procedures established by the Personnel Department.
J. Health Plan Subsidy - Domestic Partners
1. The definition of a dependent shall include the domestic partner of an employee and the dependents of such domestic partner.
2. Any employee claiming a domestic partner and/or the dependents of such domestic partner for purposes of this Article shall complete a confidential affidavit to be filed in the Employee Benefits Office, Personnel Department, which shall be signed by the City employee and the domestic partner, declaring the existence of a domestic partnership.
K. Health Plan Subsidy - Retirees
1. For those employees who retire after July 1, 1988, such employee shall receive the following benefit based upon years of service, age, and pension:
a. Basic Benefit: The following benefit and eligibility requirements pertain to all employees who retired after July 1, 1988, on a service pension unless applicable eligibility requirements have been changed or the benefit improved in Paragraphs b. or c. below:
b. Eligibility Expansion: Employees who retire after July 1, 1994, with either a service or a service-connected disability pension shall be eligible for the retiree health plan subsidy at age 55, upon the effective date of the enabling ordinance.
c. Benefit Improvement: Employees who retire after July 1, 1996, with either a service or a service-connected disability pension shall receive the following benefit at age 55:
2. This benefit subsidy amount shall not in any case exceed the cost of the health plan option selected by the retiree.
3. To receive this subsidy, the retiree must be in a City-approved health plan and cannot receive this subsidy if such retiree, after retirement from the Police Department, has accepted a City job and is receiving a City health insurance subsidy through that job.
4. The subsidy for retirees shall be administered through the Pension Department and will be governed by the rules and regulations of the City health insurance plan subsidy for active employees. The benefits provided herein do not affect or repeal any other benefit provided for retirees. See, e.g., Los Angeles Administrative Code Section 4.1150, et seq.
5. The benefit will begin in the first month after adoption of the enabling Ordinance and the dollar subsidy will not be retroactive.
6. The parties agree that any change in this benefit must first be negotiated by the City Administrative Officer and the Police Protective League as part of the meet and confer process and any change made through any other process shall not be recognized by the City.
7. The parties agree to implement a cash in lieu of health insurance subsidy on a reimbursement basis for retired sworn employees who reside in an area where they cannot access a City sponsored or approved Managed Care Health Plan (HMO). Details for plan administration need to be worked out prior to implementation. The effective date of this program will be when the parties have completed all necessary procedures to affect this benefit. This benefit is not retroactive.
L. Health Plan Subsidy - Family and Medical Leave Provision
Employees shall be eligible for a continued health plan subsidy while on Family or Medical Leave, under the provisions of Appendix K of this MOU. However, for any unpaid portion of Family or Medical Leave, the health subsidy shall be continued for a maximum of nine (9) pay periods. The continuation of the health plan subsidy will be provided only under the following conditions:
1. The employee shall have been enrolled in a health plan listed in Paragraph A of this Article prior to the beginning of the leave.
2. The City will not continue the subsidy if the employee is covered under a health plan which is not listed in Paragraph A of this Article.
3. The continuance of the health plan subsidy shall include coverage of any new dependent.
