1 RESOLUTION NO. 23-0160
A RESOLUTION OF THE MANHATTAN BEACH CITY
COUNCIL APPROVING CITY CONTRIBUTION TO
MEDICAL INSURANCE FOR THE MANHATTAN BEACH
MID-MANAGEMENT EMPLOYEES ASSOCIATION
(MBMEA) AND FULL -TIME UNREPRESENTED
EMPLOYEES AND OFFICIALS
WHEREAS, medical insurance for all City employees is provided through the California Public Employees Retirement System (CalPERS) Public Employees Medical and Hospital Care Act (PEMHCA), and the medical plans available to City employees are dependent upon those offered by CalPERS;
WHEREAS, prior to calendar year 2022, the City contribution to medical insurance was equivalent to ninety-five percent (95%) of the employee’s premium for employees who enroll in a CalPERS medical plan, up to a maximum contribution of 95% of the CalPERS PERS Choice medical plan, depending on the selected coverage level;
WHEREAS, in 2021, CalPERS announced that for calendar year 2022, CalPERS would no longer be offering the PERS Choice and PERS Care medical plans to agencies who contract with CalPERS for medical insurance. In conjunction with eliminating the PERS Choice and PERS Care plans, CalPERS announced that it would be merging both plans into a new “PERS Platinum” plan for 2022;
WHEREAS, the City and the Manhattan Beach Mid -Management Employees Association MBMEA met in 2021 to determine the impacts of these changes to the City’s contribution to medical insurance, as it was tied to a plan that would no longer be in existence;
WHEREAS, as a result of these meetings, the City’s contribution for 2022 was set at a flat dollar contribution equivalent to 95% of the PERS Platinum rates;
WHEREAS, the City and the MBMEA (“the parties”) are parties to a Memorandum of Understanding (“MOU”) with a term of January 1, 2022 to June 30, 2025 and in this MOU the parties agreed to a reopener on the City’s contribution to medical insurance during the term of the contract;
WHEREAS, Article 6 Section 1 of the parties’ MOU outlines the City’s contributions to medical insurance based upon the employee’s level of coverage;
WHEREAS, Article 6, Section 3, of the p arties’ MOU provides for a reopener on the City contribution to medical insurance in each year of the contract; and
WHEREAS, the Full-Time Unrepresented Employees Compensation Plan Article 4, provides that the unrepresented employees will receive the same increase to the City contribution to medical insurance as is provided to the MBMEA.
Res. 23-0160
2 THEREFORE, THE MANHATTAN BEA CH CITY COUNCIL HEREBY RESOLVES AS FOLLOWS:
SECTION 1. The City Council hereby authorizes and approves the City contribution to medical insurance for employees in the Manhattan Beach Mid-Management Association (MBMEA), full time unrepresented employees, and elected officials, as follows:
1. Effective January 1, 2024, the City will provide a flat dollar contribution to medical insurance for employees who enroll in a CalPERS medical plan. The flat dollar maximum contribution to medical insurance will be as fo llows, depending on the employee’s actual enrollment level (employee only, two-party or family coverage):
Employee only - $1,131.47
Two-Party - $2,149.79
Family - $2,794.73
2. Effective January 1, 2025 and thereafter, the City will provide a contribution to insurance as follows:
Employees who enroll in a CalPERS medical plan will receive a City contribution to medical insurance of 95% of the PERS Platinum premium, at the level the employee is enrolled (either employee only, employee with one dependent, or employee with two or more dependents).
If an employee chooses a plan that is less costly than the PERS Platinum plan, the City will pay 95% of the premium for the plan chosen with the employee paying for the remainder of the plan chosen (5%). If an employee chooses a plan that is more costly than 95% of the PERS Platinum premium rate, the employee will pay the difference between the actual premium and the cost of 95% of the PERS Platinum premium rate for the selected coverage level.
The City’s contribution is inclusive of (not in addition to) the CalPERS statutory minimum per Government Code section 22892.
SECTION 2. The City Council authorizes the City Manager to enter into a side letter to the parties’ MOU memorializing the terms of this authority.
SECTION 3. The Human Resources Director or her designee shall administer the terms of this resolution.
Res. 23-0160
3 SECTION 4. The City Clerk shall certify to the adoption of this Resolution.
ADOPTED on December 5, 2023.
AYES:
NOES:
ABSENT:
ABSTAIN:
________________________________
RICHARD MONTGOMERY
Mayor
ATTEST:
____________________________
LIZA TAMURA
City Clerk