91-7767R22
RESOLUTION NO. 77b7
RESOLUTION ESTABLISHING A FORMAL
EARLY RETIREMENT HEALTH INSURANCE PROGRAM
WHEREAS, the 1991 Minnesota Legislature has adopted an early
retirement incentive for public employees who meet certain
criteria (House File 1631, Article I, Section 112); and
WHEREAS, the Local Government Information Systems (LOGIS)
Health Care Group has agreed to review a formal early retirement.
program for inclusion in the health care plans LOGIS offers; and
WHEREAS, it is in the best interest for certain eligible
retirees to have a quality health insurance plan; and
WHEREAS, there is an opportunity for the City to experience
budget savings by offering this early retirement incentive.
NOW, THEREFORE, BE IT RESOLVED that the City of Richfield
adopts a formal early retirement health insurance program with
the following provisions pursuant to House File 1631, Article I,
Section 112:
1. Qualified employees shall have the option of retiring and be
eligible for single or dependent health insurance coverage
.under the same plan and same employer contribution to which
the employee was entitled immediately before retirement,
subject. to any changes in coverage and contributions for
employees in positions equivalent to the position from which
the employee retired.
2. Health insurance eligibility ceases when the retired
employee attains age 65, or when the employee chooses not to
receive retirement benefits for which the employee has
.applied, or when the .employee is eligible for employer paid
health insurance. from a new employer.
3. Coverages must be coordinated with relevant health insurance
benefits provided through Medicare.
4. To qualify-under this program, an employee:
a) must be eligible for employer-paid health insurance
under a collective bargaining agreement or personnel
plan in effect the day .before the effective date of
the employee's retirement;
b') must have at least 25 years of continuous service with
the City of Richfield;.
c) upon retirement, must .immediately be eligible for a
PERA, PERA Police and Fire Fund or Police or Fire
Relief Association Retirement Program retirement
annuity without reduction. of benefits because of age;
d) is at least 55 ands not yet 65 years of age; and
e) retires on or after July 1, 1991, and before October 1,
1991.
5. The .City may not exclu a any eligible employees.
6. For purposes of this r solution, a person retires when the
person terminates active employment and applies for
retirement benefits.
7 Employees participate iln this program on a voluntary basis.
8. The City is authorized to administer the Early Retirement
Health Insurance Program and to fund this program for. the
General Fund.
9. The eligibility provisilons of this resolution shall expire on
October 1, T991.
Passed by the City Council of the City of Richfield this 8th day
of July, 1991. ~,
r
~, '~
Martin. J. irsch Mayor
ATTEST:
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