HomeMy WebLinkAboutD-2123-13 Amend 2-42/Health InsuranceSponsors: Councilors Finkam and Carter
ORDINANCE D- 2123 -13
AN ORDINANCE OF THE COMMON COUNCIL OF THE CITY OF CARMEL,
INDIANA AMENDING CHAPTER 2, ARTICLE 3, DIVISION II,
SECTION 2 -42 OF THE CARMEL CITY CODE
WHEREAS, Ordinance D- 1377 -98 recognized and rewarded service to the City of
Carmel by authorizing the City to pay a portion of retiree health insurance premiums for long-
term employees; and
WHEREAS, Ordinance D- 1377 -98 established that the City will pay 50 -75% of a retiree -
spouse health insurance premium, based on years of full -time service, subject to a specified cap;
and
WHEREAS, the cap was raised from $350 per month in 1999 to $600 per month in 2004,
$650 per month in 2007 and $700 per month in 2009; and
WHEREAS, over the past four years the increasing cost of insurance has significantly
eroded the value of this benefit as originally intended; and
WHEREAS, the current $700 per month cap permits the City to pay less than 50% of the
employee- spouse premium, no matter how many years the employee served the City.
NOW, THEREFORE, BE IT ORDAINED by the Common Council of the City of
Carmel, Indiana, as follows:
Section 1. The foregoing Recitals are incorporated herein by this reference.
Section 2. Chapter 2, Article 3, Division II, § 2 -42(e) is amended to read as follows.
§ 2 -42 Health Insurance.
(e) Retiree insurance. The City shall contribute 50% of the monthly employee- spouse
premium for retirees who have 20 years of active service with the City, plus an additional 1% for
each additional six months of service, up to a maximum of 75% of the employee only or
employee- spouse premium, as applicable, provided that the City's insurance premium
contribution shall not exceed $900.00 per month or $10,800.00 per year. If the retiree is not
married but has dependent children, an equivalent dollar amount will be applied to the employee -
child(ren) premium. If the retiree has a spouse, whether or not the spouse is on the City's plan,
coverage for other eligible dependents may be continued at the retiree's expense.
Details regarding retiree insurance are set forth in the City of Carmel Guidelines for
Payment of Retiree Insurance Premiums, as amended from time to time. The Common Council
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Sponsors: Councilors Finkam and Carter
shall review the amount and the terms of retiree insurance contributions no less frequently than
every four years during the year of the general election of City officials.
Section 3. This Ordinance shall be in full force and effect on and after January 1, 2013.
Section 4. All prior City ordinances or parts thereof that are inconsistent with any
provision of this Ordinance are hereby repealed as of the effective date of this Ordinance.
Section 5. If any portion of this Ordinance is declared unconstitutional, invalid or
unenforceable by the valid judgment or decree of any court of competent jurisdiction such
unconstitutionally, invalidity or unenforceability shall not affect any of the remaining portions of
same.
PASSED by the Common Council of the City of Carmel, Indiana this 4 day of
2013, by a vote of 7 ayes and a nays.
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Sponsors: Councilors Finkam and Carter
MMON CO . CI FOR THE CITY OF ARMEL
Kling Officer
Richard L Sharp, President Pro Tempore
ATTEST:
Diana L. Cordray, IAMC, Clerk- Trea rer
/y
Kevin D. Rider
Carol Schleif
W. Eric Seidensticker
.�( Presented by me to the Mayor of the City of Carmel, Indiana this -1 day of
2013, at (0:32 1 .M.
Diana L. Cordray, IAMC, Clerk - Treasurer
Approved by me, Mayor of the City of Carmel, Indiana, this y day of
2013, at :3b' -P.M.
U /)
ATTEST:
Diana L. Cordray, IAMC, Clerk -Trea rer
vroes Brainard, Mayor
Prepared by: Barbara A. Lamb, Director of Human Resources
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