HomeMy WebLinkAboutDocumentation_Regular_Tab 11_09/11/2014 VILLAGE CLERK'S OFFICE
AGENDA ITEM TRANSMITTAL FORM
Meeting Date: Meeting Type: Regular Ordinance #:
9/11 /2014
Consent Agenda: Yes Resolution #:
Originating Department: Human Resources
AGENDA ITEM TITLE: (Wording form the SUBJECT line of your staff report)
Approval of a Memorandum of Agreement with the PBA in respect of Article 15 (Insurance)
BUDGET / FINANCIAL IMPACT:
Account #: Various Amount of this item:
Current Budgeted Amount Available: Amount Remaining after item:
N/A N/A
Budget Transfer Required: No Appropriate Fund Balance: No
EXECUTIVE SUMMARY OF MAJOR ISSUES: (This is a snap shot descripfion of the agenda item)
Consideration and approval of a MOA with the PBA in respect of Article 15 (Insurance)
APPROVALS: SIGNATUR •
Department Head
Finance Director
Reviewed for Financial Sufficiency � '�`� �'' �-'
� ��. � �
No Financial Impact ❑ -
Attorney: (for legal sufficiency) See attached
Village Manager:
Submit for Council �ussion: ❑ /����-- --��
Approve Item: ,�
Deny Item: ' �
SPECIAL INSTRUCTIONS FOR CLERK: (if you wish to have agreements signed, be sure to include the
number of copies you want signed and place "Sign Here" sticker on them)
Form Amended: 10/20/11
� • • • �
Memo
To: Michael R Couao, Jr., Village Manager
From: Merlene Reid, HR Director
Date: September 2, 2014
Re: MOA with the PBA re Article 15 (Insurance)
The Village has been in negotiations with the PBA over the past year and we have
not yet come to an agreement in respect of a new contract for the 2013-16 fiscal
year. Due to the fact that the Village is moving to a new carrier in October and there
have been several changes to this article, including a choice between the HDHP and
the traditional plan, a Memorandum of Agreement was arrnred at to reflect the
changes in the Insurance article.
A copy of the Agreement is attached.
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Reld, Merlene
From: Lucille Tumer [LETurnerC�carson-adkinslaw.com]
Sent: Tuesday, September 02, 2014 3:29 PM
To: Reid, Merlene
Merlene—
We have reviewed the September 2, 2014 Memorandum of Agreement between the Palm Beach County Police
Benevolent Association and the Village of Tequesta related to Article 15 health insurance for PBA bargaining unit
members.
The Memorandum of Agreement is legally sufficient.
Please contact us if we can be of further assistance.
Lucille E . TU1'ri61' LETurner@carson-adkinslaw.com
Carson & Adktns 850-894-1009
2930 Wellington Circle, Suite 201 850-894-1677 fax
Tallahassee, FL 32309 850-322-7063 cell
This transmission is intended to be delivered only to the named addressee(s) and may contain information that is confidential,
proprietary, attorney work-product, or attorney-client privileged. If this transmission is received by anyone other than the named
addressee(s), the recipient should immediately notify the sender by e-mail or telephone at (850) 894-1009 and obtain instructions as
to the disposal of the transmitted material.
n
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Village of Teauesta and Palm Beach Countv PolPce Benevolent Assaciatlon
Memorandum of Asreement
Re�ardlne /�rticle 15 Insurance
The Village of Tequesta (Village) and the Palm Beach County Police Benevolent Association (PBA) are
parties to a collective 6argaining agreement that expired September 30, 2013. The Village and the PBA
are in the process of negotiating a successor agreement.
As of this date, the �Ilage and the PBA have not reached a complete resolution of all terms to be
included in the successor collective bargaining agreement.
Currently, all employees represented by the PBA are offered health insurance coverage via a high
deductible health plan (HDHP). Beginning on October 1, 2014, the Village will offer eligible employees a
choice of two types of health insurance plans to its employees: 1) a traditional health insurance plan,
and 2) a high deductable health plan (HDHP) with Health Savings Account (HSA).
Employees who are interested tn switching from the existing HDHP plan to the new traditional health
insurance plan must do so on or before September 2, 2014 at noon.
The Village and the PBA both want to provide employees represented by PBA with the chofce of
insurance plans. Therefore, in order to assure that employees who are represented by the PBA have the
opportunity to choose between the tvvo insurence plans, the Village and the PBA have agreed:
1. The following terms related to employee health insurance will be effective on October 1, 2014 and
will be incorporated into the Collective Bargaining Agreement:
ARTICLE 15
INSURANCE
Section 1:
1. The Village agrees to pay one hundred percent (100%) of the employee cost of
health insurance.
2. The Village agrees to pay seventy five percent (75%) of the cost of dependent
health insurance coverage for those Unit Members who elect such caverage.
Unit Members wrho elect coverage will pay the remaining twenty five percent
(25%) by payroll deduction.
3. In those years when a choice between a t�aditional health insurance plan and a
high deductible health plan (HDHP) is available, and the cost of premiums for
the HDHP plan Is less than the premiums for the traditional plan, the Village will
contribute to the health savings account (HSA) of those employees who chose
the HDHP plan. The Village contrfbution will be as follows:
a) In Fiscal Year 2014-15, the Village uvill contribute $60 per month to the HSA of
an employee who has employee only coverage; and will contribute $110 per
month to the HSA of an employee who has employee plus family coverage.
b) In other years where a choice between traditional and HDHP plans is available,
the Village contribution will be calculated as follows:
i. Start with the amount that the Village is paying for premiums for participants
in the traditional insurance plan.
ii. Subtract the amount that the Village is paying for premiums for participants in
the HDHP plan
iii. Round the difference to the nearest $10
The employee and children rate wlll be used to determine the family contribution.
For example the monthly Village HSA contributions for fiscal year 2014-15 were
calculated using this formula as follows:
2014/15 VOT Trad(tional Premium VOT HDHP Monthly Monthly Difference
Type of Coverage: Contribution Premium Contributlon
Employee Only $497.30 $437.5Z $59.78 (rounded to $60)
Employee + Children $810.61 $699.44 $111.17 (rounded to $110)
c) For flscal year 2014-15 only, on October 1, unit members participating in the
HDHP plan may also "sell back" accrued sick leave at 100% of their hourly rate
to transfer to their HSA, up to the maximum allowed by the IRS. Beginning on
October 1, 2015, unit members participating in the HDHP plan may sell back sick
leave in accordance with the Years of employment schedule outlined in Section
3 of Article 16 (Sick Leave) for transfer to his/her health savings account. There
are no minimum requirements necessary for members to "sell back" sick leave.
4. The Village agrees to pay one hundred percent (100'�) of the employee cost of
dental insurance. Unit Members will pay one hundred percent (100%) of the cost
of dental insurance for dependents if the Unit Member elects such coverage by
payroll deduction.
5. The Village will provide life insurance for full-time employees at one and one-
half (1 '/:) times their annual salary, plus an additionai Five Thousand Dollars
($5,000.00), up to a maximum of $150,000.
Section 2•
It is the Village's intent that all its employees be adequately protected and insured for health
care costs and expenses. Therefore, each Unit Member must enroll in, and continue to be
enrolled during their tenure with the Village, the Village's present and avattable health insurance
plan and maintain full coverage for themselves at a minimum. The Unit Mem6ers may enroll
eligible dependants at their option.
The Village and the PBA agree that the following language will be incorporated into the successor
agreement related to insurance is as follows:
2. The Village will provide all employees represented by the PBA with the information that is being
provided to other employees related to the insurance options, and the Viliage will allow employees
in the PBA bargaining unit to make their decision about which plan to participate in by August 29,
2014.
3. This Memorandum of Agreement will be incorporated into the final Collective Bargaining Agreement
between the parties.
4. This memorandum of agreement will take effect on September 2, 2014, and will remain in effect
until it is replaced with final language that is effective for the successor collective bargaining
agreement, or September 30, 2016, whichever occurs first.
SIGNED this �day of �, 2014.
ATTEST: � � VILLAGE OF TEQUESTA
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Lori McWilliams, CMC Michael Couzzo
Village Clerk Village Manager
PALM BEACH COUNTY PBA
[VILLAGE SEAL]
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