Agenda - Council Work Session - 11/28/2023

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SECTION 4 BENEFITS 4.1 Group Insurance To be eligible for group health, dental, or life insurance benefits with the city of Ramsey employees must be a regular employee scheduled to work at least 30 hours per week. The City provides a contribution to health insurance, single dental insurance and basic life insurance for full- time employees as approved by the City Council annually. Members of the City Council are eligible for group health insurance in the City's group health insurance plan without affecting Councilmembers' total compensation from the City. The City will continue to provide basic life insurance for employees participating in PERA's Phased Retirement program as permitted by the carrier. In accordance with federal health care reform laws and regulations, the City shall offer health insurance benefits to eligible employees and their dependents that work on average or are expected to work 30 or more hours per week or the equivalent of 130 hours or more per month. In order to comply with Health Care Reform law while avoiding penalties, part-time employees will be scheduled with business needs and in manner which ensures positions retain part-time status under which intended 4.2 Long Term Disability ("LTD") Mandatory LTD - Long term disability is a mandatory, employee-paid benefit provided to sworn police personnel and other full-time, non-union employees. Voluntary LTD - Long term disability is available to other employee groups as a voluntary employee-paid benefit. The terms of the long term disability coverage, including the formula used to calculate the benefit and the waiting period before an employee may receive long term disability benefits will be established by the City. 4.3 Public Employment Retirement Association ("PERA") Almost all city employees in the State of Minnesota are covered by a public pension system known as the PERA. Both the City and employees contribute to PERA. For specific information regarding annual contribution rates, contact Human Resources. Vesting time varies depending on membership eligibility date and the pension is portable among public employers throughout the state. Being vested means qualifying for benefits at the minimum allowable age. In normal situations, employees and employers both contribute a percentage of the employee's eligible gross salary to PERA. However, Minnesota law provides that some income received by an employee are not eligible for PERA contributions. Employees should contact Human Resources with specific questions regarding PERA contributions. The City offers PERA's Phased Retirement Option on a case-by-case basis after approval by the HR Manager, Department Head and the City Administrator, as deemed beneficial to the City in 171Page