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WHEREAS - Watsonville California

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The City shall continue in effect the 2% @ 55 retirement program<br />

with all current options including CalPERS Section 20862.8 - Credit<br />

for Unused Sick Leave.<br />

1.7.5 Retirement Tax Deferment:<br />

The City shall maintain the IRS Sec. 414(h)(2) provision allowing<br />

employees to make employee retirement contributions with pretax<br />

(tax deferred) dollars.<br />

1.8 Deferred Compensation<br />

Members of this Unit may participate in the Deferred Compensation Plan<br />

currently in effect.<br />

2.0 INSURANCE<br />

2.1 Health Insurance<br />

2.1.1 The City shall retain in effect current health insurance coverages for<br />

all Unit employees. The City shall contribute the following monthly<br />

amounts per full time employee towards health insurance coverages:<br />

October 1, 2006 $776.15<br />

July 1, 2007 $821.15<br />

2.1.2 Should the City contributions and employee contributions/plan<br />

changes fail to fund the Self-Funded Health Plan without a deficit<br />

for fiscal year 08/09, The City and employees agree to each<br />

contribute up to $45.00 each (in either additional premiums or plan<br />

changes) to fund the plan. If additional funding is needed, the<br />

parties agree to re-open this section to discuss additional City and<br />

employee contributions/plan changes and/ or a change from selffunded<br />

health plan. Such a re-opener shall occur no later than May<br />

30, 2008.<br />

2.1.3 The City and the employees agree to jointly participate in the City<br />

Employees Health Committee (CEHC) as outlined in the bylaws<br />

dated July 1992.<br />

2.1.4 Implementation of changes in medical insurance will be subject to<br />

the meet and confer process between the City and the Unit.<br />

2.1.5 Regular part-time employees will be fully covered at the employee<br />

only level at the City's expense. The employee shall have the option<br />

Mid-Mgmt 2009-2010 MOU CC Draft 8<br />

5/21/2009 1:44 PM

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