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HomeMy WebLinkAboutReso 2010-060 - Retiree Health Care BenefitsP • RESOLUTION NO. 2010 - 60 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDDING APPROVING THE PLACING OF A SPECIAL MEASURE ON THE NOVEMBER 2, 2010, REGULAR ELECTION BALLOT FOR THE VOTERS TO CONSIDER ADOPTION OF AN ORDINANCE CONCERNING CITY RETIREE HEALTH CARE BENEFITS WHEREAS, the City Council desires to submit to the voters of the City of Redding at the Regular Election scheduled for November 2, 2010, a ballot measure relating to retiree health benefits. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF REDDING DOES RESOLVE AS FOLLOWS: Section 1. That the City Council, pursuant to its right and authority, does order submitted to the voters at the regular election scheduled for November 2, 2010, the following ballot measure question: CITY OF REDDING RETIREE HEALTH BENEFIT REFORM MEASURE. Shall an Ordinance be adopted making a labor negotiations policy Yes that City contributions to retiree health care plan premiums be changed from no time requirement to a formula based on years of service with a minimum five-year vesting requirement? No Section 2. That the proposed measure submitted to the voters shall read: THE PEOPLE FOR THE CITY OF REDDING DO ORDAIN AS FOLLOWS: SECTION 1. TITLE This measure shall be known as the City of Redding Retiree Health Benefit Reform Measure. SECTION 2. PURPOSE, INTENT and APPLICATION The policy set forth below in Section 3 shall establish the opening bargaining position for the City of Redding for future negotiation with labor unions. The policy shall be applied to the first labor contract open for negotiation after passage of the measure and will become applicable to employees covered by that contract if and when incorporated into that successor labor contract as the policy is set forth in Section 3 or as modified after compliance with all meet and confer obligations set forth in state law. The policy shall be applied to elected or O� ORDINANCE PASSED AT NOVEMBER 2, 2010, ELECTION WITH RESULTS CERTIFIED ON 12-7-10 BY RESOLUTION 2010-172 AND EFFECTIVE 10 DAYS FROM 12-7-10. (ORDINANCE WAS NOT GIVEN A NUMBER.) 9 1 • appointed City officials and non -represented employees on the same terms and at the same time as it is incorporated into the first labor contract to be renewed and implemented after passage of the measure. The policy shall thereafter be applied to any new bargaining units created or to each existing bargaining unit as contracts expire and are scheduled for renewal, if the bargaining unit members are not already subject to the policy. SECTION 3. POLICY Retirees with five or more years of service with the City of Redding shall be eligible for the City to pay a proportionate share of costs of the insurance premium should the retiring employee elect to participate in any group, health, dental and vision plan also made available to active employees. To initially qualify for the benefit, the employee must go directly from active status to retiree status with Ca1PERS. To maintain a qualified status and to continue to receive the benefit, the retiree must continue the group medical insurance during retirement without a break in coverage, and the retiree and his or her covered spouse who reach Medicare A/B eligibility age must enroll in Medicare. For those retirees who qualify, the City shall pay a proportionate share of the cost of the insurance premiums in accordance with the following formula: 2% for every year of active service with the City of Redding up to a maximum of 50%. Payments by the City will be discontinued upon termination of group medical insurance coverage by the City retiree or loss of qualified status by the retiree. Following the death of a retiree, the surviving spouse, if any, may continue the insurance on the same terms and conditions for the life of the spouse. Nothing in this policy shall preclude the City from negotiating or implementing modifications to the composite rate structure of the health care plans to establish classes of coverage and rates to more closely conform to claims experience. SECTION 4. NO RETROACTIVITY Former employees and former City officials retired on the date of passage of this measure and participating in the City's retiree health program may continue to participate in any group, health, dental and vision plan also made available to active employees, with the retiree and the City each paying 50% of the cost of the insurance premiums. Employees and elected or appointed City officials who qualify for retirement and do retire from the City of Redding after passage of this measure but before the date the policy is applied to the individual pursuant to the provisions of Section 1 may elect to participate in any group, health, dental and vision plan also made available to active employees, with the retiree and the City each paying 50% of the cost of the insurance premiums. SECTION 5. SEVERABILITY In the event a final judgment of a court of proper jurisdiction determines that a provision of this measure, or a particular application of a provision, is invalid or unenforceable pursuant to a state or federal law or constitution, the invalid or unenforceable portion or application shall be severed from the remainder of this measure, and the remaining portions of this measure shall remain in effect without the invalid or unenforceable provision or application. .aw SECTION 6. CONFLICT WITH STATE LAW The policy set forth in Section 3 may be modified to conform with any state law binding on the City that conflicts with this measure, in which case this policy shall be modified so as to conform with requirements of state law. SECTION 7. AMENDMENT OR REPEAL Once this measure becomes effective, no provision of this measure may be amended or repealed except by a majority of the voters of the City of Redding voting on a ballot measure for that purpose. SECTION 8. EFFECTIVE DATE The provisions of this measure shall become effective after it is approved at an election of the voters of the City of Redding and 10 days after the result of the election is declared by the Redding City Council, as specified in Section 9217 of the California Elections Code. Section 3. Pursuant to Elections Code section 10403, the City Council requests the Board of Supervisors of the County of Shasta to consolidate this City measure with the General Statewide Election to be held November 2, 2010. Section 4. The City Council authorizes any and all members of the City Council (or anyone assigned by a Council member) to file a written argument in favor or against the City measure, accompanied by the printed name(s) and signature(s) of the person(s) submitting it, or if submitted on behalf of an organization, the name of the organization and the printed name and signature of at least one of its principal officers, in accordance with Article 4, Chapter 3, Division 9, of the Elections Code of the State of California, and to change the argument until and including the date fixed by the City Clerk after which no arguments for or against the City measure may be submitted to the City Clerk. Section 5. Pursuant to Elections Code section 9286, the City Clerk has established July 16, 2010, 5:00 p.m., as the deadline for the submission of arguments in favor of and arguments against the question. If more than one argument for or more than one argument against the question is submitted, the priorities set forth in Elections Code section 9287 shall control. Section 6. Pursuant to Elections Code section 9285 (b) the City Council hereby adopts the provisions of Elections Code section 9285 (a) allowing the filing of rebuttal arguments. The deadline for filing rebuttal arguments shall be 5:00 p.m., July 30, 2010. Section 7. The City Clerk is instructed to transmit the ballot measure to the City Attorney along with a request that an impartial analysis be prepared for the ballot measure. Section 8. Pursuant to the requirements of the laws of the State of California relating to general law cities, there is called and ordered a Regular Municipal Election to be consolidated with the Statewide General Election held in the City of Redding on Tuesday, November 2, 2010, for the purpose of placing a measure to the voters of Redding relating to retiree health benefit reforms. 0 0 Section 9. The City Clerk is authorized, instructed and directed to work with the Shasta County Clerk and Registrar as needed in order to properly and lawfully conduct the election. The ballots to be used in the election shall be in form and content as required by law. The County is authorized to canvass the returns of the General Municipal Election. Section 10. The Board of Supervisors is requested to instruct the Shasta County Clerk and Registrar to provide such services as may be necessary for the holding of the consolidated election. The election shall be held in all respects as if there were only one election. The City of Redding recognizes that the County will incur additional costs because of this consolidation and agrees to reimburse the County for those costs. Section 11. The polls for the election shall be open at seven o'clock a.m. on the day of the election and shall remain open continuously from that time until eight o'clock p.m. that same day, when the polls shall be closed, except as provided in Section 14401 of the Elections Code of the State of California. The notice of the time and place of holding the election is hereby given, and the City Clerk is authorized to give further notice of the election, as required by law. Section 12. That in all particulars not recited in this Resolution, the election shall be held and conducted as provided by law for holding municipal elections. Section 13. The City Clerk is directed to file a certified copy of this resolution with the Shasta County Board of Supervisors and the Shasta County Clerk and Registrar. Section 14. This resolution shall become effective immediately upon its passage and adoption. I HEREBY CERTIFY that the foregoing resolution was introduced, read, and adopted at a regular meeting of the City Council on the 15th day of June, 2010, by the following vote: AYES: COUNCIL. MEMBERS: NOES: COUNCIL MEMBERS: ABSENT: COUNCIL MEMBERS: ABSTAIN: COUNCIL MEMBERS: Attest: PAMELA MIZE, City Clerk Bosetti, McArthur, and Jones Dickers None None Form Approved: RICHARD A. DUVERNAY, CPP<ttorney